Exhibit 99

DIMECO, INC. ANNOUNCES 2011 FINAL QUARTER EARNINGS

Dimeco, Inc. (Nasdaq DIMC), parent company of The Dime Bank, released unaudited financial results for the year 2011.

The Company continued solid, planned growth to end the year with $581,894,000 in total assets, an increase of $39,680,000 or 7.3% over balances one year earlier. Contributing to this growth was an increase in the loan portfolio of $22,185,000 or 5.2%, ending the year at $447,254,000. During 2011 deposits increased $29,550,000 or 6.5% to end the year at $484,284,000. Stockholders’ equity of $55,100,000 at December 31, 2011 represented an increase of 8.7% over a year earlier.

Net income for 2011 was $5,336,000, an increase of 3.4% over income reported for the year 2010. The most significant contributor to this growth was a decline in interest expense of $2,168,000, or 29.6% less than a year earlier due mainly to higher rate certificates of deposit maturing during the period. Net interest income for the year ended December 31, 2011 was $19,770,000, which was $2,450,000 or 14.1% greater than the previous year. Offsetting those increases in income, we recorded greater expenses in regard to the loan portfolio in 2011 over the previous year. Given current economic conditions, the Company increased the provision for loan loss expense in order to maintain the allowance for loan loss at calculated levels. This expense increased $1,125,000 in 2011 compared to the previous year. In addition, we recognized a decline in the market value of other real estate owned that required $725,000 in expense in 2011 which was unmatched in the previous year. At this level of income, the Company reported a return on average assets of .96% and a return on average equity of 10.04% for 2011. Earnings per share for the year ended 2011 were $3.34, an increase of 3.1% over earnings for 2010. Dividends remained solid, amounting to $1.44 per share in 2011, producing a dividend yield of 4.30%.

Gary C. Beilman, president and chief executive officer, stated “Despite the continuation of a sluggish national economy, 2011 was a year of steady progression for Dimeco, Inc. Loans, deposits, and total assets all grew over the same timeframe last year. The book value of Dimeco stock rose to $34.45 per share, an uptick of 8.6% over that of last year. Every day we listen to comments from our customers on both sides of the balance sheet. Depositors lament about the low interest rate environment, while borrowers comment about restricted cash flows and limited employment opportunities. In all cases, our staff continues to be proactive, giving suggestions and advice, and providing guidance wherever possible. We are confident that working together, we can continue to grow and prosper along with the communities in which we live.”

Dimeco, Inc. is the holding company of The Dime Bank, a full service financial institution serving Wayne and Pike counties in Pennsylvania and Sullivan County, New York. For more information on The Dime Bank, visit www.thedimebank.com.

Source: Dimeco, Inc. / January 20, 2012 / Deborah Unflat

January 2012

Dear Shareholders:

It is my pleasure to present this report of Dimeco, Inc. for the fourth quarter of 2011. As you read through this statement, you will see that in many ways, 2011 was a year of steady progression for your company. Loans, deposits, and total assets all grew over the same timeframe last year, with increases ranging from 5.2% to 7.3%. We ended the year with total assets of $582 million. From a revenue generation perspective, net income came in at $5.3 million, an expansion of 3.4% from the year earlier. For 2011, our return on average assets was .96% and our return on average equity was 10.04%. Given that we dealt with several troubled loans during the year, we are pleased with the overall results.

Despite the continuation of a sluggish national economy, our Board continued payment of quarterly dividends of $.36 per share which produced a dividend yield of 4.3%. As of the end of 2011 the book value of your Dimeco, Inc. stock rose to $34.45 per share, an uptick of 8.6% over that of last year. Finally, stockholders’ equity grew by 8.7% to end the year at slightly over $55 million. Each of these items speaks to the enhancement of your investment.

That is not to say, however, that our languishing economy is without challenges. Every day we listen to comments from our customers on both sides of the balance sheet. Depositors lament about the low interest rate environment, while borrowers comment about restricted cash flows and limited employment opportunities. In all cases, our staff continues to be proactive, giving suggestions and advice, and providing guidance wherever possible.

On the loan side especially, we continue our efforts to monitor our portfolio and to meet directly with borrowers, all in an effort to manage and control this important asset class. Our goal is to maintain delinquencies at reasonable levels, and reduce troubled credits as quickly as possible. The results of our efforts to maintain or improve credit quality will be reported to you in subsequent quarterly reports.

As we end one year, and begin another, it is a fitting time to thank all of you for your continued loyalty and support. We wish you happiness, health, and prosperity in 2012. We ask that you continue to refer others to our institution, both from banking and investment perspectives. As always, your comments and questions are welcome.

Sincerely,

/s/ Gary C. Beilman

Gary C. Beilman

President and Chief Executive Officer