2022 Summary Annual Report
Growing Our
Reach to Better
Serve You
CONTINUED
STRONG EARNINGS
$2.60
EARNINGS
PER SHARE
TOTAL ASSETS
(in thousands)
NET INCOME
(in thousands)
$
1
,
6
8
7
6
8
2
,
$
1
,
2
4
8
3
9
8
,
$
1
,
1
8
2
4
7
5
,
$
1
,
3
9
1
,
9
7
9
$
1
,
3
3
1
,
0
0
6
,
$
1
8
6
3
3
,
$
1
5
6
7
3
,
$
1
2
4
3
1
$
1
2
7
1
1
,
,
$
8
3
4
9
RETURN ON AVERAGE EQUITY
DIVIDENDS DECLARED PER SHARE
.
1
2
7
4
%
.
1
1
2
5
%
(
1
)
$
0
8
1
.
$
0
6
9
.
$
0
5
9
.
$
0
5
7
.
.
$
0
6
0
.
9
9
4
%
.
9
3
5
%
.
6
0
7
%
(1) 2022 includes $2.3 million in one-time merger expenses.
2000000
1500000
1000000
500000
0
20000
15000
10000
5000
0
CHAIRMAN’S LETTER TO SHAREHOLDERS:
ON BEHALF OF THE MIDDLEFIELD
BANC CORP. BOARD OF DIRECTORS,
I am proud of the continued financial success, operating
growth, and community support our Company produced
in 2022. As the operating environment grows in
complexity, Middlefield has demonstrated its ability to
evolve and continuously develop to remain independent
and build sustained value for our shareholders.
Middlefield’s Board and Leadership Team worked together
to develop a strategic plan focused on building a Bank
with over $1.5 billion in total assets. I am pleased to report
that we ended 2022 with total assets of $1.69 billion due
to continued organic growth and the contribution of the
Liberty Bancshares, Inc. merger. The merger with Liberty
Bancshares expands our presence within Central and
Western Ohio while generating meaningful earnings per
share accretion, a minimal tangible book value dilution
and a manageable earn-back period.
12
15
9
6
The merger expanded our scale and allowed us to
add experienced and committed Ohio bankers to our
leadership team that share our community banking
philosophy and approach. We also added accomplished
directors who know our markets and customers and
deeply understand what it takes for a community bank
to survive in today’s market environment. New members
to Middlefield’s Board of Directors include Ronald L.
Zimmerly, Jr., Liberty’s President and CEO, Mark R.
Watkins, Liberty’s Chairman of the Board, and Spencer T.
Cohn, a representative of Castle Creek Capital, Liberty’s
largest shareholder. I look forward to working with Ron,
his team, and Mark and Spencer as we focus on serving
our local communities.
0
3
1.0
0.8
As we focus on successfully integrating the Liberty
Bancshares merger over the near term, it is also critically
important to continue pursuing long-term strategies
to serve more customers within our robust Ohio
communities. This includes introducing new products
to attract more deposits and drive noninterest income,
enhancing the delivery of personal and commercial
products, and expanding our marketing efforts to promote
the value of Middlefield Bank within our communities.
Maintaining a high-quality lending culture and remaining
well-capitalized is also imperative. These operating
principles are fundamental as economic uncertainty
increased during 2022.
0.6
0.4
0.2
a strong and committed team. Over the years, Middlefield’s
Board has developed a comprehensive succession
plan focused on attracting leaders from outside the
organization and developing motivated executives from
within our Company. Our transformation over the past
couple of years demonstrates the success of our thorough
succession planning process.
In addition to our succession and strategic plans, our Board
continues to review and modernize our governance and
procedures. Middlefield’s Directors participated in
Columbus’s FDIC Director training session this past summer.
We were one of a few banks that participated, as we continue
to focus on maintaining positive relationships between our
Directors and our regulators. During the year, Middlefield’s
corporate governance and nominating committee
recommended specific minimum stock ownership levels
for our CEO and CFO, subsequently approved by the full
Board. We also continue to pursue a comprehensive ESG
framework to guide our ESG efforts into the future.
As you can see, it was a very active year of progress for
the Board and transformation for Middlefield. The Board
is committed to pursuing initiatives that create continual
value. Middlefield returned 74.1% of 2022 earnings to
shareholders through our share repurchase and dividend
programs. We also continued our consistent track record
of increasing our regular cash dividend. This included a
17.6% year-over-year increase in our regular fourth-quarter
dividend payment to $0.20 per share, and the Board
approved a $0.10 special dividend that was also paid
in the 2022 fourth quarter.
I am proud of the progress we made in 2022 and
excited by the opportunities we have in the future
for our customers, team members, communities, and
shareholders. Our continued success and ability to serve
our customers directly result from our team’s talent,
dedication, and commitment. We remain humbled by our
associates’ support and strive to provide the resources
and opportunities to advance their careers.
On behalf of the Middlefield Banc Corp. Board of
Directors and our employees, we thank
you for your continued support.
We believe the successful execution of our strategic
plan will continue to create sustained value for our
shareholders, which is dependent on developing
0.0
WILLIAM J. SKIDMORE
Chairman, Board of Directors
Middlefield Banc Corp. 2022 Summary Annual Report 1
TO OUR SHAREHOLDERS AND FRIENDS:
OUR PERFORMANCE DURING 2022
REFLECTS THE POSITIVE OUTCOMES
OF THE LONG-TERM STRATEGIES
we have been pursuing to create shareholder value
by transforming the Company and creating a leading,
independent community bank. Representative of the
success of these strategies is the December 2022
merger with Liberty Bancshares, Inc., which has allowed
us to enhance our scale, strengthen our financial
position, and expand our services and offerings in
both Central and Western Ohio markets. With the
addition of Liberty’s six branches, Middlefield now
operates 22 full-service banking centers across a
13-county operating footprint and a loan production
office in Mentor, Ohio. We ended the year with record
total assets of $1.69 billion, making Middlefield one
of Ohio’s largest independent community banks.
Net income for the year ended December 31, 2022,
was $15.7 million, or $2.59 per diluted share, compared
to $18.6 million, or $3.00 per diluted share, for the same
period last year. Non-GAAP net income, adjusted for
certain one-time items and expenses associated with
the Liberty Bancshares, Inc. merger, was $18.3 million,
or $3.03 per diluted share for the 2022 twelve-month
period, compared to $18.5 million, or $2.98 per diluted
share for the same period of 2021. Our performance
during 2022 was especially encouraging as we navigated
rapid increases in interest rates by the Federal Reserve,
growing competition for deposits and increased
economic uncertainty.
Record net interest income of $50.2 million was the
primary catalyst of our overall profitability in 2022.
This increase, which was 5.8% higher than 2021, was
driven by a 30-basis point expansion in our net interest
margin to 4.08%, strong organic loan growth and
the contribution of the Liberty Bancshares merger. In
addition, our asset quality remains strong across our
portfolio, as nonperforming loans to total loans were
just 0.16% at December 31, 2022, compared to 0.49%
at December 31, 2021.
Our success is driven by our core values of fostering
community relationships, continuously building
shareholder value, adding value to our customers through
proactive and responsive service, and supporting our
team members through collaboration, passion, and
professionalism. As we follow these core business tenets,
we allow ourselves to drive continued success.
As part of the Liberty Bancshares merger, Ronald L.
Zimmerly, Jr., Liberty’s President and CEO, joined
Middlefield as President and as a member of the Board
of Directors. Ron is a proven banker and experienced
leader who has added immediate value to our
organization. Mark Watkins, Liberty’s former Chairman
of the Board, and Spencer T. Cohn joined the Board of
Directors of our Company. We also added Thomas J.
Simon and Thomas E. Griffith, both former Liberty
Directors, to the Board of Directors of The Middlefield
Banking Company. I look forward to working with these
leaders as we drive the future success of our Company.
We promoted several Middlefield team members
during the year. Alfred F. Thompson, Jr. was promoted
to EVP/Chief Credit Officer, responsible for leading the
Company’s credit administration and loan administration
programs. Courtney Erminio was promoted to EVP/Chief
Risk Officer and is responsible for leading the Company’s
risk, audit, and compliance programs.
In February 2023, Donald L. Stacy, SVP and Chief
Financial Officer, announced that he will retire from the
Company effective April 30, 2023. On behalf of the
Board of Directors and the entire management team, we
are tremendously grateful to Don for his commitment
and dedication to Middlefield. He has been instrumental
in the growth and success of the Company, playing
a pivotal role in developing our business strategies
and ensuring long-term financial excellence. I will miss
Don’s daily presence as I have found him knowledgeable,
dependable, and forthright. We wish him all the best
as he moves to his next chapter.
As part of the Company’s comprehensive succession
plan, Michael C. Ranttila has been elected to succeed
Don as SVP and Chief Financial Officer of the Company,
effective May 1, 2023. Mike brings proven financial
acumen and extensive institutional knowledge of
Middlefield that will prove invaluable as he assumes
the role of Chief Financial Officer. We have built a solid
Our 2022 performance demonstrates the success of
Middlefield’s multi-year transformation, the favorable
execution of our strategic plan, and the valuable
services we provide our communities. I am extremely
proud of Middlefield’s success, and I am confident we
are well-positioned to create an even stronger Company
as we move forward into 2023.
On behalf of everyone at the Middlefield Banc Corp.,
I thank you for your continued support.
Sincerely,
JAMES R. HESLOP, II
Chief Executive Officer
I AM EXCITED BY THE
LONG-TERM OPPORTUNITIES
WE HAVE TO CREATE
VALUE FOR OUR
CUSTOMERS, EMPLOYEES
AND SHAREHOLDERS
AS WE FOCUS ON GROWING
OUR PRESENCE WITHIN
NORTHEAST, CENTRAL
AND WESTERN OHIO.
team and a deep bench of experienced managers.
I am excited by the prospects of what our team can do
together to drive Middlefield’s record of generating
long-term shareholder value.
Allocating capital remains an important component of
our strategic plan as we seek to balance the retention
of capital for growth and financial stability with the drive
to properly reward our shareholders. Since January
2019, we have repurchased 898,901 shares, representing
13.9% of the outstanding shares prior to our repurchase
program. For the year ended December 31, 2022, we
invested $6.1 million in our share repurchase program,
repurchasing 229,420 shares of our common stock at
an average price of $26.67.
On February 3, 2023, Middlefield’s Board of Directors
increased the Company’s share repurchase program by
an additional 300,000 shares, equating to approximately
3.7% of the Company’s outstanding shares before
this new authorization. This repurchase program was
approved after Middlefield completed the repurchase of
300,000 shares previously authorized in February 2022.
We also paid a record $5.5 million in dividends during
2022, reflecting an increase of 29.5% over the prior
year. On a per-share basis, Middlefield declared cash
dividends of $0.81, an increase of 17.4% from $0.69
per share last year. Dividends in 2022 included a $0.10
per share one-time dividend payment declared in the
fourth quarter.
As we look to 2023 and beyond, I am excited by the
long-term opportunities we have to create value
for our customers, employees and shareholders as
we focus on growing our presence within Northeast,
Central and Western Ohio. Over the near term, we
are focused on the successful integration of Liberty
into Middlefield. We also expect a more challenging
macroeconomic environment primarily associated
with restrictive Federal Reserve monetary policies.
We are well-positioned to navigate the uncertainty due
to our strong capital position, excellent asset quality
and favorable net interest margin. Most importantly,
our solid financial position allows us to support our local
communities during an increasingly complex operating
environment while continuing to focus on creating value
and returning capital to our shareholders.
2 Middlefield Banc Corp. 2022 Summary Annual Report
Middlefield Banc Corp. 2022 Summary Annual Report 3
DECADE OF PROGRESS
(Dollar amounts in thousands, except earnings per share data)
2013
2014
2015
2016
2017
2018
2019
2020
2021
2022
Interest income
Interest expense
Net interest income
Provision for loan loss
Net interest income after provision for loan losses
Noninterest income, including security gains/losses
Noninterest expense
Income before income taxes
Income taxes
Net income
Total assets
Deposits
Equity capital
Loans outstanding, net
Allowance for loan losses
Net (recoveries) charge-offs
Full time employees (average equivalents)
Number of offices
Earnings per share
Dividends per share
Book value per share
Dividends payout ratio
Cash dividends paid
Return on average assets
Return on average equity
$ 28,178
$ 27,874
$ 28,595
$ 29,994
$ 43,995
$ 50,357
$ 54,525
$ 52,638
$ 52,335
$ 54,906
5,250
22,928
196
22,732
3,145
16,870
9,007
1,979
4,070
23,804
370
23,434
3,588
17,850
9,172
1,992
3,820
24,775
315
24,460
4,044
20,077
8,427
1,562
$ 7,028
$ 7,180
$ 6,865
$647,090
$677,531
$735,139
568,836
586,112
624,447
53,473
63,867
62,304
428,679
463,738
527,325
7,046
6,846
6,385
929
125
10
570
139
10
776
143
10
$ 1.74
$ 1.76
$ 1.71
0.52
13.16
0.52
15.56
0.54
16.59
29.84%
29.54%
30.90%
$ 2,048
$ 2,121
$ 2,153
1.06%
13.17%
1.07%
12.17%
0.97%
10.62%
4,190
25,804
570
25,234
3,959
20,872
8,321
1,905
6,647
37,348
1,045
36,303
4,859
27,485
13,677
4,222
9,909
40,448
840
39,608
3,728
28,743
14,593
2,162
13,140
41,385
890
40,495
4,841
30,033
15,303
2,592
9,250
43,388
9,840
33,548
5,990
29,788
9,750
1,401
4,195
48,140
700
47,440
7,249
31,991
22,698
4,065
4,729
50,177
—
50,177
6,746
38,030
18,893
3,220
$ 6,416
$ 9,455
$ 12,431
$ 12,711
$ 8,349
$ 18,633
$ 15,673
$787,821
$1,106,336
$1,248,398
$1,182,475
$1,391,979
$1,331,006
$1,687,682
629,934
76,960
602,542
6,598
357
139
11
878,194
1,016,067
1,020,843
1,225,200
1,166,610
1,402,019
119,863
916,023
7,190
453
190
14
128,290
984,681
7,428
602
200
15
137,775
977,490
6,768
1,550
189
16
143,810
145,335
197,691
1,090,626
967,349
1,338,434
13,459
3,149
184
16
14,342
14,438
(183)
185
16
(96)
238
22
$ 1.52
$ 1.56
$ 1.92
$ 1.96
$ 1.31
$ 3.01
$ 2.60
0.54
17.07
0.54
18.63
0.59
19.77
0.57
21.45
0.60
21.86
0.69
24.68
0.81
23.98
36.13%
35.52%
30.40%
28.99%
45.92%
22.76%
35.03%
$ 2,318
$ 3,358
$ 3,779
$ 3,685
$ 3,834
$ 4,240
$ 5,490
0.85%
9.33%
0.88%
8.52%
1.09%
9.94%
1.05%
9.35%
0.64%
6.07%
1.36%
12.74%
1.17%
11.25%
4 Middlefield Banc Corp. 2022 Summary Annual Report
Middlefield Banc Corp. 2022 Summary Annual Report 5
CONSOLIDATED BALANCE SHEET
CONSOLIDATED STATEMENT OF INCOME
(Dollar amounts in thousands, except shares)
2022
2021
(Dollar amounts in thousands, except per share data)
2022
2021
ASSETS
Cash and due from banks
Federal funds sold
Cash and cash equivalents
Equity securities, at fair value
Investment securities available for sale, at fair value
Loans held for sale
Loans:
Commercial real estate:
Owner occupied
Non-owner occupied
Multifamily
Residential real estate
Commercial and industrial
Home equity lines of credit
Construction and other
Consumer installment
Total loans
Less: allowance for loan and lease losses
Net loans
Premises and equipment, net
Goodwill
Core deposit intangibles
Bank-owned life insurance
Other real estate owned
Accrued interest receivable and other assets
TOTAL ASSETS
LIABILITIES
Deposits:
Noninterest-bearing demand
Interest-bearing demand
Money market
Savings
Time
Total deposits
Short-term borrowings:
Federal funds purchased
Federal Home Loan Bank advances
Total short-term borrowings
Other borrowings
Accrued interest payable and other liabilities
TOTAL LIABILITIES
STOCKHOLDERS’ EQUITY
Common stock, no par value; 10,000,000 shares authorized, 9,916,466
and 7,330,548 shares issued; 8,245,235 and 5,888,737 shares outstanding
Retained earnings
Accumulated other comprehensive (loss) income
Treasury stock, at cost; 1,671,231 and 1,441,811 shares
TOTAL STOCKHOLDERS’ EQUITY
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY
See accompanying notes to the consolidated financial statements.
6 Middlefield Banc Corp. 2022 Summary Annual Report
$ 51,404
2,405
$ 97,172
22,322
53,809
915
164,967
—
191,748
380,580
58 , 2 51
296,308
195,602
128,065
94,199
8,1 1 9
1,352,872
14,438
1,338,434
21,961
31,735
7,701
3 3 , 8 1 1
5,821
28,528
119,494
818
170,199
1,051
111,470
283,618
31,189
240,089
148,812
104,355
54,148
8,010
981,691
14,342
967,349
17,272
15,071
1,403
1 7,060
6,992
14,297
$1,687,682
$1,331,006
$ 503,907
164,677
187,498
307,917
238,020
1,402,019
—
65,000
65,000
12,059
10,913
$ 334,171
196,308
177,281
260,125
198,725
1,166,610
—
—
—
12,901
6,160
1,489,991
1,185,671
161,029
94,154
(22,144)
(35,348)
197,691
87,131
83,971
3,462
(29,229)
145,335
$1,687,682
$1,331,006
INTEREST AND DIVIDEND INCOME
Interest and fees on loans
Interest-earning deposits in other institutions
Federal funds sold
Investment securities:
Taxable interest
Tax-exempt interest
Dividends on stock
Total interest and dividend income
INTEREST EXPENSE
Deposits
Short-term borrowings
Other borrowings
Total interest expense
NET INTEREST INCOME
Provision for loan losses
NET INTEREST INCOME AFTER PROVISION FOR LOAN LOSSES
NONINTEREST INCOME
Service charges on deposit accounts
(Losses) gains on equity securities
Gain on other real estate owned
Earnings on bank-owned life insurance
Gain on sale of loans
Revenue from investment services
Gross rental income
Other income
Total noninterest income
NONINTEREST EXPENSE
Salaries and employee benefits
Occupancy expense
Equipment expense
Data processing costs
Ohio state franchise tax
Federal deposit insurance expense
Professional fees
Other real estate owned writedowns
Advertising expense
Software amortization expense
Core deposit intangible amortization
Gross other real estate owned expenses
Merger-related costs
Other expense
Total noninterest expense
Income before income taxes
Income taxes
NET INCOME
EARNINGS PER SHARE
Basic
Diluted
$ 48,513
472
219
1,811
3,707
184
54,906
4,018
307
404
4,729
50,177
—
50,177
3,850
(173)
—
459
24
674
951
961
6,746
17,548
2,033
1,074
3,701
1,157
329
1,500
1,200
1,033
143
372
707
2,382
4,851
38,030
18,893
3,220
$ 15,673
$ 2.60
2.59
$47,896
90
3
1,679
2,565
102
52,335
3,913
—
282
4,195
48,140
700
47,440
3,425
209
43
546
1,240
727
180
879
7,249
17,151
2,048
1,361
3,298
1,144
494
1,313
—
885
361
321
54
—
3,561
31,991
22,698
4,065
$18,633
$ 3.01
3.00
See accompanying notes to the consolidated financial statements.
Middlefield Banc Corp. 2022 Summary Annual Report 7
MIDDLEFIELD BANC CORP. BOARD OF DIRECTORS
WILLIAM J. SKIDMORE
2007
Chairman, Board of Directors
Middlefield Banc Corp.
The Middlefield Banking Company
Retired Ohio Senior District Manager
Waste Management of Ohio, Inc.
JAMES R. HESLOP, II
2001
Chief Executive Officer
Middlefield Banc Corp.
The Middlefield Banking Company
RONALD L. ZIMMERLY, JR.
2022
President
Middlefield Banc Corp.
The Middlefield Banking Company
JAMES J. McCASKEY
2004
Vice Chairman, Board of Directors
Middlefield Banc Corp.
The Middlefield Banking Company
President
McCaskey Landscape and Design, LLC
MICHAEL C. VOINOVICH
2020
Executive Vice President and
Chief Investment Officer of
ECHO Health, Inc.
KEVIN A. DiGERONIMO
2021
Principal
DiGeronimo Companies
JENNIFER L. MOELLER*
2021
Angel Investor
THOMAS E. “TED” GRIFFITH*
2022
Partner
Powell Seeds, LLC
CAROLYN J. TURK, C.P.A.
2004
Retired Financial Executive
Molded Fiber Glass Companies
KENNETH E. JONES
2008
Retired Financial Executive
Chesapeake Financial Advisors
DARRYL E. MAST
2013
Retired: Hattie Larlham Care Group and
Hattie Larlham Foundation
THOMAS W. BEVAN
2017
Chief Executive Officer
Bevan & Associates, LPA, Inc.
THOMAS J. SIMON*
2022
Chairman of the Board
Coverlink Insurance
SPENCER T. COHN
2022
Director
Castle Creek Capital LLC
MARK R. WATKINS
2022
Partner
Watkins Farm
Central Ohio Region
Advisory Board:
JEFFREY A. GONGWER;
GEORGE J. KONTOGIANNIS, AIA;
TIMOTHY C. LONG;
MICHAEL J. MORAN
*Director of The Middlefield Banking Company
8 Middlefield Banc Corp. 2022 Summary Annual Report
Middlefield Banc Corp. 2022 Summary Annual Report 9
MIDDLEFIELD
BANC CORP.
OFFICERS
THE MIDDLEFIELD
BANKING COMPANY
OFFICERS
JAMES R. HESLOP, II
Chief Executive Officer
RONALD L. ZIMMERLY, JR.
President
DONALD L. STACY
Senior Vice President/
Treasurer and Chief Financial Officer
MICHAEL C. RANTTILA
Vice President of Finance
JULIE E. SHAW
Corporate Secretary
TERESA M. HETRICK
Assistant Corporate Secretary
JAMES R. HESLOP, II 1996
Chief Executive Officer
RONALD ZIMMERLY 1999
President
DONALD L. STACY 1999
Senior Executive Vice President
Treasurer of the Bank
TERESA M. HETRICK 1996
Executive Vice President
Deposit Services
ALFRED F. THOMPSON, JR. 1996
Executive Vice President
Chief Credit Officer
ANNA MARIA BRENNEMAN 2009
President, Western Ohio Region
COURTNEY M. ERMINIO 2010
Executive Vice President
Chief Risk Officer
MICHAEL C. RANTTILA 2017
Executive Vice President
Chief Financial Officer
ROBERT J. DAWSON 2015
Executive Vice President
Chief Lending Officer
MICHAEL L. ALLEN, CPA 2018
Executive Vice President
Financial and Deposit Services
THOMAS WILSON, CFA 2020
Executive Vice President
Corporate Development
JULIE E. SHAW 2019
Executive Assistant
Corporate Secretary
DAVID KUCERA 2004
Vice President
Controller
ANGELA HERSH 2007
Vice President
Mortgage and Consumer Lender
LAURA E. NEALE 2010
Vice President
Commercial Lending Officer
BRETT A. RICHEY 2010
Vice President
Special Assets Manager
JOHN SOLICH 2015
Vice President
Commercial Lending Officer
THOMAS PARKER 2016
Vice President
Commercial Lender
NICOLE MARCHIO 2017
Vice President
Deposit Operations Officer
STANLEY GREGORIN, JR. 2018
Vice President
Commercial Lender
MELISSA M. MAKI 2018
Vice President
Marketing Communications
Director
KEVIN SERNA 2019
Vice President
Commercial Lender
PATRICK G. PAOLETTA 2020
Vice President
Commercial Lender
REBECCA BRAHENEY, CPA 2021
Vice President
Chief Accounting Officer
VANCE STEELE 2022
Vice President
Commercial Lender
PATRICIA ARNETT 1987
Senior Vice President
Treasury Management
Director
THOMAS R. NEIKIRK 1994
Senior Vice President
Commercial Lender
MATTHEW E. BELLIN 2006
Senior Vice President
Commercial Lender
ADAM T. COOK 2006
Senior Vice President
Loan Administration
FELICIA M. HOUGH 2009
Senior Vice President
Branch Administration
CRAIG E. REAY 2011
Senior Vice President
Credit Administration
LORI A. GRAHAM 2013
Senior Vice President
Compliance and CRA Officer
DANIEL B. PLANT 2014
Senior Vice President
Mortgage Lending
REBECCA NOBLIT 2017
Senior Vice President
Credit Administration
GREG T. YURCO 2019
Senior Vice President
Commercial Lender
GARY C. KERN 2020
Senior Vice President
Chief Information Officer
10 Middlefield Banc Corp. 2022 Summary Annual Report
Middlefield Banc Corp. 2022 Summary Annual Report 11
THE MIDDLEFIELD
BANKING COMPANY
OFFICERS (continued)
RACHEL DEAN 1985
Assistant Vice President
Regional Branch Administrator
Northeast Ohio Region
KATHLEEN M. VANEK 1998
Assistant Vice President
Branch Manager
MARLIN J. MOSCHELL 2000
Assistant Vice President
Lending Officer
HEATHER COX 2002
Assistant Vice President
Marketing
CORSIE ARN 2003
Assistant Vice President
Branch Manager
NANETTE PFEIFFER 2003
Assistant Vice President
Commercial Loan Specialist
KRISTINA STEPHENS 2006
Banking Officer
Account Processing Manager
KEVIN J. MITCHELL 2007
Assistant Vice President
Lender II
MELISSA K. GAY 2008
Assistant Vice President
BSA Officer
JEAN M. CARTER 2009
Assistant Vice President
Branch Manager
KELLY HECKMAN 2009
Assistant Vice President
Compliance Assistant
DALE L. MOORE 2009
Assistant Vice President
Project Manager and
Bank Security Officer
AMANDA HOYT 2016
Assistant Vice President
Credit Manager
CORRINE MITCHELL 2016
Assistant Vice President
Regional Branch Administrator
Western Ohio Region
LAURA STIMMEL 2017
Assistant Vice President
Mortgage and Consumer Lender
CHRISTOPHER J. HESS 2018
Assistant Vice President
Branch Manager
LISABETH A. MULDOWNEY 2012
Assistant Vice President
Branch Manager
RYAN LANE 2019
Assistant Vice President
Mortgage and Consumer Lender
MICHELLE L. BAHLEDA 2014
Banking Officer
Lender
JAMES LONG 2019
Assistant Vice President
Branch Manager
BRIAN MOORE 2019
Assistant Vice President
Mortgage and Consumer Lender
DAVID WILLOBY 2019
Assistant Vice President
Commercial Lender
STEPHEN J. LEBOLD 2014
Assistant Vice President
Branch Manager
COLLEEN PIRRMANN 2014
Assistant Vice President
Regional Branch Administrator
Central Ohio Region
WARREN R. COX, II 2016
Assistant Vice President
Branch Manager
12 Middlefield Banc Corp. 2022 Summary Annual Report
MENTOR (LPO)
LAKE
CHARDON
MENTOR (LPO)
ASHTABULA
ORWELL
ASHTABULA
ORWELL
CORTLAND
BEACHWOOD
NEWBURY
SOLON
LAKE
MIDDLEFIELD
CHARDON
GEAUGA
TWINSBURG
BEACHWOOD
SOLON
MANTUA
NEWBURY
MIDDLEFIELD
GARRETTSVILLE
TWINSBURG
GEAUGA
PORTAGE
TRUMBULL
CORTLAND
MANTUA
GARRETTSVILLE
PORTAGE
TRUMBULL
ASHTABULA
CLEVELAND
GEAUGA
TRUMBULL
MENTOR (LPO)
PORTAGE
LAKE
CHARDON
BEACHWOOD
NEWBURY
SOLON
MIDDLEFIELD
TWINSBURG
GEAUGA
ASHTABULA
ORWELL
CORTLAND
MANTUA
GARRETTSVILLE
PORTAGE
TRUMBULL
THE MIDDLEFIELD
BANKING COMPANY
LOCATIONS
Middlefield Banc Corp. 2022 Summary Annual Report 15
ADA
HARDIN
ADA
KENTON
HARDIN
KENTON
BELLEFONTAINE
UNION
LOGAN
BELLEFONTAINE
HARDIN
LOGAN
LOGAN
MARYSVILLE
UNION
PLAIN CITY
DELAWARE
POWELL
SUNBURY
WESTERVILLE
DUBLIN
MARYSVILLE
DELAWARE
FRANKLIN
POWELL
SUNBURY
PLAIN CITY
WESTERVILLE
COLUMBUS
DUBLIN
FRANKLIN
COLUMBUS
UNION
DELAWARE
FRANKLIN
COLUMBUS
ADA
HARDIN
KENTON
BELLEFONTAINE
14 Middlefield Banc Corp. 2022 Summary Annual Report
14 Middlefield Banc Corp. 2022 Summary Annual Report
UNION
LOGAN
SUNBURY
MARYSVILLE
DELAWARE
POWELL
PLAIN CITY
WESTERVILLE
DUBLIN
FRANKLIN
COLUMBUS
THE MIDDLEFIELD BANKING COMPANY LOCATIONS
Administrative Offices
15200 Madison Road
Middlefield, Ohio 44062
888.801.1666
Ada
118 South Main Street
Ada, Ohio 45810
419.634.5015
Beachwood
25201 Chagrin Boulevard
Suite 120
Beachwood, Ohio 44122
216.359.5580
Bellefontaine North
1120 North Main Street
Bellefontaine, Ohio 43311
937.592.5688
Bellefontaine South
1454 South Main Street
Bellefontaine, Ohio 43311
937.593.9694
Chardon
348 Center Street
P.O. Box 1078
Chardon, Ohio 44024
440.286.1222
Cortland
3450 Niles-Cortland Road
Cortland, Ohio 44410
330.637.3208
Dublin
6215 Perimeter Drive
Dublin, Ohio 43017
614.793.4631
Garrettsville
8058 State Street
Garrettsville, Ohio 44231
330.527.2121
Kenton
100 East Franklin Street
Kenton, Ohio, 43326
419.673.1217
Lake County Loan
Production Office
8373 Mentor Avenue
Mentor, Ohio 44060
440.632.8140
Mantua
10691 Main Street
Mantua, Ohio 44255
330.274.0881
Orwell
30 South Maple Street
P.O. Box 66
Orwell, Ohio 44076
440.437.7200
Plain City
490 South Jefferson Avenue
Plain City, Ohio 43064
614.689.2622
Powell
10628 Sawmill Parkway
Powell, Ohio, 43065
614.392.5702
Solon
6134 Kruse Drive
Solon, Ohio 44139
440.542.3789
Marysville
160 Coleman’s Crossing Boulevard
Marysville, Ohio 43040
937.642.0467
Sunbury
492 West Cherry Street
Sunbury, Ohio 43074
740.913.0632
Middlefield Main
15985 East High Street
P.O. Box 35
Middlefield, Ohio 44062
440.632.8115
Middlefield West
15545 West High Street
P.O. Box 35
Middlefield, Ohio 44062
440.632.8113
Newbury
11110 Kinsman Road
Suite 1
P.O. Box 208
Newbury, Ohio 44065
440.564.7000
Twinsburg
2351 Edison Boulevard
P.O. Box 560
Twinsburg, Ohio 44087
330.425.3033
Westerville
17 North State Street
Westerville, Ohio 43081
614.890.7832
Westerville*
33 South Cleveland Avenue
Westerville, Ohio 43081
614.948.7102
* Please note the Westerville branch
located at 33 South Cleveland Avenue will
be relocated effective April 14, 2023.
COMMUNITY INVOLVEMENT 2022
As a community bank, The Middlefield Banking
Below is a list of some of those organizations:
Company strives to be a leader, advocate, and a
partner for the communities we serve. We do this
in part through charitable giving, volunteerism, and
strong support for nonprofit and vital community
organizations.
In 2022, Middlefield Bank grew its Ohio footprint to
join Liberty National Bank—a bank distinguished
by its charitable partnerships and hometown focus.
Bringing our banks together will only help extend
our reach with a renewed focus on our combined
impact across 19 communities.
As the bank grows, one thing remains constant—
our belief in the role we have in shaping the
financial success of our communities, local
businesses, and every customer that walks
through our doors.
Our officers and employees are in leadership roles
in more than 30 organizations including non-profits,
direct services, and education. Together, we can
continue to make a positive impact on the lives of
those in need and build stronger, more connected
communities.
• Affordable Housing Trust (Columbus and
Franklin County)
• Ashtabula Community Foundation
• Children’s Advocacy Center (Portage)
• Crossroads/Beacon Health (Cuyahoga)
• Financial Empowerment (Portage and Trumbull)
• Geauga Community Improvement Corporation
• Geauga County Fair Housing
• Geauga Growth Partnership
• Hattie Larlham Center for Children with
Disabilities
• Junior Achievement (Ashtabula, Central
Ohio, Greater Cleveland, Mad River and
Mahoning Valley)
• Next Step (Geauga and Portage)
• Rotary Clubs (Burton/Middlefield and Chardon)
• United Way (Central Ohio, Delaware, Greater
Cleveland, Geauga, Lake, Logan, Portage, Union,
Summit and Trumbull)
• Women’s Recovery Center (Cuyahoga)
• WomenSafe at the Green House (Chardon)
16 Middlefield Banc Corp. 2022 Summary Annual Report
Middlefield Banc Corp. 2022 Summary Annual Report 17
COMMUNITY INVOLVEMENT
The Western Ohio team attends a fundraiser for
the Armory restaurant in Kenton.
MB employees volunteer at Community Care Day in
Logan County.
MB team members attend Designer Bag Bingo to
raise funds for Junior Achievement of Ashtabula.
The Garrettsville team poses with their
many prepared pies for sale at the Garettsville
Peach Social.
The Powell Branch takes part in the city’s Candy by
the Carload event with a pirate themed display.
Mantua branch takes part in the
Mantua-Shalersville Fire Department open house.
Chairman Bill Skidmore and Director Jim McCaskey
pick up trash for Chardon Rotary Club.
Chardon Branch Manager Jean Carter discusses
banking with students from Chardon Local
Schools.
The Central Ohio team gathers at Dublin for the Hillary Moore Memorial Blood drive..
Branch Managers Brian
Cain and Michelle
Burke volunteering
to teach financial
wellness at Kinetico.
Employees collect
donations for coats,
hats and gloves for
Project Warmth.
VP, Commercial lender Jack Gregorin presents
Mentor’s Amvets Post 109 with a check to help
with their future electronic sign.
MB Investment Services advisor Tom Hart fires up
his branded Olds Dynamic 88 for the Garrettsville
Summerfest.
MB team members volunteer for “JA in a Day” at the Robert Jameson School in Cleveland.
HR delivers their pet drive’s donations to the
Geauga County Dog Warden’s office.
Middlefield Bank team attends Geauga County’s
Fast Track 50 event.
Members of the Bellefontaine branches receiving
an award for service at a United Way event.
Members of the Solon Branch collect donations
for the food pantry for Solon’s Church of the
Resurrection.
18 Middlefield Banc Corp. 2022 Summary Annual Report
Middlefield Banc Corp. 2022 Summary Annual Report 19
CORE VALUES
SHAREHOLDER INFORMATION
COMMUNITY
Fostering relationships and maintaining
the tradition of local support by being a
trusted ambassador of the Bank. Every
interaction within our communities is an
opportunity to build deeper relationships
with our customers and prospective
customers.
CUSTOMER
SERVICE
Forging relationships by
adding value through
proactive and responsive
service.
TEAM FOCUS
Our team members are our
most valuable asset.
We support one another
through collaboration,
passion, and professionalism.
Our people differentiate us
from our competitors.
SHAREHOLDER
COMMITMENT
Continuously building shareholder
value by providing prudent and fiscally
responsible management combined
with effective and efficient stewardship
of our resources.
20 Middlefield Banc Corp. 2022 Summary Annual Report
CORPORATE HEADQUARTERS
Middlefield Banc Corp.
15985 East High Street
P.O. Box 35
Middlefield, Ohio 44062
888.801.1666 • 440.632.1666
fax: 440.632.1700
FORM 10-K AND 10-Q AVAILABILITY
A copy of Middlefield Banc Corp.’s
Annual Report on Form 10-K and
Quarterly Reports on 10-Q filed
with the Securities and Exchange
Commission will be furnished to any
shareholder, free of charge, upon
written or e-mail request to:
Donald L. Stacy
Senior Vice President,
Treasurer and CFO
Middlefield Banc Corp.
P.O. Box 35
Middlefield, Ohio 44062
or dstacy@middlefieldbank.com
MARKET MAKERS MAKERS
The symbol for Middlefield Banc
Corp. common stock is MBCN and
the CUSIP is 596304204.
Boenning & Scattergood, Inc.
866.326.8094
614.228.5391
www.boenninginc.com
Keefe, Bruyette & Woods
800.342.5529
www.kbw.com
NOTICE OF ANNUAL MEETING
The 2023 Annual Meeting of
Shareholders of Middlefield Banc
Corp. will be held on Wednesday,
May 10, 2023 at 1:00 p.m. Eastern
Time. We have adpoted a virtual
format for our Annual Meeting.
We will provide a live webcast
of the Annual Meeting at
www.meetnow.global/MNQMY4G
You will need the control number
located on your proxy card to
participate.
TRANSFER AGENT AND REGISTRAR
Computershare
P.O. Box 505000
Louisville, KY 40233-5000
1.800.736.3001
INDEPENDENT AUDITORS
S.R. Snodgrass, P.C.
2009 Mackenzie Way, Suite 340
Cranberry Township, PA 16066
724.934.0344
INTERNET INFORMATION
Information on the Company
and its subsidiary bank is
available on the Internet at
www.middlefieldbank.bank.
DIVIDEND PAYMENT DATES
Subject to action by the Board of
Directors, Middlefield Banc Corp.
will pay dividends in March, June,
September, and December.
DIVIDEND REINVESTMENT AND
STOCK PURCHASE PLAN
Shareholders may elect to reinvest
their dividends in additional shares
of Middlefield Banc Corp.’s common
stock through the Company’s
Dividend Reinvestment Plan. To
arrange automatic purchase of
shares with quarterly dividend
proceeds, please call 1.800.736.3001.
DIRECT DEPOSIT OF DIVIDENDS
The direct deposit program, which
is offered at no charge, provides
for automatic deposit of quarterly
dividends directly to a checking or
savings account with The Middlefield
Banking Company. For information
regarding this program, please call
888.801.1666.
RELATED STOCKHOLDER MATTERS
Middlefield Banc Corp. had
approximately 1,199 shareholders of
record as of February 22, 2023. Our
common stock trades on the NASDAQ
Capital Market under the ticker
symbol MBCN. The table below shows
the high and low bid prices of and
cash dividends paid on the Company’s
common stock during the periods
indicated. The high and low bid prices
are compiled from data available
through NASDAQ. This information
does not reflect retail mark-up,
markdowns or commissions, and does
not necessarily represent actual
transactions.
2022
First Quarter
Second Quarter
Third Quarter
Fourth Quarter
2021
First Quarter
Second Quarter
Third Quarter
Fourth Quarter
HIGH
CLOSE
LOW
CLOSE
CASH
DIVIDENDS
PER SHARE
$26.08
$ 26.86
$ 28.38
$29.60
$ 25.58
$ 24.48
$ 24.38
$ 27.55
$ 24.10
$ 24.35
$ 25.03
$ 27.36
$19.00
$20.60
$ 22.81
$ 23.38
$ 0.17
$ 0.17
$ 0.17
$0.30
$ 0.16
$ 0.16
$ 0.16
$ 0.21
Middlefield Banc Corp.
15985 East High Street, Middlefield, Ohio 44062
888.801.1666
www.middlefieldbank.bank