Company: CCNE
Filing Date: 2025-11-05
Form Type: 10-Q
Source: 0000736772-25-000202
Chunk: 189

Company: CNB FINANCIAL CORP/PA
Filing Date: 2025-11-05
Form: 10-Q
Item: Item 8
Chunk 189
---
FR plus 2.58%. The net proceeds from the sale were approximately $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 $0.2 million and $0.4 million as of September 30, 2025 and December 31, 2024, respectively.

38

9.    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 September 30, 2025 were as follows:Beginning balance$30,087 New loans and advances2,023 Effect of changes in composition of related parties329 Repayments(1,022)Ending balance$31,417 Loans to principal officers, directors, and their affiliates during the nine months ended September 30, 2025 were as follows:Beginning balance$31,689 New loans and advances2,200 Effect of changes in composition of related parties879 Repayments(3,351)Ending balance$31,417 Deposits from directors, executive officers, and their affiliates were $16.1 million and $12.1 million at September 30, 2025 and December 31, 2024, respectively.

10.    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