U.S. SECURITIES AND EXCHANGE COMMISSION
                              Washington, DC 20549

                                   FORM 10-QSB

(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.

___      Transition report under Section 13 or 15(d) of the Exchange Act
         For the transition period from _______________ to ________________

                          Commission File No. 333-25179

                     PEOPLE'S COMMUNITY CAPITAL CORPORATION
        (Exact Name of Small Business Issuer as Specified in its Charter)

              SOUTH CAROLINA                      58-2287073
          (State of Incorporation)       (I.R.S. Employer Identification No.)

              106-A PARK AVENUE, S.W., AIKEN, SOUTH CAROLINA 29801
                    (Address of Principal Executive Offices)

                                 (803) 641-0142
                (Issuer's Telephone Number, Including Area Code)

                                 NOT APPLICABLE
(Former Name, Former Address and Former Fiscal Year, if Changed Since Last
 Report)


         Check whether the issuer: (1) filed all reports required to be filed by
Section 13 or 15(d) of the  Exchange  Act during the past 12 months (or for such
shorter 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

         State the number of shares  outstanding of each of the issuer's classes
of common equity, as of the latest  practicable  date:  972,625 shares of common
stock, par value $.01 per share outstanding at July 31, 2000.

     Transitional Small Business Disclosure Format (check one): Yes   No X
                                                                   --   --



<PAGE>


PART I - FINANCIAL INFORMATION

Item 1.   Financial Statements.

                     People's Community Capital Corporation
                           Consolidated Balance Sheets
<TABLE>
<CAPTION>


                                                                                 June 30,             December 31,
                                                                                   2000                   1999
                                                                                   ----                   ----
                                                                                (Unaudited)            (Audited)

                                     Assets

<S>                                                                           <C>                   <C>
Cash and due from banks                                                       $  1,703,681          $      3,076,294
Federal funds sold                                                               5,220,000                 5,550,000
Securities, available for sale                                                  10,610,359                10,711,010
Loans receivable, net                                                           38,619,140                33,225,197
Properties and equipment, net                                                    1,714,300                 1,678,862
Accrued interest receivable                                                        368,023                   325,904
Deferred income taxes                                                              203,764                   136,949
Other assets                                                                       103,791                    90,571
                                                                             -------------          ----------------
            Total assets                                                     $  58,543,058          $     54,794,787
                                                                             =============          ================

                      Liabilities and Shareholders' Equity

Liabilities:
     Non-interest bearing deposits                                           $   7,995,718          $     6,672,434
     Interest bearing deposits                                                  39,745,547               36,496,307
                                                                             -------------          ---------------
         Total deposits                                                         47,741,265               43,168,741
     Accrued interest payable                                                       74,756                   62,383
     Accrued expenses and other liabilities                                        169,549                  100,480
     Other borrowings                                                            1,008,749                2,006,427
                                                                             -------------          ---------------
         Total liabilities                                                      48,994,319               45,338,031
                                                                             -------------          ---------------

Shareholders' equity:
     Common stock, $.01 par value; 10,000,000 shares authorized, 998,262
         shares issued at June 30, 2000 and December 31, 1999                        9,983                    9,983
     Additional paid-in-capital                                                  9,776,507                9,776,507
     Retained earnings (deficit)                                                   193,051                  (58,320)
     Accumulated other comprehensive income (loss)                                (179,456)                (113,914)
                                                                             -------------          ---------------
                                                                                 9,800,085                9,614,256
     Treasury stock, 25,637 and 15,000 shares at cost                             (251,346)                (157,500)
                                                                             -------------          ---------------
         Total shareholders' equity                                              9,548,739                9,456,756
                                                                             -------------          ---------------
         Total liabilities and shareholders' equity                            $58,543,058              $54,794,787
                                                                             =============          ===============

</TABLE>

         See accompanying Notes to Consolidated Financial Statements.



<PAGE>

                     People's Community Capital Corporation
                        Consolidated Statements of Income
                                   (Unaudited)
<TABLE>
<CAPTION>

                                                                       For the three months               For the six months
                                                                          ended June 30,                    ended June 30,
                                                                          --------------                    --------------
                                                                       2000             1999             2000             1999
                                                                       ----             ----             ----             ----

<S>                                                               <C>              <C>             <C>               <C>
Interest income:
         Loans, including fees                                    $     898,858     $    577,367     $ 1,722,505       $ 1,086,150
         Federal funds sold                                              35,331           54,264          73,360            92,774
         Securities and short-term investments                          169,463          128,071         338,838           255,878
                                                                  -------------    -------------   -------------     -------------
                  Total interest income                               1,103,652          759,702       2,134,703         1,434,802
                                                                  -------------   --------------   -------------     -------------

Interest expense:
         Deposits                                                       410,621          251,988         788,719           464,979
         Other borrowings                                                10,549            4,165          17,006             7,100
                                                                  --------------   -------------    ------------     -------------
                  Total interest expense                                421,170          256,153         805,725           472,079
                                                                  --------------   -------------    ------------     -------------

Net interest income                                                     682,482          503,549       1,328,978           962,723
Provision for loan losses                                                60,275           33,706         117,275            65,706
                                                                  --------------   -------------    ------------     -------------
         Net interest income after provision                            622,207          469,843       1,211,703           897,017
                                                                  -------------    -------------    ------------     -------------
         for loan losses

Non-interest income:
         Service charges on deposit accounts                              57,967           49,443        115,555            86,351
         Other income                                                     30,305           17,426         53,634            60,282
                                                                  --------------   --------------  -------------     -------------
                  Total non-interest income                               88,272           66,869        169,189           146,633
                                                                  --------------   --------------  -------------     -------------

Non-interest expenses:
         Salaries and employee benefits                                  261,783          228,498        533,097           465,889
         Occupancy and equipment                                          53,280           47,729        114,215            98,313
         Consulting and professional expenses                             22,186           10,710         60,821            39,351
         Customer related expenses                                        17,407           15,999         34,320            30,167
         General operating expenses                                       79,951           62,547        167,221           119,569
         Other expenses                                                   38,516           31,308         65,242            54,079
                                                                  --------------   --------------  -------------    --------------


                  Total non-interest expenses                            473,123          396,791        974,916           807,368
                                                                  --------------   --------------  -------------     -------------

Income before income taxes                                               237,356          139,921        405,976           236,282
Income tax provision                                                      90,461           53,389        154,607            90,193
                                                                  --------------   --------------  -------------     -------------
Net income                                                        $      146,895    $      86,532  $     251,369      $    146,089
                                                                  ==============   ==============  =============     =============

Weighted average common shares outstanding:

         Basic                                                          975,970           998,162        978,435           998,162
         Diluted                                                      1,062,325         1,039,584      1,064,295         1,039,876

Earnings per share:
         Basic                                                    $         .15    $         .09   $         .26      $        .15
         Diluted                                                  $         .14    $         .08   $         .24      $        .14


          See accompanying Notes to Consolidated Financial Statements.
</TABLE>

<PAGE>
<TABLE>
<CAPTION>


                     People's Community Capital Corporation
                 Consolidated Statements of Comprehensive Income
                                   (Unaudited)

                                                              For the three months                   For the six months
                                                                 ended June 30,                        ended June 30,
                                                                 --------------                        --------------
                                                           2000                1999                2000              1999
                                                           ----                ----                ----              ----
<S>                                                <C>                <C>                  <C>               <C>
Net income                                           $      146,895     $     86,532         $     251,369       $   146,089

Other comprehensive income (loss), net of tax:
     Net change in unrealized gain (loss) on
securities available for sale                                 6,462          (54,114)              (65,542)          (81,523)
                                                     --------------     ------------        --------------     -------------

         Total other comprehensive gain (loss)                6,462          (54,114)              (65,542)          (81,523)

Comprehensive income                                 $      153,357     $     32,418         $     185,827     $      64,566
                                                     ==============     ============         ==============    =============


</TABLE>

          See accompanying Notes to Consolidated Financial Statements.


<PAGE>

<TABLE>
<CAPTION>

                     People's Community Capital Corporation
                      Consolidated Statements of Cash Flows
                                   (Unaudited)

                                                                                                       For the six months
                                                                                                         ended June 30,
                                                                                                         --------------
                                                                                                    2000                   1999
                                                                                                    ----                   ----
Operating activities:

<S>                                                                                            <C>                  <C>
    Net income                                                                                $     251,369        $     146,089
    Adjustments to reconcile net income to net cash provided by
         operating activities:
         Depreciation and amortization                                                               55,368               51,765
         Provision for loan losses                                                                  117,275               65,706
         Deferred income taxes                                                                      (31,706)              31,873
    Changes in deferred and accrued amounts:

         Other assets and accrued interest receivable                                               (52,568)               4,177
         Accrued expenses and other liabilities                                                      81,442               12,280
                                                                                          -----------------      ---------------

                Net cash provided by operating activities                                           421,180              311,890
                                                                                          -----------------      ---------------

Investing activities:

    Purchase of securities available for sale                                                        (8,500)          (6,500,000)
    Maturities and calls of securities available for sale                                                 -            4,334,297
    Purchase of property and equipment                                                              (85,075)             (24,126)
    Net increase in loans                                                                        (5,511,218)          (5,889,755)
    Net decrease in federal funds sold                                                              330,000              470,000
                                                                                          -----------------      ---------------


                Net cash used for investing activities                                          (5,274,793)           (7,609,584)
                                                                                          ----------------       ---------------

Financing activities:

    Purchase of treasury stock                                                                     (93,846)                    -
    Net increase in deposits                                                                     4,572,524             7,261,442
    Net (decrease) increase in other borrowings                                                   (997,678)              668,817
                                                                                           ---------------       ---------------

                   Net cash provided by financing activities                                     3,481,000             7,930,259
                                                                                           ---------------       ---------------

                Net (decrease)/increase in cash and due from banks                              (1,372,613)              632,565
Cash and due from banks at  beginning of period                                                   3,076,294              958,613
                                                                                           ----------------      ---------------
Cash and due from banks at end of period                                                   $      1,703,681      $     1,591,178
                                                                                           ================      ---------------
Supplemental disclosure:
    Cash paid during the period for interest                                               $        793,352      $       460,059
                                                                                           ================      ===============

</TABLE>

          See accompanying Notes to Consolidated Financial Statements.




<PAGE>

                     People's Community Capital Corporation
                   Notes to Consolidated Financial Statements
                                   (Unaudited)

Note 1.       Basis of Presentation

         The accompanying  unaudited consolidated financial statements have been
prepared in accordance with generally accepted accounting principles for interim
financial  information and with the  instructions to Form 10-QSB and Item 310(b)
of Regulation S-B of the Securities and Exchange Commission.  Accordingly,  they
do not include  all of the  information  and  footnotes  required  by  generally
accepted accounting  principles for complete financial  statements.  However, in
the opinion of  management,  all  adjustments  (consisting  of normal  recurring
adjustments)  considered  necessary for a fair  presentation have been included.
Operating  results for the six months ended June 30, 2000,  are not  necessarily
indicative  of the results that may be expected for the year ended  December 31,
2000.  For  further  information,  please  refer to the  consolidated  financial
statements  and footnotes  thereto for the Company's  fiscal year ended December
31, 1999,  included in the Company's Form 10-KSB for the year ended December 31,
1999.

Note 2.     Summary of organization

         People's Community Capital Corporation (the "Company") was incorporated
on February  26,  1997,  under the laws of the State of South  Carolina  for the
purpose of  operating  as a bank  holding  company  pursuant to the Federal Bank
Holding Company Act of 1956, as amended.

         The  Company  is a bank  holding  company  whose  subsidiary,  People's
Community  Bank of South  Carolina  (the  "Bank"),  is primarily  engaged in the
business of accepting savings and demand deposits insured by the Federal Deposit
Insurance Corporation,  and providing mortgage, consumer and commercial loans to
the general public. The Bank formed a subsidiary,  People's Financial  Services,
Inc.  in  December  1999 for the purpose of  providing  comprehensive  financial
planning  services in  addition to full  service  brokerage,  including  stocks,
bonds, mutual funds, and insurance products.

Item 2. Management's  Discussion and Analysis of Financial Condition and Results
        of Operations.

         This  discussion  and  analysis  is  intended  to assist  the reader in
understanding our financial condition and results of operations. This commentary
should be read in  conjunction  with the  financial  statements  and the related
notes and other statistical information in this report.

         This report contains "forward-looking  statements" relating to, without
limitation, future economic performance,  plans and objectives of management for
future  operations,  and  projections of revenues and other financial items that
are based on the beliefs of our management,  as well as assumptions  made by and
information   currently  available  to  our  management.   The  words  "expect,"
"anticipate,"  and  "believe," as well as similar  expressions,  are intended to
identify  forward-looking  statements.  Our actual results may differ materially
from the results discussed in the forward-looking  statements, and our operating
performance each quarter is subject to various risks and uncertainties  that are
discussed in detail in our filings with the Securities and Exchange  Commission,
including the "Risk Factors" section in our registration  statement on Form SB-2
(Registration  Number  333-25179)  as filed with and  declared  effective by the
Securities and Exchange Commission.

         We were  incorporated  in South  Carolina on February  26, 1997 for the
purpose of operating as a bank holding  company.  Our  wholly-owned  subsidiary,
People's  Community Bank of South Carolina (the "Bank"),  commenced  business on
September 22, 1997 and is primarily engaged in the business of accepting savings
and demand deposits and providing mortgage, consumer and commercial loans to the
general  public.  The Bank operates two banking centers located in Aiken and one
located in North Augusta, South Carolina.

<PAGE>

          The second  banking center located in Aiken was opened on September 8,
1998 in leased offices that also are the headquarters of the holding company.  A
tract of land has been  purchased in downtown  Aiken for the  construction  of a
permanent  banking  center  office.   The  cost  of  the  land  and  preliminary
construction   costs  through  June  30,  2000  were   approximately   $231,000.
Construction of the office is expected to begin this year.

         In December  1999,  the Bank formed a  subsidiary,  People's  Financial
Services,  Inc. for the purpose of providing  comprehensive  financial  planning
services in addition to full service brokerage,  including stocks, bonds, mutual
funds, and insurance products.

FINANCIAL CONDITION AND RESULTS OF OPERATIONS

EARNINGS  REVIEW -  Comparison  of the three  months  ended June 30, 2000 to the
three months ended June 30, 1999

         Our net income for the second quarter of 2000 was $146,895  compared to
$86,532 for the same period last year.  The basic income per share  increased to
$.15 compared to $.09 for the same period in 1999. This  improvement in earnings
reflects  the  continued  growth in the level of earning  assets  since the Bank
commenced operations.  The level of average earning assets was $51.9 million for
the three months ended June 30, 2000 as compared to $38.4  million for the three
months ended June 30, 1999.

         Net interest income represents the difference between interest received
or accrued on interest  earning  assets and interest paid or accrued on interest
bearing liabilities.  The following presents, in a tabular form, average balance
sheets  that  highlight  the main  components  of  interest  earning  assets and
interest  bearing  liabilities,  on an  annualized  basis,  for the three  month
periods ended June 30, 2000 and 1999.  Yields are derived by dividing  income or
expense by the  average  balance  of the  corresponding  assets or  liabilities.
Average balances have been derived from daily averages.


<PAGE>
<TABLE>
<CAPTION>


                                                  Three months ended June 30, 2000             Three months ended June 30, 1999
                                                 Average          Interest      Yield       Average         Interest        Yield/
                                                 Balance       Income/Expense   /Rate       Balance      Income/Expense      Rate
ASSETS

<S>                                          <C>               <C>           <C>      <C>                <C>          <C>
Federal funds sold                              $ 2,237,832       $ 35,331      6.32%    $ 4,567,601        $ 54,264     4.75%
Securities                                       10,647,776        169,463      6.37%      8,366,482         128,071     6.12%
Loans                                            38,964,696        898,858      9.23%     25,472,464         577,367     9.07%
                                                 ----------        -------                ----------         -------
Total earning assets                             51,850,304      1,103,652      8.51%     38,406,547         759,702     7.91%
                                                                 ---------                                   -------

Cash and due from banks                           1,675,020                                1,506,411
Premises and equipment                            1,693,172                                1,700,424
Other assets                                      1,016,256                                  812,788
Allowance for loan losses                         (488,833)                                (333,278)
                                                  ---------                                ---------
         Total assets                            55,745,919                               42,092,892
                                                 ==========                               ==========

LIABILITIES & EQUITY Interest-bearing deposits:

Transaction accounts                              6,632,060         20,973      1.26%      4,934,094          15,786     1.28%
Money market accounts                             9,482,557         99,157      4.18%      8,806,636          83,171     3.78%
Savings deposits                                    767,686          4,621      2.41%        484,745           2,942     2.43%
Time deposits                                    20,661,171        285,870      5.53%     11,787,761         150,089     5.09%
                                                 ----------        -------                ----------         -------
         Total interest bearing deposits         37,543,474        410,621      4.37%     26,013,236         251,988     3.87%
Interest-bearing borrowings                         692,615         10,549      6.09%        355,083           4,165     4.69%
                                                    -------         ------                   -------           -----
         Total interest-bearing liabilities      38,236,089        421,170      4.41%     26,368,319         256,153     3.89%

Demand deposits                                   7,820,968                                6,158,261
Other liabilities                                    40,773                                  102,925
Shareholders' equity                              9,648,089                                9,463,387
                                                  ---------                                ---------
         Total liabilities &
         shareholders equity                    $55,745,919                              $42,092,892
                                                ===========                              ===========

Net interest spread                                                             4.10%                                    4.02%

Net interest income/margin                                       $ 682,482      5.27%                      $ 503,549     5.24%
                                                                 =========                                 =========
</TABLE>

         Net  interest  income was  $682,482 for the three months ended June 30,
2000 as compared to $503,549 for the three  months ended June 30, 1999.  The net
interest  margin (net interest  income  divided by average  earning  assets) was
5.27% for the three  months  ended June 30, 2000  compared  to the net  interest
margin of 5.24% for the three months ended June 30, 1999.

         Interest income for the second quarter of 2000 was $1,103,652  compared
to $759,702  for the same period in 1999.  The volume of total  earnings  assets
increased by about $13.4 million between the two periods.  The largest component
of interest  income was interest and fees on loans amounting to $898,858 for the
three months ended June 30, 2000 compared to $577,367 for the  comparable  prior
year period. The overall rate on the loan portfolio increased from 9.07% for the
three  months ended June 30, 1999 to 9.23% for the three month period ended June
30, 2000.  Interest earned on federal funds sold decreased  slightly between the
two periods under review as the average federal funds sold balance was lower for
the three months ended June 30, 2000 than for the  comparable  period in 1999 by
about $2.3  million.  Interest  income on securities  increased  between the two
periods as the average  balance  increased by about $2.3 million and the average
rate earned increased.

         Interest  expense  increased  from  $256,153 for the three months ended
June 30, 1999 to $421,170  for the three  months ended June 30, 2000 as the size
of  interest-bearing  liabilities,  primarily  deposits,  increased  from  $26.4
million to


<PAGE>

$38.2  million,  an increase of 45%. The average  rate paid on interest  bearing
liabilities  increased  from 3.89% to 4.41%  reflecting the increases in general
market  rates of interest  paid on deposits as prompted by several  increases in
the prime rate.

Non-interest Income

         Non-interest  income for the three month period ended June 30, 2000 was
$88,272 compared to $66,869 for the same period in 1999. Of this total,  $57,967
represented  service charges on deposit accounts for the three months ended June
30, 2000 compared to $49,443 for the comparable  period in 1999. The increase in
income from deposit service charges is due to the increase in deposit  customers
during the comparable periods.  The remaining $30,305 of non-interest income for
the second quarter of 2000 was income  generated from other fees charged such as
brokered mortgage origination fees, lease fees, commissions on sale of checks to
customers,  and fees from non-deposit  investment  products' activity associated
with the Bank's financial services  subsidiary.  For the second quarter of 1999,
other income amounted to $17,426,  the largest component being brokered mortgage
origination  fee  income.  Brokered  mortgage  origination  fee  income has been
significantly  less in 2000  compared to last year,  reflecting  the decrease in
refinancing  activities  associated with rising interest rates.  The majority of
other  fee  income  for the  second  quarter  of 2000 was  $17,929  of fees from
non-deposit  investment  products'  activity.  The financial services subsidiary
began operations in December 1999.

Non-interest Expense

         Non-interest  expense for the three month  periods  ended June 30, 2000
and 1999 were $473,123 and $396,791,  respectively,  a 19% increase. The largest
component of non-interest expense was salaries and employee benefits of $261,783
and $228,498, respectively. Salaries and employee benefits expense increased 15%
due to general  merit  increases,  the  addition  of staff  associated  with the
financial services subsidiary,  and the matching of 401k plan contributions that
began January 1, 2000. Occupancy and equipment expense increased from $47,729 to
$53,280,  or 12%  largely due to  additional  depreciation  associated  with new
equipment   purchases  and  repairs  on  existing   equipment.   Consulting  and
professional  fees  increased  from $10,710 to $22,186 due to increases in other
consulting service contracts, an increase in the FDIC fee assessment as deposits
have increased,  and the commencement of directors' fees in August 1999. General
operating expenses increased from $62,547 to $79,951,  or 28%. This increase was
due to higher levels of Bank activity generating  increased costs,  primarily in
data processing, but also in items such as postage, supplies and Federal Reserve
processing  fees.  Other  expenses  increased  from $31,308 to $38,516,  or 23%,
primarily due to increased advertising.

EARNINGS  REVIEW -  Comparison  of the six months ended June 30, 2000 to the six
months ended June 30, 1999

         Our net  income for the six months  ended  June 30,  2000 was  $251,369
compared to $146,089  for the same period last year.  The basic income per share
increased to $.26 compared to $.15 for the same period in 1999. This improvement
in earnings  reflects the continued  growth in the level of earning assets since
the Bank  commenced  operations.  The level of average  earning assets was $50.4
million for the six months ended June 30, 2000 as compared to $36.2  million for
the six months ended June 30, 1999.

         The  following  presents,  in a tabular  form,  yield and rate data for
interest-bearing  balance  sheet  components  during the six month periods ended
June 30, 2000 and 1999,  along with average  balances  and the related  interest
income and interest expense amounts.


<PAGE>

<TABLE>
<CAPTION>


                                                   Six months ended June 30, 2000               Six months ended June 30, 1999
                                                 Average          Interest       Yield       Average         Interest        Yield/
                                                 Balance       Income/Expense    /Rate       Balance      Income/Expense      Rate
ASSETS

<S>                                          <C>                <C>           <C>      <C>                   <C>          <C>
Federal funds sold                              $ 2,450,758        $ 73,360      5.99%    $ 3,949,934           $ 92,774     4.70%
Securities                                       10,677,721         338,838      6.35%      8,327,101            255,878     6.15%
Loans                                            37,259,340       1,722,505      9.25%     23,921,815          1,086,150     9.08%
                                                 ----------       ---------                ----------          ---------
Total earning assets                             50,387,819       2,134,703      8.47%     36,198,850          1,434,802     7.93%
                                                                  ---------                                    ---------

Cash and due from banks                           1,719,805                                 1,428,512
Premises and equipment                            1,676,265                                 1,704,365
Other assets                                      1,113,413                                   912,207
Allowance for loan losses                         (461,833)                                 (319,472)
                                                  ---------                                 ---------
         Total assets                            54,435,469                                39,924,462
                                                 ==========                                ==========

LIABILITIES & EQUITY Interest-bearing deposits:

Transaction accounts                              6,615,341          41,813      1.26%      4,704,611             30,156     1.28%
Money market accounts                             9,394,339         191,521      4.08%      8,413,163            161,778     3.85%
Savings deposits                                    757,601           9,148      2.41%        457,901              5,397     2.36%
Time deposits                                    19,944,787         546,237      5.48%     10,569,534            267,648     5.06%
                                                 ----------         -------                ----------            -------
         Total interest bearing deposits         36,712,068         788,719      4.30%     24,145,209            464,979     3.85%
Interest-bearing borrowings                         573,175          17,006      5.93%        313,862              7,100     4.52%
                                                    -------          ------                   -------              -----
         Total interest-bearing liabilities      37,285,243         805,725      4.32%     24,459,071            472,079     3.86%

Demand deposits                                   7,503,708                                 5,926,959
Other liabilities                                    43,717                                    99,684
Shareholders' equity                              9,602,801                                 9,438,748
                                                  ---------                                 ---------
         Total liabilities &
         shareholders equity                    $54,435,469                               $39,924,462
                                                ===========                               ===========

Net interest spread                                                              4.15%                                       4.07%

Net interest income/margin                                      $ 1,328,978      5.27%                         $ 962,723     5.32%
                                                                ===========                                    =========
</TABLE>

         Net interest  income was  $1,328,978  for the six months ended June 30,
2000 as compared to $962,723  for the six months  ended June 30,  1999.  The net
interest  margin (net interest  income  divided by average  earning  assets) was
5.27% for the six months ended June 30, 2000 compared to the net interest margin
of 5.32% for the six months ended June 30, 1999.

         Interest  income  for the  first  six  months  of 2000  was  $2,134,703
compared to $1,434,802  for the same period in 1999. The volume of total earning
assets  increased  from $36.2  million at June 30, 1999 to $50.4 million at June
30,  2000.  The largest  component  of interest  income was interest and fees on
loans amounting to $1,722,505 for the six months ended June 30, 2000 compared to
$1,086,150  for the comparable  prior year period.  The overall rate on the loan
portfolio  increased  from 9.08% for the six months ended June 30, 1999 to 9.25%
for the six month  period  ended  June 30,  2000 as we  encountered  a period of
rising  interest  rates. As with the quarterly  analysis  previously  presented,
interest earned on federal funds sold decreased slightly between the two periods
under  review as the average  federal  funds sold  balance was lower for the six
months  ended June 30,  2000 than for the  comparable  period in 1999.  Interest
income on securities  increased  between the two periods as the average  balance
increased from $8,327,101 to $10,677,721,  and the average rate earned increased
from 6.15% to 6.35%.

<PAGE>

         Interest expense  increased from $472,079 for the six months ended June
30,  1999 to  $805,725  for the six months  ended  June 30,  2000 as the size of
interest-bearing  liabilities,  primarily deposits, increased from $24.5 million
to $37.3 million,  an increase of 52%. The average rate paid on interest bearing
liabilities  increased  from 3.86% to 4.32%  reflecting the increases in general
market  rates of interest  paid on deposits as prompted by several  increases in
the prime rate.

Non-interest Income
-------------------

         Non-interest  income for the six month  period  ended June 30, 2000 was
$169,189  compared  to  $146,633  for the same  period in 1999.  Of this  total,
$115,555  represented  service  charges on deposit  accounts  for the six months
ended June 30, 2000 compared to $86,351 for the  comparable  period in 1999. The
increase  in income  from  deposit  service  charges is due to the  increase  in
deposit  customers  during the  comparable  periods.  The  remaining  $53,634 of
non-interest  income for the first half of 2000 was income  generated from other
fees charged such as brokered mortgage origination fees, lease fees, commissions
on sale of checks to customers,  and fees from non-deposit  investment products'
activity associated with the Bank's financial services subsidiary. For the first
half of 1999,  other income  amounted to $60,282,  the largest  component  being
brokered  mortgage   origination  fee  income  of  $33,862.   Brokered  mortgage
origination fee income has been significantly less in 2000 compared to last year
at $3,770,  reflecting the decrease in refinancing  activities  associated  with
rising interest rates. The majority of other fee income for the first six months
of 2000 was $28,550 of fees from non-deposit  investment products' activity. The
financial services subsidiary began operations in December 1999.

Non-interest Expense
--------------------

         Non-interest  expense for the six month periods ended June 30, 2000 and
1999 were  $974,916 and  $807,368,  respectively,  a 21%  increase.  The largest
component of non-interest expense was salaries and employee benefits of $533,097
and $465,889, respectively. Salaries and employee benefits expense increased 14%
due to general  merit  increases,  the  addition  of staff  associated  with the
financial services subsidiary,  and the matching of 401k plan contributions that
began January 1, 2000. Occupancy and equipment expense increased from $98,313 to
$114,215,  or 16% largely due to  additional  depreciation  associated  with new
equipment   purchases  and  repairs  on  existing   equipment.   Consulting  and
professional  fees  increased  from $39,351 to $60,821 due to increases in other
consulting service contracts, an increase in the FDIC fee assessment as deposits
have increased,  and the commencement of directors' fees in August 1999. General
operating  expenses  increased from $119,569 to $167,221,  or 40%. This increase
was due to higher levels of Bank activity generating increased costs,  primarily
in data  processing,  but also in items such as  postage,  supplies  and Federal
Reserve  processing fees. Other expenses  increased from $54,079 to $65,242,  or
21%, primarily due to increased levels of advertising.

Provision for Loan Losses
-------------------------

         The provision  for loan losses was $117,275 and $65,706,  respectively,
for the first six months of 2000 and 1999, bringing the total reserve balance to
$508,000  and  $350,000  at June 30,  2000 and 1999,  respectively.  This amount
represents  1.30% of gross loans at both June 30, 2000 and at June 30, 1999.  It
also reflects  management's  estimates of the amounts  necessary to maintain the
allowance for loan losses at a level  believed to be adequate in relation to the
current size, mix and quality of the loan portfolio.  See the description of the
allowance  for loan  losses  below.  However,  management's  judgment  as to the
adequacy of the  allowance  is based upon a number of  assumptions  about future
events that it believes to be reasonable,  but which may or may not be accurate.
Because of the inherent  uncertainty of  assumptions  made during the evaluation
process,  there can be no assurance that  charge-offs in future periods will not
exceed the  allowance for loan losses or that  additional  increases in the loan
loss allowance will not be required.  We had $18,000 in potential  problem loans
that were  classified  as  non-accrual  loans at June 30,  2000.  There  were no
non-performing loans at June 30, 1999. Loan charge-offs for the six months ended
June 30, 2000 were $19,275 and were $706 for the six months ended June 30, 1999.
Charge-offs in both years were made in the second quarter.


<PAGE>


BALANCE SHEET REVIEW

         Total  consolidated  assets grew by $3.7  million from  $54,794,787  at
December 31, 1999 to  $58,543,058  at June 30, 2000.  The increase was generated
through a $4.6  million  increase  in  deposits  with a $1 million  decrease  in
borrowed  funds.  The increase in deposits was used to fund loans that increased
by $5.4  million  on a net  basis.  Cash and due from  banks  decreased  by $1.4
million.  Federal funds sold and securities  available for sale remained  fairly
comparable at June 30, 2000 and at December 31, 1999. There were no purchases or
maturities  of  investment  securities  in  the  period  except  for  $8,500  of
additional stock purchased in the Federal Home Loan Bank of Atlanta.

Loans
-----

         Net outstanding loans represent the largest component of earning assets
as of June 30, 2000 at $38,619,140,  or 71% of total earning  assets.  Net loans
increased $5,393,943, or 16%, since December 31, 1999.

         The  interest  rates  charged  on loans  vary with the  degree of risk,
maturity and amount of the loan.  Competitive  pressures,  money  market  rates,
availability of funds, and government regulations also influence interest rates.
The average  yield on our loans for the period  ended June 30, 2000 was 9.25% as
compared to a yield of 9.19% for the year ended December 31, 1999.

Allowance for Loan Losses
-------------------------

         The allowance  for loan losses at June 30, 2000 was $508,000,  or 1.30%
of loans  outstanding,  compared  to an  allowance  of  $410,000,  or 1.22%,  at
December  31, 1999.  The  allowance  for loan losses is based upon  management's
continuing   evaluation  of  the  collectibility  of  loans  based  somewhat  on
historical loan loss experience,  but mostly,  because of the lack of historical
data available in a new company,  based on current economic conditions affecting
the  ability  of  borrowers  to  repay,  the  volume of loans,  the  quality  of
collateral  securing   non-performing  and  problem  loans,  and  other  factors
deserving recognition. As of June 30, 2000, there were $18,000 in non-performing
loans with charge-offs of $19,275 for the six month period.

Securities
----------

         Investment  securities  represented 19.5% of earning assets at June 30,
2000 with a total of  $10,610,359,  down  $100,651  from the  December  31, 1999
balance  of  $10,711,010.   There  have  been  no  purchases  or  maturities  of
investments  for the six months since  December  31, 1999 with the  exception of
additional  stock purchased in the Federal Home Loan Bank of Atlanta.  The yield
on  investment  securities  was 6.35% for the six  months  ended  June 30,  2000
compared  to  6.18%  for  the  year  ended   December  31,  1999.   Included  in
available-for-sale securities is $109,900 of stock purchased in the Federal Home
Loan Bank of Atlanta,  of which  $8,500 was  purchased  in the first  quarter of
2000.  This  purchase  was a  requirement  from  the  FHLB in  order  to  secure
borrowings from them in the future.

Deposits
--------

         Our  primary  source of funds for loans and  investments  is  deposits.
Deposits  grew  $4,572,524,  or  10.5%,  since  year-end  1999  for a  total  of
$47,741,265  at June  30,  2000.  The  average  rates  paid on  interest-bearing
deposits  were  4.30%  and  3.93%  at June  30,  2000  and  December  31,  1999,
respectively.  In  pricing  deposits,  we  consider  our  liquidity  needs,  the
direction and levels of interest rates,  and local market  conditions.  The Bank
had paid  higher  rates  initially  to  attract  deposits  but had  subsequently
decreased  the rates  based on the  factors  above.  The Bank has now seen rates
begin to move back up again due to changes in those same factors.


<PAGE>

Liquidity and Sources of Capital
--------------------------------

         At June 30, 2000,  our liquid  assets,  consisting of cash and due from
banks and Federal  funds sold,  amounted to  $6,923,681,  representing  11.8% of
total assets. Investment securities amounted to $10,610,359,  representing 18.1%
of total assets;  these securities provide a secondary source of liquidity since
they can be converted into cash in a timely manner.  Our ability to maintain and
expand our deposit base and  borrowing  capabilities  also serves as a source of
liquidity.  For the six  month  period  ended  June  30,  2000,  total  deposits
increased  by $4.6  million  representing  an  increase  of 10.5%,  or 21% on an
annualized  basis.  Our  deposit  growth  rate  is not as  high as it was in the
initial periods of our development. Our management closely monitors and seeks to
maintain  appropriate  levels of  interest-earning  assets and  interest-bearing
liabilities  so that  maturities  of  assets  are such that  adequate  funds are
provided to meet customer withdrawals and loan demand.

         We plan to meet future cash needs through the  liquidation of temporary
investments,  maturities of loans and investment  securities,  and generation of
deposits. In addition, the Bank maintains two lines of credit from correspondent
banks in the amount of $1,800,000 each, and is a member of the Federal Home Loan
Bank, from which applications may be made for borrowing capabilities, if needed.

         The Bank currently maintains a level of capitalization in excess of the
minimum capital requirements set by the regulatory agencies. Despite anticipated
asset growth,  management  expects its capital ratios to continue to be adequate
for the next two to three years.  However,  no  assurances  can be given in this
regard, as rapid growth, deterioration in loan quality, and operating losses, or
a  combination  of  these  factors,  could  change  our  capital  position  in a
relatively  short period of time.  We plan to begin  construction  in 2000 on an
office building in downtown Aiken with total estimated  capital  expenditures of
$1,400,000.  The capital project is expected to be funded with internal sources.
The cost of the land and  preliminary  construction  costs through June 30, 2000
was approximately $231,000.

         During the first quarter of this year,  5,000 shares of our outstanding
stock were purchased at $9.75 per share to hold as treasury stock. In the second
quarter,  another  5,637  shares were  purchased  at $8.00 per share.  The total
purchase  price of the  acquired  shares was  $93,846.  The  treasury  stock was
purchased for possible utilization in connection with our stock option plan. Our
Board of Directors has approved  approximately 100,000 shares to be purchased as
treasury  stock.  To date,  25,637  shares  have  been  purchased  for a cost of
$251,346, at an average of $9.81 per share.

          Below is a table that reflects the leverage and risk-based  regulatory
capital ratios of the Bank at June 30, 2000:

                                              Well-Capitalized        Minimum
                               Ratio             Requirement        Requirement
                               -----          ----------------      -----------

Tier 1 Capital                 14.50%               6.00%              4.00%
Total Capital                  15.74%              10.00%              8.00%
Tier 1 leverage ratio          11.25%               5.00%              4.00%

YEAR 2000 ISSUES
----------------

         Like many financial institutions, we rely upon computers for conducting
our business  and for  information  systems  processing.  Industry  experts were
concerned that on January 1, 2000, some computers would not be able to interpret
the new  year  properly,  causing  computer  malfunctions.  While  we  have  not
experienced any material  computer  malfunctions  to date,  there remains a risk
that  our  computers   will  be  unable  to  read  or  interpret  data  on  Year
2000-sensitive  dates,  including  October 10, 2000. Our regulators  have issued
guidelines to require compliance with Year 2000 issues. In accordance with these
guidelines,  we have  developed  and executed a plan to ensure that our computer
and telecommunication systems do not have these Year 2000 problems. We generally
rely on software and hardware  developed by  independent  third  parties for our
information  systems.  We  believe  that  our  internal  systems  and  software,
including  our  network  connections,  are  programmed  to comply with Year 2000
requirements,   although   there  is  a  risk  they


<PAGE>

may not be. We incurred  approximately  $2,000 in expenses in 1999 to  implement
our Year 2000 plan.  Under our plan, we are  continuing to monitor the situation
throughout 2000. Based on information  currently  available,  we believe that we
will not incur significant  additional expenses in connection with the Year 2000
issue.

         The Year 2000  issue may also  negatively  affect the  business  of our
customers,  but to  date we are not  aware  of any  material  Year  2000  issues
affecting  them.  We include  Year 2000  readiness  in our  lending  criteria to
minimize  risk.  However,  this will not eliminate the issue,  and any financial
difficulties  that our  customers  experience  caused by Year 2000 issues  could
impair their ability to repay loans to us.

RECENTLY ISSUED ACCOUNTING STANDARDS

         In June 1998, the Financial  Accounting  Standards Board,  FASB, issued
SFAS 133,  "Accounting for Derivative  Instrument and Hedging  Activities."  All
derivatives are to be measured at fair value and recognized in the balance sheet
as assets or  liabilities.  The  statement is now effective for fiscal years and
quarters  beginning  after June 15, 2000  (delayed  through the issuance of SFAS
137, "Accounting for Derivative Instruments and Hedging Activities - Deferral of
the Effective  Date of FASB  Statement No. 133 - An Amendment of FASB  Statement
No.  133").  Because  we do  not  use  derivative  transactions  at  this  time,
management does not expect that this standard will have a significant  effect on
us.

PART II - OTHER INFORMATION

Item 1. Legal Proceedings
-------------------------

Not Applicable

Item 2. Changes in Securities
-----------------------------

Not Applicable

Item 3. Defaults Upon Senior Securities
---------------------------------------

Not Applicable

Item 4. Submission of Matters to a Vote of Security Holders
-----------------------------------------------------------

One matter was voted upon at the Annual  Meeting of  Shareholders  held on April
27, 2000.

1.   The Company's  Bylaws provides that the Board of Directors shall be divided
     into  three  classes  with  each  class to be  nearly  equal in  number  as
     possible.  The Bylaws also provide that the three  classes of directors are
     to have staggered terms, so that the terms of only approximately  one-third
     of the board  members will expire at each annual  meeting of  shareholders.
     The current Class I directors are Margaret  Holley-Taylor,  Clark D. Moore,
     M.D., Donald W. Thompson, and John B. Tomarchio,  M.D. The current Class II
     directors are Raymond D. Brown,  Alan J. George,  and Anthony E. Jones. (W.
     Cothran Campbell,  previously a Class II director,  resigned from the Board
     in January 1999 due to time constraints with his other business interests.)
     The current Class III directors are James D. McNair, Russell D. Phelon, and
     Tommy B. Wessinger.  The current terms of the Class I directors  expired at
     the  Annual  Meeting.  Each  of the  four  current  Class I  directors  was
     nominated for  reelection  and stood for election at the Annual  Meeting on
     April 27, 2000 for a three year term.  The number of votes for the election
     of the Class III directors was as follows: For Ms. Holley-Taylor - 806,122;
     for Dr. Moore - 805,622;  for Mr. Thompson - 805,522;  for Dr.  Tomarchio -
     805,622;  withhold authority for Ms.  Holley-Taylor - 0; withhold authority
     for Dr. Moore - 500;  withhold  authority for Mr. Thompson - 600;  withhold
     authority for Dr. Tomarchio - 500. The terms of the Class II directors will
     expire at the 2001  Annual  Meeting of  Shareholders,  and the terms of the
     Class III directors will expire at the 2002 Annual Meeting of Shareholders.

<PAGE>

Item 5. Other Information
-------------------------

None.

Item 6. Exhibits and Report on Form 8-K
---------------------------------------

         (a)  Exhibits - 27.1 Financial Data Schedule for period ending
              June 30, 2000.

         (b)  Reports on Form 8-K - No reports on Form 8-K were filed during
              the quarter ended June 30, 2000.


<PAGE>


                                   SIGNATURES

         In accordance with the requirements of the Exchange Act, the registrant
caused this report to be signed on its behalf by the undersigned, thereunto duly
authorized.

                                          People's Community Capital Corporation
                                           (Registrant)

Date: July 31, 2000                       By: /s/ Tommy B. Wessinger
                                                --------------------------------
                                                Tommy B. Wessinger
                                                Chief Executive Officer

                                          By:  /s/ Jean H. Covington
                                                --------------------------------
                                                Jean H. Covington
                                                Principal Accounting and Chief
                                                Financial Officer