Parkvale Financial (PVSA) 8-K Parkvale Financial Corporation, Monroeville, PA announces results for the fourth quarter and fiscal year 2010

Exhibit 99.2

PARKVALE FINANCIAL CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Dollar amounts in thousands except per share data)
(Unaudited)

	Three months ended						Year ended
	June 30,						June 30,
	2010			2009			2010			2009
Total interest income	$	17,907		$	21,500		$	75,861		$	90,483
Total interest expense		8,383			11,342			38,515			48,846
Net interest income		9,524			10,158			37,346			41,637
Provision for loan losses		2,597			1,772			7,448			6,754
Net impairment (losses) recognized in earnings		(34,390	)		(4,454	)		(38,977	)		(30,363	)
Other non-interest income		2,640			4,577			12,443			12,662
Total non-interest expense		7,659			7,927			30,432			29,420
Income (loss) before income taxes		(32,482	)		582			(27,068	)		(12,238	)
Income tax expense (benefit)		(11,319	)		(776	)		(10,603	)		(2,696	)
Net income (loss)		(21,163	)		1,358			(16,465	)		(9,542	)
Less: Preferred stock dividend		397			397			1,588			829
Income (loss) to common shareholders		($21,560	)	$	961			($18,053	)		($10,371	)
Net income (loss) per basic share		($3.94	)	$	0.18			($3.30	)		($1.90	)
Net income (loss) per diluted share		($3.94	)	$	0.18			($3.30	)		($1.90	)
Cash dividends declared per share	$	0.05		$	0.05		$	0.20		$	0.71

SELECTED FINANCIAL DATA
(Dollar amounts in thousands except per share data)

	June 30,
	2010			2009
Total assets	$	1,842,380		$	1,907,106
Deposits		1,488,073			1,511,248
Total Loans, net of allowance		1,032,363			1,108,936
Loan loss allowance		19,209			17,960
Nonperforming loans and foreclosed real estate		35,157			33,641
Ratio to total assets		1.91	%		1.76	%
Allowance for loan losses as a % of gross loans		1.83	%		1.60	%
Total shareholders’ equity	$	118,944		$	150,760
Total shareholders’ equity, net of other comprehensive loss on debt securities		131,858			152,026

OTHER SELECTED DATA

	Three months ended						Year ended
	June 30,						June 30,
	2010			2009			2010			2009
Average yield earned on all interest-earning assets		4.11	%		4.77	%		4.27	%		5.13	%
Average rate paid on interest-bearing liabilities		1.93			2.59			2.21			2.84
Average interest rate spread		2.18			2.18			2.06			2.29
Net yield on average interest-earning assets		2.19			2.25			2.10			2.36
Return on average assets		(4.47	)		0.28			(0.86	)		(0.51	)
Return on average equity		(57.35	)		3.60			(10.88	)		(6.42	)
Other non-interest expenses to average assets		1.62			1.65			1.60			1.57

Parkvale Financial Corporation
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
(Dollar amounts in thousands except share data)

	June 30,
	2010			2009
Assets
Cash and noninterest-earning deposits	$	17,736		$	15,381
Federal funds sold		135,773			150,510
Cash and cash equivalents		153,509			165,891
Interest-earning deposits in other banks		801			3,899
Investment securities available for sale (cost of $80,135 in 2010 and $22,041 in 2009)		80,127			23,505
Investment securities held to maturity (fair value of $437,931 in 2010 and $438,745 in 2009)		443,452			504,029
Loans, net of allowance of $19,209 in 2010 and $17,960 in 2009		1,032,363			1,108,936
Foreclosed real estate, net		8,637			5,706
Office properties and equipment, net		17,374			18,073
Goodwill		25,634			25,634
Intangible assets and deferred charges		2,877			3,786
Prepaid expenses and other assets		77,606			47,647
Total assets	$	1,842,380		$	1,907,106
Liabilities and Shareholders’ Equity
Liabilities
Deposits	$	1,488,073		$	1,511,248
Advances from Federal Home Loan Bank		185,973			186,202
Other debt		13,865			21,261
Term Debt		23,750			25,000
Advance payments from borrowers for taxes and insurance		7,526			7,359
Other liabilities		4,249			5,276
Total liabilities		1,723,436			1,756,346
Shareholders’ Equity
Preferred stock ($1.00 par value; 5,000,000 shares authorized; 31,762 shares issued)		31,762			31,762
Common stock ($1.00 par value; 10,000,000 shares authorized; 6,734,894 shares issued)		6,735			6,735
Additional paid-in capital		2,734			4,116
Treasury stock at cost — 1,205,683 shares in 2010 and 1,307,199 shares in 2009		(25,193	)		(27,314	)
Accumulated other comprehensive (loss) income *		(13,413	)		(10	)
Retained earnings		116,319			135,471
Total shareholders’ equity		118,944			150,760
Total liabilities and shareholders’ equity	$	1,842,380		$	1,907,106

* Accumulated other comprehensive loss includes non-credit related impairment of $12.9 million and $1.3 million at June 30, 2010 and 2009, respectively, on debt securities designated as held to maturity by the Bank. Non-credit related impairment represents the difference between the remaining amortized cost and fair value of the security measured at the time of impairment, and is commonly attributed to “other factors”, such as market liquidity concerns. The non-credit related impairment is required to be accreted from other comprehensive loss to the amortized cost of the debt security over the remaining life of the debt security on the basis of the amount and timing of future estimated cash flows. The effect of the prospective accretion is to increase shareholders’ equity and the carrying value of the debt security. Shareholders’ equity, net of accumulated other comprehensive loss from debt securities, is $131,858,000 at June 30, 2010 and $152,026,000 at June 30, 2009.

PARKVALE FINANCIAL CORPORATION
CONSOLIDATED STATEMENTS OF OPERATIONS
(Dollar Amounts in Thousands, except per share data)
(Unaudited)

	Three months ended						Year ended
	June 30,						June 30,
	2010			2009			2010			2009
Interest income:
Loans	$	13,410		$	15,660		$	56,178		$	66,649
Investments		4,408			5,771			19,303			23,147
Federal funds sold		89			69			380			687
Total interest income	$	17,907		$	21,500		$	75,861		$	90,483
Interest expense:
Savings deposits		5,617			8,651			27,460			38,483
Borrowings		2,766			2691			11,055			10,363
Total interest expense	$	8,383		$	11,342		$	38,515		$	48,846
Net interest income		9,524			10,158			37,346			41,637
Provision for loan losses		2,597			1,772			7,448			6,754
Net interest income after provision for losses		6,927			8,386			29,898			34,883
Noninterest Income:
Other-than-temporary impairment losses		(52,125	)		(5,720	)		(64,662	)		(31,629	)
Non-credit related losses recognized in other comprehensive income		17,735			1,266			25,685			1,266
Net impairment (losses) recognized in earnings		(34,390	)		(4,454	)		(38,977	)		(30,363	)
Service charges on deposit accounts		1,694			1,563			6,448			6,458
Other service charges and fees		404			419			1,506			1,513
Net gain on sale of securities		—			2,061			2,372			2,246
Other		542			534			2,117			2,445
Total noninterest income		(31,750	)		123			(26,534	)		(17,701	)
Noninterest Expense:
Compensation and employee benefits		3,797			3,839			15,033			15,913
Office occupancy		1,059			1,120			4,508			4,599
Marketing		102			98			340			461
FDIC insurance		882			967			2,864			1,155
Office supplies, telephone and postage		499			489			1,911			1,902
Other		1,320			1,414			5,776			5,390
Total noninterest expense		7,659			7,927			30,432			29,420
Income (loss) before income taxes		(32,482	)		582			(27,068	)		(12,238	)
Income tax benefit		(11,319	)		(776	)		(10,603	)		(2,696	)
Net income (loss)		(21,163	)		1,358			(16,465	)		(9,542	)
Preferred stock dividend		397			397			1,588			829
Income (loss) to common stockholders		($21,560	)	$	961			($18,053	)		($10,371	)
Net income (loss) per common share:
Basic		($3.94	)	$	0.18			($3.30	)		($1.90	)
Diluted		($3.94	)	$	0.18			($3.30	)		($1.90	)