Cnb Financial Corporation · NASDAQ:CCNE
Cnb Financial — Shareholder Meeting (April 2020)
33 slides from Cnb Financial's shareholder meeting presentation, Apr 21, 2020
Slide 1: Annual Shareholder Meeting: Financial Presentation & COVID-19 Pandemic Response
Annual Shareholder Meeting April 21, 2020 CNB Financial Corporation Financial Presentation & COVID-19 Pandemic Response April 21, 2020 Exhibit 99.1
Slide 2: Forward Looking Statements
Forward Looking Statements This press release 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 CNB’s financial condition, liquidity, results of operatio
Slide 3: Timeline of Actions: Monitor
Timeline of Actions MONITOR January and February 2020 Management initiated preparations beginning in January with ongoing updates as COVID-19 spread Management continued to monitor information regarding flu season and COVID-19 in China February 18 – Headquarters equipped with hand sanitizer dispense
Slide 4: Timeline of Actions: Act
Timeline of Actions ACT March 2020 March 6 – COVID-19 Preparedness Committee established with core team members including EVP/Employee Experience (EX), EVP/Customer Experience (CX), VP/Support, VP/Information Technology, VP/CX, AVP/Facilities and BankOnBuffalo Market Manager March 9 – Reestablished
Slide 5: Timeline of Actions: Escalate
Timeline of Actions ESCALATE Week of March 9 COVID-19 Preparedness Committee escalated to Senior Management COVID-19 Response Committee Employee Experience Department monitored events in each state for Governor Executive Orders related to personnel matters Employee Safeguards: Refrain from non-essen
Slide 6: Senior Management COVID-19 Response Meetings
Senior Management COVID-19 Response Meetings 5 days a week President & CEO Chief Support Officer Chief Commercial Banking Officer Chief Risk Officer Chief Financial Officer EVP/Customer Experience EVP/Employee Experience EVP/Private Client Solutions EVP/Community Banking Officer & BankOnBuffalo Mark
Slide 7: Operational Response and Preparedness
Operational Response and Preparedness Since March 20, all employees have been working a split team approach 13 Customer Service Center (CSC) Agents working across 3 locations added an additional 16 temporary agents as call volumes increased Niagara Falls Branch accepting BankOnBuffalo calls Treasury
Slide 8: Employee Protection & Assistance: Taking Care of Employees
Employee Protection & Assistance Taking Care of Employees CNB Bank employees continue to rise to the challenge to deliver banking services with the WOW promise Pandemic Personal Time Off established for employees who have pre-confirmed vacation that will require quarantine upon return as well as emp
Slide 9: Employee Protection & Assistance: Remote Work
Employee Protection & Assistance Total Employees: 606 273 active remote devices 106 Employees working solely remote include BSA, Commercial Lenders, Commercial Services, Finance and Treasury Management On-site staff works on a weekly rotating schedule 167 employees have remote access available Repor
Slide 10: Employee Reaction to Pandemic Response
Employee Reaction to Pandemic Response Employee reaction has been positive to Management’s leadership through the COVID-19 Pandemic: “CNB has been taking care of its employees in an amazing way. Thanks for all you are doing.” “Thank you Senior Management and EX for everything you have been doing to
Slide 11: Programs to Support Clients and Communities: Borrower Relief
Programs to Support Clients and Communities In March, CNB Bank established Borrower Relief Programs to provide relief for our business clients and mortgage customers. These programs require Bank approval and must be requested by the customer.* Commercial businesses impacted due to COVID-19 Full defe
Slide 12: Programs to Support Clients and Communities: PPP Personnel
Programs to Support Clients and Communities Small Business Lending – Payment Protection Plan Personnel allocated to support the program: Commercial Personnel80 Non-Commercial Resources 41 Total Dedicated Resources121
Slide 13: Programs to Support Clients and Communities: PPP Lending
Programs to Support Clients and Communities Small Business Lending – Payment Protection Plan Ohio $46mm 232 businesses Pennsylvania $95mm 643 businesses New York $36mm 156 businesses TOTAL As of April 16th $177mm 1,031 Businesses Estimated 20,000 employees
Slide 14: Branch Delivery Changes Effective March
Branch Delivery Changes Effective March 21 Lobby by appointment only Drive-thru hours remain intact and fully operational Branch staff divided 50/50 to limit exposure Temporarily closed five offices and directed customers to nearby branches Effective March 23 - Emergency Cash Protocol Increased phys
Slide 15: Branch Delivery Changes Effective April
Branch Delivery Changes Effective April 8 Transaction counts decline and Customer Service Call Center activity significantly increases Temporarily closed three additional offices to deploy staff to assist as Call Center resources
Slide 16: Additional Customer Considerations
Additional Customer Considerations Foreign ATM cash withdrawal fees are waived Waive fees for customers directly impacted by COVID-19 related financial hardship, upon request Late payment fees Overdraft fees Early CD withdrawal penalties Increased credit card, line of credit, remote deposit and mobi
Slide 17: Community Outreach Efforts: BankOnBuffalo and ERIEBANK
Community Outreach Efforts BankOnBuffalo Community Niagara Falls, NY employees reach out to senior customers as someone to talk to, show kindness and compassion. $7,500 donation to FeedMore WNY - local Foodbank and Meals on Wheels Organization that supports 4 counties of Western New York $2,500 dona
Slide 18: Community Outreach Efforts: FCBank Community
Community Outreach Efforts FCBank Community FCBank President, Jenny Saunders, and experts from Private Banking, Treasury Services and Commercial Banking partnered and hosted Zoom meetings with Old Worthington Partnership, Morrow County Chamber of Commerce and Worthington Chamber of Commerce to provi
Slide 19: Community Outreach Efforts: CNB Bank Community
Community Outreach Efforts CNB Bank Community CNB Main Office supported 10 local restaurant establishments by organizing events that employees could participate in Purchases averaged 60 orders each day Total Support: $5,025 “We want to give a special shout out to CNB Bank in Clearfield for placing a
Slide 20: Customer Reaction to COVID-19 Pandemic Programs
Customer Reaction to COVID-19 Pandemic Programs Customer Satisfaction has been positive since the beginning of limited branch operations: “Huge praise to CNB for being prepared to help small businesses with PPP.” “My CSC representative was patient, kind and very helpful. I was very happy with her se
Slide 21: Financial Data: Loans by Region
Financial Data Loans by Region as of 12/31/2019
Slide 22: Financial Data: Balance Sheet Concentrations
Financial Data Balance Sheet Concentrations as of 12/31/2019
Slide 23: Financial Data: Owner Occupied Real Estate / C&I by Industries
Financial Data Owner Occupied Real Estate / C&I by Industries as of 12/31/2019
Slide 24: Financial Data: Investor Real Estate by Industries
Financial Data Investor Real Estate by Industries as of 12/31/2019
Slide 25: Historical Credit Quality
Historical Credit Quality Credit metrics reflect conservative lending culture Allowance for Loan Losses averaged approximately 70% of total non-performing assets (from 2010 to 2020)
Slide 26: Capital Ratio & Tangible Book Value Review
Capital Ratio & Tangible Book Value Review Strong capital growth as reflected in Tangible Book Value per Share compounded annual growth rate of 8.9% from 2010-2019 Limited historical tangible book value dilution through acquisitions of FC Banc Corp. and Lake National Bank Strong capital levels suppo
Slide 27: 2019 Earnings and Earnings per Share
2019 Earnings and Earnings per Share {dollars in thousands, except per share data} 2019 Earnings and Earnings Per Share Twelve Months Ended December 31, 2019 2018 2017 2019 2018 2017 Net interest income $,116,198 $,104,920 $91,509 Net interest income 116198 104920 91509 Provision for loan losses -6,
Slide 28: Peer Comparison – Performance
Peer Comparison – Performance Source: S&P Global Market Intelligence as of December 31, 2019. ROAA is net income after taxes as a percentage of average assets. ROAE is net income after taxes as a percentage of average equity. NIM is on a fully tax equivalent basis. Peers consisting of banks headquar
Slide 29: Capital Ratios
Capital Ratios Source: Company data as of December 31, 2019. * - Minimum ratio required to be well-capitalized under regulatory standards
Slide 30: Key Differentiators
Key Differentiators Create a unique competitive advantage by operating as a community bank in metropolitan markets Invest in up-to-date customer solutions, including digital and mobile delivery channels Expand the level of customer usage of digital and mobile delivery channels Wealth and asset manag
Slide 31: CNB Financial Corporation 2019 Earnings and Earnings Per Share
CNB Financial Corporation {dollars in thousands, except per share data} 2019 Earnings and Earnings Per Share Year Ended December 31, 2019 2018 2017 2019 2018 2017 Net interest income $,116,198 $,104,920 $91,509 Net interest income 116198 104920 91509 Provision for loan losses -6024 -6072 -6655 Provi
Slide 32: 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 o
Slide 33: April 21, 2020
April 21, 2020