| Pennsylvania | | | 6022 | | | 23-2235254 | |
| (State or other jurisdiction of incorporation or organization) | | | (Primary Standard Industrial Classification Code Number) | | | (IRS Employer Identification No.) | |
| Paul G. Mattaini, Esq. Kimberly J. Decker, Esq. Barley Snyder LLP 126 East King Street Lancaster, PA 17602 (717) 299-5201 | | | Kenneth J. Rollins, Esq. Pillar + Aught 4201 E. Park Circle Harrisburg, PA 17111 (717) 308-9633 | |
| Large accelerated filer ☐ | | | Accelerated filer ☒ | |
| Non accelerated filer ☐ (Do not check if a smaller reporting company) | | | Smaller reporting company ☐ | |
Calculation of Registration Fee | Calculation of Registration Fee | | Calculation of Registration Fee | | ||||||||||||||||||||||||||||||||||||||||||||||
Title of each class of securities to be registered | | Amount to be registered(1) | | Proposed maximum offering price per unit(2) | | Proposed maximum aggregate offering price(2) | | Amount of registration fee | | | Amount to be registered(1) | | Proposed maximum offering price per unit(2) | | Proposed maximum aggregate offering price(2) | | Amount of registration fee | | ||||||||||||||||||||||||||||||||
Common stock, no par value | | | | 324,834 | | | | $ | 3,132.52 | | | | $ | 4,762,188 | | | | $ | 593.00 | | | | | | 324,834 | | | | $ | 3,132.52 | | | | $ | 4,762,188 | | | | $ | 593.00(3) | | | |
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| | | | | A-1 | | | |
| | | | | B-1 | | | |
| | | | | C-1 | | |
| | | Historical Price Per Share | | | Pro Forma Equivalent Price Per Share(1) | | ||||||
Juniata Common Stock | | | | | | | | | | | | | |
Closing Price on December 28, 2017 | | | | $ | 20.00 | | | | | | N/A | | |
Closing Price on March 2, 2018 | | | | $ | 21.50 | | | | | | N/A | | |
Liverpool Common Stock | | | | | | | | | | | | | |
Closing Price on December 28, 2017(2) | | | | $ | 2,285.54 | | | | | $ | 4,052.57 | | |
Closing Price on March 2, 2018(2) | | | | $ | 2,285.54 | | | | | $ | 4,153.89 | | |
| | | As of or for the Nine Months Ended September 30, | | | As of or for the Year Ended December 31, | | ||||||||||||||||||||||||||||||||||||
| | | 2017 | | | 2016 | | | 2016 | | | 2015 | | | 2014 | | | 2013 | | | 2012 | | |||||||||||||||||||||
Selected Financial Data: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Assets | | | | $ | 599,922 | | | | | $ | 577,017 | | | | | $ | 580,354 | | | | | $ | 583,928 | | | | | $ | 480,529 | | | | | $ | 448,782 | | | | | $ | 448,869 | | |
Investments | | | | | 163,146 | | | | | | 153,173 | | | | | | 154,448 | | | | | | 156,186 | | | | | | 145,629 | | | | | | 128,262 | | | | | | 124,911 | | |
Loans | | | | | 382,616 | | | | | | 377,279 | | | | | | 378,297 | | | | | | 377,043 | | | | | | 294,901 | | | | | | 277,798 | | | | | | 277,500 | | |
Allowance for loan loss | | | | | (2,907) | | | | | | (2,688) | | | | | | (2,723) | | | | | | (2,478) | | | | | | (2,380) | | | | | | (2,287) | | | | | | (3,281) | | |
Goodwill | | | | | 5,448 | | | | | | 5,448 | | | | | | 5,448 | | | | | | 5,381 | | | | | | 2,046 | | | | | | 2,046 | | | | | | 2,046 | | |
Deposits | | | | | 473,583 | | | | | | 463,317 | | | | | | 455,822 | | | | | | 457,126 | | | | | | 380,884 | | | | | | 379,645 | | | | | | 386,751 | | |
Short-term borrowings | | | | | 32,707 | | | | | | 18,303 | | | | | | 32,196 | | | | | | 35,057 | | | | | | 20,544 | | | | | | 13,797 | | | | | | 5,436 | | |
Long-term debt | | | | | 25,000 | | | | | | 25,000 | | | | | | 25,000 | | | | | | 22,500 | | | | | | 22,500 | | | | | | — | | | | | | — | | |
Stockholders’ equity | | | | | 60,448 | | | | | | 62,147 | | | | | | 59,090 | | | | | | 59,962 | | | | | | 49,856 | | | | | | 49,984 | | | | | | 50,297 | | |
Average for the year | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Assets | | | | | 592,915 | | | | | | 574,371 | | | | | | 577,341 | | | | | | 489,323 | | | | | | 470,660 | | | | | | 450,031 | | | | | | 454,057 | | |
Stockholders’ equity | | | | | 59,927 | | | | | | 61,305 | | | | | | 61,209 | | | | | | 51,131 | | | | | | 50,704 | | | | | | 49,571 | | | | | | 49,766 | | |
Weighted average shares outstanding | | | | | 4,764,325 | | | | | | 4,800,804 | | | | | | 4,801,245 | | | | | | 4,240,319 | | | | | | 4,192,761 | | | | | | 4,210,336 | | | | | | 4,231,404 | | |
Selected Operating Data: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net interest income | | | | | 13,898 | | | | | | 13,648 | | | | | | 18,201 | | | �� | | | 15,337 | | | | | | 14,334 | | | | | | 13,834 | | | | | | 14,522 | | |
Provision for loan losses | | | | | 389 | | | | | | 366 | | | | | | 466 | | | | | | 502 | | | | | | 357 | | | | | | 415 | | | | | | 1,411 | | |
Non-interest income | | | | | 4,091 | | | | | | 4,095 | | | | | | 5,418 | | | | | | 4,505 | | | | | | 4,334 | | | | | | 4,233 | | | | | | 4,592 | | |
Non-Interest expense | | | | | 12,940 | | | | | | 12,956 | | | | | | 17,178 | | | | | | 16,199 | | | | | | 13,570 | | | | | | 13,146 | | | | | | 13,077 | | |
Income before income taxes | | | | | 4,660 | | | | | | 4,421 | | | | | | 5,975 | | | | | | 3,141 | | | | | | 4,741 | | | | | | 4,506 | | | | | | 4,626 | | |
Federal income tax expense | | | | | 701 | | | | | | 567 | | | | | | 819 | | | | | | 83 | | | | | | 525 | | | | | | 505 | | | | | | 978 | | |
Net income | | | | $ | 3,959 | | | | | $ | 3,854 | | | | | $ | 5,156 | | | | | $ | 3,058 | | | | | $ | 4,216 | | | | | $ | 4,001 | | | | | $ | 3,648 | | |
Per Common Share: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Basic earnings | | | | $ | 0.83 | | | | | $ | 0.80 | | | | | $ | 1.07 | | | | | $ | 0.72 | | | | | $ | 1.01 | | | | | $ | 0.95 | | | | | $ | 0.86 | | |
Diluted earnings | | | | | 0.83 | | | | | | 0.80 | | | | | | 1.07 | | | | | | 0.72 | | | | | | 1.01 | | | | | | 0.95 | | | | | | 0.86 | | |
Dividends declared | | | | | 0.66 | | | | | | 0.66 | | | | | | 0.88 | | | | | | 0.88 | | | | | | 0.88 | | | | | | 0.88 | | | | | | 0.88 | | |
Book value | | | | | 12.68 | | | | | | 12.94 | | | | | | 12.43 | | | | | | 12.50 | | | | | | 11.91 | | | | | | 11.91 | | | | | | 11.92 | | |
Earnings Performance Ratios: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Return on average assets | | | | | 0.89% | | | | | | 0.89% | | | | | | 0.89% | | | | | | 0.62% | | | | | | 0.90% | | | | | | 0.89% | | | | | | 0.80% | | |
Return on average equity | | | | | 8.81% | | | | | | 8.38% | | | | | | 8.42% | | | | | | 5.98% | | | | | | 8.31% | | | | | | 8.07% | | | | | | 7.33% | | |
| | | Nine Months Ended September 30, | | | Years Ended December 31, | | ||||||||||||||||||
| | | 2017 | | | 2016 | | | 2016 | | | 2015 | | ||||||||||||
Income Statement Data | | | | | | | | | | | | | | | | | | | | | | | | | |
Interest and dividend income | | | | $ | 1,477 | | | | | $ | 1,470 | | | | | $ | 1,956 | | | | | $ | 1,951 | | |
Interest expense | | | | | 141 | | | | | | 145 | | | | | | 194 | | | | | | 219 | | |
Net interest income | | | | | 1,336 | | | | | | 1,325 | | | | | | 1,762 | | | | | | 1,732 | | |
Provision for loan losses | | | | | 1 | | | | | | — | | | | | | (15) | | | | | | (43) | | |
Net interest income after provision for loan losses | | | | | 1,335 | | | | | | 1,325 | | | | | | 1,777 | | | | | | 1,775 | | |
Other operating income | | | | | 156 | | | | | | 119 | | | | | | 155 | | | | | | 178 | | |
Other operating expense | | | | | 913 | | | | | | 847 | | | | | | 1,103 | | | | | | 1,075 | | |
Income before income taxes | | | | | 578 | | | | | | 597 | | | | | | 829 | | | | | | 878 | | |
Income tax expense | | | | | 186 | | | | | | 181 | | | | | | 263 | | | | | | 270 | | |
Net Income | | | | $ | 392 | | | | | $ | 416 | | | | | $ | 566 | | | | | $ | 608 | | |
Per Share Data | | | | | | | | | | | | | | | | | | | | | | | | | |
Net earnings basic and diluted | | | | $ | 126.45 | | | | | $ | 134.19 | | | | | $ | 182.58 | | | | | $ | 196.13 | | |
Weighted average common shares outstanding basic and diluted | | | | | 3,100 | | | | | | 3,100 | | | | | | 3,100 | | | | | | 3,100 | | |
Balance Sheet Data | | | | | | | | | | | | | | | | | | | | | | | | | |
Assets | | | | $ | 46,432 | | | | | $ | 45,139 | | | | | $ | 47,261 | | | | | $ | 44,464 | | |
Investment securities | | | | | 10,177 | | | | | | 6,432 | | | | | | 6,015 | | | | | | 5,729 | | |
Loans, net | | | | | 33,646 | | | | | | 34,489 | | | | | | 33,358 | | | | | | 33,636 | | |
Deposits | | | | | 36,234 | | | | | | 35,362 | | | | | | 37,374 | | | | | | 34,949 | | |
Other liabilities | | | | | 465 | | | | | | 420 | | | | | | 453 | | | | | | 465 | | |
Shareholders’ equity | | | | | 9,733 | | | | | | 9,357 | | | | | | 9,434 | | | | | | 9,050 | | |
Shares outstanding | | | | | 3,100 | | | | | | 3,100 | | | | | | 3,100 | | | | | | 3,100 | | |
Performance Ratios | | | | | | | | | | | | | | | | | | | | | | | | | |
Return on average assets | | | | | 1.11% | | | | | | 1.24% | | | | | | 1.26% | | | | | | 1.38% | | |
Return on average shareholders’ equity | | | | | 5.47% | | | | | | 6.05% | | | | | | 6.45% | | | | | | 6.92% | | |
Noninterest expense as percentage of average assets | | | | | 2.58% | | | | | | 2.52% | | | | | | 2.45% | | | | | | 2.43% | | |
Efficiency ratio | | | | | 60.26% | | | | | | 57.93% | | | | | | 56.85% | | | | | | 55.45% | | |
Asset Quality | | | | | | | | | | | | | | | | | | | | | | | | | |
Allowance for loan losses to loans | | | | | 1.21% | | | | | | 1.22% | | | | | | 1.22% | | | | | | 1.25% | | |
Net charge-offs to average loans outstanding | | | | | 0.00% | | | | | | 0.00% | | | | | | 0.00% | | | | | | 0.00% | | |
Non-performing loans to total loans | | | | | 0.00% | | | | | | 0.00% | | | | | | 0.00% | | | | | | 0.00% | | |
Allowance for loan losses to non-performing assets | | | | | NA | | | | | | NA | | | | | | NA | | | | | | NA | | |
Liquidity and Capital Ratios | | | | | | | | | | | | | | | | | | | | | | | | | |
Average loans to average deposits | | | | | 88.92% | | | | | | 96.10% | | | | | | 95.43% | | | | | | 95.00% | | |
Average equity to average assets | | | | | 20.25% | | | | | | 20.48% | | | | | | 19.46% | | | | | | 19.87% | | |
Tier 1 leverage ratio | | | | | 20.60% | | | | | | 20.62% | | | | | | 20.52% | | | | | | 20.36% | | |
Tier 1 risk based capital ratio | | | | | 37.09% | | | | | | 36.95% | | | | | | 37.82% | | | | | | 35.87% | | |
Total risk based capital ratio | | | | | 38.34% | | | | | | 38.20% | | | | | | 39.07% | | | | | | 37.13% | | |
| | | As of or for the Nine Months Ended September 30, 2017 | | | As of or for the Year Ended December 31, 2016 | | ||||||
Comparative Per Share Data: | | | | | | | | | | | | | |
Basic and diluted net income per common share: | | | | | | | | | | | | | |
Juniata historical | | | | $ | 0.83 | | | | | $ | 1.07 | | |
Liverpool historical | | | | | 126.45 | | | | | | 182.58 | | |
Pro forma combined(1)(2) | | | | | 0.83 | | | | | | 1.08 | | |
Pro forma equivalent for one share of Liverpool common stock(3) | | | | | 168.18 | | | | | | 218.84 | | |
Book value per common share: | | | | | | | | | | | | | |
Juniata historical | | | | $ | 12.68 | | | | | $ | 12.43 | | |
Liverpool historical | | | | | 3,139.68 | | | | | | 3,043.23 | | |
Pro forma combined(1)(2) | | | | | 13.12 | | | | | | 12.70 | | |
Pro forma equivalent for one share of Liverpool common stock(3) | | | | | 2,658.49 | | | | | | 2,573.38 | | |
Dividends declared per share: | | | | | | | | | | | | | |
Juniata historical | | | | $ | 0.66 | | | | | $ | 0.88 | | |
Liverpool historical | | | | | 40.00 | | | | | | 50.00 | | |
Pro forma combined(1)(2) | | | | | 0.66 | | | | | | 0.88 | | |
Pro forma equivalent for one share of Liverpool common stock(3) | | | | | 133.73 | | | | | | 178.31 | | |
| Regional Relational Peer | | | National Relational Peer | | | U.S. Bank Pink < $100MM Peer | | | UBPR Peer | |
| Publicly traded commercial banks located in the Mid-Atlantic region of the U.S., with total assets as of September 30, 2017 less than or equal to $250MM. There were a total of 16 institutions in this group of comparable companies. | | | Publicly traded commercial banks located in the U.S., with total assets as of September 30, 2017 less than or equal to $250MM, NPAs/Assets less than 1.00% and ROAA greater than or equal to 0.50% for the latest twelve months ended September 30, 2017. There were a total of 19 institutions in this group of comparable companies. | | | Publicly traded commercial banks located in the U.S. that are covered by S&P Global Market Intelligence, with total assets as of September 30, 2017 less than or equal to $100MM. There was a total of 15 institutions in this group of comparable companies. | | | Uniform Bank Performance Report “UBPR” Peer is comprised of insured commercial banks with total assets less than $50 million as of September 30, 2017, with one full service branch office located in a metropolitan statistical area. There were a total of 94 institutions in this group of comparable companies. | |
| | | | | | | | | Liverpool Peers (Median) | | |||||||||||||||||||||
| | | Liverpool | | | Regional Relational Peer | | | National Relational Peer | | | U.S. Bank Pink < $100MM Peer | | | UBPR Peer | | |||||||||||||||
Total Assets ($000s) | | | | $ | 46,432 | | | | | $ | 179,945 | | | | | $ | 170,461 | | | | | $ | 84,534 | | | | | $ | 29,892 | | |
Total Loans ($000s) | | | | | 33,646 | | | | | | 119,610 | | | | | | 102,108 | | | | | | 53,604 | | | | | | 15,278 | | |
Total Deposits ($000s) | | | | | 36,234 | | | | | | 151,919 | | | | | | 139,389 | | | | | | 69,493 | | | | | | 24,291 | | |
Loans/Deposits | | | | | 92.86% | | | | | | 87.86% | | | | | | 83.18% | | | | | | 84.86% | | | | | | 62.43% | | |
Borrowings/Assets | | | | | 0.00% | | | | | | 2.68% | | | | | | 1.42% | | | | | | 1.42% | | | | | | 0.00% | | |
Tangible Equity/Tangible Assets | | | | | 20.96% | | | | | | 10.20% | | | | | | 11.67% | | | | | | 12.81% | | | | | | 11.85% | | |
Equity/Assets | | | | | 20.96% | | | | | | 10.20% | | | | | | 11.74% | | | | | | 12.81% | | | | | | 12.10% | | |
Tier 1 Leverage Ratio | | | | | 20.60% | | | | | | 10.26% | | | | | | 11.41% | | | | | | 11.18% | | | | | | 11.84% | | |
Tier 1 Capital Ratio | | | | | 37.09% | | | | | | 15.63% | | | | | | 15.39% | | | | | | 18.66% | | | | | | 20.04% | | |
Total Capital Ratio | | | | | 38.34% | | | | | | 16.89% | | | | | | 16.65% | | | | | | 19.93% | | | | | | 21.23% | | |
NPAs/Assets | | | | | 0.33% | | | | | | 1.10% | | | | | | 0.22% | | | | | | 0.76% | | | | | | 0.24% | | |
NPAs ex. TDRs/Assets | | | | | 0.00% | | | | | | 0.69% | | | | | | 0.03% | | | | | | 0.28% | | | | | | 0.20% | | |
Reserves/NPAs | | | | | 264.94% | | | | | | 78.64% | | | | | | 223.96% | | | | | | 56.96% | | | | | | 71.43% | | |
NCOs/Average Loans | | | | | 0.00% | | | | | | 0.02% | | | | | | 0.00% | | | | | | -0.02% | | | | | | 0.00% | | |
| | | | | | | | | Liverpool Peers (Median) | | |||||||||||||||||||||
| | | Liverpool | | | Regional Relational Peer | | | National Relational Peer | | | U.S. Bank Pink < $100MM Peer | | | UBPR Peer | | |||||||||||||||
Net Interest Margin | | | | | 4.21% | | | | | | 3.51% | | | | | | 3.84% | | | | | | 3.99% | | | | | | 3.33% | | |
Yield on Earning Assets | | | | | 4.67% | | | | | | 4.01% | | | | | | 4.30% | | | | | | 4.35% | | | | | | 3.72% | | |
Yield on Loans | | | | | 5.42% | | | | | | 4.54% | | | | | | 5.26% | | | | | | 5.45% | | | | | | 5.30% | | |
Yield on Securities | | | | | 1.83% | | | | | | 2.02% | | | | | | 1.88% | | | | | | 1.69% | | | | | | 1.55% | | |
Cost of Funds | | | | | 0.51% | | | | | | 0.57% | | | | | | 0.53% | | | | | | 0.42% | | | | | | 0.40% | | |
Cost of Int. Bearing Deposits | | | | | 0.62% | | | | | | 0.65% | | | | | | 0.60% | | | | | | 0.58% | | | | | | 0.49% | | |
Non-Int. Income/Avg. Assets | | | | | 0.31% | | | | | | 0.34% | | | | | | 0.37% | | | | | | 0.34% | | | | | | 0.41% | | |
Non-Int. Income/Operating Revenue | | | | | 7.56% | | | | | | 8.56% | | | | | | 8.72% | | | | | | 10.12% | | | | | | 10.96% | | |
| | | | | | | | | Liverpool Peers (Median) | | |||||||||||||||||||||
| | | Liverpool | | | Regional Relational Peer | | | National Relational Peer | | | U.S. Bank Pink < $100MM Peer | | | UBPR Peer | | |||||||||||||||
Non-Int. Expense/Avg. Assets | | | | | 2.39% | | | | | | 2.75% | | | | | | 2.83% | | | | | | 3.64% | | | | | | 3.00% | | |
Efficiency Ratio (FTE basis) | | | | | 57.64% | | | | | | 80.60% | | | | | | 69.10% | | | | | | 81.22% | | | | | | 79.78% | | |
Return on Average Assets | | | | | 1.16% | | | | | | 0.58% | | | | | | 0.95% | | | | | | 0.56% | | | | | | 0.65% | | |
Return on Average Common Equity | | | | | 5.68% | | | | | | 6.47% | | | | | | 8.15% | | | | | | 4.37% | | | | | | 4.49% | | |
| | | | | | | | | Liverpool Peers (Median) | | ||||||||||||||||||
| | | Liverpool | | | Regional Relational Peer | | | National Relational Peer | | | U.S. Bank Pink < $100MM Peer | | | UBPR Peer | | ||||||||||||
Year over Year Price Change | | | | | Not applicable | | | | | | 5.45% | | | | | | 25.38% | | | | | | 9.55% | | | | Not applicable | |
Market Value ($M) | | | | $ | 18.79 | | | | | $ | 22.87 | | | | | $ | 9.32 | | | |||||||||
Average Daily Volume (Shares) | | | | | 79 | | | | | | 322 | | | | | | 157 | | | |||||||||
Price/Book | | | | | 90.88% | | | | | | 108.01% | | | | | | 85.48% | | | |||||||||
Price/Tangible Book | | | | | 90.88% | | | | | | 108.01% | | | | | | 87.08% | | | |||||||||
Price/LTM EPS (X) | | | | | 15.6 | | | | | | 13.3 | | | | | | 19.2 | | | |||||||||
Price/Core EPS (X) | | | | | 18.0 | | | | | | 12.8 | | | | | | 19.3 | | | |||||||||
Market Premium Deposits | | | | | -0.77% | | | | | | 0.92% | | | | | | -2.16% | | | |||||||||
Current Dividend Yield(1) | | | | | 1.55% | | | | | | 1.94% | | | | | | 1.41% | | |
| Regional Relational Peer | | | National Relational Peer | | | U.S. Bank Pink > $500MM Peer | |
| Publicly traded commercial banks located in the Mid-Atlantic region of the U.S., with total assets as of September 30, 2017 between $500MM to $750MM. There were a total of 15 institutions in this group of comparable companies. | | | Publicly traded commercial banks located in the U.S., with total assets as of September 30, 2017 between $500MM and $750MM, NPAs/Assets less than 1.00% and ROA greater than or equal to .50% for the latest twelve months ended September 30, 2017. There were a total of 27 institutions in this group of comparable companies. | | | Includes all Banks in SNL’s coverage universe traded OTC with total assets greater than $500MM as of most recent financial data There were a total of 183 institutions in this group of comparable companies. | |
| | | | | | | | | Juniata Peers (Median) | | |||||||||||||||
| | | Juniata | | | Regional Relational Peer | | | National Relational Peer | | | U.S. Bank Pink > $500MM Peer | | ||||||||||||
Total Assets ($000s) | | | | $ | 599,922 | | | | | $ | 570,200 | | | | | $ | 610,328 | | | | | $ | 849,950 | | |
Total Loans ($000s) | | | | | 382,733 | | | | | | 457,709 | | | | | | 426,512 | | | | | | 572,264 | | |
Total Deposits ($000s) | | | | | 473,583 | | | | | | 480,759 | | | | | | 525,622 | | | | | | 699,543 | | |
Loans/Deposits | | | | | 80.79% | | | | | | 90.87% | | | | | | 78.14% | | | | | | 85.89% | | |
Borrowings/Assets | | | | | 9.62% | | | | | | 6.28% | | | | | | 1.86% | | | | | | 5.22% | | |
Tangible Equity/Tangible Assets | | | | | 9.22% | | | | | | 9.68% | | | | | | 9.18% | | | | | | 9.49% | | |
Equity/Assets | | | | | 10.08% | | | | | | 9.68% | | | | | | 9.74% | | | | | | 9.85% | | |
Tier 1 Leverage Ratio | | | | | 9.51% | | | | | | 10.20% | | | | | | 9.52% | | | | | | 9.79% | | |
Tier 1 Capital Ratio | | | | | 14.16% | | | | | | 11.89% | | | | | | 12.75% | | | | | | 12.46% | | |
Total Capital Ratio | | | | | 14.93% | | | | | | 13.10% | | | | | | 13.81% | | | | | | 14.02% | | |
NPAs/Assets | | | | | 0.75% | | | | | | 0.96% | | | | | | 0.35% | | | | | | 0.65% | | |
NPAs ex. TDRs/Assets | | | | | 0.70% | | | | | | 0.30% | | | | | | 0.21% | | | | | | 0.37% | | |
Reserves/NPAs | | | | | 64.23% | | | | | | 111.56% | | | | | | 159.86% | | | | | | 113.07% | | |
NCOs/Average Loans | | | | | 0.12% | | | | | | 0.00% | | | | | | 0.00% | | | | | | 0.02% | | |
| | | | | | | | | Juniata Peers (Median) | | |||||||||||||||
| | | Juniata | | | Regional Relational Peer | | | National Relational Peer | | | U.S. Bank Pink > $500MM Peer | | ||||||||||||
Net Interest Margin | | | | | 3.44% | | | | | | 3.54% | | | | | | 3.64% | | | | | | 3.56% | | |
Yield on Earning Assets | | | | | 3.92% | | | | | | 4.06% | | | | | | 4.10% | | | | | | 4.03% | | |
Yield on Loans | | | | | 4.65% | | | | | | 4.74% | | | | | | 4.86% | | | | | | 4.69% | | |
Yield on Securities | | | | | 2.03% | | | | | | 2.14% | | | | | | 1.92% | | | | | | 2.08% | | |
Cost of Funds | | | | | 0.51% | | | | | | 0.56% | | | | | | 0.25% | | | | | | 0.42% | | |
Cost of Int. Bearing Deposits | | | | | 0.56% | | | | | | 0.58% | | | | | | 0.34% | | | | | | 0.42% | | |
Non-Int. Income/Avg. Assets | | | | | 0.78% | | | | | | 0.64% | | | | | | 0.76% | | | | | | 0.74% | | |
Non-Int. Income/Operating Revenue | | | | | 19.98% | | | | | | 15.21% | | | | | | 17.48% | | | | | | 17.67% | | |
Non-Int. Expense/Avg. Assets | | | | | 2.91% | | | | | | 2.63% | | | | | | 2.65% | | | | | | 2.79% | | |
Efficiency Ratio (FTE basis) | | | | | 72.03% | | | | | | 64.47% | | | | | | 64.24% | | | | | | 65.58% | | |
Return on Average Assets | | | | | 0.89% | | | | | | 0.84% | | | | | | 0.97% | | | | | | 0.90% | | |
Return on Average Common Equity | | | | | 8.74% | | | | | | 8.64% | | | | | | 9.25% | | | | | | 8.97% | | |
| | | | | | | | | Juniata Peers (Median) | | |||||||||||||||
| | | Juniata | | | Regional Relational Peer | | | National Relational Peer | | | U.S. Bank Pink > $500MM Peer | | ||||||||||||
Year over Year Price Change | | | | | 6.47% | | | | | | 20.96% | | | | | | 32.15% | | | | | | 22.77% | | |
Market Value ($M) | | | | $ | 94.16 | | | | | $ | 66.42 | | | | | $ | 89.01 | | | | | $ | 104.86 | | |
Average Daily Volume (Shares) | | | | | 706 | | | | | | 616 | | | | | | 1,793 | | | | | | 595 | | |
Price/Book | | | | | 155.77% | | | | | | 124.82% | | | | | | 146.66% | | | | | | 131.89% | | |
Price/Tangible Book | | | | | 171.86% | | | | | | 127.72% | | | | | | 148.83% | | | | | | 139.34% | | |
Price/LTM EPS (X) | | | | | 18.0 | | | | | | 15.0 | | | | | | 17.0 | | | | | | 15.4 | | |
Price/Core EPS (X) | | | | | 19.8 | | | | | | 15.7 | | | | | | 17.6 | | | | | | 15.6 | | |
Market Premium Deposits | | | | | 7.12% | | | | | | 3.08% | | | | | | 5.98% | | | | | | 3.92% | | |
Current Dividend Yield(1) | | | | | 4.46% | | | | | | 2.59% | | | | | | 2.09% | | | | | | 1.97% | | |
| Pennsylvania Mergers | | | Mid-Atlantic Mergers | | | National Mergers | |
| Bank or thrift target located in Pennsylvania, merger announced after January 1, 2015, with a merger value less than or equal to $50 million at announcement date. This group excludes private equity investors & government assisted mergers. There were a total of 10 institutions in this group of comparable mergers. | | | Bank target located in the Mid-Atlantic region of the U.S., merger announced after January 1, 2015, with a merger value less than or equal to $25 million at announcement date. This group excludes private equity investors & government assisted mergers. There were a total of 15 institutions in this group of comparable mergers. | | | Bank target located in the U.S., merger announced after January 1, 2015, with a merger value less than or equal to $25 million at announcement date, target NPAs/Assets less than 0.75% at announcement date and target ROAA greater than or equal to 0.75% for the latest twelve months ended prior to the announcement date. This group excludes private equity investors & government assisted mergers. There were a total of 19 institutions in this group of comparable mergers. | |
| | | | | | | | | Comparable Merger Group (Median) | | |||||||||||||||
| | | Liverpool | | | Pennsylvania Mergers | | | Mid-Atlantic Mergers | | | National Mergers | | ||||||||||||
Total Assets ($000s) | | | | $ | 46,432 | | | | | $ | 165,179 | | | | | $ | 143,742 | | | | | $ | 65,648 | | |
Total Deposits ($000) | | | | | 36,234 | | | | | | 138,904 | | | | | | 129,379 | | | | | | 51,431 | | |
Tangible Equity/Assets | | | | | 20.96% | | | | | | 10.34% | | | | | | 8.11% | | | | | | 12.49% | | |
NPAs/Total Assets | | | | | 0.33% | | | | | | 1.22% | | | | | | 1.88% | | | | | | 0.16% | | |
Non-Int. Income/Avg. Assets | | | | | 0.31% | | | | | | 0.43% | | | | | | 0.40% | | | | | | 0.46% | | |
Non-Int. Expense/Avg. Assets | | | | | 2.39% | | | | | | 2.54% | | | | | | 2.96% | | | | | | 2.43% | | |
Return on Average Assets | | | | | 1.16% | | | | | | 0.71% | | | | | | 0.12% | | | | | | 1.09% | | |
Return on Average Common Equity | | | | | 5.68% | | | | | | 5.30% | | | | | | 1.50% | | | | | | 10.00% | | |
| | | | | | | | | Comparable Merger Group (Median) | | |||||||||||||||
| | | The Merger | | | Pennsylvania Mergers | | | Mid-Atlantic Mergers | | | National Mergers | | ||||||||||||
Deal Value ($M)(1) | | | | $ | 12.55 | | | | | $ | 24.08 | | | | | $ | 13.32 | | | | | $ | 9.15 | | |
Price/Book | | | | | 128.99% | | | | | | 126.17% | | | | | | 111.66% | | | | | | 117.50% | | |
Price/Tangible Book | | | | | 128.99% | | | | | | 127.87% | | | | | | 114.46% | | | | | | 117.86% | | |
Price/LTM EPS (X) | | | | | 23.2 | | | | | | 20.6 | | | | | | 25.7 | | | | | | 15.0 | | |
Price/Deposits | | | | | 34.65% | | | | | | 17.37% | | | | | | 10.68% | | | | | | 18.31% | | |
Franchise Prem./Core Deps | | | | | 8.14% | | | | | | 4.24% | | | | | | 2.39% | | | | | | 3.72% | | |
Dollars in thousands | | | Juniata | | | % | | | Liverpool | | | % | | ||||||||||||
Balance sheet | | | | | | | | | | | | | | | | | | | | | | | | | |
Gross loans | | | | $ | 382,733 | | | | | | 91.9% | | | | | $ | 33,646 | | | | | | 8.1% | | |
Total assets | | | | | 599,922 | | | | | | 92.8% | | | | | | 46,432 | | | | | | 7.2% | | |
Total deposits | | | | | 473,583 | | | | | | 92.9% | | | | | | 36,234 | | | | | | 7.1% | | |
Tangible equity | | | | | 54,790 | | | | | | 85.0% | | | | | | 9,733 | | | | | | 15.1% | | |
Income statement | | | | | | | | | | | | | | | | | | | | | | | | | |
Net interest income | | | | | 18,451 | | | | | | 91.2% | | | | | | 1,773 | | | | | | 8.8% | | |
Non-interest income | | | | | 4,607 | | | | | | 96.9% | | | | | | 145 | | | | | | 3.1% | | |
Non-interest expense | | | | | 17,187 | | | | | | 93.9% | | | | | | 1,122 | | | | | | 6.1% | | |
Net income | | | | | 5,261 | | | | | | 90.7% | | | | | | 542 | | | | | | 9.3% | | |
Ownership | | | | | | | | | | | | | | | | | | | | | | | | | |
80% stock/20% cash | | | | | | | | | | | 94.0% | | | | | | | | | | | | 6.0% | | |
85% stock/15% cash | | | | | | | | | | | 93.6% | | | | | | | | | | | | 6.4% | | |
| | | 2017 Dividend | | | 2016 Dividend | | | 2015 Dividend | ||||||||
1st quarter | | | | $ | 20.00 | | | | | $ | 15.00 | | | | | $ | 15.00 |
2nd quarter | | | | | 10.00 | | | | | | 10.00 | | | | | | 10.00 |
3rd quarter | | | | | 10.00 | | | | | | 10.00 | | | | | | 10.00 |
4th quarter | | | | | 10.00 | | | | | | 10.00 | | | | | | 10.00 |
Name and Residential Address of Beneficial Owner | | | Amount and Nature of Beneficial Ownership | | | Percent of Class | | ||||||
Juniata Valley Financial Corp. | | | | | 1,214(1) | | | | | | 39.16 | | |
Robert L. Holmes | | | | | 256 | | | | | | 8.26 | | |
Carole L. Holmes | | | | | 957 | | | | | | 30.87 | | |
Loran P. Teates | | | | | 295 | | | | | | 9.52 | | |
Name of Beneficial Owner | | | Amount and Nature of Beneficial Ownership | | | Percent of Total Shares(1) | | ||||||
Directors | | | | | | | | | | | | | |
Timothy I. Havice | | | | | 1 | | | | | | * | | |
Carole L. Holmes | | | | | 957(2),(3) | | | | | | 30.87 | | |
Michael L. Holmes | | | | | 128(3) | | | | | | 4.13 | | |
Robert L. Holmes | | | | | 256(2),(3) | | | | | | 8.26 | | |
JoAnn N. McMinn | | | | | 1 | | | | | | * | | |
Officers | | | | | | | | | | | | | |
Jan C. Gibboney | | | | | 87 | | | | | | 2.81 | | |
Directors and Officers as a Group (6 persons) | | | | | 1,109 | | | | | | 38.58 | | |
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Exhibit A Form of Liverpool Voting Agreement | | | | | | | |
Exhibit B Juniata Voting Agreement | | | | | | | |
| Schedule 4.1(b) | | | Liverpool Subsidiaries | |
| Schedule 4.2(c) | | | Liverpool Beneficial Owners | |
| Schedule 4.2(d) | | | Securities Contractual Rights and Obligations | |
| Schedule 4.3(b) | | | Conflicts | |
| Schedule 4.4 | | | Consents | |
| Schedule 4.6 | | | Taxes | |
| Schedule 4.8(a) | | | Material Contracts | |
| Schedule 4.8(b) | | | Real Estate Consents | |
| Schedule 4.8(c) | | | Contract Termination Rights | |
| Schedule 4.9(c) | | | Insurance | |
| Schedule 4.10 | | | Legal Proceedings | |
| Schedule 4.11(c) | | | Regulatory Agreements | |
| Schedule 4.12 | | | Employee Benefit Plans | |
| Schedule 4.13 | | | Environmental Matters | |
| Schedule 4.14 | | | Brokers, Finders and Financial Advisors | |
| Schedule 4.15(b) | | | Loans | |
| Schedule 4.15(e) | | | Loans to Insiders | |
| Schedule 4.16 | | | Related Party Transactions | |
| Schedule 4.17 | | | Credit Card Accounts and Merchant Processing | |
| Schedule 4.20 | | | Risk Management Instruments | |
| Schedule 4.24 | | | Labor Matters | |
| Schedule 5.1(c) | | | Juniata Subsidiaries | |
| Schedule 5.2(a) | | | Juniata Options | |
| Schedule 5.2(b) | | | Equity Interests | |
| Schedule 5.2(d) | | | Securities Contractual Rights and Obligations | |
| Schedule 5.6 | | | Taxes | |
| Schedule 5.8(a) | | | Material Contracts | |
| Schedule 5.8(b) | | | Real Estate Consents | |
| Schedule 5.8(c) | | | Contract Termination Rights | |
| Schedule 5.9(c) | | | Insurance | |
| Schedule 5.10 | | | Legal Proceedings | |
| Schedule 5.11(c) | | | Regulatory Agreements | |
| Schedule 5.12 | | | Employee Benefit Plans | |
| Schedule 5.13 | | | Environmental Matters | |
| Schedule 5.15(b) | | | Loans | |
| Schedule 5.15(e) | | | Loans to Insiders | |
| Schedule 5.18 | | | Related Party Transactions | |
| Schedule 5.19 | | | Credit Card Accounts and Merchant Processing | |
| Schedule 5.21 | | | Risk Management Instruments | |
| Schedule 6.1(b) | | | Negative Covenants | |
| Schedule 6.1(b)(4) | | | Branch Applications | |
| Schedule 6.1(b)(5) | | | Employment Compensation | |
| Schedule 6.1(b)(6) | | | Benefit Modifications | |
| Schedule 6.1(b)(21) | | | Capital Expenditures | |
| Schedule 6.1(b)(22) | | | Additional Assets and Liabilities | |
| Schedule 7.1(a) | | | Affirmative Covenant Exceptions | |
| Schedule 7.1(b) | | | Negative Covenant Exceptions | |
| Schedule 9.2(g) | | | Employment Agreement | |
| If to Liverpool, to: | | | Robert L. Holmes Chairman and President P.O. Box 7 Liverpool, PA 17045 | |
| With required copies (which shall not constitute notice) to: | | | Kenneth J. Rollins, Esq. Pillar + Aught 4201 E. Park Circle Harrisburg, PA 17111 Fax: (717) 686-9862 | |
| If to Juniata, to: | | | Marcie A. Barber President and Chief Executive Officer 218 Bridge Street Mifflintown, PA 17059 Fax: (717) 436-7551 | |
| With required copies (which shall not constitute notice) to: | | | Paul G. Mattaini, Esq. Kimberly J. Decker, Esq. Barley Snyder LLP 126 East King Street Lancaster, PA 17602 Fax: (717) 291-4660 | |
| | | | JUNIATA VALLEY FINANCIAL CORPORATION | |
| Dated: December 29, 2017 | | | By: /s/ Marcie A. Barber Name: Marcie A. Barber Title: President and Chief Executive Officer | |
| | | | JUNIATA VALLEY BANK | |
| Dated: December 29, 2017 | | | By: /s/ Marcie A. Barber Name: Marcie A. Barber Title: President and Chief Executive Officer | |
| | | | LIVERPOOL COMMUNITY BANK | |
| Dated: December 29, 2017 | | | By: /s/ Robert Holmes Name: Robert Holmes Title: Chairman and President | |
| Signature | | | Title | | | Date | |
| /s/ Marcie A. Barber Marcie A. Barber | | | Director, President and Chief Executive Officer (Principal Executive Officer) | | | | |
| /s/ Michael A. Michael A. Buffington | | | Director | | | | |
| /s/ Martin L. Martin L. Dreibelbis | | | Director | | | | |
| /s/ Philip E. Gingerich, Jr.* Philip E. Gingerich, Jr. | | | Vice Chairman | | | | |
| /s/ Timothy I. Timothy I. Havice | | | Chairman | | | | |
| /s/ Gary E. Gary E. Kelsey | | | Director | | | | |
| /s/ Richard M. Scanlon, Richard M. Scanlon, DMD | | | Director | | | | |
| /s/ Bradley J. Bradley J. Wagner | | | Director | | | | |
| /s/ JoAnn N. McMinn JoAnn N. McMinn | | | Chief Financial Officer (Principal Accounting and Financial Officer) | | | |
| *By | | | Marcie A. Barber, Attorney-in-fact | |