NB&T Financial (NBTF) 8-K NB&T Financial Reports Earnings for First Quarter 2014

Exhibit 99.1

NB&T Financial Reports Earnings for First Quarter 2014

April 22, 2014

NB&T Financial Group, Inc. (Nasdaq: NBTF), parent company of The National Bank and Trust Company (“NB&T”), Wilmington, Ohio, announced net income for the first quarter of 2014 of $1.1 million, or $.32 per share. Net income for the first quarter of 2013 was $1.0 million, or $.30 per share. Net income increased primarily due to a $280,000 reduction in operating costs, offset by a $135,000 increase in the provision for loan losses and continued margin compression.

Net interest income was $5.2 million for the first quarter of 2014, compared to $5.4 million for the first quarter of 2013. Net interest margin decreased to 3.48% for the first quarter of 2014, compared to 3.50% for the same quarter last year. The net interest margin decreased primarily due to continued repricing of new and variable-rate loans to lower rates. The decrease in loan yield was partially offset by an increase in investment yields due to increased investment in longer term tax-exempt municipals and slower prepayments on mortgage related securities.

The provision for loan losses for the first quarter of 2014 was $275,000, compared to $140,000 in the same quarter last year. Net charge-offs were $318,000 in the first quarter of 2014, compared to $230,000 in the first quarter of 2013. Despite the increase in charge-offs, asset quality improved during the quarter. Non-performing loans declined to $4.7 million at March 31, 2014, compared to $5.8 million and $10.4 million at December 31, 2013 and March 31, 2013 respectively, due primarily to the resolution of problem loans. Other real estate owned also decreased to $1.0 million at March 31, 2014 from $1.2 million and $1.9 million at December 31, 2013 and March 31, 2013, respectively.

President & CEO, John Limbert, commented, “The current year is off to a better start than last year, earnings are up and problem assets are down over 50% from the same time last year. We even recovered approximately $186,000 of non-accrued interest on a problem loan resolved during the quarter.”

Total non-interest income was $2.0 million for the first quarter of 2014, compared to $2.0 million for the first quarter of 2013. In the first quarter of 2014, the Company experienced an $81,000 decline in NSF fees due to higher deposit balances, which lowered the number of NSF items, partially offset by a $68,000 increase in trust income compared to same quarter last year.

Total non-interest expense was $5.6 million for the first quarter of 2014, compared to $5.9 million for the first quarter of 2013. The expense decrease is primarily due to a $201,000 decrease in net costs associated with the operation of other real estate and a decrease of approximately $79,000 in state taxes due to Ohio’s new financial institution tax replacing Ohio’s bank franchise tax.

On March 18, 2014, the Board of Directors declared a dividend of $0.30 per share, payable April 21, 2014 to shareholders of record on March 31, 2014.

SELECTED CONSOLIDATED FINANCIAL HIGHLIGHTS

(in thousands, except per share data)

(Unaudited)

	Three Months Ending
	3/31/2014			12/31/2013			9/30/2013			6/30/2013			3/31/2013
Statements of Income
Interest income	$	5,623		$	5,480		$	5,510		$	5,586		$	5,896
Interest expense		376			414			438			473			519
Net interest income		5,247			5,066			5,072			5,113			5,377
Provision for loan losses		275			750			400			1,300			140
Other non-interest income		1,968			2,051			2,147			2,450			1,986
Other-than-temporary impairment charge		—			—			—			—			—
Net gains (losses) on sales of securities		—			227			—			817			(36	)
Total non-interest income		1,968			2,278			2,147			3,267			1,950
Total non-interest expenses		5,603			5,377			5,523			5,605			5,886
Income before income taxes		1,337			1,217			1,296			1,475			1,301
Income taxes		251			200			228			336			282
Net income	$	1,086		$	1,017		$	1,068		$	1,139		$	1,019
Per Share Data
Basic earnings per share	$	0.32		$	0.30		$	0.31		$	0.33		$	0.30
Diluted earnings per share		0.32			0.30			0.31			0.33			0.30
Dividends per share		0.30			0.30			0.30			0.30			0.30
Book value at quarter end		20.25			19.84			19.89			19.83			20.58
Average basic shares outstanding		3,430			3,426			3,416			3,415			3,420
Average diluted shares outstanding		3,437			3,436			3,438			3,426			3,427
Balance Sheet Items (Quarter End)
Total assets	$	660,964		$	638,312		$	645,410		$	659,827		$	673,729
Securities		154,848			138,098			138,818			134,154			144,156
Loans, including loans held for sale		389,945			399,496			404,545			410,202			407,818
Allowance for loan losses		4,010			4,053			5,884			5,803			4,670
Deposits		572,127			550,800			558,075			572,926			577,349
Borrowings		14,310			14,310			14,310			14,310			15,310
Total shareholders’ equity		69,443			68,035			68,127			67,682			70,290
Assets Under Management
Total assets	$	660,964		$	638,312		$	645,410		$	659,827		$	673,729
Cash management sweep accounts		48,209			44,039			44,852			38,019			40,799
Market value of trust assets		256,835			254,403			246,043			237,884			238,532
Market value of brokerage assets		82,025			80,321			78,757			76,668			77,707
Loans serviced for others		40,879			41,794			43,024			42,496			43,626
Total assets under management	$	1,088,912		$	1,058,869		$	1,058,086		$	1,054,894		$	1,074,393
Selected Financial Ratios
Return on average assets (annualized)		0.67	%		0.62	%		0.65	%		0.69	%		0.61	%
Return on average equity (annualized)		6.44			5.90			6.22			6.48			5.81
Dividend payout ratio		93.75			100.00			96.77			90.91			100.00
Net interest margin		3.48			3.33			3.33			3.34			3.50
Non-interest expense to total revenue		77.66			73.22			76.51			66.89			80.33
Average loans to average total assets		59.37			61.25			62.32			61.10			59.42
Asset Quality
Nonaccrual loans	$	4,640		$	5,734		$	8,273		$	9,006		$	9,097
Accruing and 90 or more days past due		19			32			30			73			1,285
Total nonperforming loans	$	4,659		$	5,766		$	8,303		$	9,079		$	10,382
Other real estate owned		1,050			1,224			1,426			1,894			1,868
Net charge-offs		318			2,581			319			167			230
Non-performing loans to total loans		1.19	%		1.44	%		2.05	%		2.21	%		2.55	%
Loan loss allowance to total loans		1.03			1.01			1.46			1.42			1.15
Loan loss allowance to non-performing loans		86.07			70.29			70.87			63.92			44.98
Accruing loans 30+ days past due to total loans		0.08			0.05			0.25			0.57			0.59
Net charge-offs to average loans		0.33			2.57			0.31			0.16			0.23
Capital
Average equity to average total assets		10.36	%		10.49	%		10.43	%		10.60	%		10.54	%
Tier 1 leverage ratio**		11.44			11.56			11.49			11.23			11.20
Total risk-based capital ratio**		19.46			19.10			19.22			18.98			19.08

** Estimated for current quarter end