8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 OR 15(d) of

the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): October 28, 2015

First Commonwealth Financial Corporation

(Exact name of registrant as specified in its charter)

Pennsylvania	001-11138	25-1428528
(State or other jurisdiction of incorporation)	(Commission File Number)	(IRS Employer Identification No.)
601 Philadelphia Street, Indiana, PA		15701
(Address of principal executive offices)		(Zip Code)

Registrant’s telephone number, including area code: (724) 349-7220

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

¨ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

¨ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 2.02 Results of Operations and Financial Condition

On October 28, 2015, First Commonwealth Financial Corporation (the “Company”) issued a press release announcing financial results for the three and nine month periods ended September 30, 2015. A copy of this press release and the related earnings tables are furnished as Exhibit 99.1 to this report and incorporated herein by reference.

Item 7.01 Regulation FD Disclosure

On October 28, 2015, the Company announced a cash dividend of $0.07 per share of the Company’s common stock. The dividend declaration is included in the press release announcing financial results for the three and nine month periods ended September 30, 2015. A copy of this press release is furnished as Exhibit 99.1 to this report and incorporated herein by reference.

Item 9.01 Financial Statements and Exhibits

Exhibits

99.1 Press Release announcing Third Quarter 2015 Financial Results and Declaration of Quarterly Dividend.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

Dated: October 28, 2015

FIRST COMMONWEALTH FINANCIAL CORPORATION
By:	/s/ James R. Reske
Name:	James R. Reske
Title:	Executive Vice President and Chief Financial Officer

EX-99.1

Exhibit 99.1

FOR IMMEDIATE RELEASE                

First Commonwealth Announces Third Quarter 2015 Financial Results;

Declares Quarterly Dividend

Indiana, PA, October 28, 2015 - First Commonwealth Financial Corporation (NYSE: FCF) today announced financial results for the third quarter of 2015.

Third Quarter 2015 Highlights

Franchise Growth

• Solid loan growth of $80.1 million from the prior quarter, or 7.1% on an annualized basis; and

• Finalized acquisition of Columbus, Ohio based First Community Bank on October 1^st.

Net Income

• Third quarter net income was $12.4 million, or $0.14 diluted earnings per share. Net income was impacted by the following items:

◦ Net interest income increased by $0.4 million as compared to the prior quarter, primarily as a result of strong commercial loan growth;

◦ Noninterest income benefited from increases in trust income, deposit service charges and mortgage banking revenue. Total noninterest income, excluding net securities gains, decreased $0.8 million from the previous quarter, driven by a $1.4 million decline in the fair market value of commercial loan interest rate swaps;

◦ Noninterest expense decreased $0.4 million from the previous quarter, primarily attributable to a $1.1 million write-down on other real estate owned (OREO) in the second quarter. Third quarter noninterest expense was affected by $0.7 million in additional shares tax expense for a disputed assessment that was settled during the quarter;

◦ Provision for credit losses totaled $4.6 million, an increase of $1.6 million from the linked quarter and $2.5 million from the year ago quarter, due primarily to $2.5 million in specific reserves for two commercial credits;

◦ Asset quality continued to improve, with nonperforming loans decreasing $4.3 million, or 9.5%, compared to the prior quarter.

“I’m pleased with the groundwork we have laid in the last twelve months to grow top line revenue, despite headwinds from an extended low interest rate environment,” stated T. Michael Price, President and Chief Executive Officer. “We extended our footprint westward and we now have plans in place to expand our commercial lending and mortgage origination capabilities in central and northeastern Ohio.”

Financial Summary

(dollars in thousands,	For the Three Months Ended						For the Nine Months Ended
except per share data)	September 30,		June 30,		September 30,		September 30,		September 30,
	2015		2015		2014		2015		2014
Net income	$12,414		$13,447		$12,496		$40,082		$36,724
Diluted earnings per share	$0.14		$0.15		$0.13		$0.45		$0.39
Return on average assets	0.78	%	0.85	%	0.78	%	0.84	%	0.78	%
Return on average common equity	6.86	%	7.57	%	6.91	%	7.48	%	6.83	%
Return on average tangible common equity	8.87	%	9.82	%	8.89	%	9.68	%	8.79	%
Efficiency ratio	63.83	%	63.96	%	66.65	%	63.99	%	66.25	%
Net interest margin	3.25	%	3.26	%	3.26	%	3.29	%	3.28	%

Financial Results Summary

For the three months ended September 30, 2015, net income was $12.4 million, or $0.14 diluted earnings per share, compared to net income of $13.4 million, or $0.15 diluted earnings per share, in the second quarter of 2015 and net income of $12.5 million, or $0.13 diluted earnings per share, in the third quarter of 2014. The decrease in net income compared to the second quarter of 2015 was primarily a result of an increase in the provision for credit losses of $1.6 million and a decrease in noninterest income of $0.8 million, offset by a $0.4 million increase in net interest income and a decrease in noninterest expense of $0.4 million. The decrease in net income compared to the third quarter of 2014 was primarily driven by a decrease in noninterest expense of $1.3 million and an increase in noninterest income of $0.5 million, offset by an increase in the provision for credit losses of $2.5 million.

For the nine months ended September 30, 2015, net income was $40.1 million, or $0.45 diluted earnings per share, compared to net income of $36.7 million, or $0.39 diluted earnings per share, for the comparable period in 2014. The increase in net income compared to 2014 was primarily the result of an increase in net interest income of $2.7 million and a decrease in noninterest expense of $3.1 million, offset by a $1.0 million decrease in noninterest income, excluding net securities gains.

For the nine months ended September 30, 2015, return on average assets and return on average common equity were 0.84% and 7.48%, respectively, as compared to 0.78% and 6.83% in the same period of 2014. Return on average tangible common equity was 9.68% in the first nine months of 2015, as compared to 8.79% for the same period of 2014.

Net Interest Income and Net Interest Margin

Third quarter 2015 net interest income, on a fully taxable-equivalent basis, increased by $0.4 million to $47.6 million, as compared to $47.2 million in the second quarter of 2015. The increase from the prior quarter was primarily the result of $51.9 million of growth in average loan balances. The net interest margin, on a fully taxable-equivalent basis, decreased one basis point from the previous quarter primarily due to a one basis point increase in funding costs.

As compared to the third quarter of 2014, net interest income, on a fully taxable-equivalent basis, increased by $0.2 million. The increase in net interest income was due to a $162.8 million, or 3.8%, increase in average loans and a five basis point decline in funding costs, offset by a five basis point decline in the yield on interest-earning assets.

For the nine months ended September 30, 2015, net interest income, on a fully taxable-equivalent basis, increased $2.7 million to $142.8 million as compared to the same period of 2014. The increase in net interest income was a result of a $177.8 million, or 4.1%, increase in average loans, an eight basis point decline in funding costs and a special FHLB dividend of $1.0 million, offset by a seven basis point decline in the yield on interest-earning assets.

End of period loan balances increased $80.1 million from the prior quarter and $167.9 million from the year-ago quarter ending September 30, 2014. Based on average balances, loan growth for the third quarter of 2015 was $51.9 million over the prior quarter and $162.8 million over the year-ago quarter. Average deposits decreased $38.0 million in the third quarter of 2015 from the prior quarter and $187.1 million from the year-ago quarter, due in part to the intentional runoff of higher-cost brokered time deposits in favor of more cost-effective short-term borrowings. Average brokered time deposits decreased by $9.3 million in the third quarter of 2015 compared to the prior quarter and $123.6 million from the year-ago quarter. As a result, average short-term borrowings increased $28.3 million from the prior quarter and $292.6 million over the year-ago period. Average noninterest-bearing demand deposits increased $19.5 million as compared to the prior quarter and $69.5 million from the year-ago quarter. Noninterest-bearing demand deposits currently comprise 25.9% of total deposits. Average interest-bearing demand and savings deposits decreased $22.2 million from the prior quarter and $38.4 million from the year-ago period.

Credit Quality

The provision for credit losses totaled $4.6 million for the three months ended September 30, 2015, an increase of $1.6 million as compared to the prior quarter and an increase of $2.5 million from the same quarter last year.

At September 30, 2015, nonperforming loans were $40.8 million, a decrease of $4.3 million from June 30, 2015 and a decrease of $4.4 million from September 30, 2014. Nonperforming loans as a percentage of total loans were 0.89%, 1.00% and 1.03% for the periods ended September 30, 2015, June 30, 2015 and September 30, 2014, respectively.

During the third quarter of 2015, net charge-offs were $1.4 million, compared to $4.4 million in the second quarter of 2015 and $2.0 million in the third quarter of 2014. There were no significant individual charge-offs in the third quarter of 2015. Second quarter 2015 charge-offs included a $2.3 million write-down on a loan to a contractor that was classified as nonaccrual during the fourth quarter of 2014. There were no significant individual charge-offs in the third quarter of 2014.

The allowance for credit losses was $48.5 million at September 30, 2015, and as a percentage of total loans outstanding was 1.06%, 1.01% and 1.15% for September 30, 2015, June 30, 2015 and September 30, 2014, respectively. General reserves as a percentage of non-impaired loans were 0.97%, 0.98% and 1.06% for September 30, 2015, June 30, 2015 and September 30, 2014, respectively. The allowance for credit losses as percentage of nonperforming loans was 118.84%, 106.26% and 112.21% for September 30, 2015, June 30, 2015 and September 30, 2014, respectively.

OREO acquired through foreclosure increased $4.0 million to $10.5 million during the third quarter due primarily to one commercial relationship.

Noninterest Income

Noninterest income, excluding net securities gains, decreased $0.8 million, or 5.0%, in the third quarter of 2015 as compared to the prior quarter and increased $0.5 million, or 3.4%, compared to the same quarter last year. The decrease from the prior quarter was primarily the result of a $1.4 million decline in the fair market value of commercial loan interest rate swaps. This mark-to-market adjustment was a positive adjustment of $0.6 million in the second quarter and a negative adjustment of $0.8 million in the third quarter. This was offset by a $0.4 million gain on the sale of a commercial loan and a $0.2 million increase in mortgage banking revenue, as well as a $0.1 million increase in trust income and a $0.2 million increase in deposit service charges. The increase from the prior-year period of $0.5 million is primarily related to an increase of $1.1 million in gain on sale of loans and a $0.5 million increase in insurance and retail brokerage commissions due to increased production and the acquisition of a local agency in the fourth quarter of 2014, offset by decreases of $0.7 million in commercial loan swap-related revenues due primarily to declines in the fair market value of commercial loan interest rate swaps.

For the nine months ended September 30, 2015, noninterest income, excluding net securities gains, decreased $1.0 million, or 2.1%, as compared to the same period of 2014, primarily due to a $2.0 million gain from the sale of an OREO property in the second quarter of 2014, a $1.2 million gain from the sale of our registered investment advisory business in the first quarter of 2014, a decrease of $0.8 million in service charges on deposit accounts and a $0.6 million reduction in commercial loan swap-related revenues due primarily to declines in the fair market value of commercial loan interest rate swaps over the same period. These negative variances were partially offset by an increase of $1.8 million in insurance and retail brokerage commissions due to increased production and our agency acquisition, as well as a $2.1 million increase in gain on sale of loans, primarily through mortgage banking.

Noninterest Expense

Noninterest expense decreased $0.4 million in the third quarter of 2015 from the prior quarter and decreased $1.3 million as compared to the third quarter of 2014. The decrease as compared to the linked quarter is primarily attributable to a $1.1 million OREO write-down for one commercial relationship and a $0.4 million loss on the write-down for a building in the second quarter of 2015, offset by $0.7 million of additional shares tax expense for the resolution of a disputed tax assessment in the third quarter of 2015 and a $0.4 million increase in salaries and employee benefits, primarily due to increased commercial loan production. The decrease from the prior year period of $1.3 million includes improvements of $2.2 million in IT conversion-related expenses that were incurred in the third quarter of 2014 and a $0.4 million decrease in net furniture and equipment expense due to less software/hardware maintenance and programing expense post conversion. These improvements in expense in the third quarter of 2015 were offset by the aforementioned $0.7 million shares tax resolution and a $0.2 million increase in salaries and employee benefits.

For the nine months ending September 30, 2015, noninterest expense decreased $3.1 million, or 2.5%, as compared to the same period of 2014, driven by $7.3 million in IT conversion-related expenses that were incurred in the first nine months of 2014 and a decrease of $1.5 million in furniture and equipment expense related to less software/hardware maintenance and programming expense post conversion. Also affecting the comparison of the periods was a $0.9 million external fraud loss recovery in the prior year period. Increases in expense compared to the year-ago period included $1.2 million in salaries and benefits due in part to the launch of our mortgage initiative and the acquisition of an insurance agency in the fourth quarter of 2014, $0.5 million in occupancy expense due to higher snow removal and utilities, a $1.0 million increase in debit card fraud losses primarily due to large merchant breaches, as well as the aforementioned $1.5 million OREO and building write-downs and a $1.0 million increase in reserves for unfunded loan commitments included in other operating expenses.

Full time equivalent staff declined to 1,263 at September 30, 2015 from 1,388 at September 30, 2014. The decrease is primarily attributable to staffing efficiencies enabled by the completion of our IT systems conversion, refinements to our branch staffing model and the closure of three branch offices in April 2015, offset by the recent launch of our mortgage initiative and the acquisition of an insurance agency.

The efficiency ratio, calculated as total noninterest expense as a percentage of total revenue (which consists of net interest income on a fully taxable equivalent basis plus total noninterest income, excluding net securities gains), was 63.83% and 63.99% for the three and nine months ended September 30, 2015, respectively, as compared to 66.65% and 66.25% for the three and nine months ended September 30, 2014.

Dividends and Capital

First Commonwealth Financial Corporation declared a common stock quarterly dividend of $0.07 per share, which is payable on November 20, 2015 to shareholders of record as of November 9, 2015. This dividend represents a 3.0% projected annual yield utilizing the October 27, 2015 closing market price of $9.37.

During the second quarter of 2015, First Commonwealth completed a previously announced $25.0 million common stock repurchase program, under which the corporation repurchased 2,885,020 shares at an average price of $8.70 per share. The company does not currently have an authorized share repurchase plan.

First Commonwealth’s capital ratios for Total, Tier I, Leverage and Common Equity Tier I at September 30, 2015 were 12.5%, 11.5%, 10.1% and 10.2%, respectively. Our current capital levels meet the fully-phased in Basel III capital requirements issued by U.S. bank regulators.

Conference Call

First Commonwealth will host a quarterly conference call to discuss its financial results for the third quarter of 2015 on Wednesday, October 28, 2015 at 2:00 PM (ET). The call can be accessed by dialing (toll free) 1-888-317-6016 or accessing a webcast of the call through the company’s web page, www.fcbanking.com/InvestorRelations. A replay of the call will be available approximately one hour following the conclusion of the conference by dialing 1-877-344-7529

and entering the replay access code #10073878. A link to the webcast replay will be accessible at www.fcbanking.com/InvestorRelations for 30 days.

About First Commonwealth Financial Corporation

First Commonwealth Financial Corporation, headquartered in Indiana, Pennsylvania, is a financial services company with $6.4 billion in total assets as of September 30, 2015 and 111 banking offices in 17 counties throughout western and central Pennsylvania and central Ohio, and a Corporate Banking Center in northeast Ohio. First Commonwealth provides a full range of commercial banking, consumer banking, mortgage, wealth management and insurance products and services through its subsidiaries, First Commonwealth Bank and First Commonwealth Insurance Agency.

Forward-Looking Statements

This release contains forward-looking statements about First Commonwealth’s future plans, strategies and financial performance. These statements can be identified by the fact that they do not relate strictly to historical or current facts and often include words such as "believe," "expect," "anticipate," "intend," "plan," "estimate" or words of similar meaning, or future or conditional verbs such as "will," "would," "should," "could" or "may." Such statements are based on assumptions and involve risks and uncertainties, many of which are beyond our control. Factors that could cause actual results, performance or achievements to differ from those discussed in the forward-looking statements include, but are not limited to: (1) local, regional, national and international economic conditions and the impact they may have on First Commonwealth and its customers; (2) volatility and disruption in national and international financial markets; (3) the effects of and changes in trade and monetary and fiscal policies and laws, including the interest rate policies of the Federal Reserve Board; (4) inflation, interest rate, commodity price, securities market and monetary fluctuations; (5) the effect of changes in laws and regulations (including laws and regulations concerning taxes, banking, securities and insurance) with which First Commonwealth must comply; (6) the soundness of other financial institutions; (7) political instability; (8) impairment of First Commonwealth’s goodwill or other intangible assets; (9) acts of God or of war or terrorism; (10) the timely development and acceptance of new products and services and perceived overall value of these products and services by users; (11) changes in consumer spending, borrowing and savings habits; (12) changes in the financial performance and/or condition of First Commonwealth’s borrowers; (13) technological changes; (14) acquisitions and integration of acquired businesses; (15) First Commonwealth’s ability to attract and retain qualified employees; (16) changes in the competitive environment in First Commonwealth’s markets and among banking organizations and other financial service providers; (17) the ability to increase market share and control expenses; (18) the effect of changes in accounting policies and practices, as may be adopted by the regulatory agencies, as well as the Public Company Accounting Oversight Board, the Financial Accounting Standards Board and other accounting standard setters; (19) the reliability of First Commonwealth’s vendors, internal control systems or information systems; (20) the costs and effects of legal and regulatory developments, the resolution of legal proceedings or regulatory or other governmental inquiries, the results of regulatory examinations or reviews and the ability to obtain required regulatory approvals; and (21) other risks and uncertainties described in the reports that First Commonwealth files with the Securities and Exchange Commission, including its most recent Annual Report on Form 10‐K. Forward-looking statements speak only as of the date on which they are made. First Commonwealth undertakes no obligation to update

any forward-looking statements to reflect circumstances or events that occur after the date the forward-looking statements are made.

Contact:

Investor Relations:

Ryan M. Thomas

Vice President / Finance and Investor Relations

724-463-1690

RThomas1@fcbanking.com

###

FIRST COMMONWEALTH FINANCIAL CORPORATION
CONSOLIDATED FINANCIAL DATA
Unaudited
(dollars in thousands, except per share data)
	For the Three Months Ended									For the Nine Months Ended
	September 30,			June 30,			September 30,			September 30,			September 30,
	2015			2015			2014			2015			2014
SUMMARY RESULTS OF OPERATIONS
Net interest income (FTE)(1)	$	47,568		$	47,205		$	47,364		$	142,763		$	140,029
Provision for credit losses	4,621			3,038			2,073			8,818			8,621
Noninterest income	15,505			16,347			15,050			46,043			46,972
Noninterest expense	40,257			40,634			41,568			120,745			123,851
Net income	12,414			13,447			12,496			40,082			36,724
Earnings per common share (diluted)	$	0.14		$	0.15		$	0.13		$	0.45		$	0.39
KEY FINANCIAL RATIOS
Return on average assets	0.78		%	0.85		%	0.78		%	0.84		%	0.78		%
Return on average shareholders' equity	6.86		%	7.57		%	6.91		%	7.48		%	6.83		%
Return on average tangible common equity (9)	8.87		%	9.82		%	8.89		%	9.68		%	8.79		%
Efficiency ratio(2)	63.83		%	63.96		%	66.65		%	63.99		%	66.25		%
Net interest margin (FTE)(1)	3.25		%	3.26		%	3.26		%	3.29		%	3.28		%
Book value per common share	$	8.12		$	7.99		$	7.74
Tangible book value per common share(4)	6.30			6.16			5.99
Market value per common share	9.09			9.59			8.39
Cash dividends declared per common share	0.07			0.07			0.07			$	0.21		$	0.21
ASSET QUALITY RATIOS
Nonperforming loans as a percent of end-of-period loans (5)	0.89		%	1.00		%	1.03		%
Nonperforming assets as a percent of total assets (5)	0.81		%	0.82		%	0.85		%
Net charge-offs as a percent of average loans (annualized)	0.13		%	0.39		%	0.18		%
Allowance for credit losses as a percent of nonperforming loans (6)	118.84		%	106.26		%	112.21		%
Allowance for credit losses as a percent of end-of-period loans (6)	1.06		%	1.01		%	1.15		%
CAPITAL RATIOS
Shareholders' equity as a percent of total assets	11.3		%	11.3		%	11.2		%
Tangible common equity as a percent of tangible assets(3)	9.0		%	8.9		%	8.9		%
Leverage Ratio	10.1		%	10.0		%	9.8		%
Risk Based Capital - Tier I	11.5		%	11.5		%	11.7		%
Risk Based Capital - Total	12.5		%	12.4		%	12.8		%
Common Equity - Tier I	10.2		%	10.2		%	10.4		%
(5) - Includes held for sale loans.
(6) - Excludes held for sale loans.

FIRST COMMONWEALTH FINANCIAL CORPORATION
CONSOLIDATED FINANCIAL DATA
Unaudited
(dollars in thousands, except per share data)
	For the Three Months Ended								For the Nine Months Ended
	September 30,			June 30,		September 30,			September 30,			September 30,
	2015			2015		2014			2015			2014
INCOME STATEMENT
Interest income	$	50,501		$	50,150	$	51,089		$	151,736		$	151,761
Interest expense	3,816			3,780		4,536			11,509			14,234
Net Interest Income	46,685			46,370		46,553			140,227			137,527
Taxable equivalent adjustment(1)	883			835		811			2,536			2,502
Net Interest Income (FTE)	47,568			47,205		47,364			142,763			140,029
Provision for credit losses	4,621			3,038		2,073			8,818			8,621
Net Interest Income after Provision for Credit Losses (FTE)	42,947			44,167		45,291			133,945			131,408
Net securities gains	—			20		48			125			50
Trust income	1,614			1,476		1,678			4,511			4,587
Service charges on deposit accounts	4,081			3,872		4,099			11,271			12,032
Insurance and retail brokerage commissions	2,163			2,178		1,709			6,536			4,704
Income from bank owned life insurance	1,357			1,378		1,330			4,089			4,131
Gain on sale of loans	1,196			627		67			2,262			143
Gain on sale of other assets	444			354		675			1,022			4,345
Card related interchange income	3,637			3,729		3,599			10,784			10,620
Derivative mark-to-market	(783		)	593		(108		)	(420		)	175
Other income	1,796			2,120		1,953			5,863			6,185
Total Noninterest Income	15,505			16,347		15,050			46,043			46,972
Salaries and employee benefits	22,446			22,001		22,244			66,339			65,185
Net occupancy expense	3,291			3,316		3,180			10,518			9,969
Furniture and equipment expense (7)	2,670			2,630		4,471			7,980			15,050
Data processing expense	1,558			1,509		1,583			4,505			4,593
Pennsylvania shares tax expense	1,713			1,110		1,033			3,617			2,782
Advertising and promotion expense	789			637		861			1,946			2,346
Intangible amortization	157			156		174			469			530
Collection and repossession expense	801			917		783			2,229			1,941
Other professional fees and services	1,007			945		1,050			2,882			2,777
FDIC insurance	963			1,025		926			3,047			3,026
Operational losses (recoveries)	314			323		187			1,637			(273		)
Loss on sale or write-down of assets	140			1,635		61			2,037			1,241
Conversion related expenses (8)	—			—		783			—			1,676
Other operating expenses	4,408			4,430		4,232			13,539			13,008
Total Noninterest Expense	40,257			40,634		41,568			120,745			123,851
Income before Income Taxes	18,195			19,880		18,773			59,243			54,529
Taxable equivalent adjustment(1)	883			835		811			2,536			2,502
Income tax provision	4,898			5,598		5,466			16,625			15,303
Net Income	$	12,414		$	13,447	$	12,496		$	40,082		$	36,724
Shares Outstanding at End of Period	88,961,268			88,960,268		91,722,649			88,961,268			91,722,649
Average Shares Outstanding Assuming Dilution	88,813,746			88,939,003		92,578,701			89,531,498			93,632,783
(7) - Includes $1.4 million and $5.6 million of accelerated depreciation expense related to the technology conversion for the three and nine month periods ended September 30, 2014, respectively.
(8) - Does not include accelerated depreciation expense described in Note 7.

FIRST COMMONWEALTH FINANCIAL CORPORATION
CONSOLIDATED FINANCIAL DATA
Unaudited
(dollars in thousands)
	September 30,			June 30,			September 30,
	2015			2015			2014
BALANCE SHEET (Period End)
Assets
Cash and due from banks	$	69,235		$	64,321		$	78,696
Interest-bearing bank deposits	3,529			3,120			5,374
Securities available for sale, at fair value	1,104,709			1,143,072			1,383,768
Securities held to maturity, at amortized cost	154,035			131,780			—
Loans held for sale	4,986			9,817			1,305
Loans	4,575,735			4,490,854			4,411,481
Allowance for credit losses	(48,518		)	(45,344		)	(50,784		)
Net loans	4,527,217			4,445,510			4,360,697
Goodwill and other intangibles	162,625			162,781			160,152
Other assets	358,413			356,327			366,106
Total Assets	$	6,384,749		$	6,316,728		$	6,356,098
Liabilities and Shareholders' Equity
Noninterest-bearing demand deposits	$	1,077,234		$	1,068,230		$	995,014
Interest-bearing demand deposits	70,662			76,865			82,221
Savings deposits	2,427,326			2,441,888			2,363,464
Time deposits	586,268			623,124			931,689
Total interest-bearing deposits	3,084,256			3,141,877			3,377,374
Total deposits	4,161,490			4,210,107			4,372,388
Short-term borrowings	1,329,794			1,231,917			1,034,967
Long-term borrowings	111,219			111,356			188,706
Total borrowings	1,441,013			1,343,273			1,223,673
Other liabilities	59,478			52,142			50,553
Shareholders' equity	722,768			711,206			709,484
Total Liabilities and Shareholders' Equity	$	6,384,749		$	6,316,728		$	6,356,098

FIRST COMMONWEALTH FINANCIAL CORPORATION

CONSOLIDATED FINANCIAL DATA

Unaudited

(dollars in thousands)

	For the Three Months Ended												For the Nine Months Ended
	September 30,		Yield/		June 30,		Yield/		September 30,		Yield/		September 30,		Yield/		September 30,		Yield/
	2015		Rate		2015		Rate		2014		Rate		2015		Rate		2014		Rate
NET INTEREST MARGIN
Assets
Loans (FTE)(1)(5)	$	4,550,882	3.82	%	$	4,498,965	3.87	%	$	4,388,130	3.97	%	$	4,509,628	3.87	%	$	4,331,807	4.04	%
Securities and interest bearing bank deposits (FTE)(1)	1,248,495		2.40	%	1,308,016		2.33	%	1,383,554		2.28	%	1,298,397		2.45	%	1,370,331		2.28	%
Total Interest-Earning Assets (FTE)(1)	5,799,377		3.52	%	5,806,981		3.52	%	5,771,684		3.57	%	5,808,025		3.55	%	5,702,138		3.62	%
Noninterest-earning assets	543,632				554,175				553,384				546,103				557,971
Total Assets	$	6,343,009			$	6,361,156			$	6,325,068			$	6,354,128			$	6,260,109
Liabilities and Shareholders' Equity
Interest-bearing demand and savings deposits	$	2,504,516	0.11	%	$	2,526,744	0.11	%	$	2,466,127	0.10	%	$	2,510,814	0.11	%	$	2,511,615	0.10	%
Time deposits	659,445		0.63	%	694,725		0.69	%	954,474		0.98	%	714,005		0.70	%	1,065,458		1.00	%
Short-term borrowings	1,232,795		0.41	%	1,204,466		0.37	%	940,156		0.28	%	1,193,122		0.38	%	749,269		0.29	%
Long-term borrowings	111,285		2.78	%	122,410		2.57	%	199,435		1.79	%	126,896		2.50	%	208,818		1.75	%
Total Interest-Bearing Liabilities	4,508,041		0.34	%	4,548,345		0.33	%	4,560,192		0.39	%	4,544,837		0.34	%	4,535,160		0.42	%
Noninterest-bearing deposits	1,065,204				1,045,659				995,690				1,038,016				953,946
Other liabilities	51,586				55,042				51,327				55,075				52,001
Shareholders' equity	718,178				712,110				717,859				716,200				719,002
Total Noninterest-Bearing Funding Sources	1,834,968				1,812,811				1,764,876				1,809,291				1,724,949
Total Liabilities and Shareholders' Equity	$	6,343,009			$	6,361,156			$	6,325,068			$	6,354,128			$	6,260,109
Net Interest Margin (FTE) (annualized)(1)			3.25	%			3.26	%			3.26	%			3.29	%			3.28	%

FIRST COMMONWEALTH FINANCIAL CORPORATION
CONSOLIDATED FINANCIAL DATA
Unaudited
(dollars in thousands)
	September 30,			June 30,			September 30,
	2015			2015			2014
ASSET QUALITY DETAIL
Nonperforming Loans:
Loans on nonaccrual basis	$	20,220		$	21,776		$	27,310
Troubled debt restructured loans held for sale on nonaccrual basis	—			2,432			—
Troubled debt restructured loans on nonaccrual basis	8,583			8,619			6,783
Troubled debt restructured loans on accrual basis	12,024			12,276			11,164
Total Nonperforming Loans	$	40,827		$	45,103		$	45,257
Other real estate owned ("OREO")	10,542			6,539			7,751
Repossessions ("Repo")	357			348			902
Total Nonperforming Assets	$	51,726		$	51,990		$	53,910
Loans past due in excess of 90 days and still accruing	$	2,054		$	1,592		$	2,374
Classified loans	81,723			79,924			63,724
Criticized loans	136,919			120,506			139,449
Nonperforming assets as a percentage of total loans, plus OREO and Repos	1.13		%	1.16		%	1.22		%
Allowance for credit losses	$	48,518		$	45,344		$	50,784
	For the Three Months Ended									For the Nine Months Ended
	September 30,			June 30,			September 30,			September 30,			September 30,
	2015			2015			2014			2015			2014
Net Charge-offs (Recoveries):
Commercial, financial, agricultural and other	$	75		$	2,702		$	294		$	7,657		$	7,732
Real estate construction	—			(84		)	(132		)	(84		)	(173		)
Commercial real estate	528			471			635			1,063			677
Residential real estate	123			341			454			934			1,866
Loans to individuals	721			961			763			2,781			1,960
Net Charge-offs	$	1,447		$	4,391		$	2,014		$	12,351		$	12,062
Net charge-offs as a percentage of average loans outstanding (annualized)	0.13		%	0.39		%	0.18		%	0.37		%	0.37		%
Provision for credit losses as a percentage of net charge-offs	319.35		%	69.19		%	102.93		%	71.40		%	71.47		%
Provision for credit losses	$	4,621		$	3,038		$	2,073		$	8,818		$	8,621

FIRST COMMONWEALTH FINANCIAL CORPORATION

CONSOLIDATED FINANCIAL DATA

Unaudited

(dollars in thousands, except per share data)

RECONCILIATION OF NON-GAAP MEASURES
(1) Net interest income has been computed on a fully taxable equivalent basis ("FTE") using the 35% federal income tax statutory rate
(2) Efficiency ratio is "total noninterest expense" as a percentage of total revenue. Total revenue consists of "net interest income, on a fully taxable equivalent basis," plus "total noninterest income," excluding "net impairment losses" and "net securities gains."
	September 30,			June 30,			September 30,
	2015			2015			2014
Tangible Equity:
Total shareholders' equity	$	722,768		$	711,206		$	709,484
Less: intangible assets	162,625			162,781			160,152
Tangible Equity	560,143			548,425			549,332
Less: preferred stock	—			—			—
Tangible Common Equity	$	560,143		$	548,425		$	549,332
Tangible Assets:
Total assets	$	6,384,749		$	6,316,728		$	6,356,098
Less: intangible assets	162,625			162,781			160,152
Tangible Assets	$	6,222,124		$	6,153,947		$	6,195,946
(3)Tangible Common Equity as a percentage of
Tangible Assets	9.00		%	8.91		%	8.87		%
Shares Outstanding at End of Period	88,961,268			88,960,268			91,722,649
(4)Tangible Book Value Per Common Share	$	6.30		$	6.16		$	5.99
Note: Management believes that it is a standard practice in the banking industry to present these non-gaap measures. These measures provide useful information to management and investors by allowing them to make peer comparisons.
	For the Three Months Ended									For the Nine Months Ended
	September 30,			June 30,			September 30,			September 30,			September 30,
	2015			2015			2014			2015			2014
Average Tangible Equity:
Total shareholders' equity	$	718,178		$	712,110		$	717,859		$	716,200		$	719,002
Less: intangible assets	162,709			162,865			160,237			162,864			160,603
Tangible Equity	555,469			549,245			557,622			553,336			558,399
Less: preferred stock	—			—			—			—			—
Tangible Common Equity	$	555,469		$	549,245		$	557,622		$	553,336		$	558,399
(9)Return on Average Tangible Common Equity	8.87		%	9.82		%	8.89		%	9.68		%	8.79		%