Fauquier Bankshares — Shareholder Meeting (May 2020)
30 slides from Fauquier Bankshares's shareholder meeting presentation, May 19, 2020
Slide 1: Fauquier Bankshares, Inc.
S Se _ one) => Fauquier Bankshares, Inc. fi
Slide 2: Fauquier Bankshares, Inc. 2020 Annual Shareholders' Meeting
2 + Fauquier Bankshares, Inc. 2020 Annual Shareholders’ Meeting May 19, 2020
Slide 3: Safe Harbor Statement
Today’s presentations may include forward-looking statements. These statements represent the Company’s beliefs regarding future events that, by their nature, are uncertain and outside of the Company’s control. The Company’s actual results and financial condition may differ, possibly materially, from
Slide 4: Board of Directors
2 + Board of Directors Randolph D. Frostick, Esq. President & Shareholder Vanderpool, Frostick, & Nishanian Donna D. Flory Director of Human Resources QMT Windchimes Kevin T. Carter President Guests, Inc. John B. Adams, Jr. Chairman; President & CEO Bowman Companies Marc J. Bogan President & CEO The
Slide 5: Board of Directors
2 + Board of Directors Sterling T. Strange III President & CEO The Solution Design Group, Inc. P. Kurtis Rodgers President & CEO S.W. Rodgers & Co., Inc. Brian S. Montgomery President & Owner Warrenton Foreign Car, Inc. Randolph T. Minter Vice Chairman; President & Owner Moser Funeral Home Jay B. Ke
Slide 6: Mission: Excellence through an Engaged and Empowered Team
The Fauquier Bank seeks Excellence through an Engaged and Empowered Team, building valued Relationships with our Customers and Community
Slide 7: 2019 Record Year
2 + 2 + Title 2019 Record Year $ 6.8 MM +11% Net Income $ 1.80 +11% Earning Per Share $ 455 MM +15% Assets Under Management
Slide 8: 2019 Focus Business Lines
Expense Management Wealth Management Mortgage Banking Commercial Banking 2 + 2 + Title 2019 Focus Business Lines People Training & development Internal promotions New production associates Wellness initiatives
Slide 9: Investing in its Community
2 + 2 + Title $90,000 in contributions & sponsorships Paid volunteer time off Financial seminars Community Bank Investing in its Community
Slide 10: 2019 Digital Growth
2 + 2 + Title 2019 Digital Growth + 19% Mobile Deposit Transactions 2019 74% Mobile Banking Usage Average Monthly Mobile Deposits ($ Millions) $1.4 Online Banking Usage $2.9 $2.1 2018 2020 YTD 84% Person to Person Payments (ZelleTM) + 45%
Slide 11: Net Income
2 + 2 + Title *Adjusted based on net deferred tax revaluation Net Income
Slide 12: Earnings Per Share and Tangible Book Value Per Share
2 + Title Earnings Per Share Tangible Book Value Per Share *Adjusted based on net deferred tax revaluation
Slide 13: ROA, ROE and Efficiency Ratio vs Peer Group
2 + Title Return on Average Assets (ROA) Efficiency Ratio Return on Average Equity (ROE) Peer Group TFB
Slide 14: Balance Sheet
Balance Sheet $1,000 $900 $800 $731 $722 $700 $600 $500 $400 $300 $200 $100 & Millions ($) 2017 2018 2019 ™Gross Loans m®TotalDeposits m™ Total Assets
Slide 15: Net Interest Income and Net Interest Margin
2 + Title Net Interest Income Net Interest Margin Q1 2020 3.76 % 2019 3.74 % 2018 3.81 % 2017 3.66 %
Slide 16: Loan Portfolio
2 + Title Total Loans $ 550 MM Average Loan Yields Loan Portfolio As of December 31, 2019 +9% Residential Mortgage Growth 2017 2018 2019 4.84 % 4.69 % 4.49 % 41 % Residential RE 33 % Commercial RE 12 % Construction & Land 7 % Home Equity LOC 5 % Commercial & Industrial 2 % Consumer Q1 2020 4.69 % 93
Slide 17: Credit Quality
2 + Title Non-Performing Assets/Total Assets Net Charge-Offs/Average Loans 2019 0.05 % 2018 0.08 % 2017 (0.01) % Credit Quality As of December 31, 2019
Slide 18: Deposit Portfolio
2 + Title 2017 2018 2019 Deposit Portfolio As of December 31, 2019 Total Deposits $ 622 MM +36% MMA Growth 0.71% 0.54% 0.45% Cost of Funds 39 % NOW 20 % DDA 15 % Money Markets 14 % Savings 12 % CDs 88% Q1 2020 0.55% Total Core Deposits
Slide 19: TFB Wealth Management
28 % Growth 2 + Title TFB Wealth Management *Adjusted to show assets in transition due to conversion Assets Under Management WMS Revenue 15 % Growth
Slide 20: COVID-19 Challenges
2 + COVID-19 Challenges Health and wellbeing of our associates and community Risks to Net Interest Margin due to sustained low interest rates Loan growth, credit quality and a weakened economy
Slide 21: TFB's Response
2 + TFB’s Response Associates Clients Community Shareholders
Slide 22: Our Associates
2 + Our Associates Launched Business Continuity Plan and Pandemic Response Team Enabled remote work, enforced social distancing for on-site employees & closed lobbies Enhanced cleaning protocol for all TFB locations Reallocated resources Cancelled non-essential business travel & events Provided emer
Slide 23: Our Clients
2 + Our Clients Education on online and mobile financial services Full suite of services available at drive through windows Full service call center Enhanced website and digital communications Loan payment deferrals on 210 loans totaling $110 MM
Slide 24: Community
2 + Community Two rounds of SBA/PPP loan funding $53 MM in SBA Loans to 536 Clients 100% approval of SBA loans requested and certified Promotion of local businesses on social media Cash donations & food drives
Slide 25: Shareholders
2 + Shareholders Focus on TFB Vision & Values Safe and sound operations Enterprise Risk Management Virtual Shareholder Annual Meeting Sustainable core earnings Maintain liquidity, minimize losses & protect capital
Slide 26: Capital Ratios
2 + Title Capital Ratios Well-Capitalized Threshold
Slide 27: Well Positioned for 2020
Capital Liquidity Loan Quality Company Strength 2 + Well Positioned for 2020
Slide 28: Contact information
2 + 2 + Contact information Marc J. Bogan President & Chief Executive Officer marc.bogan@tfb.bank Christine E. Headly Executive Vice President & Chief Financial Officer chris.headly@tfb.bank Tammy P. Frazier, CPA Senior Vice President & Controller tammy.frazier@tfb.bank www.tfb.bank
Slide 29: Thank You
Title THANK YOU
Slide 30: Photo Attributions
Title Photo Attributions “Center Street, Old Town Manassas” by Jon Cornwell is licensed under CC BY 2.0