# EDGAR Filing Document

**Accession Number:** 0000726854
**File Stem:** 0000726854-23-000008
**Filing Date:** 2023-1
**Character Count:** 58875
**Document Hash:** bfd40c1355dd3c81a29c6400d163b55e
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0000726854-23-000008.hdr.sgml**: 20230124

**ACCESSION NUMBER**: 0000726854-23-000008

**CONFORMED SUBMISSION TYPE**: 8-K

**PUBLIC DOCUMENT COUNT**: 15

**CONFORMED PERIOD OF REPORT**: 20230124

**ITEM INFORMATION**: Results of Operations and Financial Condition

**ITEM INFORMATION**: Financial Statements and Exhibits

**FILED AS OF DATE**: 20230124

**DATE AS OF CHANGE**: 20230124

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** CITY HOLDING CO
- **CENTRAL INDEX KEY:** 0000726854
- **STANDARD INDUSTRIAL CLASSIFICATION:** NATIONAL COMMERCIAL BANKS [6021]
- **IRS NUMBER:** 550619957
- **STATE OF INCORPORATION:** WV
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 8-K
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 000-11733
- **FILM NUMBER:** 23547891

**BUSINESS ADDRESS:**
- **STREET 1:** 25 GATEWATER ROAD
- **STREET 2:** P O BOX 7520
- **CITY:** CHARLESTON
- **STATE:** WV
- **ZIP:** 25313
- **BUSINESS PHONE:** 3047691100

**MAIL ADDRESS:**
- **STREET 1:** 25 GATEWATER ROAD
- **STREET 2:** P O BOX 7520
- **CITY:** CHARLESTON
- **STATE:** WV
- **ZIP:** 25313

?xml version="1.0" ? chco-20230124

**UNITED STATES**

**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): January 24, 2023

![chco-20230124_g1.jpg](chco-20230124_g1.jpg)

**CITY HOLDING COMPANY** 

**(Exact Name of Registrant as Specified in its Charter)** 

**Commission File Number: 0-11733** 

---

| | |
|:---|:---|
| **West Virginia** | **55-0619957** |
| (State or Other Jurisdiction of | (I.R.S. Employer |
| Incorporation or Organization) | Identification No.) |

---

**25 Gatewater Road, Cross Lanes, West Virginia 25313** 

(Address of Principal Executive Offices, Including Zip Code)

**304-769-1100** 

(Registrant's Telephone Number, Including Area Code)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12(b) under the Exchange Act (17 CFR 240.14a-12(b))

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17CFR240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

---

| | | |
|:---|:---|:---|
| Title of each class | Trading<br>symbol(s) | Name of each exchange on which registered |
| **Common Stock $2.50 Par Value** | **CHCO** | **NASDAQ Global Select Market** |

---

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| | |
|:---|:---|
| Indicate by check mark whether the registrant is an emerging growth company as defined in as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter). | Indicate by check mark whether the registrant is an emerging growth company as defined in as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter). |
| Emerging growth company | ☐ |
| If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐ | If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐ |

---

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**Section 2 - Financial Information**

**Item 2.02 Results of Operations and Financial Condition.**

On January 24, 2023, City Holding Company ("the Company") issued a news release, attached as Exhibit 99.1, announcing the Company's earnings results for the fourth quarter ended December 31, 2022. Furnished as Exhibit 99.1 and incorporated herein by reference is the news release issued by the Company.

**Section 9 - Financial Statements and Exhibits**

**Item 9.01 Financial Statements and Exhibits.**

(c) Exhibits

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

<u>[99.1](chco12-31x22exhibit991.htm)</u> News Release issued January 24, 2023

**Signatures**

Pursuant to the requirements of the Securities and Exchange Act of 1934, the Registrant has duly caused this Report to be signed on its behalf by the Undersigned hereunto duly authorized.

---

| | |
|:---|:---|
| Dated: January 24, 2023 | **City Holding Company** |
| By: | /s/ David L. Bumgarner |
|  | David L. Bumgarner |
|  | Senior Vice President & Chief Financial Officer |

---

## Exhibit 99.1

Filed by City Holding Company

Pursuant to Rule 425 under the Securities Act of 1933

and deemed filed pursuant to Rule 14a-12

under the Securities Exchange Act of 1934

NEWS RELEASE

For Immediate Release

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;January 24, 2023

For Further Information Contact:

David L. Bumgarner, Executive Vice President and Chief Financial Officer

(304) 769-1169

**City Holding Company Announces Record Annual Earnings**

Charleston, West Virginia – City Holding Company ("Company" or "City") (NASDAQ:CHCO), a $5.9 billion bank holding company headquartered in Charleston, West Virginia, today announced record net income of $102.1 million and record diluted earnings of $6.80 per share for the year ended December 31, 2022. For the year ended December 31, 2022, the Company achieved a return on assets of 1.71% and a return on tangible equity of 20.3%.

***Net Interest Income***

The Company's net interest income increased from $155.6 million for the year ended December 31, 2021 to $180.0 million for the year ended December 31, 2022. The Company's tax equivalent net interest income increased $24.4 million, or 15.6%, from $156.9 million for the year ended December 31, 2021 to $181.3 million for the year ended December 31, 2022. Net interest income increased by $12.0 million, $7.3 million and $3.4 million, respectively, due to increases in the yields on loans (net of loan fees and accretion), investments, and deposits in depository institutions, of 35 basis points, 47 basis points and 94 basis points, respectively, all due primarily to increases in the Federal Funds rate during 2022. In addition, higher average investment and loan balances ($189.2 million and $37.5 million, respectively) increased net interest income by $3.9 million and $1.8 million, respectively. These increases were partially offset by a decrease in loan fees associated with PPP loans of $3.5 million from 2021 and a decrease in accretion from fair value adjustments of $1.0 million. The Company's reported net interest margin increased from 2.89% for the year ended December 31, 2021 to 3.33% for the year ended December 31, 2022.

The Company's net interest income increased from $48.8 million during the third quarter of 2022 to $52.0 million during the fourth quarter of 2022. During the fourth quarter of 2022, the Company's tax equivalent net interest income increased $3.3 million, or 6.7%, to $52.4 million from $49.1 million during the third quarter of 2022. Net interest income increased by $4.3 million and $1.9 million, respectively, due to an increase in loan (net of loan fees and accretion) and investment yields of 46 basis points and 50 basis points, respectively, due to recent increases in the Federal Funds rate. In addition, the yield on deposits in depository institutions also increased by 94 basis points which increased net interest income by

------

$0.4 million. These increases were partially offset by an increase in the cost of interest bearing liabilities (27 basis points) which decreased net interest income by $2.5 million and lower average deposits in depository institution balances ($126.7 million) which decreased net interest income by $0.7 million. The Company's reported net interest margin increased from 3.57% for the third quarter of 2022 to 3.89% for the fourth quarter of 2022.

***Credit Quality***

The Company's ratio of nonperforming assets to total loans and other real estate owned decreased from 0.21%, or $7.6 million, at December 31, 2021 to 0.17%, or $6.3 million at December 31, 2022. Total past due loans increased from $6.8 million, or 0.19% of total loans outstanding, at December 31, 2021 to $9.2 million, or 0.25% of total loans outstanding, at December 31, 2022.

As a result of the Company's quarterly analysis of the adequacy of the Allowance for Credit Losses, the Company recorded a provision for credit losses of $0.5 million in the fourth quarter of 2022 and $0.5 million for the year ended December 31, 2022, compared to no provision for credit losses for the fourth quarter of 2021 and a recovery of credit losses of $3.2 million for year ended December 31, 2021. The provision for the year ended December 31, 2022, was a result of net charge-offs for the year that were partially offset by the repayment of a loan from a previous acquisition and release of the associated credit mark.

***Non-interest Income***

Non-interest income was $72.1 million for 2022 as compared to $69.6 million for 2021. The Company reported $1.6 million of unrealized fair value losses on the Company's equity securities during 2022 compared to $0.3 million of realized security gains on the sale of investments and $0.5 million of unrealized fair value gains on the Company's equity securities during 2021. Exclusive of these realized and unrealized gains and losses, non-interest income increased from $68.8 million for the year ended December 31, 2021 to $73.7 million for the year ended December 31, 2022. This increase was largely attributable to an increase of $2.8 million, or 10.9%, in service charges and a $1.7 million, or 42.7%, increase in bank owned life insurance due to higher death benefit proceeds received in 2022 compared to 2021. In addition, trust and investment management fee income and bankcard revenues each increased $0.4 million from the year ended December 31, 2021. These increases were partially offset by a decrease of $0.4 million in other income.

Non-interest income was $18.5 million during the quarter ended December 31, 2022 as compared to $17.6 million during the quarter ended December 31, 2021. During the fourth quarter of 2022, the Company reported $0.3 million of unrealized fair value losses on the Company's equity securities compared to $0.1 million of unrealized fair value gains on the Company's equity securities during the fourth quarter of 2021. Exclusive of these unrealized fair value gains and losses, non-interest income increased from $17.6 million for the fourth quarter of 2021 to $18.8 million for the fourth quarter of 2022. This increase was largely attributable to higher bank owned life insurance due to higher death benefit proceeds received ($1.1 million).

***Non-interest Expenses***

Non-interest expenses increased from $117.2 million for 2021 to $124.3 million for 2022. This increase was primarily due to an increase in salaries and employee benefit expenses ($4.7 million, due to higher salary adjustments during 2022, increased incentive compensation, and increased health insurance) and equipment and software related expenses ($1.3 million). In addition, occupancy related expenses increased $0.6 million, advertising increased $0.3 million, and merger related expenses increased $0.3 million.

------

Non-interest expenses increased $4.0 million (13.8%), from $28.6 million in the fourth quarter of 2021 to $32.6 million in the fourth quarter of 2022. This increase was largely due to an increase in salaries and employee benefits of $1.9 million due to increased incentive compensation, increased health insurance, and higher salary adjustments during 2022. In addition, other expenses increased $0.6 million; equipment and software related expenses increased $0.6 million; occupancy related expenses increased $0.3 million; and merger related expenses increased $0.3 million.

***Balance Sheet Trends***

Loans increased $102.4 million (2.9%) from December 31, 2021 to $3.64 billion at December 31, 2022. PPP loans of $6.6 million at December 31, 2021 were fully repaid during 2022. Excluding outstanding PPP loans (included in the commercial and industrial loan category), total loans increased $109.0 million, (3.1%), from December 31, 2021 to $3.64 billion at December 31, 2022. Residential real estate loans increased $144.6 million (9.3%); commercial and industrial loans increased $34.3 million (10.1%) (excluding PPP loans); home equity loans increased $12.0 million (9.8%); and consumer loans increased $7.9 million (19.3%). These increases were partially offset by decreases in commercial real estate loans ($86.6 million, or 5.9%).

Total average depository balances for the year ended December 31, 2022 increased $141.0 million, or 2.9%, as compared to the year ended December 31, 2021. Average savings deposits increased $123.5 million, average noninterest bearing demand deposits increased $113.6 million, and average interest bearing demand deposits increased $78.4 million. These increases were partially offset by a decrease in average time deposits of $174.5 million.

***Income Tax Expense***

The Company's effective income tax rate for the quarter and year ended December 31, 2022 was 18.2% and 19.8%, respectively, compared to 21.1% and 20.8% for the comparable periods in 2021.

***Capitalization and Liquidity***

The Company's loan to deposit ratio was 74.9% and the loan to asset ratio was 62.0% at December 31, 2022. The Company maintained investment securities totaling 26.0% of assets as of the same date. The Company's deposit mix is weighted toward checking and saving accounts that fund 67.7% of assets at December 31, 2022. Time deposits fund 15.1% of assets at December 31, 2022, but very few of these deposits are in accounts that have balances of more than $250,000.

The Company continues to be strongly capitalized with tangible equity of $462 million at December 31, 2022. Due primarily to unrealized security losses during the year ended December 31, 2022, the Company's tangible equity ratio decreased from 9.6% at December 31, 2021 to 8.0% at December 30, 2022. However, unrealized security losses are not incorporated into measures of regulatory capital. At December 31, 2022, City National Bank's Leverage Ratio was 8.55%, its Common Equity Tier I ratio was 13.88%, its Tier I Capital ratio was 13.88%, and its Total Risk-Based Capital ratio was 14.28%. These regulatory capital ratios are significantly above levels required to be considered "well capitalized," which is the highest possible regulatory designation.

On November 15, 2022, the Board approved a quarterly cash dividend of $0.65 cents per share payable January 31, 2023, to shareholders of record as of January 13, 2022. During the year ended December 31, 2022, the Company repurchased 325,000 common shares at a weighted average price of $81.50 per share as part of a one million share repurchase plan authorized by the Board of Directors in May 2022. As of December 31, 2022, the Company could repurchase approximately 817,000 shares under the current plan.

------

City Holding Company is the parent company of City National Bank of West Virginia. City National Bank operates 94 branches across West Virginia, Kentucky, Virginia, and Ohio.

**Forward-Looking Information**

*This news release contains certain forward-looking statements that are included pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements express only management's beliefs regarding future results or events and are subject to inherent uncertainty, risks, and changes in circumstances, many of which are outside of management's control. Uncertainty, risks, changes in circumstances and other factors could cause the Company's actual results to differ materially from those projected in the forward-looking statements. Factors that could cause actual results to differ from those discussed in such forward-looking statements include, but are not limited to those set forth in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2021 under "ITEM 1A Risk Factors" and the following: (1) general economic conditions, especially in the communities and markets in which we conduct our business; (2) the uncertainties on the Company's business, results of operations and financial condition, caused by the COVID-19 pandemic, which will depend on several factors, including the scope and duration of the pandemic, its continued influence on financial markets, the effectiveness of the Company's work from home arrangements and staffing levels in operational facilities, the impact of market participants on which the Company relies and actions taken by governmental authorities and other third parties in response to the pandemic; (3) credit risk, including risk that negative credit quality trends may lead to a deterioration of asset quality, risk that our allowance for credit losses may not be sufficient to absorb actual losses in our loan portfolio, and risk from concentrations in our loan portfolio; (4) changes in the real estate market, including the value of collateral securing portions of our loan portfolio; (5) changes in the interest rate environment; (6) operational risk, including cybersecurity risk and risk of fraud, data processing system failures, and network breaches; (7) changes in technology and increased competition, including competition from non-bank financial institutions; (8) changes in consumer preferences, spending and borrowing habits, demand for our products and services, and customers' performance and creditworthiness; (9) difficulty growing loan and deposit balances; (10) our ability to effectively execute our business plan, including with respect to future acquisitions; (11) changes in regulations, laws, taxes, government policies, monetary policies and accounting policies affecting bank holding companies and their subsidiaries; (12) deterioration in the financial condition of the U.S. banking system may impact the valuations of investments the Company has made in the securities of other financial institutions; (13) regulatory enforcement actions and adverse legal actions; (14) difficulty attracting and retaining key employees; (15) other economic, competitive, technological, operational, governmental, regulatory, and market factors affecting our operations. Forward-looking statements made herein reflect management's expectations as of the date such statements are made. Such information is provided to assist stockholders and potential investors in understanding current and anticipated financial operations of the Company and is included pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. The Company undertakes no obligation to update any forward-looking statement to reflect events or circumstances that arise after the date such statements are made. Further, the Company is required to evaluate subsequent events through the filing of its December 31, 2022 Form 10-K. The Company will continue to evaluate the impact of any subsequent events on the preliminary December 31, 2022 results and will adjust the amounts if necessary*.

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**CITY HOLDING COMPANY AND SUBSIDIARIES**

**Financial Highlights**

**(Unaudited)**

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| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Twelve Months Ended** | **Twelve Months Ended** |
| | **December 31,**<br>**2022** | **September 30,**<br>**2022** | **June 30,**<br>**2022** | **March 31,**<br>**2022** | **December 31,**<br>**2021** | **December 31,**<br>**2022** | **December 31,**<br>**2021** |
| **Earnings** |  |  |  |  |  |  |  |
| Net Interest Income (fully taxable equivalent) | $52381 | $49108 | $41611 | $38239 | $40956 | $181339 | $156906 |
| Net Income available to common shareholders | 30672 | 27374 | 22683 | 21342 | 23386 | 102071 | 88080 |
| **Per Share Data** |  |  |  |  |  |  |  |
| Earnings per share available to common shareholders: |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Basic | $2.06 | $1.84 | $1.51 | $1.41 | $1.54 | $6.81 | $5.67 |
| &nbsp;&nbsp;&nbsp;&nbsp;Diluted | 2.05 | 1.83 | 1.51 | 1.41 | 1.54 | 6.80 | 5.66 |
| Weighted average number of shares (in thousands): |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Basic | 14756 | 14776 | 14888 | 14974 | 15026 | 14847 | 15381 |
| &nbsp;&nbsp;&nbsp;&nbsp;Diluted | 14785 | 14800 | 14909 | 15002 | 15056 | 14873 | 15407 |
| Period-end number of shares (in thousands) | 14788 | 14856 | 14864 | 15045 | 15062 | 14788 | 15062 |
| Cash dividends declared | $0.65 | $0.65 | $0.6 | $0.6 | $0.6 | $2.5 | $2.34 |
| Book value per share (period-end) | 39.08 | 36.91 | 39.83 | 42.03 | 45.22 | 39.08 | 45.22 |
| Tangible book value per share (period-end) | 31.25 | 29.09 | 31.99 | 34.27 | 37.44 | 31.25 | 37.44 |
| Market data: |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;High closing price | $101.94 | $90.24 | $83.07 | $85.99 | $83.14 | $101.94 | $87.41 |
| &nbsp;&nbsp;&nbsp;&nbsp;Low closing price | 89.32 | 78.4 | 73.88 | 76.82 | 76.52 | 73.88 | 69.05 |
| &nbsp;&nbsp;&nbsp;&nbsp;Period-end closing price | 93.09 | 88.69 | 79.88 | 78.7 | 81.79 | 93.09 | 81.79 |
| &nbsp;&nbsp;&nbsp;&nbsp;Average daily volume (in<br> thousands) | 75 | 58 | 87 | 59 | 52 | 70 | 57 |
| Treasury share activity: |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Treasury shares repurchased<br>&nbsp;&nbsp;&nbsp;&nbsp; (in thousands) | 69 | 9 | 208 | 38 | 131 | 325 | 760 |
| &nbsp;&nbsp;&nbsp;&nbsp; Average treasury share repurchase price | $93.12 | $80.24 | $78.33 | $78.09 | $78.93 | $81.5 | $77.21 |
| **Key Ratios (percent)** |  |  |  |  |  |  |  |
| Return on average assets | 2.08% | 1.83% | 1.51% | 1.42% | 1.56% | 1.71% | 1.49% |
| Return on average tangible equity | 27.3% | 21.8% | 18.1% | 15.3% | 16.7% | 20.3% | 15.3% |
| Yield on interest earning assets | 4.23% | 3.72% | 3.15% | 2.94% | 3.08% | 3.51% | 3.07% |
| Cost of interest bearing liabilities | 0.48% | 0.21% | 0.15% | 0.17% | 0.19% | 0.25% | 0.26% |
| Net Interest Margin | 3.89% | 3.57% | 3.04% | 2.82% | 2.94% | 3.33% | 2.89% |
| Non-interest income as a percent of total revenue | 26.5% | 27.2% | 30.9% | 32.4% | 30.2% | 28.6% | 30.8% |
| Efficiency Ratio | 45.3% | 46.3% | 50.5% | 51.7% | 48.3% | 48.2% | 51.3% |
| Price/Earnings Ratio (a) | 11.30 | 12.08 | 13.23 | 13.93 | 13.27 | 13.67 | 14.42 |

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Capital (period-end)** | | | | | |
| Average Shareholders' Equity to Average Assets | 9.57% | 10.32% | 10.26% | 11.25% | 11.25% |
| Tangible equity to tangible assets | 8.02% | 7.41% | 7.76% | 8.75% | 9.58% |
| Consolidated City Holding Company risk based capital ratios (b): |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;CET I | 16.23% | 15.82% | 15.85% | 16.18% | 16.08% |
| &nbsp;&nbsp;&nbsp;&nbsp;Tier I | 16.23% | 15.82% | 15.85% | 16.18% | 16.08% |
| &nbsp;&nbsp;&nbsp;&nbsp;Total | 16.62% | 16.22% | 16.26% | 16.60% | 16.51% |
| &nbsp;&nbsp;&nbsp;&nbsp;Leverage | 10.01% | 9.74% | 9.42% | 9.58% | 9.44% |
| City National Bank risk based capital ratios (b): |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;CET I | 13.88% | 14.68% | 14.80% | 14.82% | 14.35% |
| &nbsp;&nbsp;&nbsp;&nbsp;Tier I | 13.88% | 14.68% | 14.80% | 14.82% | 14.35% |
| &nbsp;&nbsp;&nbsp;&nbsp;Total | 14.28% | 15.07% | 15.21% | 15.24% | 14.78% |
| &nbsp;&nbsp;&nbsp;&nbsp;Leverage | 8.55% | 9.05% | 8.81% | 8.80% | 8.45% |
| **Other (period-end)** |  |  |  |  |  |
| Branches | 94 | 94 | 94 | 94 | 94 |
| FTE | 909 | 903 | 915 | 897 | 905 |
| &nbsp;&nbsp;&nbsp;&nbsp;Assets per FTE (in thousands) | $6467 | $6588 | $6825 | $6703 | $6637 |
| &nbsp;&nbsp;&nbsp;&nbsp;Deposits per FTE (in thousands) | 5357 | 5492 | 5621 | 5574 | 5445 |
| (a) The price/earnings ratio is computed based on annualized quarterly earnings. | (a) The price/earnings ratio is computed based on annualized quarterly earnings. | (a) The price/earnings ratio is computed based on annualized quarterly earnings. | (a) The price/earnings ratio is computed based on annualized quarterly earnings. | (a) The price/earnings ratio is computed based on annualized quarterly earnings. | (a) The price/earnings ratio is computed based on annualized quarterly earnings. |
| (b) December 31, 2022 risk-based capital ratios are estimated. | (b) December 31, 2022 risk-based capital ratios are estimated. | (b) December 31, 2022 risk-based capital ratios are estimated. | (b) December 31, 2022 risk-based capital ratios are estimated. | (b) December 31, 2022 risk-based capital ratios are estimated. | (b) December 31, 2022 risk-based capital ratios are estimated. |

---

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**CITY HOLDING COMPANY AND SUBSIDIARIES**

**Consolidated Statements of Income**

**(Unaudited) ($ in 000s, except per share data)**

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| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Twelve Months Ended** | **Twelve Months Ended** |
| | **December 31,**<br>**2022** | **September 30,**<br>**2022** | **June 30,**<br>**2022** | **March 31,**<br>**2022** | **December 31,**<br>**2021** | **December 31,**<br>**2022** | **December 31,**<br>**2021** |
| **Interest Income** |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest and fees on loans | $42963 | $38493 | $33208 | $31874 | $35277 | $146538 | $136676 |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest on investment securities: |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Taxable | 11119 | 9556 | 7547 | 6223 | 5753 | 34445 | 23071 |
| &nbsp;&nbsp;&nbsp;&nbsp; Tax-exempt | 1262 | 1228 | 1205 | 1216 | 1226 | 4911 | 5027 |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest on deposits in depository institutions | 1244 | 1530 | 782 | 238 | 217 | 3794 | 693 |
| **Total Interest Income** | 56588 | 50807 | 42742 | 39551 | 42473 | 189688 | 165467 |
| **Interest Expense** |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest on deposits | 3010 | 1585 | 1328 | 1521 | 1710 | 7444 | 9405 |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest on short-term borrowings | 1533 | 440 | 124 | 114 | 132 | 2211 | 489 |
| **Total Interest Expense** | 4543 | 2025 | 1452 | 1635 | 1842 | 9655 | 9894 |
| **Net Interest Income** | 52045 | 48782 | 41290 | 37916 | 40631 | 180033 | 155573 |
| Provision for (recovery of) credit losses | 500 | 730 |  | (756) |  | 474 | (3165) |
| **Net Interest Income After Provision for (Recovery of) Credit Losses** | 51545 | 48052 | 41290 | 38672 | 40631 | 179559 | 158738 |
| **Non-Interest Income** |  |  |  |  |  |  |  |
| &nbsp;&nbsp;Net gains on sale of investment securities | 4 |  |  |  |  | 4 | 312 |
| &nbsp;&nbsp;Unrealized (losses) gains recognized on securities still held | (262) | 1 | (601) | (723) | 52 | (1585) | 504 |
| &nbsp;&nbsp;&nbsp;&nbsp;Service charges | 7056 | 7487 | 7067 | 6725 | 7057 | 28335 | 25539 |
| &nbsp;&nbsp;&nbsp;&nbsp;Bankcard revenue | 6791 | 7052 | 7062 | 6444 | 6762 | 27349 | 26987 |
| &nbsp;&nbsp;&nbsp;&nbsp;Trust and investment management fee income | 2343 | 2158 | 2100 | 2197 | 2198 | 8798 | 8415 |
| &nbsp;&nbsp;&nbsp;&nbsp;Bank owned life insurance | 1813 | 754 | 978 | 2014 | 748 | 5559 | 3895 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other income | 791 | 792 | 1243 | 791 | 799 | 3617 | 3989 |
| **Total Non-Interest Income** | 18536 | 18244 | 17849 | 17448 | 17616 | 72077 | 69641 |
| **Non-Interest Expense** |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Salaries and employee benefits | 17148 | 17398 | 16413 | 15577 | 15299 | 66536 | 61850 |
| &nbsp;&nbsp;&nbsp;&nbsp;Occupancy related expense | 2725 | 2664 | 2620 | 2709 | 2429 | 10718 | 10083 |
| &nbsp;&nbsp;&nbsp;&nbsp;Equipment and software related expense | 3341 | 2949 | 2732 | 2769 | 2733 | 11791 | 10486 |
| &nbsp;&nbsp;&nbsp;&nbsp;FDIC insurance expense | 413 | 416 | 409 | 435 | 400 | 1673 | 1583 |
| &nbsp;&nbsp;&nbsp;&nbsp;Advertising | 802 | 854 | 951 | 798 | 582 | 3405 | 3091 |
| &nbsp;&nbsp;&nbsp;&nbsp;Bankcard expenses | 1356 | 1405 | 1665 | 1606 | 1576 | 6032 | 6455 |

---

------

&nbsp;&nbsp;&nbsp;&nbsp;

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| Postage, delivery, and statement mailings | 597 | 578 | 551 | 636 | 590 | 2362 | 2323 |
| &nbsp;&nbsp;&nbsp;&nbsp;Office supplies | 441 | 466 | 427 | 410 | 378 | 1744 | 1547 |
| &nbsp;&nbsp;&nbsp;&nbsp;Legal and professional fees | 610 | 532 | 525 | 527 | 405 | 2194 | 2279 |
| &nbsp;&nbsp;&nbsp;&nbsp;Telecommunications | 627 | 651 | 754 | 584 | 702 | 2616 | 2858 |
| &nbsp;&nbsp;&nbsp;&nbsp;Repossessed asset losses (gains), net of expenses | 54 | (3) | (32) | 40 | (29) | 59 | (57) |
| &nbsp;&nbsp;&nbsp;&nbsp;Merger related expenses | 268 |  |  |  |  | 268 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Other expenses | 4203 | 3591 | 3674 | 3436 | 3559 | 14904 | 14687 |
| **Total Non-Interest Expense** | 32585 | 31501 | 30689 | 29527 | 28624 | 124302 | 117185 |
| **Income Before Income Taxes** | 37496 | 34795 | 28450 | 26593 | 29623 | 127334 | 111194 |
| &nbsp;&nbsp;&nbsp;&nbsp;Income tax expense | 6824 | 7421 | 5767 | 5251 | 6237 | 25263 | 23114 |
| **Net Income Available to Common Shareholders** | $30672 | $27374 | $22683 | $21342 | $23386 | $102071 | $88080 |
| Distributed earnings allocated to common shareholders | $9521 | $9564 | $8837 | $8943 | $8949 | $36619 | $34901 |
| Undistributed earnings allocated to common shareholders | 20857 | 17555 | 13643 | 12199 | 14211 | 64494 | 52336 |
| Net earnings allocated to common shareholders | $30378 | $27119 | $22480 | $21142 | $23160 | $101113 | $87237 |
| Average common shares outstanding | 14756 | 14776 | 14888 | 14974 | 15026 | 14847 | 15381 |
| Shares for diluted earnings per share | 14785 | 14800 | 14909 | 15002 | 15056 | 14873 | 15407 |
| Basic earnings per common share | $2.06 | $1.84 | $1.51 | $1.41 | $1.54 | $6.81 | $5.67 |
| Diluted earnings per common share | $2.05 | $1.83 | $1.51 | $1.41 | $1.54 | $6.80 | $5.66 |

---

------

**CITY HOLDING COMPANY AND SUBSIDIARIES**

**Consolidated Balance Sheets**

**($ in 000s)**

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | ***(Unaudited)*** | ***(Unaudited)*** | ***(Unaudited)*** | ***(Unaudited)*** | |
| | **December 31,** | **September 30,** | **June 30,** | **March 31,** | **December 31,** |
|  | **2022** | **2022** | **2022** | **2022** | **2021** |
| **Assets** |  |  |  |  |  |
| Cash and due from banks | $68333 | $65051 | $90449 | $100877 | $101804 |
| Interest-bearing deposits in depository institutions | 131667 | 233302 | 606530 | 497171 | 532827 |
| **Cash and cash equivalents** | 200000 | 298353 | 696979 | 598048 | 634631 |
| Investment securities available-for-sale, at fair value | 1505520 | 1489392 | 1497227 | 1409513 | 1408165 |
| Other securities | 23807 | 24372 | 24383 | 24785 | 25531 |
| **Total investment securities** | 1529327 | 1513764 | 1521610 | 1434298 | 1433696 |
| Gross loans | 3646258 | 3628752 | 3566758 | 3559905 | 3543814 |
| Allowance for credit losses | (17108) | (17011) | (17015) | (17280) | (18166) |
| **Net loans** | 3629150 | 3611741 | 3549743 | 3542625 | 3525648 |
| Bank owned life insurance | 120674 | 121283 | 120528 | 120522 | 120978 |
| Premises and equipment, net | 70786 | 71686 | 72388 | 73067 | 74071 |
| Accrued interest receivable | 18287 | 17256 | 16342 | 16101 | 15627 |
| Net deferred tax assets | 44884 | 49888 | 30802 | 18001 | 63 |
| Intangible assets | 115735 | 116081 | 116428 | 116774 | 117121 |
| Other assets | 149263 | 147716 | 118375 | 92331 | 81860 |
| **Total Assets** | $5878106 | $5947768 | $6243195 | $6011767 | $6003695 |
| **Liabilities** |  |  |  |  |  |
| Deposits: |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Noninterest-bearing | $1351415 | $1429281 | $1531660 | $1357266 | $1373125 |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest-bearing: |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Demand deposits | 1233482 | 1160970 | 1189056 | 1191492 | 1135848 |
| &nbsp;&nbsp;&nbsp;&nbsp;Savings deposits | 1396869 | 1427785 | 1435645 | 1425528 | 1347448 |
| &nbsp;&nbsp;&nbsp;&nbsp;Time deposits | 888100 | 939769 | 985567 | 1024559 | 1068915 |
| **Total deposits** | 4869866 | 4957805 | 5141928 | 4998845 | 4925336 |
| Short-term borrowings |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Customer repurchase agreements | 290964 | 304807 | 402368 | 288483 | 312458 |
| Other liabilities | 139424 | 136868 | 106906 | 92009 | 84796 |
| **Total Liabilities** | 5300254 | 5399480 | 5651202 | 5379337 | 5322590 |

---

------

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Stockholders' Equity** | | | | | |
| Preferred stock |  |  |  |  |  |
| Common stock | 47619 | 47619 | 47619 | 47619 | 47619 |
| Capital surplus | 170980 | 170138 | 169557 | 170206 | 170942 |
| Retained earnings | 706696 | 685657 | 667933 | 654138 | 641826 |
| Cost of common stock in treasury | (215955) | (209644) | (209133) | (194819) | (193542) |
| Accumulated other comprehensive income: |  |  |  |  |  |
| &nbsp;&nbsp;Unrealized gain on securities available-for-sale | (128066) | (141997) | (80498) | (41229) | 17745 |
| &nbsp;&nbsp;Underfunded pension liability | (3422) | (3485) | (3485) | (3485) | (3485) |
| **Total Accumulated Other Comprehensive Income** | (131488) | (145482) | (83983) | (44714) | 14260 |
| **Total Stockholders' Equity** | 577852 | 548288 | 591993 | 632430 | 681105 |
| **Total Liabilities and Stockholders' Equity** | $5878106 | $5947768 | $6243195 | $6011767 | $6003695 |
| **Regulatory Capital** |  |  |  |  |  |
| Total CET 1 capital | $598068 | $582213 | $564158 | $565048 | $555532 |
| Total tier 1 capital | 598068 | 582213 | 564158 | 565048 | 555532 |
| Total risk-based capital | 612654 | 596708 | 578657 | 579807 | 570336 |
| Total risk-weighted assets | 3685207 | 3679511 | 3558249 | 3492920 | 3453893 |

---

------

**CITY HOLDING COMPANY AND SUBSIDIARIES**

**Loan Portfolio**

**(Unaudited) ($ in 000s)**

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **December 31,**<br>**2022** | **September 30,**<br>**2022** | **June 30,**<br>**2022** | **March 31,**<br>**2022** | **December 31,**<br>**2021** |
| Commercial and industrial | $373890 | $375735 | $360481 | $337384 | $346184 |
| 1-4 Family | 116192 | 109710 | 108765 | 108424 | 107873 |
| Hotels | 340404 | 355001 | 337910 | 314902 | 311315 |
| Multi-family | 174786 | 186440 | 203856 | 209359 | 215677 |
| Non Residential Non-Owner Occupied | 585964 | 569369 | 551240 | 637092 | 639818 |
| Non Residential Owner Occupied | 174961 | 177673 | 180188 | 200180 | 204233 |
| Commercial real estate <sup>(1)</sup> | 1392307 | 1398193 | 1381959 | 1469957 | 1478916 |
| Residential real estate <sup>(2)</sup> | 1693523 | 1678770 | 1651005 | 1588860 | 1548965 |
| Home equity | 134317 | 130837 | 125742 | 121460 | 122345 |
| Consumer | 48806 | 41902 | 44580 | 39778 | 40901 |
| DDA overdrafts | 3415 | 3315 | 2991 | 2466 | 6503 |
| **Gross Loans** | $3646258 | $3628752 | $3566758 | $3559905 | $3543814 |
| Construction loans included in: |  |  |  |  |  |
| (1) - Commercial real estate loans | $4130 | $4125 | $6767 | $14877 | $11783 |
| (2) - Residential real estate loans | 21122 | 19333 | 18751 | 16253 | 17252 |

---

------

**CITY HOLDING COMPANY AND SUBSIDIARIES**

**Asset Quality Information**

**(Unaudited) ($ in 000s)**

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Twelve Months Ended** | **Twelve Months Ended** |
| | **December 31,**<br>**2022** | **September 30,**<br>**2022** | **June 30,**<br>**2022** | **March 31,**<br>**2022** | **December 31,**<br>**2021** | **December 31,**<br>**2022** | **December 31,**<br>**2021** |
| **Allowance for Loan Losses** |  |  |  |  |  |  |  |
| Balance at beginning of period | $17011 | $17015 | $17280 | $18166 | $18751 | $18166 | $24549 |
| Charge-offs: |  |  |  |  |  |  |  |
| Commercial and industrial | (120) | (408) |  | (34) |  | (562) | (245) |
| Commercial real estate | (31) |  | (24) |  | (276) | (55) | (2387) |
| Residential real estate | (66) | (93) | (56) | (50) | (68) | (265) | (265) |
| Home equity | (189) | (71) | (19) |  | (58) | (279) | (177) |
| Consumer | (15) | (16) | (9) | (23) | (13) | (63) | (242) |
| DDA overdrafts | (670) | (719) | (604) | (631) | (635) | (2624) | (2151) |
| Total charge-offs | (1091) | (1307) | (712) | (738) | (1050) | (3848) | (5467) |
| Recoveries: |  |  |  |  |  |  |  |
| Commercial and industrial | 94 | 149 | 32 | 59 | 31 | 334 | 171 |
| Commercial real estate | 120 | 9 | 25 | 53 | 27 | 207 | 224 |
| Residential real estate | 49 | 1 | 4 | 45 | 7 | 99 | 127 |
| Home equity | 34 | 2 | 3 | 17 | 6 | 56 | 90 |
| Consumer | 31 | 29 | 19 | 28 | 40 | 107 | 255 |
| DDA overdrafts | 360 | 383 | 364 | 406 | 354 | 1513 | 1382 |
| Total recoveries | 688 | 573 | 447 | 608 | 465 | 2316 | 2249 |
| Net charge-offs | (403) | (734) | (265) | (130) | (585) | (1532) | (3218) |
| Provision for (recovery of) credit losses | 500 | 730 |  | (756) |  | 474 | (3165) |
| Balance at end of period | $17108 | $17011 | $17015 | $17280 | $18166 | $17108 | $18166 |
| Loans outstanding | $3646258 | $3628752 | $3566758 | $3559905 | $3543814 |  |  |
| Allowance as a percent of loans outstanding | 0.47% | 0.47% | 0.48% | 0.49% | 0.51% |  |  |
| Allowance as a percent of non-performing loans | 317.3% | 320.5% | 292.6% | 331.3% | 290.1% |  |  |
| Average loans outstanding | $3648996 | $3596523 | $3559713 | $3527393 | $3522272 | $3583526 | $3545978 |
| Net charge-offs (annualized) as a percent of average loans outstanding | 0.04% | 0.08% | 0.03% | 0.01% | 0.07% | 0.04% | 0.09% |

---

------

**CITY HOLDING COMPANY AND SUBSIDIARIES**

**Asset Quality Information, Continued**

**(Unaudited) ($ in 000s)**

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **December 31,**<br>**2022** | **September 30,**<br>**2022** | **June 30,**<br>**2022** | **March 31,**<br>**2022** | **December 31,**<br>**2021** |
| **Nonaccrual Loans** |  |  |  |  |  |
| Residential real estate | $1969 | $2089 | $1561 | $1786 | $2809 |
| Home equity | 55 | 140 | 54 | 99 | 40 |
| Commercial and industrial | 1015 | 785 | 1360 | 1069 | 996 |
| Commercial real estate | 2166 | 2293 | 2783 | 2241 | 2373 |
| Consumer |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Total nonaccrual loans | 5205 | 5307 | 5758 | 5195 | 6218 |
| Accruing loans past due 90 days or more | 187 |  | 58 | 21 | 43 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total non-performing loans | 5392 | 5307 | 5816 | 5216 | 6261 |
| Other real estate owned | 909 | 1071 | 946 | 1099 | 1319 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total non-performing assets | $6301 | $6378 | $6762 | $6315 | $7580 |
| Non-performing assets as a percent of loans and other real estate owned | 0.17% | 0.18% | 0.19% | 0.18% | 0.21% |
| **Past Due Loans** |  |  |  |  |  |
| Residential real estate | $7091 | $3452 | $5298 | $4976 | $5321 |
| Home equity | 650 | 521 | 282 | 505 | 618 |
| Commercial and industrial | 234 | 221 | 130 | 56 | 336 |
| Commercial real estate | 710 | 221 | 46 | 744 | 22 |
| Consumer | 100 | 27 | 49 | 32 | 60 |
| DDA overdrafts | 391 | 561 | 430 | 392 | 489 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total past due loans | $9176 | $5003 | $6235 | $6705 | $6846 |
| Total past due loans as a percent of loans outstanding | 0.25% | 0.14% | 0.17% | 0.19% | 0.19% |
| **Troubled Debt Restructurings ("TDRs")** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Residential real estate | $15857 | $15657 | $16022 | $16182 | $16943 |
| &nbsp;&nbsp;&nbsp;&nbsp;Home equity | 1286 | 1614 | 1649 | 1694 | 1784 |
| &nbsp;&nbsp;&nbsp;&nbsp;Commercial and industrial | 333 | 354 | 381 | 397 | 414 |
| &nbsp;&nbsp;&nbsp;&nbsp;Commercial real estate | 102 | 104 | 107 | 1890 | 1914 |
| &nbsp;&nbsp;&nbsp;&nbsp;Consumer | 64 | 68 | 80 | 194 | 225 |
| &nbsp;&nbsp;&nbsp;&nbsp; Total TDRs | $17642 | $17797 | $18239 | $20357 | $21280 |

---

------

**CITY HOLDING COMPANY AND SUBSIDIARIES**

**Consolidated Average Balance Sheets, Yields, and Rates**

**(Unaudited) ($ in 000s)**

---

| | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** |
| | **December 31, 2022** | **December 31, 2022** | **December 31, 2022** | **September 30, 2022** | **September 30, 2022** | **September 30, 2022** | **December 31, 2021** | **December 31, 2021** | **December 31, 2021** |
| | **Average**<br>**Balance** |<br>**Interest** | **Yield/**<br>**Rate** | **Average**<br>**Balance** |<br>**Interest** | **Yield/**<br>**Rate** | **Average**<br>**Balance** |<br>**Interest** | **Yield/**<br>**Rate** |
| **Assets:** | | | | | | | | | |
| Loan portfolio <sup>(1)</sup>: |  |  |  |  |  |  |  |  |  |
| Residential real estate <sup>(2)</sup> | $1824327 | $18910 | 4.11% | $1792365 | $17640 | 3.90% | $1645167 | $15692 | 3.78% |
| Commercial, financial, and agriculture <sup>(2)</sup> | 1773937 | 23346 | 5.22% | 1759567 | 20092 | 4.53% | 1831461 | 18740 | 4.06% |
| Installment loans to individuals <sup>(2), (3)</sup> | 50732 | 646 | 5.05% | 44591 | 683 | 6.08% | 45644 | 691 | 6.01% |
| Previously securitized loans <sup>(4)</sup> | \*\*\* | 63 | \*\*\* | \*\*\* | 78 | \*\*\* | \*\*\* | 154 | \*\*\* |
| Total loans | 3648996 | 42965 | 4.67% | 3596523 | 38493 | 4.25% | 3522272 | 35277 | 3.97% |
| Securities: |  |  |  |  |  |  |  |  |  |
| Taxable | 1315453 | 11118 | 3.35% | 1359207 | 9557 | 2.79% | 1171340 | 5753 | 1.95% |
| Tax-exempt <sup>(5)</sup> | 211326 | 1597 | 3.00% | 215219 | 1555 | 2.87% | 239096 | 1551 | 2.57% |
| Total securities | 1526779 | 12715 | 3.30% | 1574426 | 11112 | 2.80% | 1410436 | 7304 | 2.05% |
| Deposits in depository institutions | 162732 | 1245 | 3.04% | 289460 | 1529 | 2.1% | 588678 | 217 | 0.15% |
| **Total interest-earning assets** | 5338507 | 56925 | 4.23% | 5460409 | 51134 | 3.72% | 5521386 | 42798 | 3.08% |
| Cash and due from banks | 69223 |  |  | 81202 |  |  | 98111 |  |  |
| Premises and equipment, net | 71482 |  |  | 72196 |  |  | 74847 |  |  |
| Goodwill and intangible assets | 115952 |  |  | 116297 |  |  | 117349 |  |  |
| Other assets | 332855 |  |  | 278527 |  |  | 216780 |  |  |
| Less: Allowance for loan losses | (17332) |  |  | (17224) |  |  | (18756) |  |  |
| **&nbsp;&nbsp;&nbsp;&nbsp; Total assets** | $5910687 |  |  | $5991407 |  |  | $6009717 |  |  |
| **Liabilities:** |  |  |  |  |  |  |  |  |  |
| Interest-bearing demand deposits | $1150327 | $684 | 0.24% | $1151122 | $272 | 0.09% | $1113693 | $131 | 0.05% |
| Savings deposits | 1412246 | 829 | 0.23% | 1431591 | 358 | 0.10% | 1338747 | 173 | 0.05% |
| Time deposits <sup>(2)</sup> | 916845 | 1497 | 0.65% | 964447 | 956 | 0.39% | 1087280 | 1406 | 0.51% |
| Short-term borrowings | 303599 | 1534 | 2.00% | 270310 | 440 | 0.65% | 314937 | 132 | 0.17% |
| **Total interest-bearing liabilities** | 3783017 | 4544 | 0.48% | 3817470 | 2026 | 0.21% | 3854657 | 1842 | 0.19% |
| Noninterest-bearing demand deposits | 1428013 |  |  | 1455123 |  |  | 1394599 |  |  |
| Other liabilities | 134075 |  |  | 100303 |  |  | 84071 |  |  |
| Stockholders' equity | 565582 |  |  | 618511 |  |  | 676390 |  |  |
| **Total liabilities and** |  |  |  |  |  |  |  |  |  |
| **stockholders' equity** | $5910687 |  |  | $5991407 |  |  | $6009717 |  |  |
| **Net interest income** |  | $52381 |  |  | $49108 |  |  | $40956 |  |
| **Net yield on earning assets** |  |  | 3.89% |  |  | 3.57% |  |  | 2.94% |
| (1) For purposes of this table, non-accruing loans have been included in average balances and the following amounts (in thousands) of net loan fees have been included in interest income: | (1) For purposes of this table, non-accruing loans have been included in average balances and the following amounts (in thousands) of net loan fees have been included in interest income: | (1) For purposes of this table, non-accruing loans have been included in average balances and the following amounts (in thousands) of net loan fees have been included in interest income: | (1) For purposes of this table, non-accruing loans have been included in average balances and the following amounts (in thousands) of net loan fees have been included in interest income: | (1) For purposes of this table, non-accruing loans have been included in average balances and the following amounts (in thousands) of net loan fees have been included in interest income: | (1) For purposes of this table, non-accruing loans have been included in average balances and the following amounts (in thousands) of net loan fees have been included in interest income: | (1) For purposes of this table, non-accruing loans have been included in average balances and the following amounts (in thousands) of net loan fees have been included in interest income: | (1) For purposes of this table, non-accruing loans have been included in average balances and the following amounts (in thousands) of net loan fees have been included in interest income: | (1) For purposes of this table, non-accruing loans have been included in average balances and the following amounts (in thousands) of net loan fees have been included in interest income: | (1) For purposes of this table, non-accruing loans have been included in average balances and the following amounts (in thousands) of net loan fees have been included in interest income: |
| Loan fees, net (includes PPP fees) |  | $(41) |  |  | $308 |  |  | $1106 |  |

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------

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| (2) Included in the above table are the following amounts (in thousands) for the accretion of the fair value adjustments related to the Company's acquisitions: | (2) Included in the above table are the following amounts (in thousands) for the accretion of the fair value adjustments related to the Company's acquisitions: | (2) Included in the above table are the following amounts (in thousands) for the accretion of the fair value adjustments related to the Company's acquisitions: | (2) Included in the above table are the following amounts (in thousands) for the accretion of the fair value adjustments related to the Company's acquisitions: | (2) Included in the above table are the following amounts (in thousands) for the accretion of the fair value adjustments related to the Company's acquisitions: | (2) Included in the above table are the following amounts (in thousands) for the accretion of the fair value adjustments related to the Company's acquisitions: | (2) Included in the above table are the following amounts (in thousands) for the accretion of the fair value adjustments related to the Company's acquisitions: |
| Residential real estate | $| 67 | $| 64 | $| 149 |
| Commercial, financial, and agriculture | 135 | 135 | 103 | 103 | 243 | 243 |
| Installment loans to individuals | 4 | 4 | 7 | 7 | 15 | 15 |
| Time deposits | 21 | 21 | 21 | 21 | 48 | 48 |
|  | $| 227 | $| 195 | $| 455 |
| (3) Includes the Company's consumer and DDA overdrafts loan categories. | (3) Includes the Company's consumer and DDA overdrafts loan categories. | (3) Includes the Company's consumer and DDA overdrafts loan categories. | (3) Includes the Company's consumer and DDA overdrafts loan categories. | (3) Includes the Company's consumer and DDA overdrafts loan categories. | (3) Includes the Company's consumer and DDA overdrafts loan categories. | (3) Includes the Company's consumer and DDA overdrafts loan categories. |
| (4) Effective January 1, 2012, the carrying value of the Company's previously securitized loans was reduced to $0. | (4) Effective January 1, 2012, the carrying value of the Company's previously securitized loans was reduced to $0. | (4) Effective January 1, 2012, the carrying value of the Company's previously securitized loans was reduced to $0. | (4) Effective January 1, 2012, the carrying value of the Company's previously securitized loans was reduced to $0. | (4) Effective January 1, 2012, the carrying value of the Company's previously securitized loans was reduced to $0. | (4) Effective January 1, 2012, the carrying value of the Company's previously securitized loans was reduced to $0. | (4) Effective January 1, 2012, the carrying value of the Company's previously securitized loans was reduced to $0. |
| (5) Computed on a fully federal tax-equivalent basis assuming a tax rate of approximately 21%. | (5) Computed on a fully federal tax-equivalent basis assuming a tax rate of approximately 21%. | (5) Computed on a fully federal tax-equivalent basis assuming a tax rate of approximately 21%. | (5) Computed on a fully federal tax-equivalent basis assuming a tax rate of approximately 21%. | (5) Computed on a fully federal tax-equivalent basis assuming a tax rate of approximately 21%. | (5) Computed on a fully federal tax-equivalent basis assuming a tax rate of approximately 21%. | (5) Computed on a fully federal tax-equivalent basis assuming a tax rate of approximately 21%. |

---

------

**CITY HOLDING COMPANY AND SUBSIDIARIES**

**Consolidated Average Balance Sheets, Yields, and Rates**

**(Unaudited) ($ in 000s)**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | **Twelve Months Ended** | **Twelve Months Ended** | **Twelve Months Ended** | **Twelve Months Ended** | **Twelve Months Ended** | **Twelve Months Ended** |
| | **December 31, 2022** | **December 31, 2022** | **December 31, 2022** | **December 31, 2021** | **December 31, 2021** | **December 31, 2021** |
| | **Average**<br>**Balance** |<br>**Interest** | **Yield/**<br>**Rate** | **Average**<br>**Balance** |<br>**Interest** | **Yield/**<br>**Rate** |
| **Assets:** | | | | | | |
| Loan portfolio <sup>(1)</sup>: |  |  |  |  |  |  |
| Residential real estate <sup>(2)</sup> | $1755772 | $68208 | 3.88% | $1658710 | $64492 | 3.89% |
| Commercial, financial, and agriculture <sup>(2)</sup> | 1781132 | 75390 | 4.23% | 1838560 | 68784 | 3.74% |
| Installment loans to individuals <sup>(2), (3)</sup> | 46622 | 2567 | 5.51% | 48708 | 2831 | 5.81% |
| Previously securitized loans <sup>(4)</sup> | \*\*\* | 373 | \*\*\* | \*\*\* | 568 | \*\*\* |
| Total loans | 3583526 | 146538 | 4.09% | 3545978 | 136675 | 3.85% |
| Securities: |  |  |  |  |  |  |
| Taxable | 1288252 | 34445 | 2.67% | 1075550 | 23071 | 2.15% |
| Tax-exempt <sup>(5)</sup> | 218588 | 6217 | 2.84% | 242125 | 6362 | 2.63% |
| Total securities | 1506840 | 40662 | 2.7% | 1317675 | 29433 | 2.23% |
| Deposits in depository institutions | 357184 | 3794 | 1.06% | 568928 | 693 | 0.12% |
| **Total interest-earning assets** | 5447550 | 190994 | 3.51% | 5432581 | 166801 | 3.07% |
| Cash and due from banks | 88581 |  |  | 92847 |  |  |
| Premises and equipment, net | 72590 |  |  | 76069 |  |  |
| Goodwill and intangible assets | 116469 |  |  | 117899 |  |  |
| Other assets | 271685 |  |  | 216493 |  |  |
| Less: Allowance for loan losses | (17687) |  |  | (21922) |  |  |
| **&nbsp;&nbsp;&nbsp;&nbsp; Total assets** | $5979188 |  |  | $5913967 |  |  |
| **Liabilities:** |  |  |  |  |  |  |
| Interest-bearing demand deposits | $1150007 | $1234 | 0.11% | $1071628 | $504 | 0.05% |
| Savings deposits | 1414727 | 1544 | 0.11% | 1291225 | 689 | 0.05% |
| Time deposits <sup>(2)</sup> | 983046 | 4666 | 0.47% | 1157502 | 8213 | 0.71% |
| Short-term borrowings | 284611 | 2211 | 0.78% | 298413 | 489 | 0.16% |
| **Total interest-bearing liabilities** | 3832391 | 9655 | 0.25% | 3818768 | 9895 | 0.26% |
| Noninterest-bearing demand deposits | 1429415 |  |  | 1315801 |  |  |
| Other liabilities | 98553 |  |  | 84377 |  |  |
| Stockholders' equity | 618829 |  |  | 695021 |  |  |
| **Total liabilities and** |  |  |  |  |  |  |
| **Stockholders' equity** | $5979188 |  |  | $5913967 |  |  |
| **Net interest income** |  | $181339 |  |  | $156906 |  |
| **Net yield on earning assets** |  |  | 3.33% |  |  | 2.89% |
| (1) For purposes of this table, non-accruing loans have been included in average balances and the following amounts (in thousands) of net loan fees have been included in interest income: | (1) For purposes of this table, non-accruing loans have been included in average balances and the following amounts (in thousands) of net loan fees have been included in interest income: | (1) For purposes of this table, non-accruing loans have been included in average balances and the following amounts (in thousands) of net loan fees have been included in interest income: | (1) For purposes of this table, non-accruing loans have been included in average balances and the following amounts (in thousands) of net loan fees have been included in interest income: | (1) For purposes of this table, non-accruing loans have been included in average balances and the following amounts (in thousands) of net loan fees have been included in interest income: | (1) For purposes of this table, non-accruing loans have been included in average balances and the following amounts (in thousands) of net loan fees have been included in interest income: | (1) For purposes of this table, non-accruing loans have been included in average balances and the following amounts (in thousands) of net loan fees have been included in interest income: |
| Loan fees, net (includes PPP fees) |  | $568 |  |  | $3550 |  |

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|:---|:---|:---|:---|:---|
| (2) Included in the above table are the following amounts (in thousands) for the accretion of the fair value adjustments related to the Company's acquisitions: | (2) Included in the above table are the following amounts (in thousands) for the accretion of the fair value adjustments related to the Company's acquisitions: | (2) Included in the above table are the following amounts (in thousands) for the accretion of the fair value adjustments related to the Company's acquisitions: | (2) Included in the above table are the following amounts (in thousands) for the accretion of the fair value adjustments related to the Company's acquisitions: | (2) Included in the above table are the following amounts (in thousands) for the accretion of the fair value adjustments related to the Company's acquisitions: |
| Residential real estate | $| 298 | $| 620 |
| Commercial, financial, and agriculture | 642 | 642 | 1198 | 1198 |
| Installment loans to individuals | 45 | 45 | 87 | 87 |
| Time deposits | 83 | 83 | 193 | 193 |
|  | $| 1068 | $| 2098 |
| (3) Includes the Company's consumer and DDA overdrafts loan categories. | (3) Includes the Company's consumer and DDA overdrafts loan categories. | (3) Includes the Company's consumer and DDA overdrafts loan categories. | (3) Includes the Company's consumer and DDA overdrafts loan categories. | (3) Includes the Company's consumer and DDA overdrafts loan categories. |
| (4) Effective January 1, 2012, the carrying value of the Company's previously securitized loans was reduced to $0. | (4) Effective January 1, 2012, the carrying value of the Company's previously securitized loans was reduced to $0. | (4) Effective January 1, 2012, the carrying value of the Company's previously securitized loans was reduced to $0. | (4) Effective January 1, 2012, the carrying value of the Company's previously securitized loans was reduced to $0. | (4) Effective January 1, 2012, the carrying value of the Company's previously securitized loans was reduced to $0. |
| (5) Computed on a fully federal tax-equivalent basis assuming a tax rate of approximately 21%. | (5) Computed on a fully federal tax-equivalent basis assuming a tax rate of approximately 21%. | (5) Computed on a fully federal tax-equivalent basis assuming a tax rate of approximately 21%. | (5) Computed on a fully federal tax-equivalent basis assuming a tax rate of approximately 21%. | (5) Computed on a fully federal tax-equivalent basis assuming a tax rate of approximately 21%. |

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**CITY HOLDING COMPANY AND SUBSIDIARIES**

**Non-GAAP Reconciliations**

**(Unaudited) ($ in 000s, except per share data)**

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| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Twelve Months Ended** | **Twelve Months Ended** |
| | **December 31,**<br>**2022** | **September 30,**<br>**2022** | **June 30,**<br>**2022** | **March 31,**<br>**2022** | **December 31,**<br>**2021** | **December 31,**<br>**2022** | **December 31,**<br>**2021** |
| **Net Interest Income/Margin** |  |  |  |  |  |  |  |
| Net interest income ("GAAP") | $52045 | $48782 | $41290 | $37916 | $40631 | $180033 | $155573 |
| Taxable equivalent adjustment | 336 | 326 | 321 | 323 | 325 | 1306 | 1333 |
| &nbsp;&nbsp;&nbsp;Net interest income, fully taxable equivalent | $52381 | $49108 | $41611 | $38239 | $40956 | $181339 | $156906 |
| Average interest earning assets | $5338507 | $5460409 | $5485604 | $5507397 | $5521386 | $5447550 | $5432581 |
| Net Interest Margin | 3.89% | 3.57% | 3.04% | 2.82% | 2.94% | 3.33% | 2.89% |
| Accretion related to fair value adjustments | (0.02)% | (0.01)% | (0.02)% | (0.03)% | (0.03)% | (0.02)% | (0.04)% |
| &nbsp;&nbsp;&nbsp;Net Interest Margin (excluding accretion) | 3.87% | 3.56% | 3.02% | 2.79% | 2.91% | 3.31% | 2.85% |
| **Tangible Equity Ratio (period end)** |  |  |  |  |  |  |  |
| Equity to assets ("GAAP") | 9.83% | 9.22% | 9.48% | 10.52% | 11.34% |  |  |
| Effect of goodwill and other intangibles, net | (1.81)% | (1.81)% | (1.72)% | (1.77)% | (1.76)% |  |  |
| &nbsp;&nbsp;&nbsp;Tangible common equity to tangible assets | 8.02% | 7.41% | 7.76% | 8.75% | 9.58% |  |  |

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