ex99-1.htm

KBW 2011 Boston Bank Conference

March 1-2, 2011

Forward Looking Statements

n 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 effects of the Wall
Street Reform and Consumer Protection Act (the “Dodd-Frank Act”) recently adopted by the Uniited
States Congress. 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.

n Total Assets $2.6 bil

n Branches 68

n FTE 805

n Market Cap $550 mil

n Institutional Ownership 65%

n Average Daily Volume $2.2 mil

Date: February 3, 2011

Value in the Banking Sector?
Checklist for success in current environment:

Capital

n Strongly capitalized

Markets

n Solid Distribution Network

n Stable Geographic Markets

n Disciplined Competition

Performance

n Strong Net Interest Margin

n Strong NIM Management

n Strong Fee income

n Ability to control expenses

Growth

n Liquidity to grow

n Ability to grow share in market

n Opportunity to grow into new markets

Management

City Holding Company:

n Markets: Operates an extremely strong
retail/commercial franchise in stable markets with
disciplined competition

n Asset Quality: Strong compared to peers and City’s
management has recognized and dealt with issues

n Performance: Has Consistently outperformed
peers with respect to earnings, capital, and liquidity

n Growth: Growing and succeeding in slow-growth
stable markets with targeted expansion into new
markets

1st Branch Share & 9% Deposit Share

in Huntington WV/Ashland KY MSA

$4.2Billion

1st Branch Share & 10% Deposit Share

in WV’s largest market; $5.7B

1st & 27% Deposit Share

$1.9 Billion

2ndBranch Share & 8% Deposit

Share in Morgan, Berkeley

& Jefferson Co. WV

$2.1Billion

Key Markets

Liabilities: Low Cost and stable

deposits drives profitability

Data: December 31, 2010

Net Interest Margin
Strong NIM driven by solid core deposit
franchise & strong NIM management

Strong Deposit Franchise drives top
decile Non-Interest Revenue:

24%

76%

63%

*As of December 31, 2009. Non-
interest income excludes other than
temporary impairment losses and
VISA IPO gain

Sample of 295 reporting publicly traded
banks and thrifts with assets between
$1 and $10 billion as of December 31,
2009, excluding investment
gains/losses

94th percentile

City’s Deposit Franchise:

n City’s Non-Interest Income represents 36% of total
revenues

n CHCO Ave Deposits/Branch $32 MM

n Peer Ave Deposits/Branch $41 MM

n Average Depository Hhlds/Branch 2,200

n Industry Ave. Hhlds per Branch* 1,220

As compared to other $2.6B banks, City has more
branches and in each of these branches, more
households than larger branches, resulting in City’s
exceptionally strong retail deposit franchise.

* FIS

Real-time Processing Implementation

n May 12, 2010: Implemented “Passport”
software providing “real-time” posting of
debits/credits intra-day

Regulation E Time-Line

n April 1, 2010: Began Communication Effort
regarding Regulation E

n 49% of customers made election prior to
implementation

n Implementation: August 14th

n Additional 4% of customers have made
election post-implementation

Regulation E

n Customers who have NEVER overdrawn their account:

u Response Rate: 37%

u Opt-In / Opt-Out / Force-out: 26% / 11% / 63%

n Customers who HAVE overdrawn their account:

u Response Rate: 86%

u Opt-In/ Opt-Out / Force-out: 75% / 11% / 14%

n Bottom Line Impact on Service Charges

4th Quarter 2009 $11.6 million

4th Quarter 2010 $9.6 million

Decrease: $2.0 million (17.23%)

Asset Quality: a function of culture
and market

• City’s Loans are 60% Retail/40% Commercial

• City’s market area tends to be more stable

• Real Estate prices in City’s market area have

been relatively stable

• City’s Past-due loan trends are stable

• City’s non-performing asset levels are

stronger than peers

• City has been aggressive about charging

down non-performing loans

Conservative Loan Portfolio Mix

Loan to Deposits 85.9%

Loan to Deposits 86.5%

Sample of 296 publicly traded banks
and thrifts with assets between $1-$10
billion as of December 31, 2009

As of December 31, 2010

Retail Loan Facts:

•Residential RE are 1,3,5 and 10 Yr ARMs

•No Sub-prime, Interest-only, Option Adjustable

•Home Equity loans include LOCs, fixed amortizing
loans, non-purchase adjustable loans

•65% of Home Equity Loans are 1st Lien Position

•66% of Home Equity Loans have a LTV < 80%.

•Ave Loan Balance for Residential RE is $78,000

•Ave Loan Balance for Home Equity loans is $35,000

Stable Past-Due Loans (30+ days)

Past-due loans trends are stable and reflect better
economics in City’s core markets

NPA’s to Loans & OREO

41%

39%

Commercial
$2.9MM

Net Charge-offs: 2010

Other 45%

Retail Charge-offs: 2010

Greenbrier Resort Speculative
Properties - 12/31/10

Original Loan Balances $ 11.0 MM

Current Loan Book Balance net of reserves $ 0.9 MM

OREO after Charge-off’s $ 5.6 MM

On-Balance Sheet: $ 6.5 MM

(59% of orig loan)

Sale of $1.7MM in 1st Quarter 2011

CHCO consistently strong performance:

	2005	2006	2007	2008	2009	2010	2010 Peers** Median
Reported ROA	2.09%	2.11%	2.03%	1.12%	1.63%	1.40%	0.88% - 95th %ile
ROTE	22.3%	22.4%	21.0%	11.4%	18.0%	15.1%	12.2% - 75th %ile
Tangible Common Equity/TA	9.5%	10.1%	9.7%	8.83%	9.78%	10.01%	9.19% - 85th %ile
NIM	4.49%	4.56%	4.34%	4.64%	4.18%	4.06%	3.98%- 55th %ile
Efficiency Ratio	46.7%	44.5%	45.9%	46.3%	50.0%	51.6%	58.9% - 95th %ile
Non-Int Rev/Total Rev*	34%	34%	34%	36%	37.9%	36.3%	28.3% -100th %ile

* Non-Int Rev excludes gain on Visa IPO; Securities Losses

•** Peer Group of 19 Regional Banks of comparable size & geography

GROWTH: CHCO is positioned
to achieve “reasonable growth”
in its core franchise:

n Commercial

n Retail

n Insurance

n Trust & Investment Management

Deposit Growth Opportunity:
CHCO has many small deposit
relationships; peers tend to have larger
commercial & public deposits

	Branches	Deposits	Deposits/Branch
CHCO	67	$ 2.2 B	$33 million
BBT	36	$ 3.3 B	$92 million
JPM	20	$ 1.2 B	$60 million
UBSI	20	$ 1.2 B	$60 million
HBAN	14	$ 0.9 B	$64 million
FITB	10	$ 0.4 B	$40 million

Includes branches within 5 miles of City Branch

Source: SNL

Growth: Expanding Retail Distribution
to capture additional retail households

City Opened 4 Wal-Marts in key markets
where it had significant share:

Branch Renovations/Expansions to
meet customer demand:

Sept 2010: Expansion into
South Charleston WV has
encouraging early results

CityInsurance

n 2006 Revenues $2.3 million

n 2007 $4.1 million

n 2008 $4.2 million

n 2009 $5.6 million

n 2010 $5.5 million

Strategies:

u 2007: Added Workers Compensation Dept in 2007

Added Personal Lines Department in 2007

Opened Beckley WV Office in 2007

u 2008: Opened Martinsburg Office in 4th Q 2008

Opened Ashland Office in 4th Q 2008

Acquired Nitro-based Patton Ins. Agency

Added enhanced Med Mal Representation

u 2009: Acquired Dickens & Clark Agency

u 2010: Acquired Ripley WV Insurance Office

Ashland KY Acquisition

Trust AUM: CAGR (04-10) of 10.4%
Grew AUM in 2008/10 despite market by taking share

CHCO: Capital Flexibility

Tangible Common Equity at 12/31/10: 10.01%

No TARP!!!!

Dividends

- Increased 10% in April 2004 to $0.88

- Increased 14% in April 2005 to $1.00

- Increased 12% in April 2006 to $1.12

- Increased 11% in April 2007 to $1.24

- Increased 10% in April 2008 to $1.36

- Dividend Yield of 3.90% (as of 2/03/11)

- Dividend Payout Ratio 55% (Analyst Est.EPS for 2010)

Share Repurchases

- Purchased 2.2 million shares between 2007-2010 (12.5%
of outstanding shares at 12/31/06)

- Driven by CHCO’s strong profitability, CHCO can
achieve greater long-term share repurchase activity
than peers.

Growth Per Share (12/31/04 - 12/31/10):

n Loans Per Share: 8.2% CAGR

n Deposits Per Share: 5.9% CAGR

n Non-Interest Inc Per Share: 3.1% CAGR

n Expenses Per Share: 4.3% CAGR

Implication: While CHCO operates in relatively
low growth markets, high profitability allows
share repurchases, which have driven core
earnings despite the economic environment of the
last several years

Acquisition Philosophy:

• City has historically been less acquisition
focused than peers - acquisitions must truly
be strategic or meaningfully accretive

• Going forward, City is likely to be more
acquisitive than historically due to an
increasing number of attractive
opportunities

• City will continue to explore both FDIC and
non-FDIC acquisitions

• City does not anticipate many FDIC-assisted
transactions within it’s “acquisition
footprint”

Acquisition Philosophy:

• City will actively consider acquisition of banks
in the $100 million to $1 billion range within its
“acquisition footprint”

• City will consider acquisition of certain under-
performing banks larger than $1 billion in
assets

• Future acquisitions should:

• Increase franchise in existing markets

• Extend franchise meaningfully into adjacent
markets

• Extend and balance City’s strong deposit &
stable market franchise into new markets
with meaningful long-term growth
opportunities

• Be accretive

Acquisition “Territory”:

An Experienced Management Team

TITLE EXPERIENCE AGE JOINED

n CEO PPLS; CHCO CFO,PHD 48 2001

n EVP-Retail PPLS 54 2001

n EVP-Comm One Valley; BB&T,CPA 60 2004

n CFO Public Accounting,CPA 45 2005

n CAO/CIO City National Bank 46 1989

n SVP-Branches BB&T 41 2001

n SVP- CCO United Bankshares,CPA 36 1998

n SVP- CRO BB&T 54 2001

n SVP Consumer Bank One 43 2001

n SVP Mortgage United Bankshares 58 2004

n SVP Trust City National Bank 55 1985

n SVP Insurance Rogers; Principal 40 2007

n Treasurer City National Bank 43 1990

Value in the Banking Sector?
Checklist for success in current environment:

Capital

n Strongly capitalized - Top 10%

Markets

n Solid Distribution Network - Excellent

n Stable Geographic Markets - Yes - WV & E Kentucky

n Disciplined Competition - Yes - see NIM

Performance

n Strong Net Interest Margin - Yes

n Strong NIM Management - See Results (Floors)

n Dependence on NII- Top Decile

n Ability to control expenses - Top Decile Efficiency Ratio

Growth

n Liquidity to grow - Extremely Strong

n Ability to grow share in market - 5-mile branch share 32%;
deposit share 14%

n Opportunity to grow into new markets - Well Positioned

n Management - Experienced Team with Great Results

Pricing Metrics*:

n Price to Book: 173%

n Price to Tangible Book: 211%

n Price to 2011 Projected Earnings** 14.2x

n Dividend Yield 3.9%

n Div Payout Ratio (First Call)** 55%

n Tangible Capital/Tangible Assets 10.01%

n Institutional Ownership 65%

* Based on Price of $35.07 (2/3/11)

** Based on analyst estimate of $2.47 (average of 7)

CHCO represents good value and stability

Reference Slides

Investment Portfolio at 12/31/10

	Original Cost	Other than Temporary Credit Impairment Charges (Cumm)	Unrealized Gains/ (Losses)	Carrying Value
Municipals	$ 66.1	$0	$0.3	$66.4
MBS	$267.1	$0	$7.9	$274.9
Pool Bank Trust Pfd	$ 27.1	($19.2)	($4.5)	$3.4
Single Issue Bank Trust Pfd; Bank Holding Company Pfd; Sub-debt of FI’s	$93.2	($1.7)	($1.5)	$90.1
Money Markets & Mutual Funds	$1.6	$0	$0	$1.6
Fed & FHLB Stock	$ 12.6	$0	$0	$12.6
Bank Equities	$ 10.3	($5.1)	($0.5)	$4.7

Previously Securitized Loans:

Core growth in revenues in 2003-2009 offset
lower earnings from PSL balances

	2004	2005	2006	2007	2008	2009	2010	2011 Proj
Average Balances	$83.5 MM	$42.9 MM	$22.3 MM	$10.5 MM	$5.2 MM	$3.9 MM	$1.2 MM	$0.7 MM
Rate	17.4%	26.6 %	42.2 %	69.1%	108%	128%	333%	200%
Gross Interest Revenue	$14.5 MM	$11.4 MM	$9.4 MM	$7.3 MM	$5.6 MM	$3.9 MM	$4.0 MM	$1.4 MM

- Purchased $600 million during 2005-2006
- Sold late 2008
- Positions CHCO for rising rates

Notional	Prime Rate	Term Date
$100MM	8%	June 2011
$100MM	7.75%	May 2011

Prime-based Floors:

CHCO is well positioned with respect to
interest rate risk:

Immediate Basis Point Change in Interest Rates	Estimated Increase or Decrease in Net Income between 1-12 months
+300 Bp	+10.9%
+200 Bp	6.2%
+100 Bp	0.9%

Data: December 31, 2010

Interest Rate Risk to Net
Interest Margin:

Interest Rate Risk Summary:

u CHCO is less dependent upon NII than its peers

t Fee income in top 10% of peer group

u CHCO’s NIM is strong relative to peers based
upon strong core deposit franchise

u In 4th Q of 2010, Prime-based floors will be
worth approx. 13 bp of NIM

u In 4th Q of 2010, Previously Securitized Loans
will be worth approx 12 bp of NIM

u CHCO is positioned to benefit from economic
recovery and higher interest rates:

t An increase of 300 Bp in rates would result in
an approx increase of 30 bp of NIM