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CNB Financial Corporation

ccne · NASDAQ Financial Services
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Exchange NASDAQ
Sector Financial Services
Industry Banks - Regional
Employees 769
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FY2014 Annual Report · CNB Financial Corporation
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A N N U A L   R E P O R T

TABLE OF 

CONTENTS

Consolidated Financial Highlights  

Message to the Shareholders 

Executive Management and Board of Directors  

Officers 

Shareholder Information 

4

 5

  8

  9

12

2014 ANNUAL REPORT HIGHLIGHTS

3

CONSOLIDATED FINANCIAL HIGHLIGHTS  (dollars in thousands, except per share data)

HIGHLIGHTS

FOR THE YEAR 

 Interest and Dividend Income 
 Interest Expense 
 Net Interest Income 
 Non-interest Income 
 Non-interest Expense 
 Net Income 

Net Income Return on:
 Average Assets 
 Average Equity 

AT YEAR END

Assets 
 Loans, net of unearned 
Deposits 
 Shareholders’ Equity 

PER SHARE DATA

 Net Income, diluted 
Dividends   
 Book Value 
 Market Value 

4

CNB FINANCIAL CORPORATION

2014 
$86,882 
  12,287 
  74,595 
  14,321 
  52,688 
  23,074 

   1.07% 
 12.76% 

2013 
$71,416 
  12,212 
  59,204 
  13,766 
  43,813 
  16,679 

% Change
21.7%
  0.6%
26.0%
  4.0%
20.3%
38.3%

   0.88% 
 11.38% 

21.6%
12.1%

$2,189,213 
  1,355,289 
  1,847,079 
     188,548 

$2,131,289 
  1,295,363 
  1,835,314 
     164,911 

  2.7%
  4.6%
  0.6%
14.3%

$1.60 
  0.66 
13.09 
18.50 

$1.29 
  0.66 
 11.43 
 19.00 

24.0%
  0.0%
14.5%
 (2.6%)

 
 
 
 
 
 
 
 
 
MESSAGE TO THE

SHAREHOLDERS

To Our Shareholders, Customers, Employees & Friends:

CNB Financial Corporation has once again achieved double-digit growth in earnings.  Net income for 2014 rose 38% 
over 2013 to $23.1 million.  Prior to 2013, which included acquisition costs of $2.4 million, the Corporation had four 
consecutive years of double-digit increases.  The overall philosophy that community bank earnings are based on solid 
core deposits has been the primary driver of this achievement.  During the last five years, deposits have increased $890 
million, or 93%.

Along with solid earnings, asset quality also improved during the year.  The ratio of non-performing assets to total assets 
was 0.47% at December 31, 2014, a level that has not been achieved since September 2008.  In addition, the ratio of clas-
sified assets to capital declined substantially during 2014 while achieving a nominal ratio of net chargeoffs to average 
loans of 0.21%.  All of CNB’s asset quality metrics are very favorable to allow the Corporation to grow into the future.

Loan growth for 2014 was 4.6% and was achieved with a key focus placed on reducing the level of classified assets.  The 
Corporation’s markets are recovering well, and even expanding, after the lengthy recent recession.  Liquidity is strong 
with a loan to deposit ratio of 73%, and investment portfolio provides consistent cash flows to fund future loan growth.

In 2014, deposit customers became more confident in the local and US economies.  There has been a spending expansion 
by our business customers as orders have increased and equipment replacement and building expansions have begun.  
Customers have also started investing money back into the markets through stocks, bonds and mutual funds.  As de-
posits across our market area grew over the last five years, there was an underlying assumption that confidence would 
be restored and spending would once again occur, thereby reducing the deposit base of financial institutions.  CNB has 
fared well as many of the deposit customers gained are true relationships with core operating accounts.

2014 ANNUAL REPORT HIGHLIGHTS

5

FINANCIALS

ASSET GROWTH (in thousands)

FINANCIALS

$1,413,511

2010

1,000

1,200

1,400

1,600

1,800

200

400

600

800

0

$1,602,207

2011

2,000

2,200

2,400

2012

2013

2014

$1,773,079

$2,131,289

$2,189,213

DEPOSIT GROWTH (in thousands)

0

125

250

375

500

625

750

875

1,000

1,125

1,250

1,375

1,500

1,625

1,750

1,875

$1,162,868

$1,353,851

$1,485,003

$1,835,314

$1,847,079

NET INTEREST INCOME (in thousands)

$ 0

$8

$16

$ 24

$ 32

$ 40

$ 48

$ 56

$ 64

$ 72

$ 74

2010

2011

2012

2013

2014

$42,091

$48,133

$53,209

$59,204

$74,595

EARNINGS PER SHARE (diluted)

$.00

.15

.30

.45

.60

.75

.90

1.05

1.20

1.35

1.50

1.65

$1.06

$1.23

$1.38

$1.29

       $1.60

2010

2011

2012

2013

2014

2010

2011

2012

2013

2014

6

CNB FINANCIAL CORPORATION

Message to the Shareholders continued…

One key focus for 2014, as mentioned earlier, was to improve asset quality.  That was not the only initiative.  Perhaps the 
most significant focus was to integrate the FCBank acquisition.  Much has occurred in Ohio for the Corporation during the 
first 15 months following the acquisition with very positive results.  The FCBank team is almost entirely in place and has 
done an excellent job retaining many of the existing customers while creating many new relationships.  A new office in 
Dublin, Ohio opened in July housing our commercial lending and private banking groups.  In addition, CNB Bank and ERIE-
BANK each opened new loan production offices during the year in Hollidaysburg, PA and Ashtabula, OH, respectively.  Both 
have been very well received in each market.  ERIEBANK also constructed and opened, in January 2015, its eighth office, 
located in the northwest area of the city of Erie, PA.

CNB’s Board, management, and team look forward to 2015 with a clean balance sheet, an improving economy, and a capac-
ity for expanding customer relationships.  Your confidence and ownership has been a real strength for this Corporation.

Joseph B. Bower, Jr. 
President and Chief Executive Officer

2014 ANNUAL REPORT HIGHLIGHTS

7

EXECUTIVE MANAGEMENT & BOARD OF

DIRECTORS

Corporate Officers, CNB Financial Corporation

Joseph B. Bower, Jr. 
President & Chief Executive Officer

Brian W. Wingard 
Treasurer & Principal Financial Officer

Richard L. Greslick, Jr. 
Secretary

Vincent C. Turiano 
Assistant Secretary

Executive Officers, CNB Bank

Joseph B. Bower, Jr. 
President & Chief Executive Officer

Mark D. Breakey 
Senior Executive Vice President &  
Chief Credit Officer

Richard L. Greslick, Jr. 
Senior Executive Vice President,  
Chief Operating Officer

Board of Directors

CNB Financial Corporation and CNB Bank
Dennis L. Merrey  
Chairman of the Board 
Retired, Formerly President, Clearfield 
Powdered Metals, Inc. (Manufacturer) 

Joseph B. Bower, Jr.  
President and Chief Executive Officer,  
CNB Financial Corporation; President & 
Chief Executive Officer, CNB Bank

William F. Falger  
Retired, Formerly President & 
Chief Executive Officer, CNB Financial 
Corporation, CNB Bank 

Richard L. Greslick, Jr.  
Senior Executive Vice President & Chief 
Operating Officer, CNB Bank; Secretary, 
CNB Financial Corporation

R. Duane Hord 
President of Hord Livestock Company, Inc. 
(Agriculture) 

Mary Ann Conaway 
Executive Vice President,                         
Human Resources

Leanne D. Kassab 
Executive Vice President,                       
Customer Experience

Joseph E. Dell, Jr. 
Executive Vice President &  
Chief Lending Officer

Vincent C. Turiano 
Executive Vice President, Wealth Officer

Brian W. Wingard 
Executive Vice President &  
Chief Financial Officer

Richard B. Seager 
President and Chief Executive Officer, 
Beacon Light Behavioral Health Systems 
(Health Services)

Peter F. Smith  
Attorney at Law

Director Emeritus 
L. E. Soult, Jr. 

Robert W. Montler  
President & Chief Executive Officer, 
Lee Industries and Keystone Process 
Equipment (Manufacturer) 

Joel E. Peterson  
President, Clearfield Wholesale Paper 
(Wholesaler) 

Deborah Dick Pontzer 
Economic Development & Workforce 
Specialist, Office of Congressman  
Glenn Thompson

Jeffrey S. Powell  
President, J.J. Powell, Inc.  
(Petroleum Distributor) 

James B. Ryan  
Retired, Formerly Vice President of 
Sales, Marketing, Windfall Products, Inc. 
(Manufacturer) 

Nick Scott, Jr. 
Vice President & Owner, Scott Enterprises 
(Hospitality Industry)

8

CNB FINANCIAL CORPORATION

OFFICERS
Administrative Services

Timothy A. Bracken 
Vice President, Controller

Edward H. Proud 
Vice President, Information Systems

Susan M. Warrick 
Vice President, Operations

Donna J. Collins 
Vice President, Regulation & 
Examination

Branch Division

Vickie L. Baker  
Assistant Vice President,  
Regional Branch Administration,  
Bradford Main Office

Tyler A. Kirkwood  
Regional Branch Administration, 
Clearfield Industrial Park Road 
Office

Mary A. Baker 
Assistant Vice President,  
Northern Cambria Office

Lending Division

Jeffrey W. Alabran 
Senior Vice President,  
Commercial Banking, Indiana

Gregory M. Dixon 
Vice President,  
Commercial Banking, Clearfield

Michael E. Haines 
Vice President,  
Commercial Banking, St. Marys

Robin L. Hay  
Vice President,  
Commercial Banking, Clearfield 

Karen R. Pfingstler 
Vice President,  
Commercial Banking, DuBois

Thomas J. Ammerman, Jr. 
Assistant Vice President, Security

Shannon L. Irwin 
Assistant Vice President, Human 
Resources 

Paul A. McDermott  
Assistant Vice President, Facilities

Carolyn B. Smeal 
Assistant Vice President, Operations

Becky Coleman 
Operations Officer

Carol J. Cossick 
Assistant Controller

Thomas W. Grice 
Network Administration Officer

Amy B. Potter 
Marketing Officer

Dennis J. Sloppy 
Information Systems Officer

B.J. Sterndale 
Training Officer

Brenda L. Terry 
Banking Officer

Susan J. Shimmel  
Assistant Vice President,  
Clearfield Old Town Road Office

Deborah Peak 
Banking Officer, Indiana

Larry A. Putt  
Banking Officer, Clearfield 

Nadine J. Rodgers 
Banking Officer, Indiana

Mary Ann Roney 
Banking Officer, Bradford

Gregory R. Williams 
Banking Officer, Clearfield

Timothy C. Nagle 
Vice President,                                               
Commercial Banking, Blair County

Matthew Q. Raptosh  
Vice President,                                      
Commercial Banking, Philipsburg

Michael C. Sutika 
Vice President,  
Commercial Banking, Clearfield

Joseph H. Yaros  
Vice President,  
Commercial Banking, Bradford 

David W. Ogden  
Vice President, Credit 
Administration 

Lori Curtis  
Community Office Manager,  
Philipsburg Plaza Office

Denise J. Greene  
Community Office Manager,  
DuBois Office

Lynette Hebel 
Community Office Manager,  
Karthaus and Kylertown Offices

Alesia McElwee 
Community Office Manager,  
Clearfield Main Office

Douglas M. Shaffer 
Community Office Manager,  
Punxsutawney Office

Lori D. Shimel 
Community Office Manager,  
Houtzdale and Madera Offices

Caroline Henry  
Community Office Manager,  
Philipsburg Presqueisle Street Office

Pam Synder 
Community Office Manager, Kane 
Office 

Eileen F. Ryan 
Vice President, Mortgage Lending

Ruth Anne Ryan-Catalano 
Vice President, Retail Banking

C. Brett Stewart 
Vice President,  
Commercial Banking, Indiana

Christopher L. Stott  
Vice President, Retail Lending 

James C. Davidson 
Assistant Vice President, Private 
Banking

Cory Johnston  
Assistant Vice President,                             
Credit Administration

Michael Mignogna 
Assistant Vice President, 
Commercial Banking, Blair County

Autumn F. Farley 
Commercial Loan Portfolio 
Manager & Support Lending Officer

Katie A. Penoyer 
Commercial Banking Officer

Wealth & Asset Management Services

Craig C. Ball 
Vice President, Wealth & Asset 
Management 

Eric A. Johnson 
Vice President, Wealth & Asset 
Management

Glenn R. Pentz 
Vice President, Wealth & Asset 
Management

Andrew Roman 
Vice President, Wealth & Asset 
Management

Calvin R. Thomas, Jr. 
Vice President, Wealth & Asset 
Management

Shawn Amblod 
Assistant Vice President, Wealth & 
Asset Management

R. Michael Love 
Assistant Vice President, Wealth & 
Asset Management

Andrew D. Franson 
Wealth & Asset Operations Officer

2014 ANNUAL REPORT HIGHLIGHTS

9

 
 
 
 
OFFICERS &

AFFILIATES

ERIEBANK, a Division of CNB Bank

David J. Zimmer 
President

Steven M. Cappellino 
Senior Vice President,  
Commercial Banking, Meadville Office

Donald W. Damon 
Senior Vice President, Private Banking

William L. DeLuca, Jr. 
Senior Vice President,  
Commercial Banking

David Bogardus 
Vice President,                                        
Commercial Banking, Ashtabula

Betsy Bort 
Vice President, Commercial Banking

Scott O. Calhoun 
Vice President, Commercial Banking

Joshua P. Miller 
Vice President, ERIEBANK Investment 
Advisors

Larry Morton 
Vice President, ERIEBANK Investment 
Advisors 

John M. Schulze 
Vice President, Commercial Banking

William J. Vitron, Jr. 
Vice President, ERIEBANK Investment 
Advisors

Chrystal M. Fairbanks 
Assistant Vice President,                     
Commercial Banking, Ashtabula

Katie J. Jones 
Assistant Vice President, Regional Retail 
Administrator, Harborcreek Office

Carla M. LaGuardia 
Assistant Vice President, Commercial 
Banking, West 12th Street Office

James Miale 
Assistant Vice President, Commercial 
Banking, Meadville Office

Gregory Noon 
Assistant Vice President, Commercial 
Banking, Warren Office

Helicia E. Sonney 
Community Office Manager,  
Asbury Office

Theresa L. Swanson 
Community Office Manager,  
Warren Office

Mary J. Taormina 
Community Office Manager,  
Meadville Office

Abby L. Williams 
Community Office Manager,  
West 12th Street Office

Kelly S. Buck 
Private Banking Officer

Russell Daniels 
Commercial Lending Officer

Allison Hodas 
Cash Management Officer

Paul D. Sallie 
Assistant Vice President, Private Banking

Julie L. Martin 
Operations Officer

Debra Masone 
Community Office Manager,  
Vernon Office

Erin Mehler 
Community Office Manager,  
Interchange Office

Timothy Roberts 
Commercial Lending Officer

ERIEBANK Regional Board of Directors

Joseph B. Bower, Jr. 
President and Chief Executive Officer,  
CNB Financial Corporation, CNB Bank

David K. Galey 
Vice President of Administration, 
Greenleaf Corporation (Manufacturer)

Thomas Kennedy  
President, Professional Development 
Associates, Inc. (Real Estate Developer)

Mark D. Breakey 
Senior Executive Vice President &  
Chief Credit Officer, CNB Bank

James E. Gehrlein 
Chairman, Enterprise Loan Fund of 
Develop Erie (Community Development)

Charles H. Reams 
President, C. H. Reams & Associates, Inc. 
(Insurance)

Gary L. Clark  
Managing Partner,  
Stonebank Management, LLC (Consulting)

Jane M. Earll 
Esquire, (Senator, Retired)

Richard L. Greslick, Jr. 
Senior Executive Vice President &  
Chief Operating Officer, CNB Bank; 
Secretary, CNB Financial Corporation

Charles Hagerty 
Vice President, Northern Tier Markets, 
UPMC Health Plan (Health Services)

Nick Scott, Jr. 
Vice President & Owner, Scott Enterprises 
(Hospitality Industry)

James E. Spoden 
Esquire, MacDonald Illig Jones &  
Britton, LLP (Law Office)

David J. Zimmer 
President, ERIEBANK

10

CNB FINANCIAL CORPORATION

FCBank, a Division of CNB Bank
J. Andrew Dale 
President

Kimberly S. Emerson 
Vice President, Private Banking

Terrance E. Hamm 
Vice President, Commercial Banking

Robert N. Hatch 
Vice President, Commercial Banking

Stephen R. Lust 
Vice President, Regional Retail Sales 
Manager

Jeffrey C. Perkins 
Vice President, Private Banking

Dean J. Vande Water 
Vice President, Commercial Relationship 
Manager

Brian C. Bach 
Assistant Vice President, Agriculture 
Lending

Donna M. Conley 
Assistant Vice President, Lending

William R. Diehl 
Assistant Vice President, Dublin Office

Elizabeth M. Ricketts 
Assistant Vice President,  
Regional Branch Administration

J. Ralph Parker 
Senior Credit Officer

Brian A. McFarland 
Community Office Manager,  
Upper Arlington Office

Michelle P. Muchow 
Banking Officer, Dublin Office

Toni M. Ridge 
Banking Officer, Bucyrus North Office

Teri A. Slate 
Community Office Manager, Shiloh Office

Jared Butler 
Network Adminstrator, Facilities Officer

Travis M. Smith 
Operations Officer

Annette D. Lester 
Community Office Manager,  
Cardington Office

Clara J. McClung 
Community Office Manager,  
Worthington Office

Ashley Snyder 
Agricultural Lending Officer

Elaine M. Wilson 
Community Office Manager, 
Fredericktown Office

FCBank, Regional Board of Directors

Joseph B. Bower, Jr.  
President and Chief Executive Officer, CNB 
Financial Corporation, CNB Bank

Mark D. Breakey  
Senior Executive Vice President & Chief 
Credt Officer, CNB Bank 

Patrick J. Drouhard 
Retired, Superintentdent, Cardington-
Lincoln School District (Education)

Richard L. Greslick, Jr.  
Executive Vice President and Chief 
Operating Officer, CNB Bank; Secretary, 
CNB Financial Corporation

R. Duane Hord 
President, Hord Livestock, Inc. 
(Agriculture)

Patrick Hord 
CEO, Hord Livestock, Inc. (Agriculture)

Lawrence A. Morrison 
CPA and Partner, Kleshinski, Morrison & 
Morris, LLP (Accounting)

David Royer 
Vice President of Finance & Development, 
Continental Real Estate Companies (Real 
Estate Developer)

J. Randall Schoedinger 
CEO, Schoedinger Funeral and Cremation 
Services

J. Andrew Dale 
President, Chairman

Holiday Financial Services Corporation, a Subsidiary of CNB Financial Corporation

BOARD OF DIRECTORS

Joseph B. Bower, Jr. 
Chairman

Richard L. Greslick, Jr. 
Secretary

Christopher L. Stott 
Director

Brian W. Wingard 
Director

CORPORATE OFFICERS

Christopher L. Stott 
Chairman

Joseph P. Strouse 
President

CNB Securities Corporation, a Subsidiary of CNB Financial Corporation, Wilmington, DE

BOARD OF DIRECTORS

Timothy A. Bracken 
Director

Glenn R. Pentz 
Director

Donald R. McLamb, Jr. 
Wilmington Trust SP Services, Inc.

CORPORATE OFFICERS

Brian W. Wingard 
President

Donald R. McLamb, Jr. 
Treasurer, Wilmington Trust SP Services, Inc.

Elizabeth F. Bothner 
Secretary, Wilmington Trust SP Services, Inc.

2014 ANNUAL REPORT HIGHLIGHTS

11

 
SHAREHOLDER

INFORMATION

Annual Meeting 

Quarterly Share Data 

For information regarding the Corporation’s quarterly share 
data, please refer to Item 5 in the 2014 Form 10-K.

Market Makers 

The following firm has chosen to make a market in the 
stock of the Corporation. Inquiries concerning their services 
should be directed to:

Boenning & Scattergood, Inc. 
1700 Market Street, Ste 1420 
Philadelphia, PA 19103 
(800) 842-8928

The Annual Meeting of the Shareholders of CNB Financial 
Corporation will be held Tuesday, April 21, 2015 at 2:00 
p.m. at the Clearfield, PA campus of Lock Haven University 
located at 201 University Drive, Clearfield, PA 16830.

Corporate Address

CNB Financial Corporation  
1 S. Second Street  
P.O. Box 42  
Clearfield, PA 16830  
(814) 765-9621

Stock Transfer Agent & Registrar 

Computershare 
P.O. Box 30170 
College Station, TX  77842 
(800) 368-5948

Form 10-K 

Shareholders may obtain a copy of the Annual Report to 
the Securities and Exchange Commission on Form 10-K by 
writing to: 

CNB Financial Corporation  
1 S. Second Street  
P.O. Box 42  
Clearfield, PA 16830  
ATTN: Shareholder Relations

12

CNB FINANCIAL CORPORATION

Corporate Profile

ERIEBANK

CNB Financial Corporation is a leader in providing integrat-
ed financial solutions which create value for both consum-
ers and businesses. These solutions encompass checking, 
savings, time and deposit accounts, Private Banking, loans 
and lines of credit (real estate, commercial, industrial, 
residential and consumer), credit cards, cash manage-
ment, online banking, mobile banking, merchant credit 
card processing, on-site banker and accounts receivable 
handling. In addition, the Corporation provides wealth and 
asset management services, retirement plans and other 
employee benefit plans. 

CNB Bank

A subsidiary of CNB Financial Corporation, CNB is a regional 
independent community bank in North  Central Pennsylva-
nia with over 400 employees who make customer service 
more responsive and reliable. For 150 years, the Bank has 
strived to be more customer-driven than its competitors 
and to build long-term customer relationships by being 
reliable and competitively priced. 

CNB continually seeks innovative ways to execute a 
personal, quality-driven customer service strategy and 
prides itself on being first-to-market for many of these 
innovations. To satisfy customers’ financial needs and 
expectations, it offers a variety of delivery channels, which 
include twenty-one full-service offices, one loan production 
office, nineteen ATMs, telephone banking (1-866-224-7314), 
Internet banking (www.BankCNB.com), mobile banking, 
and a centralized customer service center (1-800-492-3221).

Headquartered in Erie, Pennsylvania, ERIEBANK is a division 
of CNB Bank. Presently, there are eight full service offices in 
Pennsylvania, which house its commercial, retail and Pri-
vate Banking divisions. Five of those offices are in Erie, two 
in Meadville, and one in Warren, Pennsylvania. ERIEBANK 
also has one loan production office in Ashtabula, Ohio.  In 
addition, ERIEBANK Investment Advisors provides wealth 
and asset management services, retirement plans and other 
employee benefit plans. 

FCBANK

FCBank, a division of CNB Bank, is headquartered in Bu-
cyrus, Ohio with nine full service offices in the communties 
of Bucyrus, Shiloh, Mt. Hope, Cardington, Fredericktown, 
Worthington, Dublin, and Upper Arlington. FCBank is 
driven by a strong focus on meeting the financial needs of 
businesses and individuals in a way only a community bank 
can deliver. FCBank offers commercial, retail, and Private 
Banking services. 

Holiday Financial Services

Holiday Financial Services, a subsidiary of CNB Financial 
Corporation, is a consumer loan company, and currently 
has thirteen convenient office locations in State College, 
Bradford, Clearfield, Hollidaysburg, Erie, Northern Cambria, 
Ridgway, Johnstown, Ebensburg, DuBois, Indiana, Clarion, 
and Huntingdon, Pennsylvania. 

2014 ANNUAL REPORT HIGHLIGHTS

13

Backed by
the full faith
and credit
of the 
United States
government

Each depositor insured to at least $250,000

FDIC

Federal Deposit Insurance Corporation •www.fdic.gov

The common stock of the Corporation trades on the  
NASDAQ Global Select Market under the symbol CCNE.

14

CNB FINANCIAL CORPORATION

 
CNB Financial Corporation
1 South Second Street – P.O. Box 42 
Clearfield, PA 16830
800-492-3221
www.BankCNB.com