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Citizens & Northern Corporation in Wellsboro, Pa., has named J. Bradley Scovill its new president and chief executive officer.
February 10 -
The Financial Accounting Standards Board has postponed the release of a rule to overhaul how banks calculate loan losses.
November 12 -
Univest Corp. of Pennsylvania in Souderton has agreed to buy Fox Chase Bancorp in Hatboro, Pa., for $244.3 million.
December 9
Citizens & Northern in Wellsboro, Pa., has paid off a $24 million repurchase agreement and will record a loss on the prepayment.
The $1.2 billion-asset Citizens & Northern incurred a pre-tax loss of about $1.7 million on the payment, according to a regulatory filing. The payment was made on a master repurchase agreement with an unidentified broker-dealer. The agreement carried a 4.265% rate and had a final repurchase date of Dec. 20, 2017.
Citizens & Northern funded the prepayment with about $25.1 million of short-term borrowings from the Federal Home Loan Bank of Pittsburgh, which carry an average rate of 0.86%.
In a related move, Citizens & Northern disclosed that it sold about $5.3 million worth of its investments in banks and bank stocks, between Oct. 1 and Dec. 18, for a pre-tax gain of about $1.7 million. Citizens & Northern plans to use the proceeds to make investments in municipal bonds and other debt securities, which will be recorded in its available-for-sale portfolio.
The $24 million debt prepayment and the sale of bank stocks will produce a positive contribution of about $524,000 to Citizens & Northern's 2016 taxable equivalent net interest income.
Citizens & Northern did not identify which banks and bank holding company stocks it sold between October and this month.
