Company: CCNE
Filing Date: 2025-11-05
Form Type: 10-Q
Source: 0000736772-25-000202
Chunk: 222

Company: CNB FINANCIAL CORP/PA
Filing Date: 2025-11-05
Form: 10-Q
Item: Item 8
Chunk 222
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 other external factors.

For the nine months ended September 30, 2025, the allowance for credit losses increased $20.3 million, primarily driven by the Merger and the $1.9 million in PCD allowance and $16.4 million in non-PCD allowance established on acquisition date, coupled with growth in the Corporation's loan portfolio. Significant uncertainty persists regarding the domestic and global economy due to changes to U.S. tariffs and corresponding policy changes by U.S. trading partners, continued elevated interest rates, fluctuating levels of consumer confidence, and geopolitical conflicts. Management will continue to proactively evaluate its estimate of expected credit losses as new information becomes available.

Note 5, "Loans Receivable and Allowance for Credit Losses," to the condensed consolidated financial statements provides further disclosure of loan balances by portfolio segment as of September 30, 2025 and December 31, 2024.

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Additional information related to provision for credit loss expense and net charge-offs and recoveries for the three months ended September 30, 2025 and 2024 is presented in the tables below. 

Three Months Ended September 30, 2025Provision (Benefit) for Credit Losses on Loans Receivable (1)Net(Charge-Offs)RecoveriesAverage Loans ReceivableRatio of Annualized Net (Charge-Offs) Recoveries to Average Loans ReceivableFarmland$— $— $28,874 — %Owner-occupied, nonfarm nonresidential properties1,825 — 632,173 — Agricultural production and other loans to farmers— — 6,279 — Loans to depository institutions60 — 5,594 — Commercial and Industrial586 (155)746,181 (0.08)Obligations (other than securities and leases) of states and political subdivisions573 — 174,615 — Other loans52 — 49,026 — Other construction loans and all land development and other land loans636 — 366,851 — Multifamily (5 or more) residential properties1,799 — 625,509 — Non-owner occupied, nonfarm nonresidential properties3,051 — 1,277,031 — 1-4 Family Construction285 — 39,440 — Home equity lines of credit396 (70)212,063