SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                                    FORM 10-Q
                               ------------------
(MARK ONE)

|X|      QUARTERLY REPORT UNDER SECTION 13 OR 15 (D)
         OF THE SECURITIES EXCHANGE ACT OF 1934

         For the quarterly period ended June 30, 2000

         OR

|_|      TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(D)
         OF THE SECURITIES EXCHANGE ACT OF 1934

         Commission File Number:  O-13653



                       THE PEOPLES BANCTRUST COMPANY, INC.
                       -----------------------------------
             (Exact name of registrant as specified on its charter)

           Alabama                                           63-0896239
------------------------------------                     ------------------
(State or other jurisdiction of                           (I.R.S. Employer
incorporation or organization)                           Identification No.)

310 Broad Street, Selma, Alabama                             36701
----------------------------------------                --------------
(Address of principal executive offices)                   (Zip Code)

                                 (334) 875-1000
              ----------------------------------------------------
              (Registrant's telephone number, including area code)

     Indicate by a check mark whether the  registrant  (1) has filed all reports
required to be filed by Section 13 of 15(d) of the  Securities  Exchange  Act of
1934  during the  preceding  12 months (or such  shorter  time  period  that the
registrant was required to file such reports),  and (2) has been subject to such
filing requirements for the past 90 days. Yes X No

     As of the close of  business  on August 7,  2000,  5,148,138  shares of the
registrant's Common Stock, par value $.10 per share, were outstanding.

<PAGE>
                         PART I - FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS

               THE PEOPLES BANCTRUST COMPANY, INC., SELMA, ALABAMA
                      CONDENSED CONSOLIDATED BALANCE SHEETS

                                                      In Thousands
                                               June 30, 2000   December 31, 1999
                                               -------------   -----------------
                                                (Unaudited)
ASSETS:
Cash and due from banks                          $  23,179      $  39,809
Federal funds sold and securities purchased
   under agreement to resell                         4,312          4,663
                                                 ---------      ---------
Total cash and cash equivalents                     27,491         44,472

Securities available-for-sale                      116,893        119,559

Loans, net of unearned income                      453,020        436,732
Allowance for loan losses                           (5,557)        (5,333)
                                                 ---------      ---------
Net loans                                          447,463        431,399

Bank premises and equipment, net                    14,510         13,880
Intangible assets                                    8,603          8,997
Other real estate, net                               1,022            876
Other assets                                        12,858         10,160
                                                 ---------      ---------
Total assets                                     $ 628,840      $ 629,343
                                                 =========      =========

LIABILITIES AND STOCKHOLDERS' EQUITY:
Noninterest-bearing deposits                     $  67,396      $  68,056
Interest-bearing deposits                          429,252        421,285
                                                 ---------      ---------
Total deposits                                     496,648        489,341

Federal funds purchased and securities sold
   under agreements to repurchase                    8,381         34,789
Other borrowed funds                                58,176         42,104
Other liabilities                                    6,326          5,204
                                                 ---------      ---------
Total liabilities                                  569,531        571,438

Common stock                                           515            515
Additional paid-in-capital                           5,651          5,651
Accumulated other comprehensive loss, net of
   tax                                              (2,216)        (1,647)
Retained earnings                                   55,359         53,386
                                                 ---------      ---------

Total stockholders' equity                          59,309         57,905
                                                 ---------      ---------
Total liabilities and stockholders' equity       $ 628,840      $ 629,343
                                                 =========      =========

  See Notes to the Unaudited Condensed Consolidated Financial Statements

                                       2
<PAGE>
               THE PEOPLES BANCTRUST COMPANY, INC., SELMA, ALABAMA
                   CONDENSED CONSOLIDATED STATEMENTS OF INCOME
<TABLE>
<CAPTION>
                                                     In Thousands, except share and per share data
                                                                       (Unaudited)
                                                 Three Months Ended June 30,   Six Months Ended June 30,
                                                 ---------------------------   -------------------------
Income Statement                                      2000          1999          2000          1999
                                                      ----          ----          ----          ----
<S>                                               <C>           <C>           <C>            <C>
Interest and fees on loans                        $    10,745   $     8,693   $    20,855    $    16,877
Interest and dividends on investment securities         1,815         1,980         3,631          3,984
Other interest income                                     112            98           227            297
                                                  -----------   -----------   -----------    -----------
Total interest income                                  12,672        10,771        24,713         21,158

Interest on deposits                                    4,962         3,899         9,517          7,851
Interest on borrowed funds                                741           574         1,470            995
                                                  -----------   -----------   -----------    -----------
Total interest expense                                  5,703         4,473        10,987          8,846
                                                  -----------   -----------   -----------    -----------
Net interest income                                     6,969         6,298        13,726         12,312
Provision for loans losses                                849           848         1,565          1,580
                                                  -----------   -----------   -----------    -----------
Net interest income after provision for loan
   losses                                               6,120         5,450        12,161         10,732

Net securities (losses) gains                              --           122           (24)           162
Other noninterest income                                1,646         1,913         3,458          3,470
Noninterest expense                                     5,505         5,375        11,199         10,724
                                                  -----------   -----------   -----------    -----------
Income before provision for income taxes                2,261         2,110         4,396          3,640

Provision for income taxes                                768           724         1,496          1,208
                                                  -----------   -----------   -----------    -----------
Net income                                        $     1,493   $     1,386   $     2,900    $     2,432
                                                  ===========   ===========   ===========    ===========

Basic weighted average number of shares             5,148,138     5,148,138     5,148,138      5,148,138
Diluted weighted average number of shares           5,149,354     5,150,700     5,149,354      5,151,467
Basic net income per share                        $      0.29   $      0.27   $      0.56    $      0.47
Diluted net income per share                      $      0.29   $      0.27   $      0.56    $      0.47
Dividends per share                               $      0.09   $     0.085   $      0.18    $      0.17
</TABLE>
See Notes to the Unaudited Condensed Consolidated Financial Statements

                                       3
<PAGE>
               THE PEOPLES BANCTRUST COMPANY, INC., SELMA, ALABAMA
            CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
<TABLE>
<CAPTION>
                                                            In Thousands                     In Thousands
                                                            (Unaudited)                       (Unaudited)
                                                    Three Months Ended June 30,        Six Months Ended June 30,
                                                   -------------------------------   ------------------------------
                                                        2000             1999             2000             1999
                                                        ----             ----             ----             ----
<S>                                               <C>           <C>                <C>             <C>
Net income                                        $     1,493   $         1,386    $      2,900    $       2,432
Other Comprehensive income:
Unrealized gains (losses) on securities
   available for sale during the period                   138            (1,635)           (886)          (2,705)
Less: reclassification adjustment for net
 gains (losses) included in net income                     --               122             (24)             162
                                                  -----------   ---------------    ------------    -------------
Other comprehensive income (loss)                         138            (1,757)           (862)          (2,867)
Income tax provision (benefit) related to items
  of other comprehensive income (loss)                     47              (562)           (293)            (918)
                                                  -----------   ---------------    ------------    -------------
Other comprehensive income (loss), net of tax              91            (1,195)           (569)          (1,949)
                                                  -----------   ---------------    ------------    -------------
Comprehensive income, net of tax                  $     1,584   $           191    $      2,331    $         483
                                                  ===========   ===============    ============    =============
</TABLE>
See Notes to the Unaudited Condensed Consolidated Financial Statements

                                       4
<PAGE>
               THE PEOPLES BANCTRUST COMPANY, INC., SELMA, ALABAMA
                 CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS

                                                             In Thousands
                                                              (Unaudited)
                                                       Six Months Ended June 30,
                                                       -------------------------
                                                            2000        1999
                                                            ----        ----

Net cash provided by operating activities                 $  3,330    $  4,763

Cash flows from investing activities
  Proceeds from sales of available-for-sale securities       6,354      21,703
  Proceeds from maturity and call of available-for-sale
   securities                                                1,450      14,650
  Purchases of available-for-sale securities                (6,066)    (30,631)
  Net increase in loans                                    (16,447)    (27,931)
  Purchases of bank premises and equipment                  (1,809)     (3,015)
  Proceeds from sale of bank premises and equipment             --         354
  Investment in other real estate and equipment                 --        (461)
  Proceeds from sale of other real estate                      230         230
  Investment in low income housing projects                    (67)        (66)
                                                          --------    --------
Net cash used in investing activities                      (16,355)    (25,167)
                                                          --------    --------
Cash flows from financing activities
  Increase in deposits                                       7,307      10,880
  Net (decrease) increase in borrowed funds                (10,336)      7,508
  Dividends paid                                              (927)       (875)
                                                          --------    --------
Net cash (used) in provided  by financing activities        (3,956)     17,513
                                                          --------    --------

Net decrease in cash and cash equivalents                  (16,981)     (2,891)
Cash and cash equivalents beginning of year                 44,472      36,267
                                                          --------    --------
Cash and cash equivalents end of period                   $ 27,491    $ 33,376
                                                          ========    ========

Cash paid for interest                                    $ 10,867    $  8,804
Cash paid for income taxes                                $  1,300    $  1,200

See Notes to the Unaudited Condensed Consolidated Financial Statements

               THE PEOPLES BANCTRUST COMPANY, INC. AND SUBSIDIARY

Notes to the Unaudited Condensed Consolidated Financial Statements (Unaudited)

Accounting Policies:

     The accompanying unaudited consolidated financial statements of The Peoples
BancTrust Company, Inc, (the "Company") and its subsidiary, The Peoples Bank and
Trust Company ("Peoples Bank"),  have been prepared in accordance with generally
accepted accounting principles for interim information and with the instructions
to Form 10-Q and Article 10 of Regulation S-X. Accordingly,  they do not include
all of the information and footnotes required by generally  accepted  accounting
principles for complete financial statements. In the opinion of management,  all
adjustments  (consisting only of normal recurring accruals) considered necessary
for a fair  presentation  have been included.  The results of operations are not
necessarily  indicative  of the results of  operations

                                       5
<PAGE>

for the full year or any other interim periods. For further information refer to
the  consolidated  financial  statements and footnotes  thereto  included in the
Company's Annual Report on Form 10-K for the year-ended December 31, 1999.

Commitments and Contingencies:

     The Company and its  subsidiaries are from time to time defendants in legal
actions arising from normal business activities.  Management does not anticipate
that the ultimate  liability  arising from  litigation  outstanding  at June 30,
2000,  will  have  a  materially  adverse  effect  on  the  Company's  financial
statements.

Derivatives and Hedging Activities:

In June 1998, the Financial Accounting Standards Board ("FASB") issued Statement
of Financial Accounting Standards No. 133, Accounting for Derivative Instruments
and Hedging Activities ("SFAS 133"). SFAS 133, effective for all fiscal quarters
of fiscal  years  beginning  after June 15,  1999,  establishes  accounting  and
reporting for derivative  instruments,  including certain derivative instruments
embedded  in  other  contracts,  by  requiring  that  an  entity  recognize  all
derivatives  as either  assets or  liabilities  in the  statement  of  financial
position and measure those  instruments at fair value.  It also  establishes the
condition  under which a derivative  should be  designated as hedging a specific
type of exposure and  requires the company to establish at the  inception of the
hedge the method and measurement approach used to assess its effectiveness.

SFAS 133 as amended by SFAS 137, is effective for all fiscal  quarters of fiscal
years  beginning  after June 15, 2000. The Company does not believe the adoption
of SFAS 133 will have a  significant  impact  on its  financial  statements  and
disclosures, as it does not currently possess any derivative instruments.

                                       6
<PAGE>

Earnings Per Share:

     The  following  table  reflects the  reconciliation  of the  numerator  and
denominator of the basic EPS  computation to the diluted EPS computation for the
three months and six months ended June 30, 2000 and 1999:
<TABLE>
<CAPTION>
                                                             (In thousands, except for per share data)
                                                                              2000
                                                 ----------------------------------------------------------------
                                                            Basic                            Diluted
                                                    Q-T-D           Y-T-D            Q-T-D            Y-T-D
                                                    -----           -----            -----            -----
<S>                                              <C>              <C>             <C>             <C>
Net income                                       $  1,493         $  2,900        $   1,493       $   2,900

Average shares outstanding                          5,148            5,148            5,148           5,148
  Effect of dilutive securities stock
   options                                                                                1               1
                                                                                  ---------       ---------
Diluted average shares outstanding                                                    5,149           5,149
Earnings per share:
   Net income                                    $   0.29         $   0.56        $    0.29       $    0.56



                                                                              1999
                                                 ----------------------------------------------------------------
                                                            Basic                            Diluted
                                                    Q-T-D           Y-T-D            Q-T-D            Y-T-D
                                                    -----           -----            -----            -----

Net income                                       $  1,386         $  2,432        $   1,386       $   2,432

Average shares outstanding                          5,148            5,148            5,148           5,148
  Effect of dilutive securities stock
   options                                                                                3               3
                                                                                  ---------       ---------
Diluted average shares outstanding                                                    5,151           5,151
Earnings per share:
   Net income                                    $   0.27         $   0.47        $    0.27       $    0.47
</TABLE>
                                       7
<PAGE>

ITEM 2. MANAGEMENT'S  DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
        OF OPERATIONS.

                                     GENERAL

The  following  analysis  focuses  on the  financial  condition  and  results of
operations of The Peoples BancTrust Company, Inc. (the "Company"), and should be
read in conjunction with the consolidated  financial statements included in this
report.

Management's discussion and analysis includes certain forward-looking statements
addressing,  among other  things,  the Company's  prospects for earnings,  asset
growth and net interest margin.  Forward-looking  statements are accompanied by,
and  identified  with,  such  terms  as  "anticipates,"  "believes,"  "expects,"
"intends,"  and similar  phrases.  Management's  expectations  for the Company's
future necessarily  involve a number of assumptions and estimates.  Factors that
could cause  actual  results to differ from the  expectations  expressed  herein
include:  substantial  changes in  interest  rates and  changes  in the  general
economy,  as  well  as  changes  in the  Company's  strategies  for  credit-risk
management,   interest-rate   risk   management   and   investment   activities.
Accordingly, any forward-looking statements included herein do not purport to be
predictions of future events or circumstances and may not be realized.

                               FINANCIAL CONDITION

LOANS

Loans,  net of unearned  income,  rose  $16,288,000 to  $453,020,000 at June 30,
2000, from $436,732,000 at December 31, 1999. Strong real estate loan demand was
the primary reason for this increase.

INVESTMENTS

Total  investment  securities were  $116,893,000 at June 30, 2000 as compared to
$119,559,000  on December 31, 1999.  This  represents a decrease of  $2,666,000.
This  decrease is primarily the result of shifting  funds out of the  investment
portfolio so as to make them  available for  deployment  in the higher  yielding
loan portfolio.

At year-end  1999,  and at June 30, 2000,  the entire  investment  portfolio was
classified   as   "available-for-sale",   resulting  in  the   portfolio   being
marked-to-market.  At December 31, 1999, the portfolio had a net unrealized loss
(net of taxes) of $1,647,000 as compared to a net unrealized loss (net of taxes)
of $2,216,000 at June 30, 2000. This increase in the net unrealized loss (net of
taxes)was  primarily the result of rising  interest  rates between  December 31,
1999 and June 30,  2000,  which caused  reductions  in the market value of fixed
rate bonds during this period.

SHORT-TERM INVESTMENTS

Short-term  investments  totaled  $4,312,000  at June 30,  2000 as  compared  to
$4,663,000 at December 31, 1999, a decrease of $351,000.  Short-term investments
are comprised of federal funds sold, and securities  purchased under  agreements
to resell.

ALLOWANCE FOR LOAN LOSSES

Management's  estimate of the  uncollectable  loans  within the  Company's  loan
portfolio is  represented  by the allowance  for loan losses.  The allowance for
loan  losses  is  established  through  charges  to  earnings  in the  form of a
provision  for loan losses.  A loan is charged  against the  allowance  for loan
losses when management  determines that it is probable that the repayment of the
principal amount of a loan will not be made in accordance with the loan's terms.
Should a loan  that has been  charged  off be  recovered,  either  partially  or
entirely,  it is credited back to the  allowance.  Periodic  reviews of the loan
portfolio,  that  include  analysis  of such  factors  as current  and  expected
economic conditions, historical loss experience and levels of non-accruing loans
and  delinquencies,  determine  the  appropriate  level at which to maintain the
allowance  for loan losses.  Because the allowance is based on  assumptions  and
subjective judgements,  it is not necessarily reflective of the charge-offs that
may ultimately occur.

                                       8
<PAGE>

At June 30,  2000,  the  Company's  allowance  for loan  losses had a balance of
$5,557,000  as compared to  $5,333,000  at December 31, 1999.  As a result,  the
ratio of the allowance to total loans net of unearned income was 1.23% and 1.22%
at June 30, 2000 and December 31, 1999,  respectively.  Loans requiring  special
attention  because of potential  weaknesses fell from $8,180,000 at December 31,
1999,  to  $7,987,000  at June 30, 2000.  As a percentage  of total loans net of
unearned  interest,  non-accruing  loans decreased to 0.42% at June 30, 2000, as
compared  to 0.65% at December  31,  1999.  The  coverage  of the  allowance  to
non-accruing  loans was 291% and 188% at June 30, 2000 and  December  31,  1999,
respectively. The current level of allowance for loan losses exceeds the minimum
requirements  set forth by regulatory  authorities.  It is  management's  belief
that,  at its current  level,  the  allowance  for loan losses is  sufficient to
absorb any potential losses currently  existing in the Company's loan portfolio.

DEPOSITS

At June 30, 2000, total deposits had increased to  $496,648,000,  or $7,307,000,
from a December  31, 1999 total of  $489,341,000.  Noninterest-bearing  deposits
decreased $660,000, while interest-bearing  deposits increased $7,967,000 during
this period.

LIQUIDITY

Liquidity  describes  the  Company's  ability to meet its needs for cash.  Those
needs primarily include lending, withdrawal demands of customers and the payment
of operating  expenses.  The liability base provides  liquidity  through deposit
growth,  the rollover of maturing deposits and accessibility to external sources
of funds, ("Borrowed funds").

From time to time, the Company  deploys  short-term  borrowed funds. At June 30,
2000,  short-term  borrowings  in  the  form  of  federal  funds  purchased  and
securities sold under agreement to repurchase totaled $8,381,000, as compared to
$34,789,000 at December 31, 1999.  This  significant  reduction in the amount of
short-term  borrowings is due to the Company  having  repaid monies  borrowed to
fund several large, short-term loans issued to customers at year-end, as well as
the repayment of funds borrowed  related to the Company's year 2000  contingency
plan guidelines.

Other borrowed funds increased to $58,176,000 at June 30, 2000 from  $42,104,000
at December  31,  2000.  The balance of other  borrowed  funds is  comprised  of
borrowings  from the  Federal  Home Loan Bank of Atlanta.  This  increase is the
result of funding loan growth that occurred  between  December 31, 1999 and June
30, 2000.

STOCKHOLDERS' EQUITY

Total  stockholders'  equity  at June  30,  2000  was  $59,309,000  compared  to
$57,905,000  at December 31, 1999.  This increase of $1,404,000 is accounted for
as follows:  $2,900,000  year-to-date earnings,  $927,000 common stock dividends
and $569,000 additional net unrealized loss on available-for-sale securities.

                                       9
<PAGE>

Risk-based capital  regulations  require all bank holding companies and banks to
achieve and maintain a minimum  total capital to  risk-weighted  assets ratio of
8.00%, at least half of which must be in the form of Tier 1 capital  (consisting
of  stockholders'  equity less  goodwill).  The  following  table  indicates the
Company's  Tier 1 capital  ratio and total  capital  ratio at June 30, 2000 were
11.57% and 12.81%,  respectively.  The Company  maintained,  at June 30, 2000, a
leverage  ratio of Tier 1  capital  to total  assets  of 8.79%  compared  to the
minimum  regulatory  standard of 4.00%  required of the strongest  companies and
banks.  In  addition,  the table  indicates  that the  ratios  of the  Company's
subsidiary bank, The Peoples Bank & Trust Co. ("Peoples Bank"),  also exceed the
minimum requirements of the regulation.
<TABLE>
<CAPTION>
                                                               Risk-Based Capital Ratios & Leverage Ratios
                                                                           As of June 30, 2000
                                                   --------------------------------------------------------------------
RISK-BASED CAPITAL RATIOS                                                 Dollars in Thousands
---------------------------------------
                                                           The Company                             Peoples Bank
                                                   -----------------------------            ---------------------------
<S>                                                      <C>             <C>                      <C>           <C>
Tier 1 Capital                                           $  52,923       11.57%                   $  53,109     11.68%
Tier 1 Capital - Minimum Required                           18,294        4.00%                      18,193      4.00%
                                                   -----------------------------            ---------------------------
Excess                                                   $  34,629        7.57%                   $  34,916      7.68%

Total Capital                                            $  58,566       12.81%                   $  58,667     12.90%
Total Capital - Minimum Required                            36,587        8.00%                      36,386      8.00%
                                                   -----------------------------            ---------------------------
Excess                                                   $  21,979        4.81%                   $  22,281      4.90%

Net risk-weighted assets                                 $ 457,340                                $ 454,822

LEVERAGE RATIOS
---------------------------------------

Total Tier 1 Capital                                     $  52,923        8.79%                   $  53,109      8.83%
Minimum Leverage Requirement                                24,080        4.00%                      24,057      4.00%
                                                   -----------------------------            ---------------------------
Excess                                                   $  28,843        4.79%                   $  29,052      4.83%

Average Total Assets,
      Net of all intangibles                             $ 601,997                                $ 601,426
</TABLE>
                                       10
<PAGE>
                              RESULTS OF OPERATIONS

THREE MONTHS ENDED JUNE 30, 2000, COMPARED TO THREE MONTHS ENDED JUNE 30, 1999

The  Company's  profitability,  like  that of many  financial  institutions,  is
dependent to a large extent upon its net interest  income.  Simply  stated,  net
interest income is the difference  between  interest income on  interest-earning
assets, such as loans and investments,  and interest expense on interest-bearing
liabilities, such as deposits and borrowings.

Interest  income for the second  quarter  of 2000 (the "2000  quarter")  totaled
$12,672,000  compared  to  $10,771,000  for the same  quarter of 1999 (the "1999
quarter").  The  increase  of  $1,901,000  is due to both a rise in the  average
balance of the Company's loan portfolio and in the yield earned thereon.

The 2000 quarter saw a decrease of $165,000 in  investment  income when compared
to the 1999 quarter.  Interest income on investments  totaled $1,815,000 for the
2000 quarter as opposed to  $1,980,000  for the same period in 1999. A reduction
in the average  volume of investment  securities is the primary  reason for this
decline.

Interest  income from business  loans totaled  $2,910,000  for the 2000 quarter.
This  represents an increase of $826,000 when compared to $2,084,000 of interest
income for the 1999  quarter.  Increases  in both the  average  volume and yield
earned on these loans  contributed  to the  increase  in income  between the two
quarters.

Personal loan interest income  decreased to $2,727,000 for the 2000 quarter from
$2,918,000  for the 1999 quarter.  A decrease in the average  volume of personal
loans during the 2000 quarter,  as compared to the 1999 quarter,  is largely the
cause for this $191,000 reduction.

Interest  income  earned on real estate loans  totaled  $4,831,000  for the 2000
quarter as  compared  to  $3,458,000  for the 1999  quarter.  This  increase  of
$1,373,000 between the 1999 quarter and the 2000 quarter is primarily the result
of a significant increase in the average balance of real estate loans held.

Interest paid on deposits totaled  $4,962,000 for the 2000 quarter,  as compared
to  $3,899,000  for the 1999  quarter.  Both average cost and average  volume of
interest  bearing  deposits  were  higher in the 2000  quarter  than in the 1999
quarter, thus resulting in the $1,063,000 increase in interest paid.

Non-interest  income  for the  2000  quarter  totaled  $1,646,000.  For the 1999
quarter,  non-interest income totaled $2,035,000. This decrease is primarily due
to lower deposit  service  charge income during the 2000 quarter than during the
1999 quarter.

Non interest expense increased  $130,000 from the 1999 quarter to $5,505,000 for
the 2000 quarter.  Non-interest expense for the 1999 quarter totaled $5,375,000.
Higher  personnel and premises costs were the primary  reasons for this increase
in non interest expense between the 1999 and 2000 quarters.

Income before taxes for the 2000 quarter was $2,261,000,  compared to $2,110,000
for the 1999 quarter.  Consequently, the provision for income taxes increased as
well. For the 2000 quarter,  the provision for income taxes totaled  $768,000 as
compared to $724,000 for the 1999 quarter. The resulting 2000 quarter net income
was  $1,493,000,  compared  to net  income for the 1999  quarter of  $1,386,000.
Earnings per share for the 2000 quarter was $.29,  compared to $.27 for the 1999
quarter.

SIX MONTHS ENDED JUNE 30, 2000 COMPARED TO SIX MONTHS ENDED JUNE 30, 2000

Interest income for the six months ended June 30, 2000 totaled  $24,713,000,  an
increase of $3,555,000 from $21,158,000 for the same period in 1999. The average
volume  of  interest  earning  assets  rose to  $552,562,000  at June 30,  2000,
representing  an  increase  of  $54,455,000  over  the June  30,  1999  level of
$498,107,000.  The increase in average volume, along with an increase in average
annual yield,  resulted in the increase in interest  income.  The average annual
yield on interest  earning  assets at June 30,  2000 was 8.91%,  whereas for the
same period in 1999 it was 8.38%.

                                       11
<PAGE>

Interest  income on the Company's  investment  securities  portfolio for the six
months ended June 30, 2000 totaled  $3,631,000,  which  translates to an average
annual  yield of 6.23%.  For the six months  ended June 30,  1999,  income  from
investment  securities totaled  $3,984,000,  resulting in a 5.85% average annual
yield.  The  investment  securities  portfolio had an average volume at June 30,
2000 of  $117,184,000,  that when  compared to the  average  volume for the same
period in 1999 of $136,283,000, explains the reduction in interest income, given
the aforementioned increase in average annual yield.

Interest  income on the Company's  loans totaled  $20,855,000  for the six-month
period  ended June 30,  2000.  For the same period in 1999,  interest  income on
loans totaled $16,877,000.  Average loans for the six months ended June 30, 2000
was $435,378,000  yielding a 9.63% average annual return. For the same period in
1999,  average loans totaled  $361,824,000,  earning an average  annual yield of
9.33%.  The  $3,978,000  increase in loan interest  income is the result of both
higher average loan volume and higher average annual loan yields.

Interest expense on interest-bearing  deposits for the six months ended June 30,
2000 totaled  $9,517,000,  with an average cost for these deposits of 4.44%. For
the same period in 1999, interest expense on deposits totaled  $7,851,000,  with
an average cost of 3.97%. The average balances of interest-bearing  deposits for
the six months ended June 30, 2000 and 1999 were  $431,470,000 and $395,805,000,
respectively.  Both the  increase in average  deposit  cost and average  deposit
balances, attributed to the $1,666,000 increase in interest expense on deposits.

The resulting  net interest  income of the Company for six months ended June 30,
2000 totaled  $13,726,000.  This  represents an increase of $1,414,000  over net
interest income for the same period in 1999 of $12,312,000.  Net interest margin
for the Company at June 30, 2000 was 4.92%,  whereas for the same period in 1999
it was 4.97%.

Provision  for loan  losses  for the six  months  ended  June 30,  2000  totaled
$1,565,000,  as compared to $1,580,000  for the same period in 1999. The Company
experienced  relatively favorable loan charge off activity during the six months
ended  June 30,  2000.  Given  this,  the  Company  was  able to  charge a lower
provision  for loan  losses  against  earnings.  Provision  for loan  losses are
charges made against net interest income,  and applied to the allowance for loan
losses. See "Financial Condition--Allowance for Loan Losses" above.

During  the  six  months  ended  June  30,  2000,  non-interest  income  totaled
$3,434,000, as compared to $3,632,000 for the same period in 1999. This $198,000
decrease is the result of lower  deposit  service  charges  during the first six
months of 2000, than was present during the same period in 1999.

Non interest expense for the six months ended June 30, 2000 totaled  $11,199,000
as compared to $10,724,000 for the same period of 1999. The $475,000 increase is
primarily  accounted  for  in  additional   personnel  and  facilities  expenses
associated with the Company's ongoing market expansion.

For the six months ended June 30, 2000, income before taxes totaled  $4,396,000,
compared to $3,640,000 for the same period in 1999. The income tax provision for
six months ended June 30, 2000 totaled  $1,496,000,  whereas for the same period
in 1999 it totaled $1,208,000. The resulting net income for the six months ended
June 30, 2000 totaled $2,900,000,  compared to $2,432,000 for the same period in
1999.

                       IMPACT OF NEW ACCOUNTING STANDARDS

     See Notes to the Unaudited Condensed Consolidated Financial Statements.

                                       12
<PAGE>

ITEM 3.  QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

Interest  sensitivity is one measure of the vulnerability of earnings to changes
in the general level of interest rates. Whenever interest-earning assets reprice
to market interest rates at a different pace than interest-bearing  liabilities,
interest income  performance  will be affected  favorably or unfavorably  during
periods of changes in general  interest  rates.  Management is unable to predict
future changes in market rates and their impact on the Company's  profitability.
Management  believes,  however,  that the  Company's  current  rate  sensitivity
position is well matched,  indicating  the  assumption of minimal  interest rate
risk.  Management  does not believe there to have been any material shift in the
relationship  between the maturity  characteristics of interest-earning  assets,
and interest-bearing liabilities since December 31, 1999, and, consequently,  no
material change in interest rate risk exposure.

                           PART II - OTHER INFORMATION

ITEM 4.  SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS

On April 11, 2000, the Company held its Annual Meeting of  Shareholders at which
the following matters were considered and voted on:

Proposal I - Election of Directors

NOMINEES                                    FOR         WITHHELD
--------                                    ---         --------

John Crear                               4,487,925       10,384
Clyde B. Cox, Jr.                        4,487,425       10,884
Arnold B. Dopson                         4,487,536       10,773
Harry W. Gamble, Jr.                     4,487,425       10,884
Ted M. Henry                             4,487,425       10,884
Elam P. Holley, Jr.                      4,486,536       11,773
Edith Morthland Jones                    4,488,425        9,884
Richard P. Morthland                     4,486,427       11,882
Thomas E. Newton                         4,488,425        9,884
Walter Owens                             4,488,425        9,884
David Y. Pearce                          4,488,425        9,884
C. Ernest Smith                          4,488,385        9,924
Julius E. Talton, Jr.                    4,487,425       10,884
Daniel P. Wilbanks                       4,488,425        9,884

     There were no abstentions and 1,000 broker non-votes.

ITEM 6.  EXHIBITS AND REPORTS ON FORM 8-K

(a)      Exhibits
         Exhibit 27 - Financial Data Schedule (SEC use only)

(b)      Not applicable.

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<PAGE>
                                   SIGNATURES

     Pursuant to the  requirements  of the Securities  Exchange Act of 1934, the
registrant  has duly  caused  this  report  to be  signed  on its  behalf by the
undersigned, thereunto duly authorized.

                                    The Peoples BancTrust Company, Inc.


Date:  August 10, 2000              /s/ Richard P. Morththland
                                    ------------------------------------
                                    Richard P. Morthland
                                    Chairman and Chief Executive Officer


Date:  August 10, 2000              /s/ Andrew C. Bearden, Jr.
                                    ------------------------------------
                                    Andrew C. Bearden, Jr.
                                    Executive Vice President and Chief
                                      Financial Officer

Date:  August 10, 2000              /s/ Thomas P. Wilbourne
                                    ------------------------------------
                                    Thomas P. Wilbourne
                                    Assistant Vice President and
                                      Assistant Treasurer
                                    (Principal Accounting Officer)

                                       14