Company Quick10K Filing
Premier Financial Bancorp
Price17.86 EPS2
Shares15 P/E11
MCap263 P/FCF12
Net Debt-123 EBIT36
TEV140 TEV/EBIT4
TTM 2019-09-30, in MM, except price, ratios
10-Q 2020-09-30 Filed 2020-11-06
10-Q 2020-06-30 Filed 2020-08-07
10-Q 2020-03-31 Filed 2020-05-08
10-K 2019-12-31 Filed 2020-03-12
10-Q 2019-09-30 Filed 2019-11-07
10-Q 2019-06-30 Filed 2019-08-08
10-Q 2019-03-31 Filed 2019-05-09
10-K 2018-12-31 Filed 2019-03-18
10-Q 2018-09-30 Filed 2018-11-08
10-Q 2018-06-30 Filed 2018-08-09
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10-K 2017-12-31 Filed 2018-03-16
10-Q 2017-09-30 Filed 2017-11-09
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10-K 2016-12-31 Filed 2017-03-16
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10-Q 2016-06-30 Filed 2016-08-09
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10-K 2015-12-31 Filed 2016-03-15
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10-K 2014-12-31 Filed 2015-03-16
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10-Q 2014-06-30 Filed 2014-08-08
10-Q 2014-03-31 Filed 2014-05-08
10-K 2013-12-31 Filed 2014-03-13
10-Q 2013-09-30 Filed 2013-11-07
10-Q 2013-06-30 Filed 2013-08-09
10-Q 2013-03-31 Filed 2013-05-10
10-K 2012-12-31 Filed 2013-03-28
10-Q 2012-09-30 Filed 2012-11-14
10-Q 2012-06-30 Filed 2012-08-14
10-Q 2012-03-31 Filed 2012-05-15
10-K 2011-12-31 Filed 2012-03-30
10-Q 2011-09-30 Filed 2011-11-14
10-Q 2011-06-30 Filed 2011-08-15
10-Q 2011-03-31 Filed 2011-05-16
10-K 2010-12-31 Filed 2011-03-29
10-Q 2010-09-30 Filed 2010-11-15
10-Q 2010-06-30 Filed 2010-08-13
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10-K 2009-12-31 Filed 2010-03-30
8-K 2020-11-19
8-K 2020-11-03
8-K 2020-09-24
8-K 2020-08-21
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8-K 2020-07-30
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8-K 2019-11-21
8-K 2019-10-25
8-K 2019-10-23
8-K 2019-09-11
8-K 2019-08-27
8-K 2019-07-23
8-K 2019-07-08
8-K 2019-06-27
8-K 2019-06-19
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8-K 2019-03-06
8-K 2019-02-26
8-K 2018-11-27
8-K 2018-10-12
8-K 2018-09-24
8-K 2018-09-05
8-K 2018-09-05
8-K 2018-08-17
8-K 2018-06-29
8-K 2018-06-20
8-K 2018-05-21
8-K 2018-05-02
8-K 2018-04-18
8-K 2018-03-01
8-K 2018-02-27

PFBI 10Q Quarterly Report

Part I - Financial Information
Item 1. Financial Statements
Note 1 - Basis of Presentation
Note 2 - Securities
Note 3 - Loans
Note 4 - Stockholders' Equity and Regulatory Matters
Note 5 - Premises and Equipment
Note 6 - Stock Compensation Expense
Note 7 - Earnings per Share
Note 8 - Fair Value
Item 2. Management's Discussion and Analysis
Item 3. Quantitative and Qualitative Disclosures About Market Risk
Item 4. Controls and Procedures
Part II - Other Information
Item 1. Legal Proceedings None Item 1A. Risk Factors
Item 6. Exhibits
EX-31.1 exhibit31-1.htm
EX-31.2 exhibit31-2.htm
EX-32 exhibit32.htm

Premier Financial Bancorp Earnings 2020-09-30

Balance SheetIncome StatementCash Flow
1.81.41.10.70.40.02012201420172020
Assets, Equity
0.10.10.10.00.00.02017201720182019
Rev, G Profit, Net Income
0.10.10.0-0.0-0.1-0.12012201420172020
Ops, Inv, Fin


UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549

FORM 10-Q

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended September 30, 2020
or
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from ___________ to ___________

Commission file number 000-20908

PREMIER FINANCIAL BANCORP, INC.
(Exact name of registrant as specified in its charter)

Kentucky
 
61-1206757
(State or other jurisdiction of incorporation organization)
 
(I.R.S. Employer Identification No.)
     
2883 Fifth Avenue
Huntington, West Virginia
 
25702
(Address of principal executive offices)
 
(Zip Code)
     
Registrant’s telephone number    (304) 525-1600

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to filing requirements for the past 90 days.  Yes      No .
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§230.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes     No .
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company.  See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer 
 
Accelerated filer 
Non-accelerated filer 
Smaller reporting company 
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.  
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Securities Exchange Act).      Yes     No .
Securities registered pursuant to Section 12(b) of the Act:
Title of each class
 
Trading Symbol(s)
 
Name of each exchange on which registered
Common Stock, no par value
 
PFBI
 
The Nasdaq Stock Market LLC

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date.

Common stock, no par value, – 14,673,257 shares outstanding at November 3, 2020





PREMIER FINANCIAL BANCORP, INC.
SEPTEMBER 30, 2020
INDEX TO REPORT

 
3
43
66
66
67
67
67
67
67
67
67
68
69


2.



PREMIER FINANCIAL BANCORP, INC.
SEPTEMBER 30, 2020

PART I - FINANCIAL INFORMATION

Item 1. Financial Statements

The accompanying information has not been audited by an independent registered public accounting firm; however, in the opinion of management such information reflects all adjustments necessary for a fair presentation of the results for the interim period.  All such adjustments are of a normal and recurring nature.  Premier Financial Bancorp, Inc.’s (“Premier’s”) accounting and reporting policies are in accordance with accounting principles generally accepted in the United States of America.  Certain accounting principles used by Premier involve a significant amount of judgment about future events and require the use of estimates in their application.  The following policies are particularly sensitive in terms of judgments and the extent to which estimates are used: allowance for loan losses, the identification and evaluation of impaired loans, and the impairment of goodwill.  These estimates are based on assumptions that may involve significant uncertainty at the time of their use.  However, the policies, the estimates and the estimation process as well as the resulting disclosures are periodically reviewed by the Audit Committee of the Board of Directors and material estimates are subject to review as part of the external audit by the independent registered public accounting firm.

The accompanying financial statements are presented in accordance with the requirements of Form 10-Q and consequently do not include all of the disclosures normally required by accounting principles generally accepted in the United States of America or those normally made in the registrant’s annual report on Form 10-K.  Accordingly, the reader of the Form 10-Q may wish to refer to the registrant’s Form 10-K for the year ended December 31, 2019 for further information in this regard.

Index to consolidated financial statements:

Consolidated Balance Sheets          
4
5
6
7
8
9



3.



PREMIER FINANCIAL BANCORP, INC.
CONSOLIDATED BALANCE SHEETS
SEPTEMBER 30, 2020 AND DECEMBER 31, 2019
(DOLLARS IN THOUSANDS, EXCEPT PER SHARE DATA)

 
(UNAUDITED)
       
   
September 30,
2020
   
December 31,
2019
 
ASSETS
           
Cash and due from banks
 
$
23,505
   
$
23,091
 
Interest bearing bank balances
   
52,652
     
66,063
 
Federal funds sold
   
5,859
     
5,902
 
Cash and cash equivalents
   
82,016
     
95,056
 
Securities available for sale
   
436,580
     
390,754
 
Loans
   
1,268,481
     
1,195,295
 
Allowance for loan losses
   
(12,773
)
   
(13,542
)
Net loans
   
1,255,708
     
1,181,753
 
Federal Home Loan Bank stock, at cost
   
4,166
     
4,450
 
Premises and equipment, net
   
36,154
     
37,257
 
Other real estate owned, net
   
13,331
     
12,242
 
Interest receivable
   
6,662
     
4,699
 
Goodwill
   
47,640
     
47,640
 
Other intangible assets
   
4,652
     
5,376
 
Other assets
   
1,984
     
1,783
 
Total assets
 
$
1,888,893
   
$
1,781,010
 
                 
LIABILITIES AND STOCKHOLDERS' EQUITY
               
Deposits
               
Non-interest bearing
 
$
449,361
   
$
367,870
 
Time deposits, $250,000 and over
   
66,170
     
100,638
 
Other interest bearing
   
1,069,858
     
1,027,245
 
Total deposits
   
1,585,389
     
1,495,753
 
Securities sold under agreements to repurchase
   
28,214
     
20,428
 
FHLB advances
   
-
     
6,375
 
Subordinated debt
   
5,465
     
5,436
 
Interest payable
   
510
     
912
 
Other liabilities
   
13,074
     
11,865
 
Total liabilities
   
1,632,652
     
1,540,769
 
                 
Stockholders' equity
               
Common stock, no par value; 30,000,000 shares authorized; 14,673,257 shares issued and outstanding at September 30, 2020, and 14,657,432 shares issued and outstanding at December 31, 2019
   
134,079
     
133,795
 
Retained earnings
   
112,639
     
102,743
 
Accumulated other comprehensive income (loss)
   
9,523
     
3,703
 
Total stockholders' equity
   
256,241
     
240,241
 
Total liabilities and stockholders' equity
 
$
1,888,893
   
$
1,781,010
 


4.



PREMIER FINANCIAL BANCORP, INC.
CONSOLIDATED STATEMENTS OF INCOME
THREE AND NINE MONTHS ENDED SEPTEMBER 30, 2020 AND 2019
(UNAUDITED, DOLLARS IN THOUSANDS, EXCEPT PER SHARE DATA)

 
Three Months Ended
September 30,
   
Nine Months Ended
September 30,
 
   
2020
   
2019
   
2020
   
2019
 
Interest income
                       
Loans, including fees
 
$
16,296
   
$
16,438
   
$
48,466
   
$
48,954
 
Securities available for sale
                               
Taxable
   
1,992
     
2,266
     
6,549
     
6,917
 
Tax-exempt
   
179
     
85
     
450
     
265
 
Federal funds sold and other
   
24
     
519
     
308
     
1,342
 
Total interest income
   
18,491
     
19,308
     
55,773
     
57,478
 
                                 
Interest expense
                               
Deposits
   
1,421
     
2,367
     
5,301
     
6,702
 
Repurchase agreements and other
   
20
     
24
     
60
     
45
 
Other borrowings
   
-
     
-
     
-
     
31
 
FHLB advances
   
12
     
48
     
64
     
151
 
Subordinated debt
   
64
     
91
     
223
     
281
 
Total interest expense
   
1,517
     
2,530
     
5,648
     
7,210
 
                                 
Net interest income
   
16,974
     
16,778
     
50,125
     
50,268
 
Provision for loan losses
   
765
     
425
     
2,355
     
1,315
 
Net interest income after provision for loan losses
   
16,209
     
16,353
     
47,770
     
48,953
 
                                 
Non-interest income
                               
Service charges on deposit accounts
   
860
     
1,216
     
2,658
     
3,432
 
Electronic banking income
   
975
     
891
     
2,730
     
2,640
 
Secondary market mortgage income
   
154
     
97
     
305
     
154
 
Other
   
208
     
267
     
643
     
768
 
     
2,197
     
2,471
     
6,336
     
6,994
 
Non-interest expenses
                               
Salaries and employee benefits
   
5,401
     
5,422
     
16,076
     
16,048
 
Occupancy and equipment expenses
   
1,856
     
1,700
     
5,379
     
5,241
 
Outside data processing
   
1,778
     
1,478
     
5,011
     
4,288
 
Professional fees
   
211
     
286
     
701
     
957
 
Taxes, other than payroll, property and income
   
251
     
235
     
778
     
734
 
Write-downs, expenses, sales of other real estate owned, net
   
149
     
213
     
571
     
690
 
Amortization of intangibles
   
241
     
223
     
724
     
673
 
FDIC insurance
   
115
     
(5
)
   
183
     
238
 
Other expenses
   
1,153
     
1,198
     
3,548
     
3,515
 
     
11,155
     
10,750
     
32,971
     
32,384
 
Income before income taxes
   
7,251
     
8,074
     
21,135
     
23,563
 
Provision for income taxes
   
1,627
     
1,807
     
4,637
     
5,261
 
                                 
Net income
 
$
5,624
   
$
6,267
   
$
16,498
   
$
18,302
 
                                 
Net income per share:
                               
Basic
 
$
0.38
   
$
0.43
   
$
1.12
   
$
1.25
 
Diluted
   
0.38
     
0.43
     
1.12
     
1.24
 

5.



PREMIER FINANCIAL BANCORP, INC.
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
THREE AND NINE MONTHS ENDED 2020 AND 2019
(UNAUDITED, DOLLARS IN THOUSANDS, EXCEPT PER SHARE DATA)

 
Three Months Ended
September 30,
   
Nine Months Ended
September 30,
 
   
2020
   
2019
   
2020
   
2019
 
Net income
 
$
5,624
   
$
6,267
   
$
16,498
   
$
18,302
 
                                 
Other comprehensive income (loss):
                               
Unrealized gains (losses) arising during the period
   
(1,524
)
   
450
     
7,366
     
10,042
 
Reclassification of realized amount
   
-
     
-
     
-
     
-
 
Net change in unrealized gain (loss) on securities
   
(1,524
)
   
450
     
7,366
     
10,042
 
Less tax impact
   
320
     
(96
)
   
(1,546
)
   
(2,109
)
Other comprehensive income (loss)
   
(1,204
)
   
354
     
5,820
     
7,933
 
                                 
Comprehensive income
 
$
4,420
   
$
6,621
   
$
22,318
   
$
26,235
 


6.



PREMIER FINANCIAL BANCORP, INC.
CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS’ EQUITY
THREE AND NINE MONTHS ENDED SEPTEMBER 30, 2020 AND 2019
(UNAUDITED, DOLLARS IN THOUSANDS, EXCEPT PER SHARE DATA)

Three months ended September 30
 
Common
Stock
   
Retained
Earnings
   
Accumulated
Other
Comprehensive
Income (loss)
   
Total
 
Balances, July 1, 2020
 
$
134,052
   
$
109,216
   
$
10,727
   
$
253,995
 
Net income
   
-
     
5,624
     
-
     
5,624
 
Other comprehensive income (loss)
   
-
     
-
     
(1,204
)
   
(1,204
)
Cash dividends paid ($0.15 per share)
   
-
     
(2,201
)
   
-
     
(2,201
)
Stock options exercised
   
-
     
-
     
-
     
-
 
Stock based compensation expense
   
27
     
-
     
-
     
27
 
Balances, September 30, 2020
 
$
134,079
   
$
112,639
   
$
9,523
   
$
256,241
 
                                 
                                 
Balances, July 1, 2019
 
$
133,597
   
$
94,978
   
$
3,727
   
$
232,302
 
Net income
   
-
     
6,267
     
-
     
6,267
 
Other comprehensive income (loss)
   
-
     
-
     
354
     
354
 
Cash dividends paid ($0.15 per share)
   
-
     
(2,198
)
   
-
     
(2,198
)
Stock options exercised
   
36
     
-
     
-
     
36
 
Stock based compensation expense
   
47
     
-
     
-
     
47
 
Balances, September 30, 2019
 
$
133,680
   
$
99,047
   
$
4,081
   
$
236,808
 

Nine months ended September 30
 
Common
Stock
   
Retained
Earnings
   
Accumulated
Other
Comprehensive
Income (loss)
   
Total
 
Balances, January 1, 2020
 
$
133,795
   
$
102,743
   
$
3,703
   
$
240,241
 
Net income
   
-
     
16,498
     
-
     
16,498
 
Other comprehensive income
   
-
     
-
     
5,820
     
5,820
 
Cash dividends paid ($0.45 per share)
   
-
     
(6,602
)
   
-
     
(6,602
)
Stock options exercised
   
31
     
-
     
-
     
31
 
Stock based compensation expense
   
253
     
-
     
-
     
253
 
Balances, September 30, 2020
 
$
134,079
   
$
112,639
   
$
9,523
   
$
256,241
 
                                 
                                 
Balances, January 1, 2019
 
$
133,248
   
$
87,333
   
$
(3,852
)
 
$
216,729
 
Net income
   
-
     
18,302
     
-
     
18,302
 
Other comprehensive income
   
-
     
-
     
7,933
     
7,933
 
Cash dividends paid ($0.45 per share)
   
-
     
(6,588
)
   
-
     
(6,588
)
Stock options exercised
   
176
     
-
     
-
     
176
 
Stock based compensation expense
   
256
     
-
     
-
     
256
 
Balances, September 30, 2019
 
$
133,680
   
$
99,047
   
$
4,081
   
$
236,808
 



7.



PREMIER FINANCIAL BANCORP, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
NINE MONTHS ENDED SEPTEMBER 30, 2020 AND 2019
(UNAUDITED, DOLLARS IN THOUSANDS)

 
2020
   
2019
 
Cash flows from operating activities
           
Net income
 
$
16,498
   
$
18,302
 
Adjustments to reconcile net income to net cash from
operating activities
               
Depreciation
   
1,522
     
1,624
 
Provision for loan losses
   
2,355
     
1,315
 
Amortization, net of accretion
   
1,439
     
89
 
Writedowns of other real estate owned, net
   
268
     
176
 
Stock compensation expense
   
253
     
256
 
Changes in:
               
Interest receivable
   
(1,963
)
   
(120
)
Other assets
   
(201
)
   
(1,158
)
Interest payable
   
(402
)
   
114
 
Other liabilities
   
(185
)
   
812
 
Net cash from operating activities
   
19,584
     
21,410
 
                 
Cash flows from investing activities
               
Net change in bank owned CD's
   
-
     
496
 
Purchases of securities available for sale
   
(155,116
)
   
(39,961
)
Proceeds from maturities and calls of securities available for sale
   
115,029
     
67,203
 
Purchase of FHLB stock
   
-
     
(10
)
Redemption of FHLB stock
   
284
     
100
 
Net change in loans
   
(78,012
)
   
7,394
 
Purchases of premises and equipment, net
   
(571
)
   
(1,211
)
Proceeds from sales of other real estate acquired through foreclosure
   
1,362
     
1,254
 
Net cash from (used in) investing activities
   
(117,024
)
   
35,265
 
                 
Cash flows from financing activities
               
Net change in deposits
   
89,585
     
(3,029
)
Net change in agreements to repurchase securities
   
7,786
     
(341
)
Repayment of other borrowed funds
   
-
     
(2,500
)
Repayment of FHLB advances
   
(6,400
)
   
(2,500
)
Proceeds from stock option exercises
   
31
     
176
 
Common stock dividends paid
   
(6,602
)
   
(6,588
)
Net cash from financing activities
   
84,400
     
(14,782
)
                 
Net change in cash and cash equivalents
   
(13,040
)
   
41,893
 
                 
Cash and cash equivalents at beginning of period
   
95,056
     
80,775
 
                 
Cash and cash equivalents at end of period
 
$
82,016
   
$
122,668
 
                 
Supplemental disclosures of cash flow information:
               
Cash paid during period for interest
 
$
6,050
   
$
7,096
 
Cash paid during period for income taxes
   
3,980
     
5,090
 
Loans transferred to real estate acquired through foreclosure
   
2,719
     
1,330
 
Operating right-of-use asset resulting from lease liability
   
(152
)
   
7,412
 

8.



PREMIER FINANCIAL BANCORP, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(UNAUDITED, DOLLARS IN TABLES IN THOUSANDS, EXCEPT PER SHARE DATA)


NOTE 1 - BASIS OF PRESENTATION

The consolidated financial statements include the accounts of Premier Financial Bancorp, Inc. (the Company) and its wholly owned subsidiaries (the “Banks”):

     
Year
 
 Total
 
September 30, 2020
 Net Income
Subsidiary
 
Location
 
Acquired
 
Assets
 
Qtr
 
YTD
Citizens Deposit Bank & Trust
 
Vanceburg, Kentucky
 
1991
 
$
568,963
 
$
1,548
 
$
4,569
Premier Bank, Inc.
 
Huntington, West Virginia
 
1998
   
1,312,288
   
4,481
   
13,455
Parent and Intercompany Eliminations
           
7,642
   
(405)
   
(1,526)
Consolidated Total
         
$
1,888,893
 
$
5,624
 
$
16,498

All significant intercompany transactions and balances have been eliminated.

Estimates in the Financial Statements:  The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions based on available information. These estimates are, to a large degree, dependent upon our accounting policies. The selection and application of these accounting policies involve judgments, estimates, and uncertainties that are susceptible to change. Those accounting policies that management believes are the most important to the presentation and understanding of our financial condition and results of operations include the allowance for loan losses, business combinations and impairment of goodwill, and other than temporary impairment (“OTTI”) of securities available for sale.  The estimates and assumptions used in these calculations affect the amounts reported in the financial statements and the disclosures provided.  National and local participation in a worldwide effort to curb the spread of the COVID-19 virus has resulted in and may continue to result in negative changes in the national and regional business climate in the geographic areas in which Premier operates.  During the first quarter of 2020, management determined that the deterioration in the general economic conditions as a result of these efforts to curb the spread of the COVID-19 virus represented a triggering event prompting a qualitative evaluation of goodwill impairment.  Based on analyses performed in the third quarter of 2020, management determined that goodwill was not impaired.   At this time, management does not believe there exists any impairment to goodwill and intangible assets, long-lived assets, or available-for-sale securities due to the COVID-19 pandemic. The effects of government measures to curb the spread of the COVID-19 virus on the local or national economy are uncertain and could cause assumptions and conditions to change in the near term.  In the event that changes to assumptions or conditions from what was originally estimated were to prevail, and depending upon the severity of such changes, the possibility of materially different financial condition or results of operations is a reasonable likelihood.


9.



PREMIER FINANCIAL BANCORP, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(UNAUDITED, DOLLARS IN TABLES IN THOUSANDS, EXCEPT PER SHARE DATA)


NOTE  1 - BASIS OF PRESENTATION - continued

Loans:  In addition to the eight loan portfolio segments already identified as having differing risk characteristics, in the second quarter of 2020 Premier added the following porfolio segment:
Small Business Administration Paycheck Protection Plan:  Loans originated under the Small Business Administration’s Paycheck Protection Plan (“SBA PPP”), as originally enacted, provide qualifying small business borrowers with a fixed rate loan bearing an interest rate of 1.00%, a 24-month maturity date, and payment deferrals for the first six months of the loan.  The loans require no collateral and are fully guaranteed, both principal and interest, by the Small Business Administration (“SBA”) and the U. S. Treasury.  As fully guaranteed loans, no allowance for loans losses is considered necessary.  Loan amounts per borrower are limited to an amount approximating two and one-half months of their average payroll expense during the calendar year 2019.  A key feature of the loan program is that borrowers can receive repayment forgiveness by the SBA for the portion of their loan proceeds that were expended on certain employee payroll related costs and qualifying premises and equipment costs during the eight weeks following loan disbursement, up to 100% of the loan amount.  The program has since been modified to allow borrowers up to twenty-four weeks to expend the proceeds on those qualifying expenses.  Upon forgiveness, the issuing bank would be reimbursed by the SBA for the forgiveness portion and any accrued interest thereon.  Any remaining balance would be repaid by the borrower over the remaining eighteen months to loan maturity.  Subsequent changes to the program provide for an additional 10 months before repayment must commence and allows borrowers an option to extend the repayment period up to 60 months if the bank agrees.



10.



PREMIER FINANCIAL BANCORP, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(UNAUDITED, DOLLARS IN TABLES IN THOUSANDS, EXCEPT PER SHARE DATA)


NOTE  1 - BASIS OF PRESENTATION - continued

Recently Issued Accounting Pronouncements