FORM 10-Q

                                SECURITIES AND EXCHANGE COMMISSION
                                   Washington, D.C.  20549

    (Mark One)
      [X]               QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
                                    SECURITIES EXCHANGE ACT OF 1934

                             For the quarterly period ended March 31, 2002

                                                  OR

      [  ]             TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
                                    SECURITIES EXCHANGE ACT OF 1934


                        For the transition period from __________ to __________


                                   Commission file number:

                                          PSB HOLDINGS, INC.
                     (Exact name of registrant as specified in charter)


             WISCONSIN                               39-1804877
      (State of incorporation)           (I.R.S Employer Identification Number)


                                  1905 West Stewart Avenue
                                   Wausau, Wisconsin 54401
                           (Address of principal executive office)


             Registrant's telephone number, including area code: 715-842-2191


 Indicate by check mark whether the registrant (1) has filed all reports
 required to be filed by section 13 or 15(d) of the Securities Exchange Act of
 1934 during the preceding 12 months (or for such shorter period that the
 registrant was required to file such report), and (2) has been subject to such
 filing requirements for the past 90 days.

                                               Yes   X   No


 The number of common shares outstanding at March 31, 2002 was 839,416.
<PAGE>
                             PSB HOLDINGS, INC.

                                 FORM 10-Q

                        QUARTER ENDED MARCH 31, 2002


                                                                   PAGE NO.

 PART I.  FINANCIAL INFORMATION

 Item 1.       Financial Statements

               Condensed Consolidated Balance Sheets
               March 31, 2002 (unaudited) and December 31,
               2001 (derived from audited financial statements)            1

               Condensed Consolidated Statements of Income
               Three Months Ended March 31, 2002 and 2001 (unaudited)      2

               Consolidated Statement of Changes in Stockholders' Equity
               Three Months Ended March 31, 2002 (unaudited)               3

               Condensed Consolidated Statements of Cash Flows
               Three Months Ended March 31, 2002 and 2001 (unaudited)      4

               Notes to Condensed Consolidated Financial
               Statements                                                  6

 Item 2.       Management's Discussion and Analysis of Financial Condition
               and Results of Operations                                   8

 Item 3.       Quantitative and Qualitative Disclosures About
               Market Risk                                                18
                                  -i-
<PAGE>
<TABLE>
<CAPTION>
                       PART I.  FINANCIAL INFORMATION

 ITEM 1.     FINANCIAL STATEMENTS

                             PSB HOLDINGS, INC.
                        CONSOLIDATED BALANCE SHEETS

 (March 31, 2002 unaudited, December 31, 2001
  derived from audited financial statements)
                                                                         March 31,   December 31,
 (DOLLARS IN THOUSANDS, EXCEPT PER SHARE DATA)                            2002             2001
 ASSETS
 <S>                                                                   <C>         <C>
  Cash and due from banks                                              $    8,756  $     16,736
 Interest-bearing deposits and money market funds                           1,518         3,539
 Federal funds sold                                                         5,375         5,275
 Securities:
   Held to maturity (fair values of $21,128 and $20,355, respectively)     20,899        20,287
   Available for sale (at fair value)                                      48,089        50,157
 Federal Home Loan Bank stock (at cost)                                     2,182         2,151
 Loans held for sale                                                          634         1,403
 Loans receivable, net of allowance for loan losses of $3,155
   and $2,969, respectively)                                              237,187       236,574
 Accrued interest receivable                                                1,965         1,873
 Foreclosed assets, net                                                       250           421
 Premises and equipment                                                     4,885         4,755
 OTHER ASSETS                                                               1,321         1,125
 TOTAL ASSETS                                                           $ 333,061  $    344,296
 LIABILITIES

 Non-interest bearing deposits                                          $  33,324  $     41,507
 INTEREST-BEARING DEPOSITS                                                230,702       232,128

   Total deposits                                                         264,026       273,635

 Short-term borrowings                                                      3,086         4,327
 Long-term Federal Home Loan Bank advances                                 38,000        38,000
 ACCRUED EXPENSES AND OTHER LIABILITIES                                     1,773         2,984
   TOTAL LIABILITIES                                                      306,885       318,946

 STOCKHOLDERS' EQUITY

 Common stock - no par value with a stated value of $2 per share:
   Authorized - 1,000,000 shares
   Issued - 902,425 shares                                                  1,805         1,805
 Additional paid-in capital                                                 7,159         7,159
 Retained earnings                                                         19,144        18,186
 Unrealized gain on securities available for sale, net of tax                 369           491
 TREASURY STOCK, AT COST - 63,009 AND 62,720 SHARES, RESPECTIVELY          (2,301)       (2,291)

   TOTAL STOCKHOLDERS' EQUITY                                              26,176        25,350

 TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY                             $ 333,061  $    344,296
</TABLE>
                                  -1-
<PAGE>
<TABLE>
<CAPTION>
                             PSB HOLDINGS, INC.
                     CONSOLIDATED STATEMENTS OF INCOME
                                                           THREE MONTHS ENDED
 (dollars in thousands,                                          MARCH 31,
 EXCEPT PER SHARE DATA - UNAUDITED)                          2002        2001
 <S>                                                    <C>         <C>
 Interest income:
   Interest and fees on loans                           $  4,391    $  5,021
   Interest on securities:
       Taxable                                               690         748
       Tax-exempt                                            224         159
   OTHER INTEREST AND DIVIDENDS                               65         117

            TOTAL INTEREST INCOME                          5,370       6,045

 Interest expense:
   Deposits                                                1,766       2,861
   Short-term borrowings                                      46         155
   LONG-TERM FHLB ADVANCES                                   564         542

            TOTAL INTEREST EXPENSE                         2,376       3,558

 Net interest income                                       2,994       2,487
 PROVISION FOR LOAN LOSSES                                   180         150

 NET INTEREST INCOME AFTER PROVISION FOR LOAN LOSSES       2,814       2,337

 Noninterest income:
   Service fees                                              235         246
   Gain on sale of loans                                     198          29
   Investment product sales commissions                       45          46
   Net gain (loss) on sale of securities                     -            -
   OTHER NONINTEREST INCOME                                   87         134

            TOTAL NONINTEREST INCOME                         565         455

 Noninterest expense:
   Salaries and employee benefits                          1,245       1,012
   Occupancy                                                 240         236
   Data processing and other office operations               132         122
   Advertising and promotion                                  76          58
   OTHER NONINTEREST EXPENSES                                319         276

           TOTAL NONINTEREST EXPENSE                       2,012       1,704

 Income before provision for income taxes                  1,367       1,088
 PROVISION FOR INCOME TAXES                                  409         319

 NET INCOME                                            $     958   $     769
 BASIC AND DILUTED EARNINGS PER SHARE                  $    1.14   $    0.92
</TABLE>
                                  -2-
<PAGE>
<TABLE>
<CAPTION>
                               PSB HOLDINGS, INC.
           CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY

 Three months ended March 31, 2002 - unaudited
                                                                     Unrealized
                                                                     Gain (Loss)
                                                     Additional      on Securities
                                      Common    Paid-in   Retained   Available  Treasury
 (DOLLARS IN THOUSANDS)                STOCK    CAPITAL   EARNINGS   FOR SALE    STOCK       TOTALS
 <S>                                 <C>      <C>       <C>         <C>      <C>          <C>
 Balance January 1, 2002             $  1,805 $  7,159  $  18,186   $  491   $  (2,291)   $  25,350

 Comprehensive income:
   Net income                                      958                                          958
   Unrealized loss on
      securities available for sale,
      NET OF TAX                                                      (122)                    (122)

       TOTAL COMPREHENSIVE INCOME                                                               836

 Purchase of treasury stock                                                        (70)         (70)
 Distribution of treasury stock in
      settlement of liability to
      Company directors                                                             60           60

 BALANCE MARCH 31, 2002              $  1,805 $  7,159  $  19,144   $  369   $  (2,301)   $  26,176
</TABLE>
                                  -3-
<PAGE>
<TABLE>
<CAPTION>
                             PSB HOLDINGS, INC.
                   CONSOLIDATED STATEMENTS OF CASH FLOWS

 Three months ended March 31, 2002 and 2001 - unaudited
                                                                2002       2001
 <S>                                                       <C>         <C>
 Cash flows from operating activities:
   Net income                                              $     958   $     769
   Adjustments to reconcile net income to net
       cash provided by (used in) operating activities:
            Provision for depreciation and net amortization      179         172
            Provision for loan losses                            180         150
            Gain on sale of loans held for sale                 (198)        (29)
            Gain on sale of premises and equipment                 -         (54)
            FHLB stock dividends                                 (31)        (40)
            Changes in operating assets and liabilities:
                Accrued interest receivable                      (92)       (123)
                Other assets                                     (70)       (123)
                OTHER LIABILITIES                             (1,151)       (193)

   NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES          (225)        529

 Cash flows from investing activities:
   Net (increase) decrease in interest-bearing deposits
       and money market funds                                  2,021      (2,248)
   Net (increase) decrease in federal funds sold                (100)     (9,338)
   Proceeds from sale and maturities of:
       Securities held to maturity                                 -         180
       Securities available for sale                           4,350       8,279
   Payment for purchase of:
       Securities held to maturity                              (618)     (2,695)
       Securities available for sale                          (2,496)     (7,584)
   Net decrease in loans                                          88         620
   Capital expenditures                                         (251)       (105)
   Proceeds from sale of premises and equipment                    -          31
   PROCEEDS FROM SALE OF FORECLOSED ASSETS                       171           -

   NET CASH PROVIDED BY (USED IN) INVESTING ACTIVITIES         3,165     (12,860)

 Cash flows from financing activities:
   Net decrease in non-interest-bearing deposits              (8,183)     (3,522)
   Net increase (decrease) in interest-bearing deposits       (1,426)      9,955
   Net decrease in short-term borrowings                      (1,241)     (2,918)
   Proceeds from long-term FHLB advances                           -      10,000
   PURCHASE OF TREASURY STOCK                                    (70)          -

   NET CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES       (10,920)     13,515

 Net increase (decrease) in cash and due from banks           (7,980)      1,184
 CASH AND DUE FROM BANKS AT BEGINNING                         16,736       9,226

 CASH AND DUE FROM BANKS AT END                            $   8,756   $  10,410
</TABLE>
                                  -4-
<PAGE>
<TABLE>
<CAPTION>
                             PSB HOLDINGS, INC.
                   CONSOLIDATED STATEMENTS OF CASH FLOWS
                                (CONTINUED)

 Three months ended March 31, 2002 and 2001 - unaudited

 Supplemental cash flow information:
                                                                 2002        2001
 <S>                                                       <C>         <C>
 Cash paid during the period for:
   Interest                                                $   2,527   $   3,425
   Income taxes                                                  317          12

 Noncash investing and financing activities:

   Loans charged off                                       $      23   $       22
   Loans transferred to foreclosed assets                         94          143
   Loans originated on sale of foreclosed assets                 136            -
   Distribution of treasury stock
      in settlement of liability to Company directors             60            -
</TABLE>
                                  -5-
                             PSB HOLDINGS, INC.
                 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

 NOTE 1 - GENERAL

 In the opinion of management, the accompanying unaudited consolidated
 financial statements contain all adjustments necessary to present fairly
 PSB Holdings, Inc.'s ("Company") financial position, results of its
 operations, and cash flows for the periods presented, and all such
 adjustments are of a normal recurring nature.  The consolidated financial
 statements include the accounts of all subsidiaries.  All material
 intercompany transactions and balances are eliminated. The results of
 operations for the interim periods are not necessarily indicative of the
 results to be expected for the full year.

 These interim consolidated financial statements have been prepared
 according to the rules and regulations of the Securities and Exchange
 Commission and, therefore, certain information and footnote disclosures
 normally presented in accordance with generally accepted accounting
 principles have been omitted or abbreviated.  The information contained in
 the consolidated financial statements and footnotes in the Company's 2001
 annual report on Form 10-K, should be referred to in connection with the
 reading of these unaudited interim financial statements.

 In preparing the consolidated financial statements, management is required
 to make estimates and assumptions that affect the reported amounts of
 assets and liabilities as of the date of the balance sheet and revenues
 and expenses for the period.  Actual results could differ significantly
 from those estimates.  Estimates that are susceptible to significant
 change include the determination of the allowance for loan losses and the
 valuations of investments.
<PAGE>
 NOTE 2 - CHANGES IN ACCOUNTING PRINCIPLE

 In June 2001, the Financial Accounting Standards Board (FASB) issued SFAS
 No. 141, "Business Combinations", and SFAS No. 142, "Goodwill and Other
 Intangible Assets."  SFAS No. 141 requires the use of the purchase method
 of accounting for business combinations initiated after June 30, 2001.
 SFAS No. 142 addresses how intangible assets acquired outside of a
 business combination should be accounted for upon acquisition and how
 goodwill and other intangible assets should be accounted for after they
 have been initially recognized.  SFAS No. 142 eliminates the amortization
 for goodwill and other intangible assets with indefinite lives.  Other
 intangible assets with a finite life will be amortized over their useful
 life.  Goodwill and other intangible assets with indefinite useful lives
 shall be tested for impairment annually or more frequently if events or
 changes in circumstances indicate that the asset may be impaired.  SFAS
 No. 142 is effective for fiscal years beginning after December 15, 2001.
 The Corporation's adoption of SFAS No. 142 on January 1, 2002 had no
 impact on the consolidated financial statements as of the date of
 adoption.
                                  -6-
 NOTE 3 - EARNINGS PER SHARE

 Basic earnings per share of common stock is based on the weighted average
 number of common shares outstanding during the period.  Diluted earnings
 per share is calculated by dividing net income by the weighted average
 number of shares adjusted for the dilutive effect of outstanding stock
 options.  Presented below are the calculations for basic and diluted
 earnings per share:
<TABLE>
<CAPTION>
                                                     Three months ended
 (dollars in thousands, except per share data)            March 31,
                                                      2002         2001
 <S>                                             <C>         <C>
 Net income available to common stockholders     $    958    $      769

 Weighted average shares outstanding              839,615       839,705
 Effect of dilutive stock options outstanding         801             -

 Diluted weighted average shares outstanding      840,416       839,705

 Basic earnings per share                        $   1.14    $     0.92
 Diluted earnings per share                      $   1.14    $     0.92
</TABLE>

 NOTE 4 - COMPREHENSIVE INCOME

 Generally accepted accounting principles require comprehensive income and
 its components, as recognized under the accounting standards, to be
 displayed in a financial statement with the same prominence as other
 financial statements.  The disclosure requirements with respect to the
 Form 10-Q have been included in the Company's consolidated statement of
 changes in stockholders' equity.  Comprehensive income totaled the
 following for the periods indicated:
<PAGE>
<TABLE>
<CAPTION>
                                              Three Months Ended
 ($ THOUSANDS - UNAUDITED)                     3/31/02  3/31/01
 <S>                                             <C>   <C>
 Net income                                      $958    $769
 Change in net unrealized gain or loss on
   SECURITIES AVAILABLE FOR SALE, NET OF TAX     (122)    432
 COMPREHENSIVE INCOME                            $836  $1,201
</TABLE>
                                  -7-
 ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
 RESULTS OF OPERATIONS

 THE FOLLOWING DISCUSSION AND ANALYSIS IS PRESENTED TO ASSIST IN THE
 UNDERSTANDING AND EVALUATION OF THE COMPANY'S FINANCIAL CONDITION AND
 RESULTS OF OPERATIONS.  IT IS INTENDED TO COMPLEMENT THE UNAUDITED
 FINANCIAL STATEMENTS, FOOTNOTES, AND SUPPLEMENTAL FINANCIAL DATA APPEARING
 ELSEWHERE IN THIS FORM 10-Q AND SHOULD BE READ IN CONJUNCTION THEREWITH.
 DOLLAR AMOUNTS ARE IN THOUSANDS, EXCEPT PER SHARE AMOUNTS.

 FORWARD-LOOKING STATEMENTS HAVE BEEN MADE IN THIS DOCUMENT THAT ARE
 SUBJECT TO RISKS AND UNCERTAINTIES.  WHILE THE COMPANY BELIEVES THESE
 FORWARD-LOOKING STATEMENTS ARE BASED ON REASONABLE ASSUMPTIONS, ALL SUCH
 STATEMENTS INVOLVE RISK AND UNCERTAINTIES THAT COULD CAUSE ACTUAL RESULTS
 TO DIFFER MATERIALLY FROM THOSE CONTEMPLATED IN THIS REPORT.  THE
 ASSUMPTIONS, RISKS, AND UNCERTAINTIES RELATING TO THE FORWARD-LOOKING
 STATEMENTS IN THIS REPORT INCLUDE THOSE DESCRIBED UNDER THE CAPTION
 "CAUTIONARY STATEMENTS REGARDING FORWARD-LOOKING INFORMATION" IN PART I OF
 THE COMPANY'S FORM 10-K FOR THE YEAR ENDED DECEMBER 31, 2001 AND, FROM
 TIME TO TIME, IN THE COMPANY'S OTHER FILINGS WITH THE SECURITIES AND
 EXCHANGE COMMISSION.

 BALANCE SHEET

 AT MARCH 31, 2002, TOTAL ASSETS WERE $333,061, AN INCREASE OF $12,299, OR
 3.8%, OVER MARCH 31, 2001, WHILE ASSETS DECREASED $11,235 FROM DECEMBER
 31, 2001.  GROSS LOANS (EXCLUDING LOANS HELD FOR SALE BUT INCLUDING
 UNAMORTIZED DIRECT LOAN ORIGINATION COSTS) WERE $240,342 AT MARCH 31,
 2002, GROWING $14,434 OVER FIRST QUARTER 2001 AND INCREASING $799 OVER
 FOURTH QUARTER 2001.
<PAGE>
<TABLE>
<CAPTION>
 TABLE 1:  PERIOD-END LOAN COMPOSITION

                                    MARCH 31,             MARCH 31,              DECEMBER 31, 2001
                            DOLLARS       DOLLARS   PERCENTAGE OF TOTAL               PERCENTAGE
 (DOLLARS IN THOUSANDS)      2002          2001       2002      2001    DOLLARS       OF TOTAL
 <S>                          <C>         <C>         <C>        <C>      <C>          <C>
 Commercial, industrial
  and agricultural             $  65,617  $  66,015     27.2%     29.1%   $ 55,363      23.0%
 Commercial real estate
  mortgage                        97,647     57,110     40.5%     25.2%     98,554      40.9%
 Residential real estate
  mortgage                        60,669     83,917     25.2%     37.0%     67,723      28.1%
 Residential real estate loans
  held for sale                      634        950      0.3%      0.4%      1,403       0.6%
 Consumer home equity              5,028      4,426      2.1%      2.0%      4,576       1.9%
 CONSUMER AND INSTALLMENT         11,381     14,440      4.7%      6.3%     13,327       5.5%
 TOTALS                        $ 240,976  $ 226,858    100.0%    100.0%  $ 240,946     100.0%
</TABLE>
 The decline in overall long-term real estate loan interest rates during
 2001 and early 2002 contributed to a reallocation of the Bank's loans held
 for investment.  As part of the Company's strategic and asset liability
 management plan, residential real estate customer refinancing loans were
 subsequently sold to investors in the secondary market, but commercial
 real estate loans were increased.
                                  -8-
 The loan portfolio is the Company's primary asset subject to credit risk.
 The Company's process for monitoring credit risks includes weekly analysis
 of loan quality, delinquencies, non-performing assets, and potential
 problem loans.  Loans are placed on a nonaccrual status when they become
 contractually past due 90 days or more as to interest or principal
 payments.  All interest accrued but not collected for loans (including
 applicable impaired loans) that are placed on nonaccrual or charged off is
 reversed to interest income.  The interest on these loans is accounted for
 on the cash basis until qualifying for return to accrual status.  Loans
 are returned to accrual status when all the principal and interest amounts
 contractually due have been collected and there is reasonable assurance
 that repayment will continue within a reasonable time frame.

 The term "impaired loan" refers to certain commercial loans with respect
 to which, based on current information, it is probable that the Company
 will not be able to collect all amounts due in accordance with the
 contractual terms of the loan agreement.  Impairment is based on
 discounted cash flows of expected future payments using the loan's
 effective interest rate or the fair value of the collateral if the loan is
 collateral-dependent.

 The aggregate amount of nonperforming assets increased $1,739 to $4,147 at
 March 31, 2002 from $2,408 at March 31, 2001, primarily because of
 additional loans going on nonaccrual status.  Approximately $826 of the
 nonaccrual loans is related to one commercial loan relationship.  The
 Company holds a first lien mortgage on the property of this operating
 business with foreclosure scheduled to occur prior to June 30, 2002.  The
 Company believes it has reasonable buyers for the property and has
 obtained an independent appraisal which indicates a market value in excess
 of outstanding principal and estimated foreclosure and selling costs.  No
 significant loss is anticipated.
<PAGE>
 Nonperforming assets include: 1) loans that are either contractually past
 due 90 days or more as to interest or principal payments, on a nonaccrual
 status, or the terms of which have been renegotiated to provide a
 reduction or deferral of interest or principal (restructured loans) and 2)
 foreclosed assets.
                                  -9-
<TABLE>
<CAPTION>
 Table 2:  Allowance for Loan Losses and Nonperforming Assets

                                           Three months ended
                                                March 31,
 (DOLLARS IN THOUSANDS)                        2002     2001
 <S>                                         <C>      <C>
 Allowance for loan losses at beginning      $ 2,969  $ 2,407

 Provision for loan losses                       180      150
 Recoveries on loans previously charged-off       29        1
 LOANS CHARGED OFF                               (23)     (22)

 ALLOWANCE FOR LOAN LOSSES AT END            $ 3,155  $ 2,536
</TABLE>
<TABLE>
<CAPTION>
 Table 3:  Nonperforming Assets
                                               March 31,       Dec. 31,
 (DOLLARS IN THOUSANDS)                    2002       2001      2001
 <S>                                     <C>        <C>      <C>
 Nonaccrual loans                        $ 2,870    $ 1,189  $  3,036
 Accruing loans past due 90 days or more      34        215         -
 Restructured loans                          993        863       999

 Total non-performing loans              $ 3,897    $ 2,267  $  4,035
 Foreclosed assets                       $   250    $   141  $    421

 Non-performing loans as a % of gross
    LOANS RECEIVABLE                        1.62%      1.00%     1.68%

 Total non-performing assets as a % of total
    ASSETS                                  1.25%      0.75%     1.29%
</TABLE>
 Management is not aware of any additional loans that represent material
 credits or of any information that causes management to have serious
 doubts as to the ability of such borrowers to comply with the loan
 repayment terms.

 LIQUIDITY

 Liquidity refers to the ability of the Company to generate adequate
 amounts of cash to meet the Company's need for cash.  The Company manages
 its liquidity to provide adequate funds to support borrowing needs and
 deposit flow of its customers.  Management views liquidity as the ability
 to raise cash at a reasonable cost or with a minimum of loss and as a
 measure of balance sheet flexibility to react to marketplace, regulatory,
 and competitive changes.  Deposit growth is the primary source of
 liquidity.  Deposits as a percentage of total funding sources were 86.5%
<PAGE>
 at March 31, 2002, and 84.2% at March 31, 2001.  Wholesale funding
 represents the balance of the Company's total funding needs.
                                  -10-
<TABLE>
<CAPTION>
 Table 4: Period-end Deposit Composition
                                                      March 31,                            March 31,
 December 31, 2001
                                                          Dollars            Dollars           Percentage of
total
 Percentage
 (DOLLARS IN THOUSANDS)                        2002                2001              2002              2001
        DOLLARS
 OF TOTAL
 <S>                         <C>        <C>       <C>    <C>     <C>        <C>
 Noninterest bearing demand  $  33,324  $  31,705  12.6%  12.8%  $  41,508   15.2%
 Interest bearing demand
    and savings                 28,735     23,202  10.9%   9.4%     33,691   12.3%
 Money market deposits          74,101     74,204  28.1%  29.9%     76,973   28.1%
 Time deposits                  69,687     63,729  26.4%  25.7%     68,233   24.9%
 TIME DEPOSITS $100 AND OVER    58,179     55,127  22.0%  22.2%     53,230   19.5%

 TOTALS                       $264,026   $247,967 100.0% 100.0%   $273,635  100.0%
</TABLE>
 The interest rate paid on money market deposits is adjustable based on a
 weekly index of national money market funds.  As short-term interest rates
 have decreased during 2001 and 2002, the yield on this account has
 declined substantially.  At the same time, the Company has offered above
 average (compared to local competition) long term (three years or longer)
 certificate of deposits rates to stabilize deposit funding cost during a
 rising rate interest market.  Some customers appear to have moved money market
 funds into time deposits to secure a higher yield.

 As of March 31, 2002, federal funds sold, loan principal, and investment
 securities maturing within one year totaled $74,053, while certificates of
 deposit and short-term borrowings maturing within one year totaled
 $87,088.  Unused credit advances from the Federal Home Loan Bank available
 to the Company at March 31, 2002 totaled approximately $5,700.  The
 primary funding sources utilized are Federal Home Loan Bank advances,
 federal funds purchased, repurchase agreements from a base of individuals,
 businesses and public entities, and brokered time deposits.

 CAPITAL RESOURCES

 Stockholders' equity at March 31, 2002 increased $2,700 from $23,476 at
 March 31, 2001.  Stockholders' equity included unrealized gains on
 securities available for sale, net of their tax effect, of $369 at March
 31, 2002 compared to unrealized gains of $307 at March 31, 2001.

 The adequacy of the Company's capital is regularly reviewed to ensure
 sufficient capital is available for current and future needs and is in
 compliance with regulatory guidelines.  As of March 31, 2002, the
 Subsidiary Bank's tier 1 risk-based capital ratio, total risk-based
 capital, and tier 1 leverage ratio were well in excess of regulatory
 minimums.
                                  -11-
<PAGE>
<TABLE>
<CAPTION>
 Table 5:  Capital Ratios - Consolidated Holding Company

                                        Tier 1  Total Risk-
                                        Leverage  Based
                                        CAPITAL  CAPITAL
 <S>                                      <C>     <C>
 March 31, 2002                           7.7%    11.6%
 December 31, 2001                        7.2%    11.2%
 March 31, 2001                           7.3%    11.5%

 Regulatory minimum for capital adequacy  4.0%     8.0%
</TABLE>
 RESULTS OF OPERATIONS

 Net income for the quarter ended March 31, 2002 totaled $958, or $1.14 per
 share for basic and diluted earnings per share.  Comparatively, net income
 for the quarter ended March 31, 2001 was $769, or $.92 per share for basic
 and diluted earnings per share.  Operating results for the first quarter
 2002 generated an annualized return on average assets of 1.14% and an
 annualized return on average equity of 14.78%, compared to .98% and 13.46%
 for the comparable period in 2001.  The net interest margin for the first
 quarter 2002 was 3.87% compared to 3.47% for the comparable quarter in
 2001.
                                  -12-
 The following table presents consolidated financial data of PSB Holdings,
 Inc. and Subsidiary.
<PAGE>
<TABLE>
<CAPTION>
 Table 6: Financial Summary

 (dollars in thousands, except per share data)      Quarter ended

                                             March 31,    Dec. 31,     Sept. 30,    June 30,    March 31,
                                               2002         2001         2001         2001        2001
 <S>                                       <C>        <C>         <C>           <C>          <C>
 EARNINGS AND DIVIDENDS:
  Net interest income                      $   2,994  $    2,934  $      2,909  $     2,630  $   2,487
  Provision for loan losses                $     180  $      440  $        150  $       150  $     150
  Other noninterest income                 $     565  $      798  $        357  $       455  $     455
  Other noninterest expense                $   2,012  $    2,006  $      1,868  $     1,738  $   1,704
  Net income                               $     958  $      873  $        885  $       839  $     769

  Basic earnings per share                 $    1.14  $     1.04  $       1.05  $      1.00  $    0.92
  Diluted earnings per share               $    1.14  $     1.04  $       1.05  $      1.00  $    0.92
  Dividends declared per share             $       -  $     0.70  $          -  $      0.38  $       -
  Net book value per share                 $   31.18  $    30.19  $      30.25  $     28.65  $   27.96
  Dividend payout ratio                         0.00%      67.31%         0.00%       38.00%      0.00%
  Average common shares outstanding          839,615     839,705       839,705      839,705    839,705

 Balance sheet - average balances:
 Loans receivable, net                     $ 238,284  $  229,994  $    219,793  $   220,837  $ 224,038
 Assets                                    $ 336,879  $  331,381  $    316,592  $   317,740  $ 313,474
 Deposits                                  $ 267,050  $  261,556  $    245,177  $   244,422  $ 244,751
 Stockholders' equity                      $  25,924  $   25,671  $     24,737  $    23,772  $  22,859

 PERFORMANCE RATIOS:
 Return on average assets (1)                   1.14%       1.05%         1.12%        1.06%      0.98%
 Return on average stockholders' equity (1)    14.78%      13.60%        14.31%       14.12%     13.46%
 Average tangible stockholders' equity to
   average assets                               7.59%       7.61%         7.57%        7.53%      7.20%
 Net loan charge-offs to average loans          0.00%       0.11%         0.02%        0.01%      0.01%
 Nonperforming loans to gross loans             1.62%       1.68%         0.96%        0.90%      1.00%
 Allowance for loan losses to gross loans       1.31%       1.24%         1.24%        1.21%      1.12%
 Net interest rate margin (1)(2)                3.87%       3.89%         4.03%        3.64%      3.47%
 Net interest rate spread (1)(2)                3.35%       3.38%         3.41%        2.96%      2.69%
 Service fee revenue as a percent of
   average demand deposits (1)                  2.65%       2.91%         3.21%        3.30%      2.94%
 Noninterest income as a percent
   of gross revenue                             9.52%      12.56%         5.77%        7.07%      7.00%
 Efficiency ratio                              54.54%      52.20%        55.39%       54.59%     56.35%
 Noninterest expenses to average assets (1)     2.39%       2.42%         2.36%        2.19%      2.17%
 STOCK PRICE INFORMATION:
 High                                      $   36.00  $    33.40  $      31.75  $     40.00    $ 29.50
 Low                                       $   33.25  $    30.75  $      29.00  $     29.00    $ 27.00
 Market value at quarter-end               $   35.50  $    33.40  $      31.75  $     30.00    $ 29.50
<FN>
 (1) Annualized
 (2) The yield on tax-exempt loans and securities is computed on a tax-
     equivalent basis using a tax rate of 34%.
</TABLE>
                                  -13-
<PAGE>
 NET INTEREST INCOME

 Net interest income is the most significant component of earnings.  Net
 interest income increased $507 from $2,487 for the quarter ended March 31,
 2001 to $2,994 for the current quarter ended March 31, 2002.  Tax-adjusted
 net interest margin as a percent of average interest earning assets also
 increased from 3.47 percent in March 2001 to 3.87 percent in March 2002.
 Net interest margin was 3.73 percent for the year ended December 31, 2001.
 Since March 2001, the Company has benefited from a falling interest rate
 environment as deposits and short-term borrowings have repriced faster
 than loans with longer terms.  In addition to the increase in tax-adjusted
 net interest margin percentage, net interest income included income earned
 from additional loans originated since March 31, 2001.  Since March 2001,
 average loans receivable increased nearly $14 million from $224,038 in
 March 2001 to $238,284 in March 2002.

 Yield on earning assets decreased to 6.82% compared to 8.28% at March 31,
 2001.  Similarly, the costs for interest-bearing liabilities decreased to
 3.47% from 5.59%.  The majority of the decline in interest-bearing
 deposits is a result of declines in the index used to determine the yield
 paid on the Company's money market account, which was 28.1% of total
 deposits at March 31, 2002.  Since March 31, 2001, the money market yield
 has declined from 4.74% to 1.41% at March 31, 2002.  The Company is
 positioning liabilities for an anticipated rising interest rate market by
 offering long-term certificate of deposit yields in the top 25% of the
 local markets served by the subsidiary bank.  In addition, loans are
 originated with terms as short as acceptable in the local market and the
 Company is accepting lower loan yields for the benefit of faster repricing
 in the event of an increase in interest rates.
                                  -14-
<PAGE>
<TABLE>
<CAPTION>
 Table 7: Net Interest Income Analysis

 (dollars in thousands)  Quarter ended March 31, 2002
                                          Average             Yield/
                                          BALANCE   INTEREST  RATE
 Assets
 Interest earning assets:
    <S>                                 <C>          <C>          <C>
    Loans (1)(2)                        $ 241,320    $   4,406    7.30%
    Taxable securities                     49,826          690    5.54%
    Tax-exempt securities (2)              20,043          339    6.77%
    FHLB stock                              2,177           26    4.78%
    OTHER INTEREST INCOME                   9,151           39    1.70%
    TOTAL (2)                             322,517        5,500    6.82%

 Non-interest earning assets:
    Cash and due from banks                9,158
    Premises and equipment,
       net                                 4,849
    Other assets                           3,391
    Allowance for loan
       LOSSES                             (3,036)
    TOTAL                              $ 336,879

 Liabilities & stockholders' equity
 Interest bearing liabilities:
    Savings and demand
       deposits                       $   31,501     $     93    1.18%
    Money market deposits                 75,738          284    1.50%
    Time deposits                        124,383        1,389    4.47%
    Short-term borrowings                  3,883           46    4.74%
    LONG-TERM BORROWINGS                  38,000          564    5.94%
    TOTAL                                273,505        2,376    3.47%

 Non-interest bearing liabilities:
    Demand deposits                      35,428
    Other liabilities                     2,022
    STOCKHOLDERS' EQUITY                 25,924
    TOTAL                             $ 336,879

 Net interest income                                    3,124
 Rate spread                                                     3.35%
 Net yield on interest earning assets                            3.87%
<FN>
 (1) Non-accrual loans are included in the daily average loan balances
     outstanding.
 (2) The yield on tax-exempt loans and securities is computed on a tax-
     equivalent basis using a tax rate of 34%.
</TABLE>
                                  -15-
 PROVISION FOR LOAN LOSSES
 Management determines the adequacy of the provision for loan losses based
 on past loan experience, current economic conditions, composition of the
 loan portfolio, and the potential for future loss.  Accordingly, the
 amount charged to expense is based on management's evaluation of the loan
<PAGE>
 portfolio.  It is the Company's policy that when available information
 confirms that specific loans and leases, or portions thereof, including
 impaired loans, are uncollectible, these amounts are promptly charged off
 against the allowance.  The provision for loan losses was $180 for the
 three months ended March 31, 2002, and $150 for the three months ended
 March 31, 2001.  Net charge-offs as a percentage of average loans
 outstanding were .00% and .01% during the three months ended March 31,
 2002 and 2001, respectively.

 Nonperforming loans are reviewed to determine exposure for potential loss
 within each loan category.  The adequacy of the allowance for loan losses
 is assessed based on credit quality and other pertinent loan portfolio
 information.  The adequacy of the reserve and the provision for loan
 losses is consistent with the composition of the loan portfolio and recent
 credit quality history.

 NONINTEREST INCOME

 Noninterest income increased 24.2% to $565 during the three months ended
 March 31, 2002, from the comparable first quarter of 2001.  There were no
 gains or losses on securities during the three months ended March 31, 2002
 and 2001.  Service fees on deposit accounts decreased $11, or 4.5%, for
 the three months ended March 31, 2002 from the three months ended March
 31, 2001.

 The Company continued to earn a significant amount of income from the sale
 of long-term fixed rate mortgage loans to outside investors.  The Bank
 does not retain such fixed rate loans as part of its asset liability
 management strategy.  Gain on sale of such loans was $198 in March 2002
 compared to $29 during March 2001.  The majority of loans sold to outside
 investors continue to be serviced by the Bank.  At March 31, 2002, the Bank
 serviced $44,486 of loans for outside investors.  The Bank has seen customer
 demand for fixed rate mortgages increase as long-term fixed interest rates in
 the overall market reached the lowest point in 40 years.  The gain on sale of
 loans during the quarter ended March 31, 2002 was increased $86 from
 capitalization of originated mortgage servicing rights.  At March 31, 2002,
 mortgage servicing rights totaled $352, which were carried at amortized cost.
 Total service fee and noninterest income, including gain on sale of loans,
 was 9.5 percent of gross income during March 2002 compared to 7.0 percent
 of gross income during March 2001.

 NONINTEREST EXPENSE

 Noninterest operating expenses increased $308 to $2,012 in March 2002
 compared to $1,704 during March 2001.  In addition, operating costs as a
 percentage of total assets increased from 2.17 percent in March 2001 to
 2.39 percent in the current quarter.  The majority of the increase in
 operating expenses was from additional salaries, wages, and benefits paid
 to employees.  As part of the Bank's strategic growth plan, additional
 employees have joined the Company since
                                  -16-
 2001 at Bank locations in Wausau and Eagle River, Wisconsin.  In addition,
 average wages and benefits per full time equivalent employee increased
 approximately 9 percent from March 2001 to March 2002.  Separate from salaries
 and wages, noninterst expenses increased $75, or 10.8% in March 2002 compared
 to March 2001.
<PAGE>
 Item 3.  Quantitative and Qualitative Disclosures About Market Risk

 There has been no material change in the information provided in response
 to Item 7A of the Company's Form 10-K for the year ended December 31,
 2001.
                                  -17-
                        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 VOTE OF SECURITIES HOLDERS

 Not Applicable

 ITEM 5. OTHER INFORMATION

 Not Applicable

 ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K:

 (a)  Exhibits.

 The following exhibits have been filed with the Securities and Exchange
 Commission.  Exhibits filed as part of this report, and listed below, are
 set forth on the Exhibit Index which follows the signature page.

 Exhibit
 NUMBER                       DESCRIPTION

 3.1         Restated Articles of Incorporation, as amended (incorporated by
             reference to Exhibit 3.1 to the Company's Annual Report on
             Form 10-K for the fiscal year ended December 31, 2000)

 3.2         Bylaws (incorporated by reference to Exhibit 3.2 to the Company's
             Annual Report on Form 10-K for the fiscal year ended December
             31, 2000)

 4.1         Articles of Incorporation and Bylaws (see Exhibits 3.1 and 3.2)
                                  -18-
 10.1        Bonus Plan of Directors of the Bank (incorporated by
             reference to Exhibit 10.1 to the Company's Annual Report on Form
             10-K for the fiscal year ended December 31, 2000)*

 10.2        Non-Qualified Retirement Plan for Directors of the Bank
             (incorporated by reference to Exhibit 10.2 to the Company's
             Annual Report on Form 10-K for the fiscal year ended December
             31, 2001)*
<PAGE>
 10.3        Senior Management Incentive Compensation Plan (incorporated by
             reference to Exhibit 10.4 to the Company's Quarterly Report on
             Form 10-Q for the period ended June 30, 2000)*

 10.4        2001 Stock Option Plan (incorporated by reference to Exhibit
             10.5 to the Company's Quarterly Report on Form 10-Q for the period
             ended June 30, 2001)*

 21.1        Subsidiaries of the Company (incorporated by reference to Exhibit
             21.1 to the Company's Annual Report on Form 10-K for the fiscal
             year ended December 31, 2000)

 *Denotes Executive Compensation Plans and Arrangements.

 (b)  Reports on Form 8-K:

 None.
                                  -19-
                                 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.


                               PSB HOLDINGS, INC.


 May 14, 2002                  SCOTT M. CATTANACH
                               Scott M. CATTANACH
                               Treasurer and Chief Financial Officer

                               (On behalf of the Registrant and as
                                Principal Financial Officer)
                                  -20-
                                EXHIBIT INDEX
                                      TO
                                  FORM 10-Q
                                      OF
                             PSB HOLDINGS, INC.
                 FOR THE QUARTERLY PERIOD ENDED MARCH 31, 2002
                  PURSUANT TO SECTION 102(D) OF REGULATION S-T
                       (17 C.F.R. SECTION 232.102(D))

 The following exhibits are filed as part this report:

 NONE
                                  -21-