Cnb Financial Corporation · NASDAQ:CCNE
Cnb Financial — Non-Deal Roadshow (August 2015)
21 slides from Cnb Financial's roadshow presentation, Aug 12, 2015
Slide 1: Investor Meetings August 2015
Exhibit 99.1 Investor Meetings August 2015
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, with respect to the financial condition, liquidity, results of operations,
Slide 3: CNB Financial Overview
CNB Financial Overview CNB Financial, the parent financial holding company of CNB Bank, is a full-service, regional independent community bank, headquartered in Clearfield, PA, providing services, including wealth and asset management, to individuals, businesses, governments, and institutional custo
Slide 4: Financial Highlights – 2Q15
Financial Highlights – 2Q15 Strong Balance Sheet Growth • $1.5 billion Total Loans – 10.9% organic growth over June 30, 2014 • $1.9 billion Total Deposits – 0.6% growth over June 30, 2014 • Non-interest bearing demand deposits grew 14.4% • Partially offset by a 2.0% decline in savings deposits Profi
Slide 5: 2015 Initiatives
2015 Initiatives Acquisition of land in Worthington, Ohio and begin construction process of FCBank flagship office Acquisition of land in Altoona, PA and begin construction process of full-service branch Construction of new ERIEBANK full-service branch in Erie, PA that opened in January 2015 Focus o
Slide 6: History of CNB Financial
History of CNB Financial 1984: Forms 1865: County 2010: Joseph Bower CNB Financial National Bank 2005: 2006: Conversion becomes CEO after 2015: 150 th Corporation of Clearfield ERIEBANK is to a state banking retirement of William Anniversary holding established formed charter Falger Celebration comp
Slide 7: ERIEBANK, a division of CNB Bank, was created de novo in 2005
ERIEBANK, a division of CNB Bank, was created de novo in 2005 At June 30, 2015: Eight branches One loan production office $464 million in loans and loan growth of $47.1 million, or 11.3%, since December 31, 2014 $616 million in deposits and deposit growth of $21.3 million, or 3.6%, since December 31
Slide 8: Expansion into Ohio
Expansion into Ohio • The acquisition of FC Banc Corp., which closed in the fourth quarter of 2013, expanded CNB’s geographic footprint into Central Ohio with meaningful size and scale – Entry into 5 new markets, similar to CNB core markets – $386 million in total assets; $263 million in loans; and
Slide 9: CNB’s Experienced Management Team
CNB’s Experienced Management Team Years at Years in Executive Title CCNE Industry Joseph B. Bower Jr. President & Chief Executive Officer 18 22 Richard L. Greslick Jr. SEVP / Chief Operating Officer & Secretary 17 17 Joseph E. Dell Jr. EVP / Chief Lending Officer 2 31 Mark D. Breakey SEVP / Chief Cr
Slide 10: Strong Organic Loan and Deposit Growth
Strong Organic Loan and Deposit Growth Total Loans 1,600,000 Strong organic loan and deposit growth 5-Year CAGR: through the financial crisis and recession 1,400,000 Total 14.5% 1,200,000 Organic 10.2% Fundamental focus on originating loans in- 1,000,000 market and funding with local, low-cost core
Slide 11: Diversified Loan Portfolio
Diversified Loan Portfolio 12/31/10 C&I Non-Owner 28% Occupied CRE 15% Owner- Occupied CRE Consumer & 10% Other 10% 6/30/15 Construction Non-Owner 3% Occupied CRE C&I 1-4 Family Owner- 21% 16% 34% Occupied CRE Consumer & 9% Other $791 million 9% 6.43% yield Multifamily 4% Construction 3% Farm 1% 1-4
Slide 12: Attractive Deposit Mix
Attractive Deposit Mix 0 0 12/31/10 0 0 Retail CDs Jumbo CDs 6/30/15 17.5% Retail CDs 14.2% Non- 6.1% interest Jumbo CDs Bearing 4.9% 12.1% MMDA & Savings Non- 75.2% interest MMDA & Bearing Savings 13.8% 0.00 56.1% 0 $1.2 billion 0.00 $1.9 billion 0 1.42% cost of deposits 0.53% cost of deposits 12
Slide 13: Available-for-Sale Investment Portfolio
Available-for-Sale Investment Portfolio December 31, 2014 June 30, 2015 Municipals Municipals 26% 28% U.S. Gov't U.S. Gov't U.S. Gov't Wrapped U.S. Gov't Wrapped Agencies Resi/Multi- Agencies Resi/Multi- 23% Family Mtgs 24% 39% Family Mtgs SBA SBA 36% 9% 9% Other Other 0% Corporate 0% Corporate 3% 3
Slide 14: Deposit Market Share
Deposit Market Share CNB Growth Market Growth Total CNB CNB Deposit Deposits in # of Deposits Market Share Year over 5-Year Market Year over 5-Year Market Rank Branches ($000) (%) Year (%) CAGR (%) ($000) Year (%) CAGR (%) Clearfield, PA 1 10 455,265 33.97 1.39 3.34 1,340,282 1.37 0.03 Erie, PA 5 4
Slide 15: Improved Profitability
0 Improved Profitability 0 0 0 Net Income 5-Year ROAA CAGR +16.1% 1.07 1.00 1.00 1.01 $23,074 0.87 0.88 0.79 $17,136 $16,679 $15,104 0.55 $11,316 $11,167 $8,512 $5,235 2008Y 2009Y 2010Y 2011Y 2012Y 2013Y 2014Y YTD 2008Y 2009Y 2010Y 2011Y 2012Y 2013Y 2014Y YTD 00 00 0 0 5-Year 0 0 Diluted EPS CAGR RO
Slide 16: Stable Net Interest Margin
Stable Net Interest Margin 8.00 6.72 7.00 5.89 6.00 5.23 4.84 5.00 4.42 4.43 4.32 4.15 4.00 4.33 3.00 4.00 3.82 3.71 3.65 3.59 3.49 3.47 2.00 2.64 2.07 0.71 0.71 1.00 1.78 1.44 1.08 0.79 0.00 2008Y 2009Y 2010Y 2011Y 2012Y 2013Y 2014Y YTD Net Interest Margin Yield on Interest Earning Assets Cost of I
Slide 17: Superior Asset Quality
0 Superior Asset Quality 0 0 0 NPAs/Assets Allowance for Loan Losses/ Gross Loans 1.17 1.09 1.48 1.51 1.37 1.35 0.93 1.29 1.25 1.28 0.85 1.21 0.61 0.58 0.47 0.42 2008Y 2009Y 2010Y 2011Y 2012Y 2013Y 2014Y 2Q15 2008Y 2009Y 2010Y 2011Y 2012Y 2013Y 2014Y 2Q15 0 0 0 0 0 0 0 0 NCOs/Average Loans Texas Rat
Slide 18: Strong Capital Levels
Strong Capital Levels 0 0 0 0 Tangible Common Tier 1 Risk Based Ratio Equity/Tangible Assets* 14.13 13.89 14.03 13.06 12.82 12.51 7.61 7.63 7.05 7.32 7.31 10.80 10.70 6.34 5.12 5.08 2008Y 2009Y 2010Y 2011Y 2012Y 2013Y 2014Y 2Q15 2008Y 2009Y 2010Y 2011Y 2012Y 2013Y 2014Y 2Q15 00 00 0 0 0 0 Leverage R
Slide 19: CNB’s Growth Strategy
CNB’s Growth Strategy Organic / De Novo Growth Strategy Acquisition Strategy Intend to grow organically in the M&A is not a priority in our growth FCBank market through new offices strategy; however, we will remain and additional lenders opportunistic and would consider transactions that would: Cont
Slide 20: Appendix
Appendix 20 FINANCIAL CORPORATION
Slide 21: Non-GAAP Financial Reconciliation
Non-GAAP Financial Reconciliation Tangible common equity, tangible assets and tangible book value per share are non-GAAP financial measures calculated using GAAP amounts. Tangible common equity is calculated by excluding the balance of goodwill and the core deposit intangible from the calculation of