News Release



Midlothian, Virginia, November 2, 2020:  The third quarter of 2020 continued to see changes in the national and regional economies, including government and business responses to the COVID-19 pandemic.

  1. Early in the pandemic, 20% of our loan participations (approximately $20 million) were provided payment modifications for 90 to 120 days, consistent with guidelines of the CARES Act. As of October 23, 2020, 3.5% of the portfolio is on deferment of which 54% are paying interest.  We believe the deferrals will continue to decline throughout the remainder of 2020.  However, given the uncertainty surrounding the COVID-19 crisis, we will continue to proactively monitor the portfolio’s performance.
  2. The Bank added $50,000 to its allowance for loan losses in the third quarter of 2020 as a precautionary measure against potential deterioration of asset quality in certain loan segments including, those with payment modifications in place as a result of the COVID-19 pandemic.
  3. The Board of Directors of CBBFC has declared a two dollar ($2.00) per share annual dividend for shareholders of record on October 30, 2020. The dividend is payable on December 1, 2020.

Net income of $210,000 was recorded for the three-month period ended September 30, 2020, compared to net income of $185,000 for the three-month period ended September 30, 2019.  Net income of $465,000 was recorded for the nine-month period ended September 30, 2020, compared to net income of $496,000 for the nine-month period ended September 30, 2019.  CBB and CBBFC report on a consolidated basis.

The Bank, as a result of strong credit quality, the absence non-performing loans, and recoveries from prior charged-off loans, did not record a loan loss provision in the first nine months of 2019.  The Bank has recorded a loan loss provision of $50,000 for the third quarter of 2020 due to economic uncertainties and its impact on asset quality coming out of the pandemic, and $200,000 for the first nine months of 2020.  The loan loss allowance at September 30, 2020 was $1,909,000, or 1.95% of gross loans, compared to $1,673,000, or 1.84% of gross loans, at September 30, 2019.

There were no non-performing assets at September 30, 2020, December 31, 2019, and September 30, 2019.

The Bank continues to maintain a strong capital position that exceeds all regulatory requirements to be classified as “well capitalized,” with a Community Bank Leverage Ratio of 11.48% at September 30, 2020.  By comparison, the Bank’s Tier 1 leverage ratio using previous rules totaled 13.04% at December 31, 2019 and 13.28% at September 30, 2019, while the Bank’s Total Capital Ratio equaled under previous rules was 16.72% at December 31, 2019 and 16.10% at September 30, 2019.

President and Chief Executive Officer Gary R. Shook commented, “I am very pleased with the manner in which CBB Financial Corp. and its subsidiary Community Bankers’ Bank along with our engaged team, have taken on the headwinds presented by COVID-19.  In the third quarter of 2020, management increased the loan loss allowance by $50,000, for total 2020 additions of $200,000.  While we have had no charge-offs year-to-date, loan portfolio growth, along with basic environmental prudence, drove the decision to make the additions.  Moreover, the CBB team continues to stay connected with our shareholders and clients through video meetings, webinars and conference calls given travel restrictions. Finally, the CBB Financial Corp. Board approved a dividend of $2.00 per share for all shareholders of record as of October 30, 2020, and payable December 1, 2020.  The dividend represents the second consecutive annual dividend demonstrating the underlying momentum of the Bank.”


For further information, please contact:

Gary R. Shook
President & CEO

2601 Promenade Pkwy
Midlothian, VA 23113

Phone: 804-256-0530
Fax: 804-378-2856


Stephen R. Kinnier
Senior Vice President & CFO

2601 Promenade Pkwy
Midlothian, VA 23113

Phone: 804-794-5885 x 127
Fax: 804-378-2856

For Correspondent Services Information, contact:

Virginia and West Virginia:
Jo Ellen McKinley, Senior Vice President
Investment Officer and Regional Manager
Phone:  804-239-0452

Maryland, Northern Virginia, and the District of Columbia:
Leesa McShane, Senior Vice President
Regional Manager
Phone:  443-928-3070

North Carolina and South Carolina:
Rose J. Washofsky, Senior Vice President
Regional Manager
Phone:  919-368-0217

Main Office:
Wendy C. Wright, Senior Vice President
Operations & IT
Phone:  804-794-5885 x 119

For Summary Consolidated Financial Data, please download the full Press Release: