8-K 1 form8k3rdqtrearnings2004.htm

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 21, 2004

CNB FINANCIAL CORPORATION
(Exact name of Registrant as specified in its Charter)

Pennsylvania 2-88511  25-1450605
(State or other jurisdiction
of incorporation) 		(SEC File No.)     (IRS Employer
Identification Number)

County National Bank
1 South Second Street
PO Box 42
Clearfield, Pennsylvania 16830
(Address of principal executive offices)

        Registrant’s telephone number, including area code: (814) 765-9621

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Item 2.02 Financial Statements, Pro Forma Financial Information and Exhibits

       (a)  Financial Statements: None

       (b)  Exhibits:

                 99  Press Release Announcing: Third Quarter Earnings

Item 12. Press Releases

        CNB Financial Corporation, the parent company of County National Bank, today announced reported earnings for the quarter ended September 30, 2004 and for the nine months ended September 30, 2004.  

SIGNATURE

        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, thereunto duly authorized.

         CNB Financial Corporation

Date: October 22, 2004 By: /s/ Joseph B. Bower, Jr.
            Joseph B. Bower, Jr.
            Treasurer

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Exhibit 99

News Release

    CCNE
      NASDAQ
       L I S T E D
Contact:  Joseph B. Bower
                Treasurer
                 (814) 765-9621
 FOR IMMEDIATE RELEASE

CNB FINANCIAL CORPORATION REPORTS THIRD QUARTER EARNINGS FOR 2004
Clearfield, Pennsylvania – October, 2004

CNB Financial Corporation, the parent company of County National Bank, today announced reported earnings of $2.0 million or $0.22 diluted earnings per share for the quarter ended September 30, 2004, compared to $2.4 million or $0.26 diluted earnings per share for the same quarter of 2003.

Year to date earnings for 2004 are $6.1 million compared to $6.7 million in the same period of 2003, impacted in part by a decline of $400,000 in fee income resulting from sharply lower mortgage lending activity.

William F. Falger, President and Chief Executive Officer, commented, “Our third quarter net income showed modest improvement over the first two quarters of the year primarily due to asset growth, however year to date income continues to lag behind last year due to the impact of the current low interest rate environment. We continue to focus on our future growth with the recent groundbreaking for a 3,500 square foot banking facility in Warren and a new 2,200 square foot branch in St. Marys, Pennsylvania.”

Financial Highlights (in thousands) (unaudited)

Consolidated Balance Sheets                                                         30-Sept-04              31-Dec-03          30-Sept-03
                                                                                                    Consolidated         Consolidated       Consolidated

Assets                
Cash and due from banks   $ 14,939   $ 15,239   $ 14,295  
Interest-bearing deposits    5,081    1,590    2,012  
     CASH & CASH EQUIVALENTS    20,020    16,829    16,307  
Securities available for sale    155,638    180,055    183,808  
     NET LOANS    480,134    452,485    441,062  
FHLB & Federal Reserve Stock    5,174    5,032    4,977  
Premises & Equipment, Net    13,500    12,934    12,902  
Bank Owned Life Insurance    13,058    12,682    12,544  
Intangible, net    11,898    12,197    12,304  
Accrued Interest & Other Assets    9,791    9,538    10,084  
     TOTAL ASSETS   $ 709,213   $ 701,752   $ 693,988  
Liabilities  
Deposits  
  Non-interest bearing deposits   $ 73,653   $ 63,297   $ 60,556  
  Interest bearing deposits    508,540    512,141    508,723  
     TOTAL DEPOSITS    582,193    575,438    569,279  
Short-term borrowings    2,000    1,313    1,569  
Federal Home Loan Bank Advances    40,000    40,000    40,000  
Subordinated Debentures    10,310    10,310    10,310  
Accrued expenses and other liab    7,177    8,244    8,019  
     TOTAL LIABILITIES    641,680    635,305    629,177  
Shareholders' Equity  
Common stock, $1 par value    9,234    9,234    9,234  
Additional paid-in    4,289    4,123    4,054  
Retained earnings    53,736    51,247    50,040  
Treasury stock, 136,341 shares    (2,021 )  (1,309 )  (1,387 )
Accumulated other comprehensive income    2,295    3,152    2,870  
     TOTAL SHAREHOLDERS' EQUITY    67,533    66,447    64,811  
     TOTAL LIABILITIES & SHAREHOLDERS' EQUITY   $ 709,213   $ 701,752   $ 693,988  
Nonperforming Assets   $ 4,952   $ 3,235   $ 3,093  
% of Total Assets    0.70 %  0.46 %  0.45 %
Trust Assets   $ 188,409   $ 200,485   $ 201,729  

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Consolidated Income Statement                                              For Quarter Ended                     Year To Date
                                                                                        30-Sep-04         30-Sep-03        30-Sep-04       30-Sep-03

Interest Income                    
Loans including fees   $ 7,774   $ 7,623   $ 22,983   $ 22,865  
Deposits with banks    39    13    64    32  
Federal funds sold    4    55    29    147  
Securities    1,500    1,600    4746    5,359  
    TOTAL INTEREST AND DIVIDENDS    9,317    9,291    27,822    28,403  
Interest Expense  
Deposits    2,596    2,733    7,809    8,269  
Federal Home Loan Bank advances    517    513    1,548    1,528  
Subordinated Debentures    138    119    372    360  
   Total interest expense    3,251    3,365    9,729    10,157  
     NET INTEREST INCOME    6,066    5,926    18,093    18,246  
Provision for loan losses    200    200    800    1,280  
     NET INTEREST AFTER PROVISION    5,866    5,726    17,293    16,966  
Other Income  
Trust income    232    275    698    719  
Service charges on deposits    1,006    927    2,804    2,543  
Other charges and fees    115    120    352    408  
Realized security gains    152    16    316    167  
Gain on sale of loans    46    172    103    500  
BOLI    125    138    376    351  
Wealth Management    44    46    140    204  
Other    (3 )  202    192    412  
     TOTAL OTHER INCOME    1,717    1,896    4,981    5,304  
Non-Interest Expenses  
Salaries    1,739    1,714    5,201    5,064  
Benefits    795    652    2,200    1,961  
Occupancy, net    629    562    1,941    1,776  
Data Processing    354    368    1,091    1,074  
Amortization of intangible    125    135    381    385  
Director's Fees    90    95    226    361  
Total other expenses    1,229    988    3,370    2,823  
     Total non-interest expenses    4,961    4,514    14,410    13,444  
     NET INCOME BEFORE TAXES    2,622    3,108    7,864    8,826  
Federal income tax    590    728    1,801    2,154  
     NET INCOME   $ 2,032   $ 2,380   $ 6,063   $ 6,672  
Earnings Per Share, Fully diluted   $ 0.22   $ 0.26   $ 0.66   $ 0.73  
Dividends Per Share   $ 0.13   $ 0.11   $ 0.39   $ 0.34  
Return on Average Assets (ROA)    .          1.15 %  1.30 %
Return on Average Equity (ROE)              12.57 %  14.81 %

Note: This press release may contain forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Actual results and trends could differ materially from those set forth in such statements due to various factors. These factors include operating, legal and regulatory risks; changing economic competitive conditions; and other risks and uncertainties.

County National Bank’s website is www.bankcnb.com.

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