Company: BCTF
Filing Date: 2025-03-06
Form Type: 10-K
Source: 0001552781-25-000058
Chunk: 509

Company: Bancorp 34, Inc.
Filing Date: 2025-03-06
Form: 10-K
Item: Item 1B
Chunk 509
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 of $175,000
and related taxes of $44,000; (iv) interest expense decrease related to deposit liability and long-term debt discount expense of $131,000
and related taxes of $33,000; (v) provision for credit losses decrease due to removal of the Merger-related non-recurring Day 2 Non-PCD
Loan charge of $4.1 million and related taxes of $1.0 million; and (vi) non-interest income decrease due to removal of a non-recurring
non-taxable $5.0 million preliminary bargain purchase gain. Additionally, there were non-interest expense pro forma adjustments, which
were primarily comprised of: (i) removal of Merger expenses for both CBOA and the Bank of $4.4 million and related taxes of $962,000;
(ii) removal of Merger-related non-recurring change-in-control charges of $654,000 and related taxes of $164,000; and, (iii) Core Deposit
Intangible amortization expense increase of $181,000 and related taxes of $45,000.

Pro forma amounts for the twelve months
ended December 31, 2023, primarily reflect the following pro forma adjustments: (i) CBOA’s net income of $2.4 million (ii) interest
and fee income increase related to loan discount accretion income of $3.1 million and related taxes of $775,000; (iii) interest and fee
income decrease due to the removal of CBOA’s pre-Merger deferred loan fee income of $796,000 and related taxes of $199,000; (iv)
interest expense increase related to deposit liability and long-term debt discount expense of $275,000 and related taxes of $69,000;
(v) provision for credit losses increase due to the Merger related non-recurring Day 2 Non-PCD Loan charge of $4.1 million and related
taxes of $1 million; (vi) non-interest income increase due to the addition of a non-recurring non-taxable $5 million preliminary bargain
purchase gain; (vii) non-interest expense decrease related to removal of Merger expenses for both CBOA and the Bank of $3.7 million and
related taxes of $399,000; (viii) non-interest expense increase related to Core Deposit Intangible amortization expense of $1.7 million
and related taxes of $421,000; and (ix