First Bank
Annual Report 2020

Plain-text annual report

2 0 2 0 A N N U A L R E P O R T OUR SERVICE DRIVES OUR STRENGTH Transitioning to more mature model with focus on margin, profitability and EPS growthContentsPerformance Summary 1 Letter to Shareholders 2 Performance Highlights/COVID Response 8 Selected Financial Information 9 Operations Review 10 Board of Directors 20 Executive Management22 Bank Officers 23 Service Area Map and Bank Locations 24 Corporate and Shareholder Information 25Strong presence in desirable New York to Philadelphia corridor Focus oncommercial loanand deposit productsMarket areacovers 15 counties in New Jersey and 5 counties in eastern PennsylvaniaProven disciplined acquirerSolid and consistent tangible book value pershare growth16 full-service branches in New Jersey (12) and Pennsylvania (4)Revenue growth and operatingleverage to drive earnings growthBoard and Managementwith shareholder focusKroll Bond Rating Agency affirms Investment Grade Rating (BBB)Improved funding mix is driving franchise valueBauer Financial 5-Star rated bank (top ranking)$2.35 billion in assets (at 12-31-20)Investment RationaleCompany Profile Market OverviewApproximately$2 billion in loans and depositsTOTAL LOANS AT 12-31, $ IN BILLIONS TOTAL DEPOSITS AT 12-31, $ IN BILLIONS 0.90 1.23 1.46 1.72 2.05 0.89 1.17 1.39 1.64 1.90 2016 2017 2018 2019 2020 2016 2017 2018 2019 2020 5-YEAR CAGR = 24.3% 5-YEAR CAGR = 20.8% TOTAL NET REVENUE FOR YEAR ENDED 12-31, $ IN MILLIONS NET INTEREST INCOME FOR YEAR ENDED 12-31, $ IN MILLIONS 30.5 41.8 58.4 62.4 75.9 28.9 39.7 54.9 58.4 69.6 2016 2017 2018 2019 2020 2016 2017 2018 2019 2020 5-YEAR CAGR = 24.4% 5-YEAR CAGR = 23.9% NET INCOME FOR YEAR ENDED 12-31, $ IN MILLIONS EARNINGS PER SHARE (DILUTED) FOR YEAR ENDED 12-31, $ 6.4 7.0 17.6 13.4 19.4 0.61 0.48 0.95 0.69 0.97 2016 2017 2018 2019 2020 2016 2017 2018 2019 2020 5-YEAR CAGR = 38.0% 5-YEAR CAGR = 18.8% 1 T O O U R S H A R E H O L D E R S , S T A K E H O L D E R S , E M P L O Y E E S A N D F R I E N D S : 2020: A YEAR OF STRUGGLE, TRAGEDY, PERSEVERANCE AND TRIUMPH 2020 did not play out like I anticipated in my letter from last year, for many obvious reasons. Yet, I anticipated that we would finish the year stronger than when we started and that is undoubtedly true. Our employees, customers and To specifically recognize the great work of team communities rallied in ways far greater than any of us members throughout the year, we announced could have expected. We often tell ourselves 15 promotions at year end. Across departments “when the time comes I hope I will have the courage throughout the bank, this group of people did an to step up and do the right thing.” When it really mattered, the entire First Bank team delivered. amazing job and showed they were ready to step up to the next level. In particular, our newest EVPs, We rose to the occasion in ways many of us might Maria Mayshura, Chief Risk Officer, and John not have even thought possible. Will I work overtime Shepardson, Chief Operating Officer, will help lead and accept risks to help meet the needs of my our great organization into the future. I’m also community? Yes! Will I invest my time and my financial proud to report that 11 of the 15 promotions went to capital to support my employees and customers? female and/or minority banking professionals. Yes! Will I keep a positive attitude and can-do spirit in Hard work, sacrifice and commitment to excellence the face of so many obstacles and risks? Again, yes! should be recognized, and I believe we have I cannot express in words my pride in the First Bank done that here. team and their response to this pandemic. Even in the face of a health pandemic, an important From the frontline staff continuing to provide great part of our job (as stewards of our shareholders service and access during difficult conditions, to the capital) is to ensure we’re operating in a safe, sound, SBA/PPP team (and all the members that volunteered profitable and strong manner. I am happy to or got recruited to join them) working around the report that we hit our marks in this area as well. clock to help customers get access to sorely needed funding, to the IT team that found ways to keep our team members operating and producing outside the office environment, all I can say is “wow!” I knew we had a great team, and I learned it was even greater than I expected. I just want to thank every single member of the First Bank team for all they did during the year. Everyone had a role to play and they did it admirably. BOOK VALUE PER SHARE $ AT 12-31 7.78 9.36 10.43 11.07 12.08 2016 2017 2018 2019 2020 5-YEAR CAGR = 10.7% 2 Total assets grew 17% during the year to $2.3 billion, led by a $324 million increase in loans (PPP and traditional). Importantly, we were able to fund that growth with an increase in core commercial deposits while also improving our deposit mix and significantly lowering our cost of funds. As a result of this great work on the deposit side of the house, we actually saw our margin improve during the year, from 3.34% during Q4 of 2019 to 3.56% during Q4 of 2020. This occurred while many banks saw a decline in their net interest margin. Our margin was helped by the amortization of PPP fee income during the fourth quarter, but the underlying trends without PPP income still showed a strong result. For example, our cost of deposits declined from 1.39% in Q4 of 2019 to 0.50% in Q4 of 2020. Our commitment to exceptional customer service drove total net revenue growth of nearly 22%. In short, 2020 was a year of significant challenges but a year where we realized strong loan and deposit growth, we worked closely with our customers and community to offer loan deferrals and PPP loans where needed, and all that hard work translated to great bottom-line results. BEFORE WE DISCUSS OUR PROSPECTS FOR 2021, I’D LIKE TO PROVIDE A LITTLE MORE DETAIL REGARDING OUR FINANCIAL RESULTS FOR 2020 LOAN GROWTH The loan portfolio grew $324 million Because of the uncertainty that arose from the in 2020; $137 million came from Paycheck pandemic, we put aside $9.5 million into the reserve Protection Program (PPP) loans while the other for potential loan losses. To put that number in context, it equates to $6.3 million more than the average for the prior four years and it equates to $6.7 million more than the amount of net loan charge offs during the year. As a result of this increased provisioning, our ALLL/Loans increased to 1.25% (excluding the government-guaranteed PPP loans), and the ratio increases to 1.63% when you add back the $7.2 million in credit fair value adjustments made to acquired loans. $187 million came from traditional, core loan growth. Regarding PPP, we made 1,150 loans during the first round of the program in the spring and early summer of 2020. It was an incredible team effort. The entire lending team (from front line sales to back office admin) did the bulk of the heavy lifting and the Retail Branch team members jumped in admirably to support the cause and help some of our small business borrowers. Those 1,150 loans added up to $191 million in total loan volume, of which Despite this sizable increase to our reserve for possible $54 million had been forgiven and paid off by year losses, we still managed to generate net income end. Our teams have been busy once again with this of $19.4 million, $6.0 million more than in 2019, an latest round of PPP, but those loans started getting increase of 45%. That equates to an increase in diluted booked and funded in January so they did not earnings per share of $0.28, or 41%. Clearly, our strong impact the 2020 results. It is worth mentioning that margin improvement during the year was the since our teams moved quickly and we dedicated main driver of this improved earnings performance. bankers to each loan applicant, we were able Improved non-interest income and strong expense to get many loans processed while other banks were control also helped. Non-interest income was up still trying to get things figured out. This rapid $2.4 million or 59% compared to 2019. Meanwhile, net response and great service did three important things interest income was up 19% during the year for us: i) helped reinforce our community-bank compared to a 3% increase in non-interest expense. value proposition to existing customers, ii) enhanced The planned-for benefits derived from operating our reputation with the local accounting and leverage came to fruition during the year. legal professionals, and iii) generated a nice, long list of new commercial loan prospects as businesses were coming to us to get PPP loans when their existing bank couldn’t help them. Sometimes it takes an event to help people understand the importance and value that comes from relationship-banking. We hope and expect that our strong showing with PPP will further enhance our organic growth prospects into 2021 and beyond. 3 Traditional, organic loan growth of almost $190 million (11% growth) was well above budget. This was no small feat considering the resources that needed to be allocated to the PPP program during the year. CREI loans led the way in 2020, with $175 million in DEPOSIT GROWTH Our total deposits increased by $263 million, or 16% during 2020. Importantly, our non-interest bearing (NIB) deposits increased by $148 million, or 54%, to $424 million at the end of 2020. We were extremely pleased with the growth in this area, as our ratio of NIB to total deposits increased from 16.8% to 22.3%. Having achieved our goal of 20% NIB a couple of years early, we’re now focused on getting to 25%. net loan growth. C&I and CREO loans generated We actively monitor our deposit mix and our cost another $24 million in net growth, which was offset relative to peers. Our cost of deposits came in at 0.86% somewhat by a small decline in residential and for the full year 2020, higher than the peer average consumer loans. It is worth mentioning that PPP loans of 0.75%. Despite being higher for the full year, are classified as C&I loans, so if the net PPP growth of our efforts throughout the year paid off as our cost of $137 million was added to the $24 million in traditional deposits in the fourth quarter were 0.50%, below the C&I/CREO loan growth, both lines of business peer average of 0.55%. As a bank that has been able generated a similar amount of loan growth during to grow faster than peers, we knew it wouldn’t be easy 2020. At year end, CREI loans made up 52% of total to match the deposit costs of slower-growth banks loans, slightly above our target of 45-50%. since they had less need to increase rates on deposits During the year, our yield on loans was 4.48%, a decrease of 56 basis points from the 5.04% loan yield during 2019. In an environment where the benchmark 10-year US Treasury yield went from 1.88% on January 2, 2020 to 0.93% by the end of the year, a decline in loan yields is expected. Thankfully, our funding costs dropped more than the yield on our loans, which we will discuss shortly. When it comes to community-bank lending, we’re to fund new loan opportunities. Nevertheless, our deposit team (with support from commercial lending RMs on commercial accounts), found a way to achieve the goal by the fourth quarter. Moving forward, we are looking for our laser-focus on NIB deposits, commercial deposits, cash management services and relationship banking to help achieve better-than- peer deposits costs over the next couple of years. Deposit costs also came down faster than loan yields, decreasing by 59 basis points when comparing looking to generate solid growth, without taking undo 1.45% in 2019 to 0.86% in 2020. Despite COVID-19 economic challenges, overall asset quality metrics improved in 2020. risk. 2020 was an excellent year in this respect — we realized strong loan growth and an improved credit-quality profile. At year-end, our non-performing loans came to 0.50% of total loans, down from 1.32% at year-end 2019. Net charge-offs during the year were $2.8 million, up from the prior year but still within banking norms at 0.15% of total loans. Our allowance for loan losses was 234% of non-performing loans by year end, a very strong level when compared to peers. We understand that the negative impact from the pandemic on credit quality has not been fully resolved, but with our strong coverage ratios and strong capital base, we remain confident that our loan portfolio will perform well and our bank is well positioned to emerge in a strong position once the health and safety issues have been brought under control. 4 2020 ESG HIGHLIGHTS The First Bank Diversity & Inclusion Committee was established in 2020 to develop a strategic framework for enhancing diversity and inclusion practices in order to empower all people to thrive. Women and individuals of color make up a third of the Company’s executive leadership team. SO, HOW DID THOSE DEVELOPMENTS IMPACT PROFITABILITY IN 2020? NET INCOME AND EARNINGS PER SHARE First Bank’s Board of Directors includes two Net income was $19.4 million and diluted EPS was women and 11 independent directors. $0.97 compared to $13.4 million and $0.69 per diluted During 2020, First Bank donated $187,000 to nonprofits, including more than $30,000 towards the medical, social and economic impacts of the pandemic on the communities it serves. Commercial deposit growth was another area where we significantly exceeded plan. Commercial deposits grew by $278 million during 2020, almost 3-times our budgeted goal. As a result, commercial deposits increased to about 40% of total deposits, reaching our long-term goal in just two years. It may be difficult to drive this ratio significantly higher than 40% given some commercial deposits related to PPP loans are likely to run off, but if we can keep this ratio steady at 40% during 2021, that will be a strong result. NET INTEREST MARGIN (NIM) As market interest rates moved lower during the first part of the year, our NIM moved lower as well, hitting 3.07% during the second quarter, down from 3.34% in the fourth quarter of 2019. Then, as interest rates stabilized and we quickly moved deposit costs lower, our margin started to recover — reaching 3.56% in the fourth quarter of 2020. While lower deposit costs were the primary PRE-PROVISION NET REVENUE1 FOR YEAR ENDED 12-31, $ IN MILLIONS 11.5 18.9 26.1 26.6 35.5 driver of the improving NIM, amortization of PPP fee income helped pushed the ratio higher as well. For the full year our NIM was 3.29%, down just 3 basis points from 2019. share in 2019. Net income increased $6.0 million, or 45% compared to 2019 and diluted EPS increased $0.28 per share, or 41%. How did we grow earnings over 40% and still set aside almost $10 million in additional provisions? First, net interest income (our largest revenue driver) was up 19% as loan growth, lower funding costs and PPP fee income more than offset the impact of declining loan yields. Second, non-interest income was up $2.4 million, or 59% compared to the prior year. On the expense side, we did a nice job managing costs as non-interest expense only increased 3% for the year. If you back out $3.6 million in merger-related costs from the expense base in 2019, non-interest expenses were up 13%, still significantly lower than the revenue growth outlined above. PRE-PROVISION, NET REVENUE (PPNR) This is a metric we follow to see how we’re progressing when you extract some of the non-core components of profitability. The metric is calculated by taking our net interest income (before the provision for loan losses), adding non-interest income excluding non-recurring items (gains or losses on sales of securities, bargain purchase gains and deferred tax asset revaluations), and subtracting non-interest expense excluding non-recurring items (merger-related expenses). We look at this non-GAAP measure on a quarterly basis to get a sense of our core operating earnings trends. When applicable, you will find each of the components listed above broken out in our audited financial statements. PPNR of $35.5 million in 2020 was up significantly from $26.6 million in 2019. Because this metric controls for credit, non-recurring expenses and tax 2016 2017 2018 2019 2020 changes, it gives a closer look at just the impact from 1 This measure is not recognized under U.S. GAAP and is therefore a non-U.S. GAAP financial measure. See our annual report on Form 10-K for a reconciliation of the 2020 calculation. growth and the changing margin. It shows that our core business improved by $8.9 million, or 33%. 5 BOOK VALUE We closed the year with book value 0.66 0.57 1.09 0.72 0.87 RETURN ON AVERAGE ASSETS % FOR YEAR ENDED 12-31 of $12.08 per share, an increase of $1.01, or 9.1%, compared to year-end 2019. Tangible book value per share reached $11.17 at the end of 2020, an increase of $1.00, or 9.8%, compared to year-end 2019. Continued growth of book value will be an important driver of future value creation for our shareholders. Since the end of 2016, tangible book value per share has increased $3.41, which equates to a compound annual growth rate of 10%. ROA AND ROTCE Our ROA was 0.87% for the full year 2020. ROA was lower in the first two quarters of the year (0.63% and 0.74% respectively) as we increased our provisioning, rebounding nicely in the third and fourth quarters (1.03% and 1.06% respectively) as our margin improved and provisions leveled off. We remain laser-focused on driving our ROA higher as the single most important metric to show the earnings power of the franchise. Return on tangible common equity (ROTCE) followed a similar trend to ROA in 2020 — 6.19% in the first quarter, 7.97% and 11.08% in quarters two and three, and 11.30% in quarter four. Strong earnings coupled with stock repurchase activity in 2020 helped us push this key ratio higher. 2021: POISED TO TAKE ADVANTAGE OF PPP TAILWINDS, IMPROVED OPERATING LEVERAGE AND AN IMPROVING ECONOMY When I look back at last year’s letter, we highlighted three priorities for 2020 — lower funding costs, strong expense management, and improved non- interest income. As has been outlined above, during a very unique and challenging operating environment, we were able to successfully deliver on all three goals. Our business model has evolved from a start-up venture focused primarily on growth to a more mature model with more emphasis on bottom-line results. 6 2016 2017 2018 2019 2020 Moving forward, we expect to produce top-quartile earnings by leveraging good growth with (at or below) average peer funding costs. That does not mean that we won’t or can’t grow. I believe we can continue to grow faster than our peers because of the quality of our team and the benefits of the community-bank, relationship-driven business model. So moving forward, we expect to produce top-quartile earnings by leveraging good growth with (at or below) average peer funding costs. I am confident this is the recipe for extraordinary value creation in the banking industry and I believe we have the team (and the Board of Directors) to execute on this vision. Coming off of a strong year, and even though significant uncertainly still exists due to the pandemic, I believe we are well positioned to have an even better year in 2021. CONTINUED BENEFITS FROM THE SBA PPP PROGRAM We should benefit from the PPP program for three reasons: i) we generate fee income from the origination of the loans, ii) we have been connected with many new commercial banking prospects through our active participation in the program, and iii) the funds will help some of our customers rebound faster from the pandemic. As of December 31, 2020, we had approximately $3.0 million in unamortized PPP fees remaining from the first round of loans that will generate additional revenue for us during 2021. We have also been active with the latest round of PPP loans that started in January, and interest income and fee income from those loans will add to 2021 revenue as well. I expect PPP originations in 2021 should be a little more than half of what we generated in 2020. up during 2020. Furthermore, if the economy does rebound, we could see an upward movement in longer-term interest rates which would translate to higher loan yields for us. While we certainly can’t predict what will happen to interest rates, we are positioned to do well if the rate environment remains the same, and perhaps even better if the yield curve gets steeper. About 20% of the PPP loans we made in the first OUR SERVICE DRIVES OUR STRENGTH round went to new First Bank customers. That may not sound like a lot. But, when you consider we made 1,150 loans, that equates to about 230 potential new commercial customers — a great kick start to the 2021 sales effort! Furthermore, with PPP loans going to many of the businesses most in need of support during this difficult time, we will be a stronger organization because our customers will be stronger. FURTHER OPERATING LEVERAGE We expect that continued loan growth, stable earning asset yields and continued downward movement of our funding costs should translate to continued strong revenue growth during 2021. At the same time, continued strong cost containment efforts coupled with steps taken toward the end of 2020 to reduce occupancy costs, should allow for revenue growth to significantly exceed expense growth. AN IMPROVING ECONOMIC LANDSCAPE As commercial lenders, we perform better when the economy is strong. It generally leads to stronger loan growth and better asset quality. While it will likely take time for a full recovery from the current economic challenges, 2021 should be a stronger economy than 2020, perhaps by quite a bit. If the economy does improve in 2021, we could see much lower provisions for potential loan losses, especially given the strong reserves we built As community bankers, most of us are here at First Bank because our profession provides an opportunity to benefit and to serve. In fact, as we experienced deeply in 2020, those two things are inexorably linked. That idea is the theme for our annual report this year. We serve because we like to serve, and we are better for it. As the cover appropriately explains “Our service drives our strength.” Our mantra of service extends beyond our customers, communities and fellow employees. We also work tirelessly to serve and create value for our shareholders. I continue to believe that our stock price does not fully reflect the value of the excellent franchise we’ve created. Nevertheless, I’m confident that with continued growth in earnings and book value, our value will continue to move higher. In closing, I’d like to personally thank our customers, employees, and shareholders. Without all three working together the Bank cannot be successful. All of us here at First Bank appreciate your support and dedication and we look forward to sharing more good news with you as we move forward. Sincerely, Patrick L. Ryan President and CEO S A F E - H A R B O R S TAT E M E N T NOTE This document contains forward-looking statements concerning the financial condition, results of operations and business of the Bank. We caution that such statements are subject to a number of uncertainties, including but not limited to those set forth under the caption “Item 1A – Risk Factors” in the accompanying annual report on Form 10-K, as well as the continued effects of the COVID-19 pandemic, changes in economic activity in our markets, changes in interest rates and changes in regulation and the regulatory environment. If one or more events related to these or other risks or uncertainties materialize, or if First Bank's underlying assumptions prove to be incorrect, actual results may differ materially from what First Bank anticipates. Accordingly, you should not place undue reliance on any such forward-looking statements. Any forward-looking statement speaks only as of the date on which it is made, and First Bank does not undertake any obligation to publicly update or review any forward-looking statement, whether as a result of new information, future developments or otherwise. All forward-looking statements, expressed or implied, included in this communication are expressly qualified in their entirety by this cautionary statement. This cautionary statement should also be considered in connection with any subsequent written or oral forward-looking statements that First Bank or persons acting on First Bank's behalf may issue. 7 * Total net revenue is the sum of net interest income and non-interest income. 8 The majority of our branches remained open throughout the pandemic with drive-thru and in-person appointments available Total net revenue* increased to $75.9 million Quickly transitioned our back office staff to a work from home arrangement at the onset of the pandemic and effectively managing a hybrid approach currentlyNet income increased 44.6% to $19.4 million, or $0.97 per diluted share 2020 COVID-19 Response 2020 Performance Highlights First Bank participated in the PPP, established by the CARES Act, during 2020 Non-interest income grew 59.0% to $6.4 millionFirst Bank originated $191 million in PPP loans during 2020. As of December 31, 2020, First Bank had 937 PPP loans with a balance of $137.1 millionTotal loans of $2.05 billion at year-end, an 18.8% increase from 2019First Bank generated gross fees of $6.9 million from the SBA related to the origination of these loansTotal deposits grew by 16.0% to $1.90 billion at 2020 year-end Non-interest bearing depositgrowth of $148.3 million, a 53.8% increase from 2019The Bank is participating in the appropriations for new PPP loans and advances under the Consolidated Appropriations Act, 2021 Proactively working with existing borrowers with deferred loans down to $37 million at December 31, 2020 Selected Financial Information IN THOUSANDS, EXCEPT COMMON SHARE DATA AT OR FOR THE YEAR ENDED DECEMBER 31, 2020 2015 5-YR CAGR Selected Balance Sheet Data Total assets Total loans Allowance for loan losses Total deposits Total borrowings Total subordinated debentures Total stockholders’ equity Average total assets Average stockholders’ equity $ $ 2,346,270 2,047,572 23,974 1,903,617 161,135 29,508 238,108 2,226,910 230,165 Selected Income Statement Data Interest and dividend income Interest expense $ Net interest income Provision for loan losses Net interest income after provision for loan losses Non-interest income Non-interest expense Income before income taxes Income tax expense $ 89,201 19,648 69,553 9,539 60,014 6,352 40,387 25,979 6,531 856,106 689,887 7,940 739,021 24,000 21,533 68,763 764,400 67,708 30,764 6,941 23,823 2,669 21,154 1,643 17,725 5,072 1,185 22.3% 24.3% 24.7% 20.8% 46.4% 6.5% 28.2% 23.8% 27.7% 23.7% 23.1% 23.9% 29.0% 23.2% 31.1% 17.9% 38.6% 40.7% Net income $ 19,448 $ 3,887 38.0% Common Share Data Diluted earnings per share Cash dividends paid Diluted weighted average common shares outstanding Book value per common share Common shares outstanding $ 0.97 $ 0.12 0.41 — 20,005,432 12.08 19,707,474 9,492,289 7.26 9,470,157 18.8% NM 16.1% 10.7% 15.8% Selected Performance Ratios Return on average assets Return on average equity Net interest margin, tax equivalent2 Efficiency ratio1 Selected Asset Quality Ratios Nonperforming loans to total loans3 Allowance for loan losses to nonperforming loans Net loan charge offs to average loans Capital Ratios Stockholders’ equity to assets Tier 1 leverage capital Common equity tier 1 capital4 Tier 1 risk-based capital Total risk-based capital 0.87% 8.45% 3.29% 53.21% 0.51% 5.74% 3.27% 69.63% 0.50% 0.57% 234.26% 0.15% 203.43% 0.14% 10.15% 9.74% 10.36% 10.36% 12.90% 8.03% 8.22% 8.58% 8.58% 12.29% 1 This measure is not recognized under U.S. GAAP and is therefore a non-U.S. GAAP financial measure. See our annual report on Form 10-K for a reconciliation of the 2020 calculation. 2 The tax equivalent adjustment is calculated using a federal income tax rate of 21% in 2020 and 34% in 2015. 3 Nonperforming loans consist of nonaccrual loans and loans past due 90 days or more and still accruing. 4 New regulatory capital measure calculated under Basel III rules which became effective January 1, 2015. 9 Our success is built on providing a superior customer experience, including access to our decision makers, quick turnaround and certainty of execution. OUR T EAM DELIVER S SUPERIOR C USTOMER AND COMMUNITY S ERVICE Heading into 2020 we shifted our approach from an early-stage company focused on growth to a more mature model with greater focus on bottom line results. With the COVID-19-related uncertainty that currently remains, we believe that the underlying strength of our franchise and business strategy are becoming more apparent. Our team delivered relief quickly and efficiently to consumer and business customers in 2020. We assisted small business and personal lending customers with fee waivers, appropriate accommodations and payment deferrals. We also supported local business chambers and industry associations with PPP loans, and accepted referrals for small businesses needing similar support. Our efforts in support of PPP lending resulted in significant new commercial business opportunities in 2020. Our team continuously monitors the economic effects of the pandemic with a focus on identifying and assisting clients facing financial hardship or loss of income. The support we’re providing reinforces the Bank’s relationship with our customers, building trust and loyalty and has opened the doors for new relationships. It’s no surprise that our team continues to do an amazing job supporting and servicing customers across all areas. 10 HOur strong focus on providing superior customer service resulted in: Over 200 new commercial loan prospects generated from the PPP loan program Providing fee waivers and payment deferrals to assist our small business customers Providing banking services through convenient drive-thru locations, as well as appointment banking through a far-reaching health crisis 11 RE LAT IONSHIPS DRIVE ENHANCED DEPOSIT MIX In 2020, we wanted to significantly lower our funding costs and improve our deposit mix. We committed to a set of ambitious goals which included: growing non-interest bearing commercial deposits, improving the deposit mix and generating increased fee income while creating operating efficiencies. Our team does an incredible job engaging with our customers, actively managing their relationships and providing superior customer service. This level of engagement played a critical role in managing expectations with customers in a lower interest rate environment as we worked deposit costs downward in 2020, enabling us to limit attrition primarily to the time deposits portfolio. It’s expected that we’ll see additional reductions in deposit costs through the first half of 2021, as additional certificates of deposit reprice at lower rates and we continue to execute on our strategy of growing non-interest bearing and low-cost core deposits. By restructuring our retail leadership team in early 2020, we optimized our performance on a number of key initiatives and improved our ability to execute quickly and effectively across our key markets. We finished 2020 ahead of plan, positioned for even stronger core deposit growth in 2021. Our deposit pipeline is strong and focused on non-interest bearing and commercial deposit growth. 12 IOur cost of deposits dropped to 0.50% in fourth quarter 2020. Non-interest bearing deposits make up more than 22% of total deposits and time deposits are down to 28% of total deposits at year-end.We wanted to reach out to thank you. The PPP loans you helped us get have meant so much to me and my family. First Bank worked to get us the loans we needed when nobody else could. We are grateful. Visions Contracting, Inc. Trenton, NJ 13 F E E I N CO M E O P P O R T U N I T I E S SUPPORT REVENU E GROWT H NON-INTEREST INCOME FOR YEAR ENDED 12-31, $ IN MILLIONS 1.6 2.1 3.5 4.0 6.4 We generated excellent revenue growth in 2020, despite the very challenging interest rate environment. While net interest income grew over 19% as our improved deposit mix lowered 2016 2017 2018 2019 2020 our interest costs significantly, non-interest income was up 5-YEAR CAGR = 31.1% almost 60% principally because of loan swap fees and gains on recovery of acquired loans. Loan swap fee income increased by $1 million in 2020 due to the lower interest rate environment during 2020 and increased borrower preference for this form of loan transaction, which is expected to continue in 2021. Gains on recovery of acquired loans also increased by more than $600,000 in 2020, reflecting continued effective recovery efforts on problem loans. We have enhanced our cash management services platform which has helped to establish new primary operating account relationships. This growth in account relationships has helped to raise the service fees collected on deposit accounts by more than 20% for the year. We have also improved fee collection efforts, which is reflected in an increase in service fees on deposit accounts. We expect to see continuing opportunities in 2021 to generate additional fee income. With a capable SBA sales team in place we are anticipating increased gains on the sale of SBA loans during 2021. With a growing depositor base we are expecting a moderate expansion of service fees on deposit accounts as well. 14 W2020 non-interest income of $6.4 million, increased $2.4 million, or 59%, compared to 2019. 15 ST RATEGY BALANCES EFFICIENCY WITH CUSTOMER SUPPORT We continue to demonstrate a disciplined approach to managing operating expenses, while at the same time ensuring that our customers receive the superior level of support they expect. We have a dedicated team that continually evaluates opportunities for enhanced efficiency, while ensuring that we provide distinguished service while offering the right balance of human and digital interactions. EFFICIENCY RATIO1 % FOR YEAR ENDED 12-31 Our service enhancements included strategic investments and added resources to our business banking and cash management teams in 2019, which returned huge dividends for us 61.2 55.3 56.1 58.0 53.2 in 2020. These enhancements enabled our team to capitalize on new customer acquisition opportunities that arose as we addressed the needs of many commercial prospects who were frustrated with their existing bank relationships during the initial round of PPP lending. We continue to explore targeted technology spending that supports and enhances the customer experience by leveraging the convenience of personalized digital interaction or by providing human assistance when needed to enhance value. Throughout 2020, we continued to take steps to effectively manage our non-interest expense growth. Among these initiatives was the elimination of certain open positions, which resulted in a slower growth rate in salaries and employee benefits, the largest component of non-interest expense. We continuously review our service footprint to determine if branches are appropriately positioned to support and attract customers, or if we need to make changes to enhance efficiency. Near the end of 2020, we announced the consolidation of two locations in our Hamilton market. Nearby full-service branches, equipped with a drive thru, will service customers from these closing locations. Even while responding to the challenges related to COVID-19, we continued our trend of strong expense control during 2020. Non-interest expense was up only 2.6% compared to the prior year or 13%, excluding 2019 merger-related costs. With net revenue growth of nearly 22% for the year outpacing expense growth, we continue to drive significant operating leverage. 2016 2017 2018 2019 2020 1 This measure is not recognized under U.S. GAAP and is therefore a non-U.S. GAAP financial measure. See our annual report on Form 10-K for a reconciliation of the 2020 calculation. 16 W Investments in technology have enhanced First Bank’s efficiency and provide the right balance of human and digital interactions for our customers. 17 D ISC IPLINED LENDING EARNS ST RO NG ASSET QUALITY Despite significant operational challenges in 2020, combined with the credit uncertainty from the pandemic, we were able to deliver strong results, consistent with our strategic priorities. Importantly, we completed the year with solid asset quality metrics which reflect our effective underwriting standards. We believe our consistent approach to lending positions the Bank to manage any potential negative impact, even in unusual circumstances such as the 2020 COVID-19 economy. We assisted many small businesses with PPP loans and payment deferrals related to the pandemic in 2020. In addition, we closely monitored credit administration to clearly understand any potential changes to the quality of our loan portfolio. Our deferred loans related to COVID-19 dropped to $37 million, or 1.8% of the portfolio, at year-end. We're in continual contact with this diversified group of customers and we're very optimistic that as things improve, deferred loans will continue to shrink. At year-end 2020 nonperforming loans had declined 55.0%, representing only 0.50% of total loans, down from 1.32% at year-end 2019. Net charge offs were $2.8 million or 0.15% of total loans for 2020. Our allowance for loan losses was 234% of nonperforming loans, a very strong coverage ratio. We believe we're starting 2021 with solid asset quality, supported by a strong capital base and well positioned to emerge from from this health crisis in very good condition. 18 DNONPERFORMING LOANS / TOTAL LOANS % AT 12-31 0.66 0.43 0.44 1.32 0.50 2016 2017 2018 2019 2020 NET CHARGE-OFFS/ AVERAGE LOANS % AT 12-31 0.10 0.08 0.00 0.12 0.15 2016 2017 2018 2019 2020 19 PATRICK M. RYAN CHAIRMAN Owner of North Buffalo Advisors, LLC; former President and Chief Executive Officer of Yardville National Bank D IRE CTO R S INCE 2 01 1 BOA RD CO MMI TTEE S Asset/Liability, Compliance, Information Technology LESLIE E. GOODMAN VICE CHAIRMAN LEAD INDEPENDENT DIRECTOR Principal of The Eagle Group of Princeton, Inc.; Director of Wawa, Inc. D IRE CTO R S INCE 2 008 BOA RD CO MMI TTEE S Asset/Liability (Chair), Compensation and Personnel PATRICK L. RYAN President and Chief Executive Officer of First Bank D IRE CTO R S INCE 2 008 BOA RD CO MMI TTEE S Asset/Liability, Compliance, Information Technology ELBERT G. BASOLIS, JR. President and Owner of Garrison Enterprises Inc. D IRE CTO R S INCE 2 008 BOA RD CO MMI TTEE S Information Technology (Chair), Nominating and Governance, Compensation and Personnel Board of Directors 2 0 DOUGLAS C. BORDEN President, Northeast CBIZ Borden Perlman DI R ECTO R SIN CE 2 01 7 B OA RD CO MMI TTEES Nominating and Governance (Chair), Compensation and Personnel, Information Technology CHRISTOPHER B. CHANDOR Chief Executive Officer of Penn’s Grant Corporation; former Vice Chairman of Bucks County Bank DI R ECTO R SIN CE 2 01 7 B OA RD CO MMI TTEES Audit and Risk Management, Compliance, Nominating and Governance PATRICIA A. COSTANTE Chairman and Chief Executive Officer of MDAdvantage Insurance Company DI R ECTO R SIN CE 2 01 9 B OA RD CO MMI TTEES Asset/Liability, Audit and Risk Management, Compliance SCOTT R. GAMBLE Principal of Patriot Financial Partners, L.P. DI R ECTO R SIN CE 2 020 B OA RD CO MMI TTEES Asset/Liability, Compensation and Personnel, Audit and Risk Management, Compliance DEBORAH PAIGE HANSON Principal, Executive Vice President and Fund Manager of The Hampshire Companies D IRE CTO R S INCE 2 01 6 BOA RD CO MMI TTEE S Compensation and Personnel (Chair), Nominating and Governance, Information Technology GARY S. HOFING Principal of The Eagle Group of Princeton, Inc; former Vice President of Hofing Management, LLC D IRE CTO R S INCE 2 01 6 BOA RD CO MMI TTEE S Asset/Liability, Compliance, Information Technology GLENN M. JOSEPHS Partner of Friedman, LLP; former Partner, Bagell, Josephs, Levine and Company, LLC D IRE CTO R S INCE 2 008 BOA RD CO MMI TTEE S Audit and Risk Management (Chair), Nominating and Governance, Compensation and Personnel PETER PANTAGES Former Chairman, President and Chief Executive Officer of Grand Bank DI R ECTO R SIN CE 2 01 9 B OA RD CO MMI TTEES Compliance, Information Technology MICHAEL E. SALZ President of Linden Bulk Transportation Co., LLC DI R ECTO R SIN CE 2 01 7 B OA RD CO MMI TTEES Audit and Risk Management, Asset/Liability, Compensation and Personnel JOHN E. STRYDESKY Certified Public Accountant; Owner of Strydesky & Company, CPAs/Business Consultants DI R ECTO R SIN CE 2 01 0 B OA RD CO MMI TTEES Compliance (Chair), Audit and Risk Management, Asset/Liability All directors also serve on the Strategic Planning and Board Loan Committees. 21 Executive Management Team PATRICK L. RYAN PRESIDENT | CHIEF EXECUTIVE OFFICER Pat Ryan has served as President and Chief Executive Officer of First Bank since 2013. In 2008, Mr. Ryan worked with the investor group that recapitalized the Bank, joined PETER J. CAHILL EXECUTIVE VICE PRESIDENT | CHIEF LENDING OFFICER Peter Cahill has served as Chief Lending Officer of First Bank since 2008, when he joined the Bank, and was appointed an Executive Vice President the Bank’s Board of Directors and was appointed Chief Operating in December 2013. Prior to joining First Bank he served as Officer. Prior to this time he was First Senior Vice President, Emerging Markets Manager for Yardville National Bank. Mr. Ryan joined Yardville National Bank in 2005 as head of Strategic Planning and Corporate Development, responsible for strategy, Senior Vice President/Sales Manager for PNC Financial Services Group from October 2007 to October 2008. In addition, Mr. Cahill held senior level positions with Midlantic National Bank, Fleet Boston and Yardville National Bank. Mr. Cahill mergers and acquisitions, branch expansion, investor relations, has over 40 years of banking experience. research and analysis. STEPHEN F. CARMAN EXECUTIVE VICE PRESIDENT | CHIEF FINANCIAL OFFICER Steve Carman has served as Chief Financial Officer of First Bank since 2008, when he joined the Bank, and was appointed an Executive Vice President in December 2013. EMILIO COOPER EXECUTIVE VICE PRESIDENT | CHIEF DEPOSITS OFFICER Emilio Cooper has served as Chief Deposits Officer of First Bank since joining the Bank in October 2018. He is responsible for leading the Retail and Commercial Deposit areas Mr. Carman served as Executive Vice President and Chief and accelerating the Bank’s core deposit growth. Mr. Cooper has Financial Officer of Yardville National Bank from 1992 until 2007. over 20 years of banking experience, both locally and in the Mr. Carman spent his entire 30-year banking career prior to joining First Bank at Yardville National Bank. Mr. Carman has more than 40 years of banking experience. Midwest. Most recently, he was the Head of Sales and Distribution for US Retail Banking at BMO Harris Bank, a $110 billion asset bank with over 500 locations. Prior to BMO, he held the role of Retail Director for Citizens Bank in the Greater Philadelphia area and Community Bank President for Wells Fargo/Wachovia. MARIA E. MAYSHURA EXECUTIVE VICE PRESIDENT | CHIEF RISK OFFICER Maria Mayshura has served as head of Internal Audit and Chief Risk Officer for First Bank since 2020 and was appointed an Executive Vice President in January 2021. JOHN F. SHEPARDSON EXECUTIVE VICE PRESIDENT | CHIEF OPERATING OFFICER John Shepardson has served as Executive Vice President and Chief Operating Officer of First Bank since January 2021, working directly with the Bank’s Ms. Mayshura has more than 30 years of experience in banking as Strategic Planning, Compliance, Information Technology, an internal auditor, during which time she’s been responsible for compliance regulations, Sarbanes Oxley implementation and most recently COSO implementation. She has been an active member of the New Jersey Banking Association and Institute of Internal Auditors since 1993. Human Resources, and Facilities teams. Mr. Shepardson joined First Bank in 2018 as its Chief Administrative Officer. Outside of his experience with First Bank, John worked in consulting, including roles as an Executive Director with Ernst & Young, and a Senior Consultant with Arthur Andersen. 2 2 Bank Officers FIRST SENIOR VICE PRESIDENTS Joseph R. Calabro Pennsylvania Regional President Marianne E. DeSimone Lending Group Manager David J. DiStefano New Jersey Regional President Gabriel K. Dragos Chief Technology Officer Thomas P. Fehn, Jr. Retail Market Manager Andrew L. Hibshman Chief Accounting Officer Gene C. McCarthy Market Executive Arlene S. Pedovitch Senior Credit Officer SENIOR VICE PRESIDENTS Scott A. Bachman Team Leader Belinda L. Blazic Loan Administration Manager Kimberly Cerasi Human Resources Officer Scott W. Civil Market Executive Michael B. Cook Manager Investor Real Estate Lewis R. Fogg, Jr. Retail & Business Banking Market Manager Terrance R. Howard Market Executive Paula Huergo Strategic Planning and Operations Officer Sriramulu Krishnamurthy SBA Manager Larry F. Lee Loan Workout Manager Lauretta Lucchesi Commercial Lending Relationship Manager 1 David Hill Marx Commercial Lending Relationship Manager I Gregorio Perri, Jr. Consumer Lending Manager Donald Theobald, Jr. Controller Casi L. Tiernan Head of Cash Management Richard Tocci Manager Investor Real Estate Gregory Weckel Director Information Technology Operations VICE PRESIDENTS Joseph F. Browarski Loan Workout Officer Richard L. Burzynski Commercial Lending Relationship Manager I Michael P. Cahill Commercial Lending Relationship Manager I Marjorie A. Callahan Relationship Manager Edward Caporellie, Jr. Branch Sales Manager Joseph Cavalchire Commercial Lending Relationship Manager II Louis A. Cialarante Commercial Lending Relationship Manager I David A. Colby Branch Area Manager – Central New Jersey East Karen J. Conway Business Banker Joan S. Costa Loan Administration Assistant Manager Tiffany Craddock Credit Officer Cori Cubberley Loan Accounting Manager Kimberly Dargay Branch Operations Manager Ryan D. Earley Business Banker Jason Fischer Commercial Lending Relationship Manager I Arnaldo F. Galassi Lending Project Manager Brent Gardner Consumer Loan Officer Denise Goetting Branch Area Manager - Nothern New Jersey Robert Goldzman Commercial Lending Relationship Manager I Robert C. Gossenberger Branch Sales Manager Michele M. Green SBA Portfolio Manager/Senior Underwriter Philip M. Heberling Commercial Lending Relationship Manager I Kyle E. Johnson Head of Training, Retail/Analytics Project Manager Christopher M. Kelly Commercial Lending Relationship Manager II Amanda M. Kenny Internal Audit Manager Brett Lawrence Commercial Lending Relationship Manager I Michelle Mack Compliance Officer Tina Middleton Commercial Lending Relationship Manager I Carol Monaghan Branch Sales Manager James F. Monaghan III Senior Financial Projects Manager Sarah M. Pearson CRA Officer John C. Pettit Branch Area Manager – Southern New Jersey Ruth Powell Branch Operations Manager Frank P. Puleio Business Development Officer Katherine M. Rowley Branch Operations Manager Brendan P. Ryan Bank Secrecy Act Officer Sandra K. Ryan Branch Sales Manager Stacy L. Schwartz Head of Operations Kyle Smith Commercial Lending Relationship Manager I John M. Thompson Treasury Management Sales Officer Jennifer Wallace-Dressner Assistant Controller Marie Wanat Branch Area Manager – Bucks/Montgomery Counties, PA Caryn Wilson Retail & Business Banking Operations Officer Mark F. Wrobel Commercial Lending Relationship Manager I ASSISTANT VICE PRESIDENTS Alexandra Acevedo Treasury Management Sales Support Andaz Ali Senior IT Support Specialist Stella Bailey Team Leader Deposit Operations Analyst Brian W. Ballentine Branch Operations Manager Nadine D. Barron Senior Credit Underwriter Thomas P. Bay Commercial Lending Relationship Manager 1 Lauren Blough Senior Credit Analyst Sharon E. Bokma Branch Operations Manager Michael R. Borkowski Branch Sales Manager Samantha K. Dayton Loan Accounting Assistant Manager Linda Deckman Credit Underwriter Renee Denton-Clarke Branch Operations Manager Gwendelyn C. Fisher Marketing Manager Patrick L. Giallombardo Commercial Real Estate Administrator Jonathan O. Jacobs Private Banker Veena Jain Branch Operations Manager Keith M. Jolliffe Senior Credit Analyst/Team Leader Jason M. Koenigsberg Branch Sales Manager Andrew Kornberg Portfolio Manager William J. Mellon Senior Credit Underwriter Padmaja Racharla Senior Credit Analyst Patricia L. Schofield Branch Operations Manager John Schrader Commercial Lending Relationship Manager 1 Diane L. Smith Credit Underwriter Traci L. Sundberg Financial Investigations & AML Manager Sharon A. Unger Deposit Operations Analyst II Kelly L. Valenza Human Resources Coordinator Andrew K. Varsallona IT Support Specialist ASSISTANT TREASURERS Shatha N. Abbasi Auditor Donna Bencivengo Executive Assistant and Corporate Secretary Angelique DeGazon Loan Accounting Specialist Mona Goff Electronic Banking Analyst Sharon Grabowski Deposit Operations Analyst Nikki Harrison Electronic Banking Analyst Cynthia Huber Branch Operations Manager Julianne Silletti Human Resources Generalist Cynthia Tigeleiro Branch Operations Manager Maria A. Tramo Operations Coordinator for Retail & Business Banking Jennifer Tykarsky Electronic Banking Analyst Carrie M. Walchko BSA Investigator 23 MORRIS ESSEX UNION NYC HUNTERDON HUDSON SOMERSET MIDDLESEX BUCKS MERCER MONMOUTH FIrst Bank Market Area Our primary banking service area is the New York City to Philadelphia SUSSEX corridor, one of the more desirable banking markets in the country. The region has an affluent economy, with a strong, diverse array of employers and ties to New York City’s well-paying financial industries. WARREN We offer a full range of deposit and loan products to individuals and businesses through 16 full-service branches. Headquartered in Hamilton, New Jersey, we service 15 counties in New Jersey and five counties in eastern Pennsylvania. FIRST BANK REGIONAL STRUCTURE NORTHERN NEW JERSEY REGION CENTRAL NEW JERSEY REGION EASTERN PENNSYLVANIA REGION ★ HEADQUARTERS & FIRST BANK BRANCH FIRST BANK BRANCH MONTGOMERY PHILADELPHIA CHESTER OCEAN DELAWARE BURLINGTON GLOUCESTER CAMDEN First Bank Locations ADMINISTRATIVE 2465 Kuser Road Hamilton, NJ 08690 877 821 2265 1395 Yardville-Hamilton Square Rd Hamilton, NJ 08691 877 821 2265 NEW JERSEY CINNAMINSON 506 US Route 130 North Suite #1 Cinnaminson, NJ 08077 856 303 8899 CRANBURY 2664 US Route 130 Cranbury, NJ 08512 609 642 1064 DELANCO 615 Burlington Avenue Delanco, NJ 08075 856 461 0611 DENVILLE 530 East Main Street (Route 53) Denville, NJ 07834 973 625 1407 EWING 1340 Parkway Avenue Ewing, NJ 08628 609 643 0470 24 FLEMINGTON 334 Highway 31 North Flemington, NJ 08822 908 751 0318 HAMILTON 2465 Kuser Road Hamilton, NJ 08690 609 528 4400 LAWRENCE 590 Lawrence Square Boulevard South Lawrence, NJ 08648 609 587 3111 PENNINGTON 3 Tree Farm Road Pennington, NJ 08534 609 281 5808 RANDOLPH 1206 Sussex Turnpike Randolph, NJ 07869 973 895 5800 SOMERSET 225 DeMott Lane Somerset, NJ 08873 732 649 1999 WILLIAMSTOWN 1020 North Black Horse Pike Williamstown, NJ 08094 856 728 3400 PENNSYLVANIA DOYLESTOWN 200 South Main Street Doylestown, PA 18901 215 230 7533 TREVOSE 4956-66 Old Street Road Trevose, PA 19053 267 984 4537 WARMINSTER 356 York Road Warminster, PA 18974 215 441 4118 WEST CHESTER 121 N. Walnut Street Suite 320 West Chester, PA 19380 484 881 3800 We are greatly saddened by the passing of David Lidster Corporate and Shareholder Information and Maria Leibowitz-Curry during 2020, two vibrant and pivotal members of the First Bank team. David served as the Company’s Chief Technology Officer, leveraging his more than 35 years of experience in banking to lead our efforts to upgrade and improve our customer technology interface. Maria joined the company in 2019, as a result of First Bank’s acquisition of Grand Bank, and skillfully applied her more than 20 years of banking experience in her role as the Company’s Chief Compliance Officer. “ CORPORATE HEADQUARTERS FIRST BANK 2465 Kuser Road Hamilton, NJ 08690 877 821 2265 firstbanknj.com ANNUAL SHAREHOLDER MEETING INFORMATI ON The Annual Shareholders’ Meeting will be held virtually at 10:00 a.m. EST on April 28, 2021. You can attend the meeting by going to the following link and using the password: FRBA2021 Annual Meeting URL: meetingcenter.io/268971866 STOCK REGISTRAR AND TRANSFER AGE NT FIRST CLASS/REGISTERED/ CERTIFIED MAIL Computershare Investor Services P.O. Box 505000 Louisville, KY 40233-5000 COURIER SERVICES Computershare Investor Services 462 South 4th Street, Suite 1600 Louisville, KY 40202 SHAREHOLDER SERVICES NUMBER 1 800 368 5948 INVESTOR CENTRE PORTAL computershare.com/investor STOCK LISTING First Bank’s common stock is traded on the NASDAQ Global Market under the symbol FRBA. INVESTOR RELATI ONS ANALYST COVERAGE Shareholders seeking information about us may obtain press releases and FDIC filings by visiting firstbanknj.com. Additional inquiries can be directed to: Chief Financial Officer 2465 Kuser Road Hamilton, NJ 08690 or by calling 609 643 0136 SHAREHOLD ER ACCOUNT INQUI RI ES Shareholders who wish to change the name, address or ownership of their stock or replace lost certificates or require additional services should contact our Stock Registrar and Transfer Agent. The following analysts published research on First Bank in 2020: Bryce Rowe Hovde Group, LLC 804 318 0969 browe@hovdegroup.com Erik Zwick Boenning & Scattergood, Inc. 610 862 5322 ezwick@boenninginc.com Nicholas Cucharale Piper Sandler 212 466 7922 nick.cucharale@psc.com Christopher Keith D.A. Davidson & Co. 503 603 3017 ckeith@dadco.com Patrick L. Ryan President and CEO First Bank is a member of the FDIC, an Equal Opportunity Employer and an Equal Housing Lender. 25 WDave and Maria were not just great teammates, they were great people. They are missed every day.”2 4 6 5 K U S E R R OA D H A M I LTO N , N E W J E R S E Y 0 8 6 9 0 8 7 7. 8 2 1 . B A N K F I R S T B A N K N J .CO M F I R S T B A N K PA .C O M N A S DAQ : F R B A 

Continue reading text version or see original annual report in PDF format above