Attached files
| file | filename |
|---|---|
| 8-K/A - FORM 8-K/A - Riverview Financial Corp | d149795d8ka.htm |
| EX-23.2 - EX-23.2 - Riverview Financial Corp | d149795dex232.htm |
| EX-99.6 - EX-99.6 - Riverview Financial Corp | d149795dex996.htm |
| EX-99.3 - EX-99.3 - Riverview Financial Corp | d149795dex993.htm |
| EX-99.4 - EX-99.4 - Riverview Financial Corp | d149795dex994.htm |
| EX-23.1 - EX-23.1 - Riverview Financial Corp | d149795dex231.htm |
Exhibit 99.5
UNAUDITED PRO FORMA COMBINED FINANCIAL INFORMATION AS OF AND FOR THE NINE
MONTHS ENDED SEPTEMBER 30, 2015
The unaudited pro forma combined financial information and explanatory notes present how the combined statements of Riverview and Citizens may have appeared had the businesses actually been combined as of the date indicated. The unaudited pro forma combined balance sheets at September 30, 2015 assume the merger was completed on that date. The unaudited pro forma combined income statements for the nine months ended September 30, 2015 give effect to the merger as if the merger had been completed January 1, 2015. The unaudited pro forma combined financial information shows the impact of the merger on Riverview’s and Citizens’ combined financial position and results of operations under the purchase method of accounting with Riverview treated as the acquirer from an accounting standpoint. Under this method of accounting, Riverview will be required to record the assets and liabilities of Citizens at their estimated fair values as of the date the merger is completed.
The unaudited pro forma combined financial information has been derived from and should be read in conjunction with the historical consolidated financial statements and the related notes of both Riverview and Citizens that can be found elsewhere in the joint proxy statement/prospectus.
The unaudited pro forma combined financial information is presented for illustrative purposes only and does not indicate the financial results of the combined company had the companies actually been combined at the beginning of the period presented. Furthermore, the information does not include the impact of possible revenue enhancements, expense efficiencies, asset disposition and share repurchases, among other factors. In addition, as explained in more detail in the accompanying notes to the unaudited pro forma combined financial information, the allocation of the purchase price reflected in the unaudited pro forma combined financial information is subject to adjustment and will vary from the actual purchase price allocation that will be recorded upon completion of the merger based upon changes in the balance sheet, including fair market estimates.
PRO FORMA COMBINED BALANCE SHEETS
AS OF SEPTEMBER 30, 2015
Unaudited (in thousands, except for share and per share data)
| Riverview | Citizens | Combined | Pro forma Adjustments |
Pro forma Combined |
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| ASSETS |
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| Cash and due from banks |
$ | 6,514 | $ | 612 | $ | 7,126 | $ | (430 | )(1) | $ | 6,696 | |||||||||
| Interest bearing deposits |
7,748 | 2,385 | 10,133 | — | 10,133 | |||||||||||||||
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| Cash and cash equivalents |
14,262 | 2,997 | 17,259 | (430 | ) | 16,829 | ||||||||||||||
| Interest bearing time deposits with banks |
991 | — | 991 | — | 991 | |||||||||||||||
| Investment securities available for sale |
53,853 | 18,871 | 72,724 | — | 72,724 | |||||||||||||||
| Loans, net of unearned income |
352,308 | 57,259 | 409,567 | (164 | )(2) | 409,403 | ||||||||||||||
| Less: Allowance for loan losses |
3,994 | 568 | 4,562 | (568 | )(3) | 3,994 | ||||||||||||||
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| Total net loans |
348,314 | 56,691 | 405,005 | 404 | 405,409 | |||||||||||||||
| Premises and equipment, net |
11,696 | 957 | 12,653 | (200 | )(4) | 12,453 | ||||||||||||||
| Accrued interest receivable |
1,368 | 208 | 1,576 | — | 1,576 | |||||||||||||||
| Restricted investment in bank stocks |
1,478 | 473 | 1,951 | — | 1,951 | |||||||||||||||
| Cash value of life insurance |
8,782 | 2,911 | 11,693 | — | 11,693 | |||||||||||||||
| Foreclosed assets |
1,057 | 166 | 1,223 | — | 1,223 | |||||||||||||||
| Goodwill |
2,297 | — | 2,297 | 2,436 | (5) | 4,733 | ||||||||||||||
| Intangible assets |
1,175 | — | 1,175 | 365 | (6) | 1,540 | ||||||||||||||
| Deferred tax asset |
4,599 | 1,628 | 6,227 | (135 | )(7) | 6,092 | ||||||||||||||
| Other assets |
2,093 | 166 | 2,259 | — | 2,259 | |||||||||||||||
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| Total Assets |
$ | 451,965 | $ | 85,068 | $ | 537,033 | $ | 2,440 | $ | 539,473 | ||||||||||
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| LIABILITIES AND SHAREHOLDERS’ EQUITY |
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| LIABILITIES |
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| Deposits: |
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| Non-interest bearing |
$ | 54,020 | $ | 9,426 | $ | 63,446 | $ | — | $ | 63,446 | ||||||||||
| Interest bearing |
324,715 | 59,927 | 384,642 | 954 | (8) | 385,596 | ||||||||||||||
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| Total deposits |
378,735 | 69,353 | 448,088 | 954 | 449,042 | |||||||||||||||
| Short-term borrowings |
23,333 | 8,575 | 31,908 | — | 31,908 | |||||||||||||||
| Long-term debt |
7,350 | — | 7,350 | 1,600 | (12) | 8,950 | ||||||||||||||
| Accrued interest payable |
93 | 92 | 185 | — | 185 | |||||||||||||||
| Other liabilities |
5,734 | 371 | 6,105 | 350 | (9) | 6,455 | ||||||||||||||
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| Total Liabilities |
415,245 | 78,391 | 493,636 | 2,904 | 496,540 | |||||||||||||||
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| SHAREHOLDERS’ EQUITY |
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| Total Shareholders’ Equity |
36,720 | 6,677 | 43,397 | (464 | )(1)(10) | 42,933 | ||||||||||||||
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| Total Liabilities and Shareholders’ Equity |
$ | 451,965 | $ | 85,068 | $ | 537,033 | $ | 2,440 | $ | 539,473 | ||||||||||
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| Per Share Data: |
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| Common shares outstanding |
2,711,258 | 208,000 | 2,919,258 | 284,311 | 3,203,569 | |||||||||||||||
| Book value per common share |
$ | 13.54 | $ | 32.10 | $ | 13.40 | ||||||||||||||
| Tangible book value per common share |
$ | 12.26 | $ | 32.10 | $ | 11.44 | ||||||||||||||
PRO FORMA COMBINED STATEMENTS OF INCOME
FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2015
Unaudited (in thousands, except for share and per share data)
| Riverview | Citizens | Combined | Pro forma Adjustments |
Pro forma Combined |
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| Interest income |
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| Loans, including fees |
$ | 11,606 | $ | 1,414 | $ | 13,020 | $ | (53 | )(2) | $ | 12,967 | |||||||||
| Investment securities—taxable |
699 | 281 | 980 | — | 980 | |||||||||||||||
| Investment securities—tax exempt |
335 | — | 335 | — | 335 | |||||||||||||||
| Interest-bearing deposits |
27 | — | 27 | — | 27 | |||||||||||||||
| Dividends |
75 | — | 75 | — | 75 | |||||||||||||||
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| Total interest income |
12,742 | 1,695 | 14,437 | (53 | ) | 14,384 | ||||||||||||||
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| Interest expense |
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| Deposits |
1,294 | 450 | 1,744 | (239 | )(8) | 1,505 | ||||||||||||||
| Short-term borrowings |
48 | 2 | 50 | — | 50 | |||||||||||||||
| Long-term debt |
134 | — | 134 | 51 | (12) | 185 | ||||||||||||||
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| Total interest expense |
1,476 | 452 | 1,928 | (188 | ) | 1,740 | ||||||||||||||
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| Net interest income |
11,266 | 1,243 | 12,509 | 135 | 12,644 | |||||||||||||||
| Provision for/(reversal of) loan losses |
450 | (100 | ) | 350 | — | 350 | ||||||||||||||
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| Net interest income after provision for loan losses |
10,816 | 1,343 | 12,159 | 135 | 12,294 | |||||||||||||||
| Other income |
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| Service charges on deposit accounts |
299 | 52 | 351 | — | 351 | |||||||||||||||
| Other service charges and fees |
430 | 127 | 430 | — | 557 | |||||||||||||||
| Earnings on cash value of life insurance |
167 | 65 | 232 | — | 232 | |||||||||||||||
| Fees and commissions from securities brokerage |
627 | — | 627 | — | 627 | |||||||||||||||
| Gain/(loss) on sale of available for sale securities |
(30 | ) | 13 | (17 | ) | — | (17 | ) | ||||||||||||
| Loss on sale and valuation of other real estate owned |
(92 | ) | — | (92 | ) | — | (92 | ) | ||||||||||||
| Loss on other assets |
(52 | ) | (3 | ) | (55 | ) | — | (55 | ) | |||||||||||
| Gain from sale of mortgage loans |
305 | — | 432 | — | 305 | |||||||||||||||
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| Total other income |
1,654 | 254 | 1,908 | — | 1,908 | |||||||||||||||
| Other expense |
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| Salaries and employee benefits |
7,636 | 631 | 8,267 | — | 8,267 | |||||||||||||||
| All other operating expenses |
5,931 | 858 | 6,789 | 39 | (6) | 6,828 | ||||||||||||||
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| Total other expense |
13,567 | 1,489 | 15,056 | 39 | 15,095 | |||||||||||||||
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| Income (loss) before income taxes |
(1,097 | ) | 108 | (989 | ) | 96 | (893 | ) | ||||||||||||
| Federal income tax expense/(benefit) |
(749 | ) | (8 | ) | (757 | ) | 33 | (11) | (724 | ) | ||||||||||
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| Net income (loss) |
$ | (348 | ) | $ | 116 | $ | (232 | ) | $ | 63 | $ | (169 | ) | |||||||
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| Basic earnings (loss) per (weighted average) share |
$ | (0.13 | ) | $ | 0.56 | $ | (0.08 | ) | $ | (0.05 | ) | |||||||||
| Diluted earnings (loss) per (weighted average) share |
$ | (0.13 | ) | $ | 0.56 | $ | (0.08 | ) | $ | (0.05 | ) | |||||||||
| Weighted average number of shares outstanding |
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| Basic |
2,710,803 | 208,000 | 2,918,803 | 284,311 | 3,203,114 | |||||||||||||||
| Diluted |
2,719,328 | 208,000 | 2,927,328 | 284,311 | 3,211,639 | |||||||||||||||