ex99-1.htm

Charleston, West Virginia – City Holding Company, “the Company” (NASDAQ:CHCO), a $2.6 billion bank holding company headquartered in Charleston, today announced net income per diluted share for the first quarter of $0.58 compared to $0.69 per diluted share in the first quarter of 2009. Net income for the first quarter of 2010 was $9.3 million compared to $10.9 million in the first quarter of 2009. For the first quarter of 2010, the Company achieved a return on assets of 1.42%, a return on tangible equity of 14.6%, a net interest margin of 4.14%, and an efficiency ratio of 54.9%. This compares with a return on assets of 1.70%, a return on equity of 19.1%, a net interest margin of 4.46%, and an efficiency ratio of 47.7% for the comparable period of 2009.

City’s CEO Charles Hageboeck stated that, “As the U.S. economy continues to recover, City’s results continue to be quite favorable compared to our peers in the banking industry. Our asset quality continues to improve with net charge-offs, non-performing assets, and past due loans all improving as compared to December 31, 2009. This continued improvement is due to the relative stability of the markets we do business within and our disciplined lending model. While West Virginia’s unemployment rate of 9.5% approximates the national unemployment rate of 9.7% for February 2010, West Virginia‘s foreclosure rate for January 2010 of 0.08% is well below the national average of 0.24%. City’s most significant asset quality problems continue to be non-owner occupied residential construction at The Greenbrier Resort in White Sulphur Springs, West Virginia and real estate in the Eastern Panhandle of West Virginia, a distant part of the Washington DC metropolitan area. These properties account for approximately 66% of City’s nonperforming assets at March 31, 2010. During the second quarter of 2010, a Greenbrier property held in the Company’s loan portfolio sold at a value that approximated the Company’s recorded value in such property.

“City continues to maintain healthy capital, strong liquidity, and a stable core-deposit franchise, with an asset sensitive balance sheet that is poised to benefit from future interest rate increases. We remain well prepared to build our company’s future while our competitors struggle to work through liquidity and asset quality issues. Our quarterly dividend of 34 cents per share has been maintained while many of our peers have eliminated or significantly reduced dividends to shareholders. City remains one of the most profitable and best capitalized publicly traded banks in the U.S. and is well positioned to assist our shareholders and customers through the current difficult economic environment,” Hageboeck concluded.

The Company’s tax equivalent net interest income decreased $1.2 million, or 4.9%, from $25.0 million during the first quarter of 2009 to $23.8 million during the first quarter of 2010. This decline is due to a decrease in interest income associated with the gain from the sale of interest rate floors. During the third and fourth quarters of 2008, the Company sold $450 million of interest rate floors. The $16.7 million gain from sales of these interest rate floors is being recognized over the remaining lives of the various hedged loans – primarily prime-based commercial and home equity loans. During the first quarter of 2010, the Company recognized $1.5 million of interest income compared to $2.9 million of interest income recognized in the first quarter of 2009 from the interest rate floors. The Company’s reported net interest margin decreased from 4.46% for the quarter ended March 31, 2009 to 4.14% for the quarter ended March 31, 2010.

As a result of the Company’s quarterly analysis of the adequacy of the ALLL, the Company recorded a provision for loan losses of $1.1 million in the first quarter of 2010 compared to $1.7 million for the comparable period in 2009. The provision for loan losses recorded during the first quarter of 2010 reflects the decrease in commercial charge-offs during the quarter. Changes in the amount of the provision and related allowance are based on the Company’s detailed systematic methodology and are directionally consistent with changes in the composition and quality of the Company’s loan portfolio. The Company believes its methodology for determining the adequacy of its ALLL adequately provides for probable losses inherent in the loan portfolio and produces a provision and allowance for loan losses that is directionally consistent with changes in asset quality and loss experience.

During the first quarter of 2010, the Company recorded $1.7 million of credit-related net investment impairment losses. The charges deemed to be other than temporary were related to pooled bank trust preferreds ($0.8 million credit-related net impairment losses) with a remaining book value of $6.8 million at March 31, 2010, single issuer bank trust preferreds ($0.6 million credit-related net impairment losses) with a remaining book value of $87.2 million at March 31, 2010, and community bank and bank holding company equity positions ($0.3 million credit-related net impairment losses) with remaining book value of $5.4 million at March 31, 2010. The credit-related net impairment charges related to the pooled bank trust preferred securities and single issuer bank trust preferred securities (Cascade Capital Trust I issued by Cascade Financial Corporation of Everett, Washington) were based on the Company’s quarterly reviews of its investment securities for indications of losses considered to be other than temporary. Based on management’s assessment of the securities the Company owns, the seniority position of the securities within the pools, the level of defaults and deferred payments within the pools, and a review of the financial strength of the banks within the respective pools, management concluded that credit-related net impairment charges of $0.8 million and $0.6 million on the pooled bank trust preferred securities and single issuer bank trust preferred securities, respectively, were appropriate for the quarter ended March 31, 2010. The credit-related net impairment charges of $0.3 million related to the Company’s equity position in First United Corporation of Oakland, Maryland. The Company impaired this equity position due to the length of time and extent to which the market value of this security has been below the Company’s cost basis in this equity security.

Non-interest expenses increased $1.7 million from $18.8 million in the first quarter of 2009 to $20.5 million in the first quarter of 2010. Insurance and regulatory expense increased $0.8 million, or 215.7%, from the quarter ended March 31, 2009 primarily as a result of the Company fully utilizing its FDIC credits and increases in the assessment rates during 2009. In addition, repossessed asset losses increased $0.8 million primarily due to the write down of a foreclosed property located in the northern panhandle of West Virginia. This write-down was due to the results of an updated appraisal obtained on this property. The Company continually reevaluates the recorded value of properties that it has repossessed by obtaining updated appraisals on at least an annual basis. As a result of this write down, this foreclosed property is now valued at approximately one-half of its original cost.

One of the Company’s strengths is that it is highly profitable while maintaining strong liquidity and capital. With respect to liquidity, the Company’s loan to deposit ratio was 81.8% and the loan to asset ratio was 67.8% at March 31, 2010. The Company maintained investment securities totaling 20.9% of assets as of this date. Further, the Company’s deposit mix is weighted heavily toward checking and saving accounts that fund 45.4% of assets at March 31, 2010. Time deposits fund 37.5% of assets at March 31, 2010, but very few of these deposits are in accounts that have balances of more than $150,000, reflecting the core retail orientation of the Company.

The Company is also strongly capitalized. The Company’s tangible equity ratio remained at 9.8% at both March 31, 2010 and December 31, 2009. At March 31, 2010, City National Bank’s Leverage Ratio is 8.82%, its Tier I Capital ratio is 11.80%, and its Total Risk-Based Capital ratio is 12.80%. These regulatory capital ratios are significantly above levels required to be considered “well capitalized,” which is the highest possible regulatory designation. Further, the Company has not achieved strong bank capital through the excessive issuance of trust preferred debt by the bank holding company or by participation in the Troubled Asset Relief Program (“TARP”).

This news release contains certain forward-looking statements that are included pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such information involves risks and uncertainties that could result in the Company's actual results differing from those projected in the forward-looking statements. Important factors that could cause actual results to differ materially from those discussed in such forward-looking statements include, but are not limited to, (1) the Company may incur additional loan loss provision due to negative credit quality trends in the future that may lead to a deterioration of asset quality; (2) the Company may incur increased charge-offs in the future; (3) the Company may experience increases in the default rates on previously securitized loans that would result in impairment losses or lower the yield on such loans; (4) the Company may not continue to benefit from strong recovery efforts on previously securitized loans resulting in improved yields on these assets; (5) the Company could have adverse legal actions of a material nature; (6) the Company may face competitive loss of customers; (7) the Company may be unable to manage its expense levels; (8) the Company may have difficulty retaining key employees; (9) changes in the interest rate environment may have results on the Company’s operations materially different from those anticipated by the Company’s market risk management functions; (10) changes in general economic conditions and increased competition could adversely affect the Company’s operating results; (11) changes in other regulations and government policies affecting bank holding companies and their subsidiaries, including changes in monetary policies, could negatively impact the Company’s operating results; (12) the Company may experience difficulties growing loan and deposit balances; (13) the current economic environment poses significant challenges for us and could adversely affect our financial condition and results of operations; (14) continued deterioration in the financial condition of the U.S. banking system may impact the valuations of investments the Company has made in the securities of other financial institutions resulting in either actual losses or other than temporary impairments on such investments; and (15) the United States government’s plan to purchase large amounts of illiquid, mortgage-backed and other securities from financial institutions may not be effective and/or it may not be available to us. Forward-looking statements made herein reflect management's expectations as of the date such statements are made. Such information is provided to assist stockholders and potential investors in understanding current and anticipated financial operations of the Company and is included pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. The Company undertakes no obligation to update any forward-looking statement to reflect events or circumstances that arise after the date such statements are made.

CITY HOLDING COMPANY AND SUBSIDIARIES
Financial Highlights
(Unaudited)


	Three Months Ended March 31,						Percent
	2010			2009			Change

Earnings ($000s, except per share data):
Net Interest Income (FTE)	$	23,746		$	24,974			(4.92	)%
Net Income available to common shareholders		9,313			10,924			(14.75	)%
Earnings per Basic Share		0.59			0.69			(14.49	)%
Earnings per Diluted Share		0.58			0.69			(15.94	)%


Key Ratios (percent):
Return on Average Assets		1.42	%		1.70	%		(16.68	)%
Return on Average Tangible Equity		14.57	%		19.10	%		(23.69	)%
Net Interest Margin		4.14	%		4.46	%		(7.13	)%
Efficiency Ratio		54.87	%		47.67	%		15.10	%
Average Shareholders' Equity to Average Assets		11.87	%		11.12	%		6.72	%

Consolidated Risk Based Capital Ratios (a):
Tier I		13.67	%		12.33	%		10.87	%
Total		14.65	%		13.49	%		8.60	%

Tangible Equity to Tangible Assets		9.79	%		8.99	%		8.98	%


Common Stock Data:
Cash Dividends Declared per Share	$	0.34		$	0.34			-
Book Value per Share		19.71			17.87			10.29	%
Tangible Book Value per Share		16.11			14.27			12.93	%
Market Value per Share:
High		34.92			33.41			4.52	%
Low		30.37			20.88			45.45	%
End of Period		34.29			26.68			28.52	%

Price/Earnings Ratio (b)		14.53			9.67			50.31	%


(a) March 31, 2010 risk-based capital ratios are estimated
(b) March 31, 2010 price/earnings ratio computed based on annualized first quarter 2010 earnings

CITY HOLDING COMPANY AND SUBSIDIARIES
Financial Highlights
(Unaudited)



Book Value and Market Price Range per Share
										Market Price
	Book Value per Share									Range per Share
	March 31		June 30		September 30			December 31		Low		High

2006	$	16.17	$	16.17	$	16.99		$	17.46	$	34.53	$	41.87
2007		17.62		17.40		17.68			18.14		31.16		41.54
2008		18.92		18.72		17.61			17.58		29.08		42.88
2009		17.69		18.24		18.95			19.40		20.88		34.34
2010		19.71									30.37		34.92


Earnings per Basic Share

	Quarter Ended
	March 31		June 30		September 30			December 31		Year-to-Date

2006	$	0.71	$	0.78	$	0.78		$	0.74	$	3.00
2007		0.76		0.72		0.76			0.78		3.02
2008		0.81		0.83		(0.16	)		0.26		1.74
2009		0.69		0.64		0.66			0.70		2.69
2010		0.59									0.59


Earnings per Diluted Share

	Quarter Ended
	March 31		June 30		September 30			December 31		Year-to-Date

2006	$	0.71	$	0.77	$	0.77		$	0.74	$	2.99
2007		0.76		0.72		0.76			0.78		3.01
2008		0.80		0.83		(0.16	)		0.26		1.74
2009		0.69		0.64		0.66			0.70		2.68
2010		0.58									0.58

CITY HOLDING COMPANY AND SUBSIDIARIES
Consolidated Statements of Income
(Unaudited) ($ in 000s, except per share data)

	Three Months Ended March 31,
	2010			2009

Interest Income
Interest and fees on loans	$	24,854		$	28,058
Interest on investment securities:
Taxable		5,611			6,062
Tax-exempt		470			409
Interest on deposits in depository institutions		-			5
Total Interest Income		30,935			34,534

Interest Expense
Interest on deposits		7,184			9,373
Interest on short-term borrowings		100			153
Interest on long-term debt		160			254
Total Interest Expense		7,444			9,780
Net Interest Income		23,491			24,754
Provision for loan losses		1,080			1,650
Net Interest Income After Provision for Loan Losses		22,411			23,104

Non-Interest Income
Total investment securities impairment losses		(3,203	)		(2,157	)
Noncredit impairment losses recognized in other comprehensive income		1,552			-
Net investment securities impairment losses		(1,651	)		(2,157	)
Gain on sale of investment securities		-			82
Service charges		10,228			10,435
Insurance commissions		1,397			1,933
Trust and investment management fee income		862			707
Bank owned life insurance		728			732
Other income		548			701
Total Non-Interest Income		12,112			12,433

Non-Interest Expense
Salaries and employee benefits		9,749			9,583
Occupancy and equipment		2,045			1,909
Depreciation		1,218			1,211
Professional fees		363			453
Postage, delivery, and statement mailings		609			718
Advertising		913			863
Telecommunications		451			420
Bankcard expenses		476			648
Insurance and regulatory		1,187			376
Office supplies		493			531
Repossessed asset losses, net of expenses		946			129
Other expenses		2,101			1,993
Total Non-Interest Expense		20,551			18,834
Income Before Income Taxes		13,972			16,703
Income tax expense		4,659			5,779
Net Income Available to Common Shareholders	$	9,313		$	10,924

Basic earnings per common share	$	0.59		$	0.69
Diluted earnings per common share	$	0.58		$	0.69
Average Common Shares Outstanding:
Basic		15,793			15,921
Diluted		15,851			15,933

CITY HOLDING COMPANY AND SUBSIDIARIES
Consolidated Statements of Changes in Stockholders' Equity
(Unaudited) ($ in 000s)


	Three Months Ended
	March 31, 2010			March 31, 2009

Balance at January 1	$	307,735		$	284,296

Net income		9,313			10,924
Other comprehensive income:
Change in unrealized gain (loss) on securities available-for-sale		3,136			(2,616	)
Change in unrealized (loss) on interest rate floors		(912	)		(1,786	)
Cash dividends declared ($0.34/share)		(5,373	)		(5,410	)
Issuance of stock award shares, net		371			275
Exercise of 200 stock options		3			-
Exercise of 300 stock options		-			3
Purchase of 84,015 common shares of treasury		(2,605	)		-
Purchase of 49,363 common shares of treasury		-			(1,242	)
Balance at March 31	$	311,668		$	284,444

CITY HOLDING COMPANY AND SUBSIDIARIES
Condensed Consolidated Quarterly Statements of Income
(Unaudited) ($ in 000s, except per share data)

	Quarter Ended
	March 31			December 31			September 30			June 30			March 31
	2010			2009			2009			2009			2009

Interest income	$	30,935		$	31,887		$	32,651		$	32,964		$	34,534
Taxable equivalent adjustment		255			234			236			219			220
Interest income (FTE)		31,190			32,121			32,887			33,183			34,754
Interest expense		7,444			8,302			8,995			9,526			9,780
Net interest income		23,746			23,819			23,892			23,657			24,974
Provision for loan losses		1,080			1,575			1,675			2,150			1,650
Net interest income after provision
for loan losses		22,666			22,244			22,217			21,507			23,324

Noninterest income		12,112			12,923			12,340			14,287			12,433
Noninterest expense		20,551			19,216			18,802			20,336			18,834
Income before income taxes		14,227			15,951			15,755			15,458			16,923
Income tax expense		4,659			4,639			5,022			5,093			5,779
Taxable equivalent adjustment		255			234			236			219			220
Net income available to common shareholders	$	9,313		$	11,078		$	10,497		$	10,146		$	10,924



Basic earnings per common share	$	0.59		$	0.70		$	0.66		$	0.64		$	0.69
Diluted earnings per common share		0.58			0.70			0.66			0.64			0.69
Cash dividends declared per share		0.34			0.34			0.34			0.34			0.34


Average Common Share (000s):
Outstanding		15,793			15,838			15,893			15,908			15,921
Diluted		15,851			15,897			15,952			15,949			15,933

Net Interest Margin		4.14	%		4.07	%		4.09	%		4.12	%		4.46	%

CITY HOLDING COMPANY AND SUBSIDIARIES
Non-Interest Income and Non-Interest Expense
(Unaudited) ($ in 000s)

	Quarter Ended
	March 31			December 31			September 30			June 30			March 31
	2010			2009			2009			2009			2009

Non-Interest Income:
Service charges	$	10,228		$	11,628		$	11,689		$	11,261		$	10,435
Insurance commissions		1,397			1,110			1,208			1,325			1,933
Trust and investment management fee income		862			549			590			497			707
Bank owned life insurance		728			753			794			992			732
Other income		548			320			379			544			701
Subtotal		13,763			14,360			14,660			14,619			14,508
Investment securities (losses)		(1,651	)		(1,437	)		(2,320	)		(332	)		(2,075	)
Total Non-Interest Income	$	12,112		$	12,923		$	12,340		$	14,287		$	12,433

Non-Interest Expense:
Salaries and employee benefits	$	9,749		$	8,523		$	9,623		$	9,797		$	9,583
Occupancy and equipment		2,045			1,947			1,953			1,880			1,909
Depreciation		1,218			1,180			1,171			1,184			1,211
Professional fees		363			439			216			397			453
Postage, delivery, and statement mailings		609			573			611			698			718
Advertising		913			830			883			927			863
Telecommunications		451			455			476			514			420
Bankcard expenses		476			570			695			686			648
Insurance and regulatory		1,187			1,014			411			1,578			376
Office supplies		493			484			520			470			531
Repossessed asset losses, net of expenses		946			321			136			86			129
Other expenses		2,101			2,880			2,107			2,119			1,993
Total Non-Interest Expense	$	20,551		$	19,216		$	18,802		$	20,336		$	18,834




Employees (Full Time Equivalent)		815			809			814			831			830
Branch Locations		67			67			68			69			69

CITY HOLDING COMPANY AND SUBSIDIARIES
Consolidated Balance Sheets
($ in 000s)
	March 31			December 31
	2010			2009
	(Unaudited)
Assets
Cash and due from banks	$	43,309		$	59,116
Interest-bearing deposits in depository institutions		5,055			3,519
Cash and cash equivalents		48,364			62,635

Investment securities available-for-sale, at fair value		528,325			485,767
Investment securities held-to-maturity, at amortized cost		27,244			28,164
Total investment securities		555,569			513,931

Gross loans		1,801,840			1,792,434
Allowance for loan losses		(18,982	)		(18,687	)
Net loans		1,782,858			1,773,747

Bank owned life insurance		74,116			73,388
Premises and equipment		64,188			64,193
Accrued interest receivable		8,623			7,969
Net deferred tax assets		28,331			29,480
Intangible assets		56,900			57,010
Other assets		39,219			40,121
Total Assets	$	2,658,168		$	2,622,474

Liabilities
Deposits:
Noninterest-bearing	$	337,180		$	328,440
Interest-bearing:
Demand deposits		477,722			457,293
Savings deposits		391,383			379,893
Time deposits		996,214			998,096
Total deposits		2,202,499			2,163,722
Short-term borrowings		107,783			118,329
Long-term debt		16,937			16,959
Other liabilities		19,281			15,729
Total Liabilities		2,346,500			2,314,739

Stockholders' Equity
Preferred stock, par value $25 per share: 500,000 shares authorized; none issued		-			-
Common stock, par value $2.50 per share: 50,000,000 shares authorized;
18,499,282 shares issued at March 31, 2010 and December 31, 2009
less 2,686,427 and 2,616,161 shares in treasury, respectively		46,249			46,249
Capital surplus		101,699			101,750
Retained earnings		257,107			253,167
Cost of common stock in treasury		(93,057	)		(90,877	)
Accumulated other comprehensive (loss):
Unrealized gain/(loss) on securities available-for-sale		1,256			(1,880	)
Unrealized gain on derivative instruments		2,151			3,063
Underfunded pension liability		(3,737	)		(3,737	)
Total Accumulated Other Comprehensive (Loss)		(330	)		(2,554	)
Total Stockholders' Equity		311,668			307,735
Total Liabilities and Stockholders' Equity	$	2,658,168		$	2,622,474

CITY HOLDING COMPANY AND SUBSIDIARIES
Investment Portfolio
(Unaudited) ($ in 000s)

	Original Cost		Other Than Temporary Credit Impairment Charges through March 31, 2010			Unrealized Gains (Losses)			Carrying Value

Mortgage Backed Securities		280,790		-			8,902			289,692
Municipal Bonds		54,460		-			710			55,170
Pooled Bank Trust Preferreds		29,615		(18,223	)		(4,576	)		6,817
Single Issuer Bank Trust Preferreds,
Subdebt of Financial Institutions, and
Bank Holding Company Preferred Stocks		106,986		(1,638	)		36			105,384
Money Markets and Mutual Funds		80,173		-			(10	)		80,164
Federal Reserve Bank and FHLB stock		12,942		-			-			12,942
Community Bank Equity Positions		10,089		(1,749	)		(2,939	)		5,401
Total Investments	$	575,055	$	(21,610	)	$	2,124		$	555,569

CITY HOLDING COMPANY AND SUBSIDIARIES
Loan Portfolio
(Unaudited) ($ in 000s)

	March 31		December 31		September 30		June 30			March 31
	2010		2009		2009		2009			2009

Residential real estate	$	597,429	$	595,678	$	590,653	$	596,925		$	599,692
Home equity		398,443		398,752		396,648		392,751			389,453
Commercial, financial, and agriculture		761,223		752,052		762,194		747,886			753,234
Installment loans to individuals		43,597		44,239		45,309		45,550			45,175
Previously securitized loans		1,148		1,713		2,580		3,223			3,754
Gross Loans		1,801,840	$	1,792,434	$	1,797,384	$	1,786,335		$	1,791,308






CITY HOLDING COMPANY AND SUBSIDIARIES
Previously Securitized Loans
(Unaudited) ($ in millions)
					Annualized		Effective
			December 31		Interest		Annualized
	Year Ended:		Balance (a)		Income (a)		Yield (a)

	2009		$	1.7	$	5.6		108	%
		2010		0.9		2.9		219	%
		2011		0.7		1.7		219	%
		2012		0.5		1.3		219	%
		2013		0.3		0.8		219	%

a - 2008 and 2009 amounts are based on actual results. 2010 amounts are based on actual results through March 31, 2010 and estimated amounts for the remainder of the year. 2011, 2012, and 2013 amounts are based on estimated amounts.

Note: The amounts reflected in the table above require management to make significant assumptions based on estimated future default, prepayment, and discount rates. Actual performance could be significantly different from that assumed, which could result in the actual results being materially different from the amounts estimated above.

CITY HOLDING COMPANY AND SUBSIDIARIES
Consolidated Average Balance Sheets, Yields, and Rates
(Unaudited) ($ in 000s)

	Three Months Ended March 31,
				2010								2009
	Average					Yield/			Average					Yield/
	Balance			Interest		Rate			Balance			Interest		Rate

Assets:
Loan portfolio:
Residential real estate	$	592,935		$	7,895		5.40	%	$	603,767		$	8,781		5.90	%
Home equity		397,690			5,358		5.46	%		386,653			6,143		6.44	%
Commercial, financial, and agriculture		753,548			9,910		5.33	%		756,201			10,875		5.83	%
Installment loans to individuals		47,520			913		7.79	%		47,566			1,118		9.53	%
Previously securitized loans		1,441			779		219.24	%		3,867			1,141		119.66	%
Total loans		1,793,134			24,855		5.62	%		1,798,054			28,058		6.33	%
Securities:
Taxable		477,632			5,611		4.76	%		430,734			6,062		5.71	%
Tax-exempt		49,635			724		5.92	%		37,558			629		6.79	%
Total securities		527,267			6,335		4.87	%		468,292			6,691		5.79	%
Deposits in depository institutions		4,773			-		0.00	%		4,826			5		0.42	%
Total interest-earning assets		2,325,174			31,190		5.44	%		2,271,172			34,754		6.21	%
Cash and due from banks		54,639								52,410
Bank premises and equipment		64,116								60,813
Other assets		207,817								211,000
Less: Allowance for loan losses		(19,108	)							(22,564	)
Total assets	$	2,632,638							$	2,572,831

Liabilities:
Interest-bearing demand deposits		456,969			350		0.31	%		416,695			463		0.45	%
Savings deposits		381,900			282		0.30	%		360,740			507		0.57	%
Time deposits		999,661			6,552		2.66	%		982,947			8,403		3.47	%
Short-term borrowings		110,163			100		0.37	%		147,510			153		0.42	%
Long-term debt		16,944			160		3.83	%		19,032			254		5.41	%
Total interest-bearing liabilities		1,965,637			7,444		1.54	%		1,926,924			9,780		2.06	%
Noninterest-bearing demand deposits		341,132								324,333
Other liabilities		13,343								35,392
Stockholders' equity		312,526								286,182
Total liabilities and
stockholders' equity	$	2,632,638							$	2,572,831
Net interest income				$	23,746							$	24,974
Net yield on earning assets							4.14	%							4.46	%

CITY HOLDING COMPANY AND SUBSIDIARIES
Analysis of Risk-Based Capital
(Unaudited) ($ in 000s)

	March 31			December 31			September 30			June 30			March 31
	2010 (a)			2009			2009			2009			2009

Tier I Capital:
Stockholders' equity	$	311,668		$	307,735		$	303,973		$	294,584		$	284,444
Goodwill and other intangibles		(56,705	)		(56,810	)		(56,928	)		(57,046	)		(57,165	)
Accumulated other comprehensive loss (income)		330			2,554			(330	)		5,970			10,844
Qualifying trust preferred stock		16,000			16,000			16,000			16,000			16,000
Unrealized Loss on AFS securities		(2,950	)		(3,531	)		(2,355	)		(4,146	)		(4,111	)
Excess deferred tax assets		(3,827	)		(3,412	)		(10,105	)		(14,804	)		(15,796	)
Total tier I capital	$	264,516		$	262,536		$	250,255		$	240,558		$	234,215


Total Risk-Based Capital:
Tier I capital	$	264,516		$	262,536		$	250,255		$	240,558		$	234,215
Qualifying allowance for loan losses		18,982			18,687			19,655			20,975			21,980
Total risk-based capital	$	283,498		$	281,223		$	269,910		$	261,533		$	256,195

Net risk-weighted assets	$	1,935,071		$	1,926,824		$	1,919,093		$	1,910,831		$	1,899,282


Ratios:
Average stockholders' equity to average assets		11.87	%		11.70	%		11.33	%		11.00	%		11.12	%
Tangible capital ratio		9.79	%		9.77	%		9.62	%		9.11	%		8.87	%
Risk-based capital ratios:
Tier I capital		13.67	%		13.63	%		13.04	%		12.59	%		12.33	%
Total risk-based capital		14.65	%		14.60	%		14.06	%		13.69	%		13.49	%
Leverage capital		10.28	%		10.23	%		9.79	%		9.47	%		9.37	%


(a) March 31, 2010 risk-based capital ratios are estimated




CITY HOLDING COMPANY AND SUBSIDIARIES
Intangibles
(Unaudited) ($ in 000s)

	As of and for the Quarter Ended
	March 31			December 31			September 30			June 30			March 31
		2010			2009			2009			2009			2009

Intangibles, net	$	56,900		$	57,010		$	57,127		$	57,244		$	57,362
Intangibles amortization expense		110			117			117			118			117

CITY HOLDING COMPANY AND SUBSIDIARIES
Summary of Loan Loss Experience
(Unaudited) ($ in 000s)

	Quarter Ended
	March 31			December 31			September 30			June 30			March 31
	2010			2009			2009			2009			2009

Balance at beginning of period	$	18,687		$	19,655		$	20,975		$	21,980		$	22,254

Charge-offs:
Commercial, financial, and agricultural		361			1,821			2,117			2,332			1,479
Real estate-mortgage		423			448			567			507			394
Installment loans to individuals		26			87			36			73			69
Overdraft deposit accounts		550			737			795			690			664
Total charge-offs		1,360			3,093			3,515			3,602			2,606

Recoveries:
Commercial, financial, and agricultural		9			88			27			91			29
Real estate-mortgage		23			31			19			(9	)		81
Installment loans to individuals		50			37			95			35			55
Overdraft deposit accounts		493			394			379			330			517
Total recoveries		575			550			520			447			682

Net charge-offs		785			2,543			2,995			3,155			1,924
Provision for loan losses		1,080			1,575			1,675			2,150			1,650
Balance at end of period	$	18,982		$	18,687		$	19,655		$	20,975		$	21,980

Loans outstanding	$	1,801,840		$	1,792,434		$	1,797,384		$	1,786,335		$	1,791,308
Average loans outstanding		1,793,134			1,792,759			1,803,611			1,794,022			1,798,054
Allowance as a percent of loans outstanding		1.05	%		1.04	%		1.09	%		1.17	%		1.23	%
Allowance as a percent of non-performing loans		132.62	%		133.06	%		118.88	%		96.80	%		107.44	%
Net charge-offs (annualized) as a percent of average loans outstanding		0.18	%		0.57	%		0.66	%		0.70	%		0.43	%
Net charge-offs, excluding overdraft deposit accounts, (annualized) as a percent of average loans outstanding		0.16	%		0.49	%		0.57	%		0.62	%		0.40	%

CITY HOLDING COMPANY AND SUBSIDIARIES
Summary of Non-Performing Assets
(Unaudited) ($ in 000s)

	March 31			December 31			September 30			June 30			March 31
	2010			2009			2009			2009			2009

Nonaccrual loans	$	14,008		$	13,583		$	16,423		$	20,956		$	20,007
Accruing loans past due 90 days or more		305			382			98			680			386
Previously securitized loans past due 90 days or more		-			79			12			32			64
Total non-performing loans		14,313			14,044			16,533			21,668			20,457
Other real estate owned, excluding property associated
with previously securitized loans		10,800			11,729			12,323			9,840			6,686
Other real estate owned associated with previously
securitized loans		-			-			-			189			374
Other real estate owned		10,800			11,729			12,323			10,029			7,060
Total non-performing assets	$	25,113		$	25,773		$	28,856		$	31,697		$	27,517

Non-performing assets as a percent of loans and
other real estate owned		1.39	%		1.43	%		1.59	%		1.76	%		1.53	%



CITY HOLDING COMPANY AND SUBSIDIARIES
Summary of Total Past Due Loans
(Unaudited) ($ in 000s)

	March 31			December 31			September 30			June 30			March 31
		2010			2009			2009			2009			2009

Residential real estate	$	3,850		$	3,830		$	3,167		$	5,029		$	5,882
Home equity		1,818			2,396			1,718			2,019			1,454
Commercial, financial, and agriculture		498			601			545			1,754			2,044
Installment loans to individuals		133			172			185			118			192
Previously securitized loans		539			1,023			1,054			878			818
Overdraft deposit accounts		326			461			510			526			410
Total past due loans	$	7,164		$	8,483		$	7,179		$	10,324		$	10,800