POLONIA BANCORP, INC. REPORTS RESULTS FOR THE THREE AND SIX MONTHS ENDED JUNE 30, 2013

Huntingdon Valley, Pennsylvania — August, 2, 2013. Polonia Bancorp, Inc. (the “Company”) (NASDAQ Capital Market: PBCP), the holding company of Polonia Bank (the “Bank”), reported net income of $47,000 for the quarter ended June 30, 2013 versus a net loss of $35,000 for the quarter ended June 30, 2012. The Company reported a net loss of $19,000 for the six months ended June 30, 2013 versus net income of $40,000 for the six months ended June 30, 2012.

Net interest income increased $118,000 to $2.0 million and $218,000 to $4.0 million, for the three and six months ended June 30, 2013 as compared to the same prior year period. The increase in net interest income for both the three and six month periods in 2013 was due primarily to a higher average balance of loans and a lower average cost of funds, partially offset by a lower average yield on loans.

The provision for loan losses decreased $76,000 for the three and six months ended June 30, 2013 as compared to the same period in the prior year. At June 30, 2013, nonperforming loans totaled $3.6 million compared to $2.6 million at June 30, 2012. An increase in nonperforming one-to-four family loans of $925,000 contributed to the higher balance of nonperforming loans at June 30, 2013. Net loan charge-offs for the quarter ended June 30, 2013 were $459,000, consisting of commercial real estate and line of credit loan charge-offs, compared to net loan recoveries of $1,000 for the quarter ended June 30, 2012. Net loan charge-offs were $556,000 and $223,000 for the six months ended June 30, 2013 and 2012 respectively.

Noninterest income was $1.6 million and $416,000 for the quarters ended June 30, 2013 and 2012, respectively and $2.9 million and $781,000 for six months ended June 30, 2013 and 2012, respectively. The increase in noninterest income was primarily attributable to an increase of $1.2 million and $2.3 million in the gain on the sale of loans in the three and six months ended June 30, 2013 as compared to the prior year.

Noninterest expenses were $3.5 million and $2.2 million for the quarters ended June 30,2013 and 2012, respectively, and $6.8 million and $4.3 million for the six months ended June 30, 2013 and 2012, respectively. Higher expenses for the three and six months ended June 30, 2013 were mainly due to the salary and compensation expenses and costs related to the operation of our Retail Mortgage Banking Division and the amortization of the indemnification asset associated with the loss sharing agreements entered into with the FDIC in connection with our acquisition of Earthstar bank in 2010.

Total assets increased $9.7 million, or 3.6%, to $277.2 million at June 30, 2013 from $267.5 million at December 31, 2012, partially due to a $27.9 million increase in total loans. Loans increased and cash declined as a result of our increased one-to-four lending activities. Securities decreased $3.6 million primarily as a result of payments received. Cash decreased $13.8 million. Loans held for sale decreased $727,000 or 6.03%, to $11.3 million at June 30, 2013.

Total liabilities at June 30, 2013 were $236.1 million compared to $226.3 million at December 31, 2012, an increase of $9.8 million. The increase in liabilities was primarily due to the increase of $12.5 million in FHLB advances, partially offset by a $3.4 million decrease in deposits. Total stockholders’ equity remained stable decreasing by $54,000 to $41.1 million at June 30, 2013.

Polonia Bancorp, Inc. is the holding company for Polonia Bank. Polonia Bank is headquartered in Huntingdon Valley, Pennsylvania and has provided community banking services to customers for almost 88 years. We currently operate seven full-service locations in Montgomery and Philadelphia Counties, Pennsylvania.

This release contains “forward-looking statements” that are based on assumptions and may describe future plans, strategies and expectations of the Company. These forward-looking statements are generally identified by the use of the words “believe,” “expect,” “intend,” “anticipate,” “estimate,” “project” or similar expressions. The Company’s ability to predict results or the actual effect of future plans or strategies is inherently uncertain. Factors that could have a material adverse effect on the operations of the Company and its subsidiaries include, but are not limited to, changes in market interest rates, regional and national economic conditions, legislative and regulatory changes, monetary and fiscal policies of the United States government, including policies of the United States Treasury and the Federal Reserve Board, the quality and composition of the loan or investment portfolios, demand for loan products, deposit flows, competition, demand for financial services in the Company’s market area, changes in the real estate market values in the Company’s market area and changes in relevant accounting principles and guidelines. For discussion of these and other risks that may cause actual results to differ from expectations, refer to the Company’s Annual Report on Form 10-K for the year ended December 31, 2012, including the section entitled “Risk Factors,” and Quarterly Reports on Form 10-Q on file with the SEC. These risks and uncertainties should be considered in evaluating any forward-looking statements and undue reliance should not be placed on such statements. Except as required by applicable law or regulation, the Company does not undertake, and specifically disclaims any obligation, to release publicly the result of any revisions that may be made to any forward-looking statements to reflect events or circumstances after the date of the statements or to reflect the occurrence of anticipated or unanticipated events.

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CONTACT:

Paul D. Rutkowski

Chief Financial Officer and Corporate Secretary

(215) 938-8800