Company: CCNE
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0000736772-25-000169
Chunk: 51

Company: CNB FINANCIAL CORP/PA
Filing Date: 2025-08-07
Form: 10-Q
Item: Item 1
Chunk 51
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83.5 million, after deducting offering expenses. These subordinated notes were designed to qualify as Tier 2 capital under the Federal Reserve's capital guidelines and were given an investment grade rating of BBB- by Kroll Bond Rating Agency. The unamortized debt issuance costs were $0.3 million and $0.4 million as of June 30, 2025 and December 31, 2024, respectively.

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8.    RELATED PARTY TRANSACTIONS

Some of the Corporation's directors, executive officers, and their related interests had transactions with the Bank in the ordinary course of business. All loan and deposit transactions were made on substantially the same terms, such as interest rates and collateral, as those prevailing at the time for comparable transactions. In the opinion of management, these transactions do not involve more than the normal risk of collectability nor do they present other unfavorable features. It is anticipated that similar transactions will be entered into in the future.Loans to principal officers, directors, and their affiliates during the three months ended June 30, 2025 were as follows:Beginning balance$30,933 New loans and advances64 Effect of changes in composition of related parties(36)Repayments(874)Ending balance$30,087 Loans to principal officers, directors, and their affiliates during the six months ended June 30, 2025 were as follows:Beginning balance$31,689 New loans and advances177 Effect of changes in composition of related parties550 Repayments(2,329)Ending balance$30,087 Deposits from directors, executive officers, and their affiliates were $11.7 million and $12.1 million at June 30, 2025 and December 31, 2024, respectively.

9.    OFF-BALANCE SHEET COMMITMENTS AND CONTINGENCIES

Financial Instruments with Off-Balance Sheet RiskThe Corporation is a party to financial instruments with off-balance sheet risk in the normal course of business to meet the financial needs of its customers. These financial instruments include commitments to extend credit and standby letters of credit. Those instruments involve, to varying degrees, elements of credit and interest rate risk in excess of the amount recognized in the condensed consolidated balance sheets. The Corporation's exposure to credit loss in the event of nonperformance by the other party of the financial instrument for commitments to extend credit and standby letters of credit is represented by the contract or notional amount of those instruments. The