City Holding Company ("Company" or "City") (NASDAQ:CHCO), a $6.0 billion bank holding company headquartered in Charleston, West Virginia, today announced quarterly net income of $21.3 million and diluted earnings of $1.41 per share for the quarter ended March 31, 2022.

Net Interest Income

The Company's net interest income decreased $2.7 million, or 6.7%, from $40.6 million during the fourth quarter of 2021 to $37.9 million during the first quarter of 2022. The Company's tax equivalent net interest income decreased $2.7 million, or 6.6%, from $41.0 million for the fourth quarter of 2021 to $38.2 million for the first quarter of 2022. Lower commercial loan yields (44 basis points) decreased interest income by $2.3 million as compared to the quarter ended December 31, 2021. The fourth quarter of 2021 was boosted by an interest recovery of $2.1 million from a loan that had previously been classified as a nonperforming loan. In addition, loan fees decreased $0.8 million due to a decrease in PPP loan fees recognized as PPP loan balances declined to below $1 million at March 31, 2022. These decreases were partially offset by higher investment interest income ($0.5 million) due to both higher yields (14 basis points) and higher average balances ($29 million) during the quarter ended March 31, 2022. The Company's reported net interest margin decreased from 2.94% for the fourth quarter of 2021 to 2.82% for the first quarter of 2022.

Credit Quality

The Company's ratio of nonperforming assets to total loans and other real estate owned decreased modestly from 0.21%, or $7.6 million, at December 31, 2021 to 0.18%, or $6.3 million, at March 31, 2022. Total past due loans decreased slightly from $6.8 million, or 0.19% of total loans outstanding, at December 31, 2021 to $6.7 million, or 0.19% of total loans outstanding, at March 31, 2022.

As a result of the Company's quarterly analysis of the adequacy of the allowance for credit losses ("ACL"), the Company recorded a recovery of credit losses of $0.8 million in the first quarter of 2022, compared to a recovery of credit losses of $0.4 million for the comparable period in 2021, and did not record a provision for credit losses for the fourth quarter of 2021. The recovery of credit losses recorded in the first quarter of 2022 largely reflects the repayment of a loan from a previous acquisition and release of the associated credit mark. Because of continued improvements in economic conditions in the Company's footprint, net charge-offs for the quarter ended March 31, 2022 were insignificant.

Non-interest Income

Non-interest income was $17.4 million during the quarter ended March 31, 2022, as compared to $16.6 million during the quarter ended March 31, 2021. During the first quarter of 2022, the Company reported $0.7 million of unrealized fair value losses on the Company's equity securities compared to $0.2 million of realized and unrealized fair value gains on the Company's equity securities during the first quarter of 2021. Exclusive of these items, non-interest income increased $1.8 million, or 10.8%, from $16.4 million for the first quarter of 2021 to $18.2 million for the first quarter of 2022. This increase was largely attributable to an increase of $0.8 million, or 14.4%, in service charges and an increase of $0.6 million in bank owned life insurance due to higher death benefit proceeds. In addition, bankcard revenue increased $0.2 million from the quarter ended March 31, 2021, to $6.4 million.

Non-interest Expenses

Non-interest expenses decreased $0.3 million, or 0.9%, from $29.8 million in the first quarter of 2021 to $29.5 million in the first quarter of 2022. This decrease was primarily due to a decrease in other expenses of $0.2 million from the quarter ended March 31, 2021. During the first quarter of 2022, most of the Company's expenses did not significantly fluctuate from the first quarter of 2021; although we do anticipate salaries and employee benefits will increase in subsequent quarters.

Balance Sheet Trends

Loans increased $16.1 million (0.5%) from December 31, 2021 to $3.56 billion at March 31, 2022. PPP loans decreased $6.0 million from $6.6 million at December 31, 2021 to $0.6 million at March 31, 2022. Excluding outstanding PPP loans (included in the commercial and industrial loan category), total loans increased $22.1 million, (0.6%), from December 31, 2021 to $3.56 billion at March 31, 2022. Residential real estate loans increased $39.9 million (2.6%). This increase was partially offset by lower commercial real estate loans ($9.0 million, or 0.6%); lower DDA overdrafts ($4.0 million, or 62.1%); and lower commercial and industrial loans ($2.8 million, or 0.8%) (excluding PPP loans).

Total average depository balances increased $39.3 million, or 0.8%, from the quarter ended December 31, 2021 to the quarter ended March 31, 2022. Average savings deposit balances increased $45.7 million, average interest-bearing demand deposit balances increased $28.6 million, and noninterest-bearing demand deposit balances increased $4.1 million. These increases were partially offset by a decrease in time deposit balances of $39.1 million.

Income Tax Expense

The Company's effective income tax rate for the first quarter of 2022 was 19.7% compared to 20.8% for the year ended December 31, 2021, and 20.1% for the quarter ended March 31, 2021.

Capitalization and Liquidity

The Company's loan to deposit ratio was 71.2% and the loan to asset ratio was 59.2% at March 31, 2022. The Company maintained investment securities totaling 23.9% of assets as of the same date. The Company's deposit mix is weighted heavily toward checking and saving accounts, which fund 66.1% of assets at March 31, 2022. Time deposits fund 17.0% of assets at March 31, 2022, but very few of these deposits are in accounts that have balances of more than $250,000, reflecting the core retail orientation of the Company.

The Company continues to be strongly capitalized with tangible equity of $516 million at March 31, 2022. Due primarily to unrealized security losses during the quarter ended March 31, 2022, the Company's tangible equity ratio decreased from 9.6% at December 31, 2021 to 8.8% at March 31, 2022. At March 31, 2022, City National Bank's Leverage Ratio was 8.80%, its Common Equity Tier I ratio was 14.82%, its Tier I Capital ratio was 14.82%, and its Total Risk-Based Capital ratio was 15.24%. These regulatory capital ratios are significantly above levels required to be considered "well capitalized," which is the highest possible regulatory designation.

On March 30, 2022, the Board of Directors of the Company approved a quarterly cash dividend of $0.60 per share payable April 29, 2022, to shareholders of record as of April 15, 2022. During the quarter ended March 31, 2022, the Company repurchased 38,000 common shares at a weighted average price of $78.09 per share as part of a one million share repurchase plan authorized by the Board of Directors in March 2021. As of March 31, 2022, the Company could repurchase 277,000 additional shares under the current program.

City Holding Company is the parent company of City National Bank of West Virginia. City National Bank operates 94 branches across West Virginia, Kentucky, Virginia, and Ohio.

Forward-Looking Information

This news release contains certain forward-looking statements that are included pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements express only management's beliefs regarding future results or events and are subject to inherent uncertainty, risks, and changes in circumstances, many of which are outside of management's control. Uncertainty, risks, changes in circumstances and other factors could cause the Company's actual results to differ materially from those projected in the forward-looking statements. Factors that could cause actual results to differ from those discussed in such forward-looking statements include, but are not limited to those set forth in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2021 under "ITEM 1A Risk Factors" and the following: (1) general economic conditions, especially in the communities and markets in which we conduct our business; (2) the uncertainties on the Company's business, results of operations and financial condition, caused by the COVID-19 pandemic, which will depend on several factors, including the scope and duration of the pandemic, its continued influence on financial markets, the effectiveness of the Company's work from home arrangements and staffing levels in operational facilities, the impact of market participants on which the Company relies and actions taken by governmental authorities and other third parties in response to the pandemic; (3) credit risk, including risk that negative credit quality trends may lead to a deterioration of asset quality, risk that our allowance for loan losses may not be sufficient to absorb actual losses in our loan portfolio, and risk from concentrations in our loan portfolio; (4) changes in the real estate market, including the value of collateral securing portions of our loan portfolio; (5) changes in the interest rate environment; (6) operational risk, including cybersecurity risk and risk of fraud, data processing system failures, and network breaches; (7) changes in technology and increased competition, including competition from non-bank financial institutions; (8) changes in consumer preferences, spending and borrowing habits, demand for our products and services, and customers' performance and creditworthiness; (9) difficulty growing loan and deposit balances; (10) our ability to effectively execute our business plan, including with respect to future acquisitions; (11) changes in regulations, laws, taxes, government policies, monetary policies and accounting policies affecting bank holding companies and their subsidiaries; (12) deterioration in the financial condition of the U.S. banking system may impact the valuations of investments the Company has made in the securities of other financial institutions; (13) regulatory enforcement actions and adverse legal actions; (14) difficulty attracting and retaining key employees; (15) other economic, competitive, technological, operational, governmental, regulatory, and market factors affecting our operations. Forward-looking statements made herein reflect management's expectations as of the date such statements are made. Such information is provided to assist stockholders and potential investors in understanding current and anticipated financial operations of the Company and is included pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. The Company undertakes no obligation to update any forward-looking statement to reflect events or circumstances that arise after the date such statements are made. Further, the Company is required to evaluate subsequent events through the filing of its March 31, 2022 Form 10-Q. The Company will continue to evaluate the impact of any subsequent events on the preliminary March 31, 2022 results and will adjust the amounts if necessary.

CITY HOLDING COMPANY AND SUBSIDIARIES
Financial Highlights
(Unaudited)

	Three Months Ended
	March 31, 2022			December 31, 2021			September 30, 2021			June 30, 2021			March 31, 2021

Earnings
Net Interest Income (fully taxable equivalent)	$	38,239		$	40,956		$	39,822		$	38,257		$	37,871
Net Income available to common shareholders		21,342			23,386			22,732			22,148			19,814

Per Share Data
Earnings per share available to common shareholders:
Basic	$	1.41		$	1.54		$	1.47		$	1.41		$	1.25
Diluted		1.41			1.54			1.47			1.41			1.25
Weighted average number of shares (in thousands):
Basic		14,974			15,026			15,279			15,573			15,656
Diluted		15,002			15,056			15,302			15,594			15,687
Period-end number of shares (in thousands)		15,045			15,062			15,192			15,527			15,724
Cash dividends declared	$	0.60		$	0.60		$	0.58		$	0.58		$	0.58
Book value per share (period-end)	$	42.03		$	45.22		$	44.58		$	44.79		$	43.99
Tangible book value per share (period-end)		34.27			37.44			36.85			37.20			36.47
Market data:
High closing price	$	85.99		$	83.14		$	79.99		$	83.85		$	87.41
Low closing price		76.82			76.52			72.29			74.44			69.05
Period-end closing price		78.70			81.79			77.91			75.24			81.78
Average daily volume (in thousands)		59			52			53			61			63
Treasury share activity:
Treasury shares repurchased (in thousands)		38			131			337			217			75
Average treasury share repurchase price	$	78.09		$	78.93		$	75.65		$	78.75		$	76.71

Key Ratios (percent)
Return on average assets		1.42	%		1.56	%		1.53	%		1.49	%		1.38	%
Return on average tangible equity		15.3	%		16.7	%		15.7	%		15.2	%		13.5	%
Yield on interest earning assets		2.94	%		3.08	%		3.04	%		3.00	%		3.17	%
Cost of interest bearing liabilities		0.17	%		0.19	%		0.22	%		0.27	%		0.37	%
Net Interest Margin		2.82	%		2.94	%		2.89	%		2.81	%		2.91	%
Non-interest income as a percent of total revenue		32.4	%		30.2	%		31.1	%		31.0	%		30.4	%
Efficiency Ratio		51.7	%		48.3	%		50.0	%		52.8	%		54.3	%
Price/Earnings Ratio (a)		13.93			13.27			13.22			13.35			16.30

Capital (period-end)
Average Shareholders' Equity to Average Assets		11.25	%		11.25	%		11.69	%		11.81	%		12.30	%
Tangible equity to tangible assets		8.75	%		9.58	%		9.59	%		9.98	%		9.93	%
Consolidated City Holding Company risk based capital ratios (b):
CET I		16.18	%		16.08	%		16.11	%		16.40	%		16.76	%
Tier I		16.18	%		16.08	%		16.11	%		16.40	%		16.76	%
Total		16.60	%		16.51	%		16.56	%		16.88	%		17.33	%
Leverage		9.58	%		9.44	%		9.46	%		9.70	%		10.06	%
City National Bank risk based capital ratios (b):
CET I		14.82	%		14.35	%		14.76	%		14.82	%		14.75	%
Tier I		14.82	%		14.35	%		14.76	%		14.82	%		14.75	%
Total		15.24	%		14.78	%		15.21	%		15.30	%		15.33	%
Leverage		8.80	%		8.45	%		8.73	%		8.80	%		8.91	%

Other (period-end)
Branches		94			94			94			94			94
FTE		897			905			921			912			916

Assets per FTE (in thousands)	$	6,703		$	6,637		$	6,463		$	6,477		$	6,434
Deposits per FTE (in thousands)		5,574			5,445			5,308			5,271			5,236

(a) The price/earnings ratio is computed based on annualized quarterly earnings.
(b) March 31, 2022 risk-based capital ratios are estimated.

CITY HOLDING COMPANY AND SUBSIDIARIES
Consolidated Statements of Income
(Unaudited) ($ in 000s, except per share data)

	Three Months Ended
	March 31, 2022			December 31, 2021			September 30, 2021			June 30, 2021			March 31, 2021

Interest Income
Interest and fees on loans	$	31,874		$	35,277		$	33,961		$	33,114		$	34,324
Interest on investment securities:
Taxable		6,223			5,753			6,144			5,932			5,242
Tax-exempt		1,216			1,226			1,257			1,291			1,253
Interest on deposits in depository institutions		238			217			196			162			118
Total Interest Income		39,551			42,473			41,558			40,499			40,937

Interest Expense
Interest on deposits		1,521			1,710			1,955			2,460			3,280
Interest on short-term borrowings		114			132			115			125			117
Total Interest Expense		1,635			1,842			2,070			2,585			3,397
Net Interest Income		37,916			40,631			39,488			37,914			37,540
(Recovery of) provision for credit losses		(756	)		-			(725	)		(2,000	)		(440	)
Net Interest Income After (Recovery of) Provision for Credit Losses		38,672			40,631			40,213			39,914			37,980

Non-Interest Income
Net gains on sale of investment securities		-			-			-			29			283
Unrealized (losses) gains recognized on equity securities still held		(723	)		52			93			410			(51	)
Service charges		6,725			7,057			6,706			5,895			5,881
Bankcard revenue		6,444			6,762			6,791			7,221			6,213
Trust and investment management fee income		2,197			2,198			2,172			2,012			2,033
Bank owned life insurance		2,014			748			747			940			1,460
Other income		791			799			1,438			941			811
Total Non-Interest Income		17,448			17,616			17,947			17,448			16,630

Non-Interest Expense
Salaries and employee benefits		15,577			15,299			15,321			15,559			15,671
Occupancy related expense		2,709			2,429			2,507			2,525			2,622
Equipment and software related expense		2,769			2,733			2,554			2,655			2,544
FDIC insurance expense		435			400			396			382			405
Advertising		798			582			804			824			881
Bankcard expenses		1,606			1,576			1,549			1,746			1,584
Postage, delivery, and statement mailings		636			590			573			568			592
Office supplies		410			378			406			371			392
Legal and professional fees		527			405			610			589			675
Telecommunications		584			702			790			676			690
Repossessed asset losses (gains), net of expenses		40			(29	)		(108	)		1			79
Other expenses		3,436			3,559			3,776			3,678			3,674
Total Non-Interest Expense		29,527			28,624			29,178			29,574			29,809
Income Before Income Taxes		26,593			29,623			28,982			27,788			24,801
Income tax expense		5,251			6,237			6,250			5,640			4,987
Net Income Available to Common Shareholders	$	21,342		$	23,386		$	22,732		$	22,148		$	19,814

Distributed earnings allocated to common shareholders	$	8,943		$	8,949		$	8,726		$	8,921		$	9,037
Undistributed earnings allocated to common shareholders		12,199			14,211			13,786			13,021			10,598
Net earnings allocated to common shareholders	$	21,142		$	23,160		$	22,512		$	21,942		$	19,635

Average common shares outstanding		14,974			15,026			15,279			15,573			15,656
Shares for diluted earnings per share		15,002			15,056			15,302			15,594			15,687

Basic earnings per common share	$	1.41		$	1.54		$	1.47		$	1.41		$	1.25
Diluted earnings per common share	$	1.41		$	1.54		$	1.47		$	1.41		$	1.25

CITY HOLDING COMPANY AND SUBSIDIARIES
Consolidated Balance Sheets
($ in 000s)
	(Unaudited)						(Unaudited)			(Unaudited)			(Unaudited)
	March 31, 2022			December 31, 2021			September 30, 2021			June 30, 2021			March 31, 2021

Assets
Cash and due from banks	$	100,877		$	101,804		$	103,841		$	97,523		$	97,709
Interest-bearing deposits in depository institutions		497,171			532,827			535,708			512,367			659,090
Cash and cash equivalents		598,048			634,631			639,549			609,890			756,799

Investment securities available-for-sale, at fair value		1,409,513			1,408,165			1,372,077			1,339,436			1,183,253
Other securities		24,785			25,531			25,497			25,793			29,174
Total investment securities		1,434,298			1,433,696			1,397,574			1,365,229			1,212,427

Gross loans		3,559,905			3,543,814			3,521,925			3,529,416			3,546,723
Allowance for credit losses		(17,280	)		(18,166	)		(18,751	)		(20,016	)		(24,076	)
Net loans		3,542,625			3,525,648			3,503,174			3,509,400			3,522,647

Bank owned life insurance		120,522			120,978			120,238			119,491			118,976
Premises and equipment, net		73,067			74,071			75,156			76,263			76,529
Accrued interest receivable		16,101			15,627			16,224			15,967			16,231
Net deferred tax assets		18,001			63			90			-			1,395
Intangible assets		116,774			117,121			117,489			117,857			118,224
Other assets		92,331			81,860			82,419			89,958			71,142
Total Assets	$	6,011,767		$	6,003,695		$	5,951,913		$	5,904,055		$	5,894,370

Liabilities
Deposits:
Noninterest-bearing	$	1,357,266		$	1,373,125		$	1,311,464		$	1,279,932		$	1,244,175
Interest-bearing:
Demand deposits		1,191,492			1,135,848			1,139,033			1,070,004			1,077,749
Savings deposits		1,425,528			1,347,448			1,332,910			1,301,219			1,265,038
Time deposits		1,024,559			1,068,915			1,104,069			1,153,391			1,209,873
Total deposits		4,998,845			4,925,336			4,887,476			4,804,546			4,796,835
Short-term borrowings
Customer repurchase agreements		288,483			312,458			296,642			311,316			316,003
Net deferred tax liabilities		-			-			-			2,310			-
Other liabilities		92,009			84,796			90,499			90,407			89,847
Total Liabilities		5,379,337			5,322,590			5,274,617			5,208,579			5,202,685

Stockholders' Equity
Preferred stock		-			-			-			-			-
Common stock		47,619			47,619			47,619			47,619			47,619
Capital surplus		170,206			170,942			170,300			169,674			170,526
Retained earnings		654,138			641,826			627,463			613,553			600,396
Cost of common stock in treasury		(194,819	)		(193,542	)		(183,303	)		(157,936	)		(142,484	)
Accumulated other comprehensive (loss) income:
Unrealized (loss) gain on securities available-for-sale		(41,229	)		17,745			20,878			28,227			21,289
Underfunded pension liability		(3,485	)		(3,485	)		(5,661	)		(5,661	)		(5,661	)
Total Accumulated Other Comprehensive (Loss) Income		(44,714	)		14,260			15,217			22,566			15,628
Total Stockholders' Equity		632,430			681,105			677,296			695,476			691,685
Total Liabilities and Stockholders' Equity	$	6,011,767		$	6,003,695		$	5,951,913		$	5,904,055		$	5,894,370

Regulatory Capital
Total CET 1 capital	$	565,048		$	555,532		$	550,426		$	561,317		$	563,523
Total tier 1 capital		565,048			555,532			550,426			561,317			563,523
Total risk-based capital		579,807			570,336			565,712			577,543			582,816
Total risk-weighted assets		3,492,920			3,453,893			3,417,020			3,421,764			3,362,595

CITY HOLDING COMPANY AND SUBSIDIARIES
Loan Portfolio
(Unaudited) ($ in 000s)


	March 31, 2022		December 31, 2021		September 30, 2021		June 30, 2021		March 31, 2021

Commercial and industrial	$	337,384	$	346,184	$	353,046	$	358,583	$	371,195

1-4 Family		108,424		107,873		108,913		108,079		108,131
Hotels		314,902		311,315		297,341		290,119		293,176
Multi-family		209,359		215,677		215,307		212,715		212,561
Non Residential Non-Owner Occupied		637,092		639,818		664,365		653,264		649,683
Non Residential Owner Occupied		200,180		204,233		205,579		209,100		199,130
Commercial real estate ⁽¹⁾		1,469,957		1,478,916		1,491,505		1,473,277		1,462,681

Residential real estate ⁽²⁾		1,588,860		1,548,965		1,506,572		1,521,102		1,532,907
Home equity		121,460		122,345		124,806		127,608		130,009
Consumer		39,778		40,901		43,296		45,184		47,224
DDA overdrafts		2,466		6,503		2,700		3,662		2,707
Gross Loans	$	3,559,905	$	3,543,814	$	3,521,925	$	3,529,416	$	3,546,723

Construction loans included in:
⁽¹⁾ - Commercial real estate loans	$	14,877	$	11,783	$	19,360	$	43,904	$	39,101
⁽²⁾ - Residential real estate loans		16,253		17,252		19,059		20,838		22,129

CITY HOLDING COMPANY AND SUBSIDIARIES
Asset Quality Information
(Unaudited) ($ in 000s)

	Three Months Ended
	March 31, 2022			December 31, 2021			September 30, 2021			June 30, 2021			March 31, 2021
Allowance for Credit Losses
Balance at beginning of period	$	18,166		$	18,751		$	20,016		$	24,076		$	24,549

Charge-offs:
Commercial and industrial		(34	)		-			-			(211	)		(34	)
Commercial real estate		-			(276	)		(392	)		(1,718	)		(1	)
Residential real estate		(50	)		(68	)		(18	)		(86	)		(93	)
Home equity		-			(58	)		(47	)		(8	)		(64	)
Consumer		(23	)		(13	)		(3	)		(79	)		(147	)
DDA overdrafts		(631	)		(635	)		(633	)		(430	)		(453	)
Total charge-offs		(738	)		(1,050	)		(1,093	)		(2,532	)		(792	)

Recoveries:
Commercial and industrial		59			31			69			25			46
Commercial real estate		53			27			18			15			164
Residential real estate		45			7			29			17			74
Home equity		17			6			58			3			23
Consumer		28			40			72			104			39
DDA overdrafts		406			354			307			308			413
Total recoveries		608			465			553			472			759

Net charge-offs		(130	)		(585	)		(540	)		(2,060	)		(33	)
(Recovery of) provision for credit losses		(756	)		-			(725	)		(2,000	)		(440	)
Balance at end of period	$	17,280		$	18,166		$	18,751		$	20,016		$	24,076

Loans outstanding	$	3,559,905		$	3,543,814		$	3,521,925		$	3,529,416		$	3,546,723
Allowance as a percent of loans outstanding		0.49	%		0.51	%		0.53	%		0.57	%		0.68	%
Allowance as a percent of non-performing loans		331.3	%		290.1	%		243.1	%		199.3	%		194.5	%

Average loans outstanding	$	3,527,393		$	3,522,272		$	3,535,497		$	3,541,165		$	3,585,790
Net charge-offs (annualized) as a percent of average loans outstanding		0.01	%		0.07	%		0.06	%		0.23	%		0.00	%

CITY HOLDING COMPANY AND SUBSIDIARIES
Asset Quality Information, continued
(Unaudited) ($ in 000s)

	March 31, 2022			December 31, 2021			September 30, 2021			June 30, 2021			March 31, 2021
Nonaccrual Loans
Residential real estate	$	1,786		$	2,809		$	3,634		$	2,482		$	3,004
Home equity		99			40			67			81			88
Commercial and industrial		1,069			996			531			820			1,200
Commercial real estate		2,241			2,373			3,355			6,383			7,792
Consumer		-			-			-			-			-
Total nonaccrual loans		5,195			6,218			7,587			9,766			12,084
Accruing loans past due 90 days or more		21			43			127			278			295
Total non-performing loans		5,216			6,261			7,714			10,044			12,379
Other real estate owned		1,099			1,319			1,335			1,309			1,625
Total non-performing assets	$	6,315		$	7,580		$	9,049		$	11,353		$	14,004

Non-performing assets as a percent of loans and other real estate owned		0.18	%		0.21	%		0.26	%		0.32	%		0.39	%

Past Due Loans
Residential real estate	$	4,976		$	5,321		$	5,258		$	5,453		$	4,092
Home equity		505			618			688			523			449
Commercial and industrial		56			336			455			721			1,358
Commercial real estate		744			22			441			498			508
Consumer		32			60			35			12			10
DDA overdrafts		392			489			390			417			212
Total past due loans	$	6,705		$	6,846		$	7,267		$	7,624		$	6,629

Total past due loans as a percent of loans outstanding		0.19	%		0.19	%		0.21	%		0.22	%		0.19	%

Troubled Debt Restructurings ("TDRs")
Residential real estate	$	16,182		$	16,943		$	16,910		$	17,788		$	18,572
Home equity		1,694			1,784			1,822			1,920			1,956
Commercial and industrial		397			414			430			-			-
Commercial real estate		1,890			1,914			1,937			3,076			4,615
Consumer		194			225			221			203			211
Total TDRs	$	20,357		$	21,280		$	21,320		$	22,987		$	25,354

CITY HOLDING COMPANY AND SUBSIDIARIES
Consolidated Average Balance Sheets, Yields, and Rates
(Unaudited) ($ in 000s)

	Three Months Ended
	March 31, 2022							December 31, 2021							March 31, 2021
	Average					Yield/		Average					Yield/		Average					Yield/
	Balance			Interest		Rate		Balance			Interest		Rate		Balance			Interest		Rate

Assets:
Loan portfolio ⁽¹⁾:
Residential real estate ⁽²⁾	$	1,667,683		$	15,596	3.79	%	$	1,645,167		$	15,692	3.78	%	$	1,696,064		$	16,853	4.03	%
Commercial, financial, and agriculture ⁽²⁾		1,815,549			15,532	3.47	%		1,831,461			18,740	4.06	%		1,838,928			16,542	3.65	%
Installment loans to individuals ^{(2), (3)}		44,161			607	5.57	%		45,644			691	6.01	%		50,798			713	5.69	%
Previously securitized loans ⁽⁴⁾	***				139	***		***				154	***		***				215	***
Total loans		3,527,393			31,874	3.66	%		3,522,272			35,277	3.97	%		3,585,790			34,323	3.88	%
Securities:
Taxable		1,207,333			6,223	2.09	%		1,171,340			5,753	1.95	%		945,177			5,242	2.25	%
Tax-exempt ⁽⁵⁾		232,474			1,539	2.68	%		239,096			1,551	2.57	%		239,589			1,585	2.68	%
Total securities		1,439,807			7,762	2.19	%		1,410,436			7,304	2.05	%		1,184,766			6,827	2.34	%
Deposits in depository institutions		540,197			238	0.18	%		588,678			217	0.15	%		513,469			118	0.09	%
Total interest-earning assets		5,507,397			39,874	2.94	%		5,521,386			42,798	3.08	%		5,284,025			41,268	3.17	%
Cash and due from banks		101,806							98,111							79,683
Premises and equipment, net		73,827							74,847							76,837
Goodwill and intangible assets		116,994							117,349							118,453
Other assets		217,662							216,780							217,453
Less: Allowance for credit losses		(18,454	)						(18,756	)						(24,909	)
Total assets	$	5,999,232						$	6,009,717						$	5,751,542

Liabilities:
Interest-bearing demand deposits	$	1,142,278		$	130	0.05	%	$	1,113,693		$	131	0.05	%	$	1,008,283		$	124	0.05	%
Savings deposits		1,384,460			175	0.05	%		1,338,747			173	0.05	%		1,221,169			183	0.06	%
Time deposits ⁽²⁾		1,048,185			1,216	0.47	%		1,087,280			1,406	0.51	%		1,236,197			2,973	0.98	%
Short-term borrowings		276,360			114	0.17	%		314,937			132	0.17	%		290,766			117	0.16	%
Total interest-bearing liabilities		3,851,283			1,635	0.17	%		3,854,657			1,842	0.19	%		3,756,415			3,397	0.37	%
Noninterest-bearing demand deposits		1,398,663							1,394,599							1,197,910
Other liabilities		74,084							84,071							89,695
Stockholders' equity		675,202							676,390							707,522
Total liabilities and
stockholders' equity	$	5,999,232						$	6,009,717						$	5,751,542
Net interest income				$	38,239						$	40,956						$	37,871
Net yield on earning assets						2.82	%						2.94	%						2.91	%

(1)For purposes of this table, non-accruing loans have been included in average balances and the following amounts (in thousands) of net loan fees have been included in interest income:

Loan fees, net				$	298						$	1,106						$	835

(2) Included in the above table are the following amounts (in thousands) for the accretion of the fair value adjustments related to the Company's acquisitions:

Residential real estate				$	90						$	149						$	106
Commercial, financial, and agriculture					286							243							325
Installment loans to individuals					19							15							28
Time deposits					21							48							48
				$	416						$	455						$	507

(3) Includes the Company's consumer and DDA overdrafts loan categories.
(4) Effective January 1, 2012, the carrying value of the Company's previously securitized loans was reduced to $0.
(5) Computed on a fully federal tax-equivalent basis assuming a tax rate of approximately 21%.

CITY HOLDING COMPANY AND SUBSIDIARIES
Non-GAAP Reconciliations
(Unaudited) ($ in 000s, except per share data)

	Three Months Ended
	March 31, 2022			December 31, 2021			September 30, 2021			June 30, 2021			March 31, 2021
Net Interest Income/Margin
Net interest income ("GAAP")	$	37,916		$	40,631		$	39,488		$	37,914		$	37,540
Taxable equivalent adjustment		323			325			334			343			331
Net interest income, fully taxable equivalent	$	38,239		$	40,956		$	39,822		$	38,257		$	37,871

Average interest earning assets	$	5,507,397		$	5,521,386		$	5,462,410		$	5,459,564		$	5,284,025

Net Interest Margin		2.82	%		2.94	%		2.89	%		2.81	%		2.91	%
Accretion related to fair value adjustments		-0.03	%		-0.03	%		-0.04	%		-0.05	%		-0.04	%
Net Interest Margin (excluding accretion)		2.79	%		2.91	%		2.85	%		2.76	%		2.87	%

Tangible Equity Ratio (period end)
Equity to assets ("GAAP")		10.52	%		11.34	%		11.37	%		11.78	%		11.74	%
Effect of goodwill and other intangibles, net		-1.77	%		-1.76	%		-1.78	%		-1.80	%		-1.81	%
Tangible common equity to tangible assets		8.75	%		9.58	%		9.59	%		9.98	%		9.93	%

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City Holding Company Announces Quarterly Results