Premier Financial to redeem remaining $5 million series A preferreds

By Tali Rackner

Norfolk, Va., Oct. 15 – Premier Financial Bancorp, Inc. announced plans to redeem the remaining $5 million of its series A preferred stock, according to a press release.

The bank plans to redeem the final 5,000 shares of the preferreds with a liquidation preference of $1,000 per share on Nov. 14, according to a company press release.

The series A preferreds were issued in October 2009 as part of the Troubled Asset Relief Program – Capital Purchase Program of the U.S. Treasury.

In August 2012, Premier repurchased 10,252 of the 22,252 issued shares. It then repurchased 7,000 shares on Sept. 16, leaving the final 5,000 shares outstanding.

Premier Financial’s board set a redemption date of Nov. 14, giving shareholders the required 30-day advance notice for the redemption.

On that date, series A shareholders will be entitled to a pro rata portion of the $5 million total redemption value plus accrued dividends from Aug. 15 through Nov. 14 at 5% per year. This redemption avoids the automatic increase in the dividend rate to 9% per annum beginning on Nov. 15.

Premier Financial is a Huntington, W.Va.-based bank holding company.

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