Central Bank & Trust Co.

Central Insurance Services

Central Investment Center, Inc.

2019

THIRD QUARTER

REPORT

CONNECTING WITH

OUR

COMMUNITIES.

MISSION STATEMENTThe mission of Central Bancshares is to become

Kentucky’s leading, high-performing, community

banking company by empowering our staff to deliver

consistently superior service and value to our customers,

shareholders and communities. We will be successful because

Central Bankers are our greatest resource and our most

sustainable advantage.

The Nest – Center for Women, Children, and Families, provides high quality, comprehensive

services to women, children and families in crisis, while working to prevent child abuse and

neglect. Central Bank is proud to share in their mission to provide a safe place for education,

counseling, and support to children and families in crisis.

For additional copies or

INFORMATIONMARKETINGCENTRAL BANK300 West Vine StreetLexington, KY 40507

HELPING TO KEEP OUR COMMUNITIES STRONG.

THE NEST

CONTENTS Financial Highlights 1

Consolidated Balance Sheets 2

Consolidated Statements of Income 3

Boards of Directors 4

Officers 6

CONTENTS Financial Highlights 1

Consolidated Balance Sheets 2

Consolidated Statements of Income 3

Boards of Directors 4

Officers 6

FINANCIAL HIGHLIGHTS

For nine months ended September 30(dollars in thousands, except share data)

RESULTS OF OPERATIONS: Net income Net income per share Cash dividends per share Book value per share at quarter end

AT SEPTEMBER 30: Assets Earning assets Net loans Deposits Shareholders’ equity

PERFORMANCE RATIOS: Return on average assets Return on average shareholders’ equity Average tangible equity to average tangible assets Net charge-offs to average loans Allowance for loan losses as a percentage of quarter end loans Net interest margin (tax equivalent)

2019

$ 24,4170.700.008.77

$ 2,702,1422,590,0702,063,8252,153,725

305,216

1.25%11.19%

10.74%0.16%

0.94%4.05%

2016

$ 13,9760.400.006.78

$ 2,260,9692,154,9881,717,5551,877,084

235,795

0.84%8.14%

9.71%0.10%

1.23%3.73%

2015

$ 13,5640.390.006.30

$ 2,140,7242,028,0291,622,3541,784,484

219,116

0.85%8.55%

9.30%0.08%

1.32%3.66%

2017

$ 14,7070.420.007.26

$ 2,350,4222,248,3031,921,9041,928,626

252,681

0.85%8.01%

10.06%

0.06%

1.12%3.95%

2018

$ 20,8950.600.007.92

$ 2,543,9602,447,2822,013,2972,068,166

275,556

1.12%10.52%

10.17%0.08%

1.02%3.99%

2019 THIRD QUARTER REPORT 1

$ 60,081 239,700 299,781 260,202

2,083,417 (19,592

2,063,825 29,115 6,751

14,313 28,155

$ 2,702,142

$ 708,284 1,445,441 2,153,725

144,757 500

50,408 15,000 32,536

2,396,926

3,479

- 6,890

301,391 (6,544

305,216 $ 2,702,142

2

CONSOLIDATED BALANCE SHEETS

ASSETS Cash and due from financial institutionsInterest bearing deposits with other financial institutions Total cash and cash equivalentsDebt securities Loans, net of unearned incomeAllowance for loan losses Loans, netPremises and equipment, netFederal Home Loan Bank stockIntangible assetsPrepaid expenses and other assets Total assets

LIABILITIES AND SHAREHOLDERS’ EQUITYDeposits: Non-interest bearing Interest bearing Total deposits Repurchase agreementsFederal funds purchasedFederal Home Loan Bank advancesSubordinated debenturesOther liabilities Total liabilities

SHAREHOLDERS’ EQUITYCommon stock (voting), $10 par value; 350,000 shares authorized; 347,922 shares issued and outstandingCommon stock (non-voting), no par value; 34,650,000 shares authorized; 34,444,278 and zero shares issued and outstanding at September 30, 2019 and 2018, respectivelyAdditional paid-in capitalRetained earningsAccumulated other comprehensive income (loss) Total shareholders’ equity Total liabilities and shareholders’ equity

September 302019

September 302018

$ 49,230 182,900 232,130 223,634

2,033,997 (20,700

2,013,297 31,006

6,751 14,313

22,829 $ 2,543,960

$ 696,997 1,371,169

2,068,166

132,797 500

25,426 15,000 26,515

2,268,404

3,479

- 6,890

271,479 (6,292

275,556 $ 2,543,960

) )

)

(in thousands, except share data)

)

32019 THIRD QUARTER REPORT

For nine months ended

CONSOLIDATED STATEMENTS OF INCOME

INTEREST INCOME Interest and fees on loans Interest on debt securities Interest on deposits with other financial institutions

INTEREST EXPENSE Interest on deposits Interest on borrowed funds

Net interest incomeProvision for loan lossesNet interest income after provision for loan losses

OTHER INCOME Service charges on deposit accounts Service charges on loans Wealth management income Other income

OTHER EXPENSES Salaries Benefits Occupancy Other non-interest expenses

Income before provision for income taxesProvision for income taxesNet income

Basic earnings per share

September 302019

September 302018

$ 80,162 5,121

2,954 88,237

10,696 1,752

12,448

75,789 2,672 73,117

5,442 7,893

10,984 5,552

29,871

31,111 8,816

15,040 20,978 75,945

27,043 2,626

$ 24,417

$ 0.70

$ 71,985 3,837 1,970

77,792

6,643 1,199 7,842

69,950 1,752

68,198

5,434 7,607

10,981 4,180

28,202

29,908 7,174

14,293 20,673 72,048

24,352 3,457

$ 20,895

$ 0.60

(in thousands, except share data)

BOARDS OF DIRECTORS

Central Bancshares, Inc. and Central Bank & Trust Co. Board of Directors

Luther Deaton, Jr. Chairman, President & CEO, Central Bancshares, Inc. and Central Bank & Trust Co.

Joan D. Kincaid Vice Chairman of the Board, Central Bancshares, Inc. and Central Bank & Trust Co.

Michael D. Foley Retired PartnerRFH, PLLC Certified Public Accountants

Wayne M. MartinVP of Development,Retail Division,Booth Energy

Nick Nicholson Retired, Keeneland Association, Inc.

G. Michael RitchieExecutive Vice President, Quantum Spatial, Inc.

Paul E. Sullivan Partner, Frost Brown Todd, LLC

Advisory Boards of Directors

Central Bank, GeorgetownAdvisory Board of Directors

Dallas BlankenshipRetired Superintendent,Scott County Board of Education

Mason “Butch” GlassCommunity Volunteer

William C. HaughCEO, Georgetown Community Hospital

George H. LusbyRetired Scott County Judge Executive

Kimberly E. MarshallMarket President

Randy MasonOwner-Operator, McDonald’s

W. Thomas PratherChairman, Central Bank, Georgetown &Mayor of Georgetown

Central Bank, LexingtonAdvisory Board of Directors

Dennis AndersonPresident, Anderson Communities

John AtchisonCo-owner, Atchison Heller Construction

Rick AvareMAP Entities

Ray BallOwner, Ball Homes

Anthany BeattyU.K. Campus Services & Public Safety

Jed BullardOwner, E.D. Bullard Company

Lucas CampbellGorman Company

Kevin DoyleCFO, Congleton Hacker Company

William Farish, Jr.President, Lane’s End Farm

Crinda FranckePresident, ExecuTrain of Kentucky

Linda GriffinPresident, High Bridge Spring Water

Joseph L. GrossmanPresident & CEO,Appalachian Regional Healthcare, Inc.

Pat HaydenRetired, Rector Hayden Real Estate

John Irvin, Jr.Attorney, Kinkead & Stilz, PLLC

Judge Mary NobleRetired Judge, Kentucky Supreme Court

Bruce PierattOwner, Pieratt’s

Bill QuiggPresident, Richmond Baking Company

Ed QuinnPresident & CEO, R.J. Corman Railroad Company

Dr. Marcus RandallPresident, Kentucky Medical Services Foundation

Nick RowePresident, Kentucky American Water Co.

Adolph Rupp IIIRupp & Associates, Inc.

Kenny SchompPresident & Owner, Lexington Truck Sales, Inc.

Nick StrongPresident, Old Colony Insurance

Bill Thomason President, Keeneland Association

Lawrence WeathersChief of Police, Lexington

Central Bank, LouisvilleAdvisory Board of Directors

Jonathan S. BlueChairman, Blue Equity, LLC

Ronald L. CarmicleOwner, PLC Management

Marcia CassadyDirector, Capital Link Consultants

Michael D. Foley Retired PartnerRFH, PLLC Certified Public Accountants

William P. MaloneRetired, Deming, Malone, Livesay & Ostroff

William E. Summers IVRetired, Deputy Mayor, Louisville Metro Government

Jude ThompsonCEO, Delta Dental

Mark Wheeler Market President

4

Chairman, President & CEO

Luther Deaton, Jr.

Central Bank, Madison County Advisory Board of Directors

Dianna Ackerman Broker/Owner, ERA Professional Hometown Services

Frankie C. Blevins, Jr.Attorney, Blevins Law, LLC

Robert R. BlytheMayor of RichmondPastor, First Baptist Church

James R. CarrBuilder and Developer

Shannon Combs Partner, Combs, Parsons and Collins Funeral Home

Jeff FultzMarket President

Greg GerardPresident, Baptist Health Richmond

James Ernest HillardOwner, Middletown Industrial

Mike Rice Owner, Cars of Kentucky, Inc.

Rita H. SmartOwner, The Bennett House

Central Bank, NicholasvilleAdvisory Board of Directors

Joan D. KincaidVice Chairman of the Board, Central Bancshares, Inc. and Central Bank & Trust Co.

Sandra J. AdamsOwner, Zaxby’s

Michael D. Foley Retired PartnerRFH, PLLC Certified Public Accountants

Ben A. RainwaterTutt, Inc.

Paul E. Sullivan Partner, Frost Brown Todd, LLC

Benjamin G. TaylorTaylor Made Farm & Sales Agency, Inc.

Alan S. VanArsdallMarket President

Central Bank, Northern Kentucky Advisory Board of Directors Mark AyerManaging MemberReading Investments, LLC

Adam BortzCEO, Towne Properties

Tonya Burns-GerakosTonya Burns Law

Chris CarleSenior Vice President & COO, St. Elizabeth Healthcare, Florence

Wayne CarlislePresident & CEOCarlisle Enterprises

David HeidrichCEO, Zalla Companies

Thomas J. MunninghoffPresident, Munninghoff, Lange & Co.

Greg SchrandPresident, GSE, Inc.

Gregory ShumateMember, Frost Brown Todd, LLC

James UebelMarket President

Paul VerstPresident & CEO, Verst Group Logistics, Inc., and Zenith Logistics

John YeagerOwner, Ashley Development

Central Bank, WinchesterAdvisory Board of Directors

Gerald F. (Kelly) Healy IIIDirector of Operations McDonald’s

Glenn LeveridgeMarket President

Rex McCrary, D.M.D.Dentist

Jeff MonohanPresident The Allen Company

Ralph J. PalmerPresident, Palmer Engineering Co.

Patricia M. SmithPresident, MD Consulting, Inc.

Robert Strode Retired

Mary Jane WarnerManager of Power Delivery, East Kentucky Power Cooperative, Inc.

52019 THIRD QUARTER REPORT

BOARDS OF DIRECTORS

OFFICERS

Central Bancshares, Inc.

Luther Deaton, Jr. Chairman, President & CEO

Joan D. Kincaid Vice Chairman

Susan L. Simmons Vice President

Ranee LelandVice President &Corporate Secretary

Edward BarnesTreasurer

Central Bank, Lexington

ADMINISTRATION

Luther Deaton, Jr. Chairman, President & CEO

Ranee LelandVice President &Corporate Secretary

Auditing

Craig L. Daniels, CPA Executive Vice President

Lisa S. Grant, CRCMSenior Vice President & Compliance Officer

Donna J. Craven, CRCMVice President

Danny C. NolandVice President

John T. Miner, Jr.Auditing Officer

COMMERCIAL BANKING

Paul R. Thornsberry Executive Vice President

Commercial Lending

David RossSenior Vice President

Mark R. Fox Vice President

Stephen J. MalloryVice President

Jeff MurphyVice President

Shane AndersonAssistant Vice President

Commercial Real Estate Lending

Megan BarlowVice President

Susan A. DeanVice President

Paul B. DrakeVice President

Gary LoucksVice President

Jordan OwensVice President

Consumer Lending

D. Keith PrestonVice President

Jerry F. Smalley Vice President

Central Bank Mortgage

Catherine HimesSenior Vice President

Susan BradleyVice President

Tom BreathittVice President

Brad FieldsVice President

Rebecca HaddixVice President

Lorraine KinleyVice President

Brian W. West Vice President

Vina RisnerAssistant Vice President

Lisa Hart Secondary Mortgage Underwriter Officer

Chris McGaugheyCRA Community Development Officer

Bradley SutherlandMortgage Lending Officer

Corporate Services

Karen Rowland, CTPSenior Vice President

Joan Patterson, CTPVice President

Lisa K. Vickers Vice President

Chris CampbellAssistant Vice President

Allison CarterAssistant Vice President

Ashley N. RodgersCash Management Officer

Credit Analysis

Jason A. SmithSenior Vice President

Benjamin WilbanksAssistant Vice President

Michael DanhauerCredit Analyst Officer

Special Assets Ellen Sharp Senior Vice President

Steve HallVice President

Julie SzymanskiVice President

Becky MullinsSpecial Assets Officer

Loan Review

Marie A. YoungVice President

LeeAnn LayneVice President

Leigh M. CarrAssistant Vice President

Small Business

Richard D. Hartley Vice President

Terri A. SteinVice President

HUMAN RESOURCES

Susan Simmons Executive Vice President

Amy ManningSenior Vice President

Shelia Plymale Senior Vice President

June CarpenterAssistant Vice President

TECHNOLOGY SERVICES

Julie Bondra Executive Vice President

Anna ClaytonSenior Vice President

Kevin J. LippertSenior Vice President

David HakeVice President

E. Sean ProfittVice President

Kyle HamiltonTechnology Officer

RETAIL BANKING

Gregory M. Shewmaker Executive Vice President

Michael GartnerSenior Vice President

Matthew S. RatliffVice President

Banking Centers

Lana AlexanderAssistant Vice President

Gina EnsmingerAssistant Vice President

Angela M. FrieszAssistant Vice President

Barbara JohnsonAssistant Vice President

Karen Lackey Assistant Vice President

Shawn McWilliamsAssistant Vice President

6

Philip RochesterAssistant Vice President

Alexandra T. WolfAssistant Vice President

Sharon BradleyRetail Banking Officer

Sheila CarmackRetail Banking Officer

Rachel JonesRetail Banking Officer

Laura M. OwensRetail Banking Officer

Client Services

Cathy K. Combs Senior Vice President

Diane Gentry Client Services Officer

FINANCIAL PLANNING Edward BarnesExecutive Vice President & Chief Financial Officer

Mark. A. Hampton, CPASenior Vice President

Lisa A. WilliamsonAssistant Vice President

Mark KendallFinancial Planning Officer

ENTERPRISE RISKMANAGEMENT

C. Gregory StacyExecutive Vice President

Beth Lakes RobinsonVice President

Funds Management

James R. NallAssistant Vice President

MARKETING Stephen C. Kelly Executive Vice President

Lesley CatronAssistant Vice President

Correspondent Banking

Doug Flynn Correspondent Banking Officer

OPERATIONS AND SUPPORT

Operations

Laura Schweitzer Executive Vice President

Karen G. Crawley Senior Vice President

Robin Michul Senior Vice President

Harvey SwordVice President

Internet Banking

Brenda P. Oaks Assistant Vice President

Card Services

Beverly Smalley Assistant Vice President

Loan Processing

Donna M. TurnerVice President

Loan Services

Timothy R. AustinVice President

Shawn PresnellVice President

Deposit Services

Lisa DurhamVice President

Bruce McHoneDeposit Services Officer

Bank Security

Shane EnsmingerVice President & Director of Security Angela D. CampbellAssistant Vice President

Alan StewartSecurity Officer

WEALTH

WEALTH MANAGEMENT

Trust

Barry HickeyExecutive Vice President

Business Development

Charles N. Rush, Jr.Vice President

Employee Benefits Vicky L. Foster Vice President

Sheila C. Parks Vice President

Operations

Gayle DockeryAssistant Vice President

Leigh Ann YoungAssistant Vice President

Carol RobinsonTrust Operations Supervisor

Personal Trust Kathryn Wilson GibsonSenior Vice President

Elizabeth JohnsVice President

Matthew Frank, CFP®

Assistant Vice President

Anna HovekampAssistant Vice President

Lauren LovelyTrust Officer

Investment Management

Timothy D. FyffeSenior Vice President

Thomas CorrVice President

R. Scott KingVice President

Chris TaylorTrust Officer

Private Banking

Gregory M. ShewmakerExecutive Vice President

Rita L. BuggVice President

Leslie FanninVice President

Alicia JordanVice President

Mark RuddellVice President

Christopher ThomasonVice President

Central Insurance Services

Ross BarnettePresident

Tom FrancisVice President

Rob WesselVice President

Justin WhippleVice President

Steven P. WrightVice President

Don YadenVice President

Chris HarrisonAssistant Vice President

Andrew AlexanderCommercial Insurance Officer

Joanna Gwinn-EstillInsurance Officer

Central Investment Center, Inc.

Jeff GinnanExecutive Vice President & Senior Financial Advisor

Jeff Fields, CRPS®

Vice President & Financial Advisor

Tony BrownFinancial Advisor

72019 THIRD QUARTER REPORT

OFFICERS

Deborah FisherFinancial Advisor

Thomas E. Roberts, CFP®

Financial Advisor

John SaunierFinancial Advisor

Jennifer WilsonFinancial Advisor

Central Bank, Georgetown

Kimberly E. MarshallMarket President

Jennifer J. RobertsVice President

Patricia Voigt Vice President

Andrea SmithVice President

Jennifer PhillipsAssistant Vice President

Mortgage Lending Ashley WeirVice President

Central Bank, Louisville

Mark WheelerMarket President

James E. Evans IISenior Vice President & Senior Market Lender

Amy SullivanSenior Vice President & Senior Market Lender

John Hubbuch, Jr.Vice President

Joan StraferVice President

Credit Analysis

Sandra StanleyAssistant Vice President

Mortgage Lending

Jeanie GammonVice President

Bridgette WingateMortgage Lending Officer

Retail Banking

Edman CundiffVice President

Elaine FawbushAssistant Vice President

Lisa K. KellyAssistant Vice President

Private Banking

Robert SliderSenior Vice President

Mary LittrellVice President

Jim MorrisVice President

M. Trish OsbornVice President

Wealth Management

Bill KaiserVice President

Ballard “Cash” CassadyPersonal Trust Officer

Central Bank, Madison County

Jeff FultzMarket President

Cameron AbneySenior Vice President &Senior Market Lender

Ken RileyVice President

Mortgage Lending Donna HaneyVice President

Central Bank, Nicholasville

Alan S. VanArsdallMarket President

Cathy LoweVice President

Jill SloneAssistant Vice President

Kathy MooreRetail Banking Officer

Brandy OsborneCommercial Lending Officer

Adam RodgersCommercial Lending Officer

Mortgage Lending

Monna Treadway Vice President

Central Bank, Northern Kentucky

James UebelMarket President

Brett BlackwellSenior Vice President &Senior Market Lender

Donald BenzingerSenior Vice President

Matthew E. EilersVice President

Karen J. HomanVice President

Amy RobertsVice President

JB SchmidtCommercial Lending Officer

Mortgage Lending

Dennis BarnesVice President

Dottie DawsonMortgage Lending Officer

Retail Banking

Steven GillespieVice President

Mark MintonVice President

Diana WebsterVice President

Private Banking

John FinleySenior Vice President

Karen HartigVice President

Larry LuebbersVice President

Wealth Management

Jeff AugsbackTrust Officer

Central Bank, Winchester

Glenn LeveridgeMarket President

Tim M. DuncanSenior Vice President

Tammy M. CarrollVice President

Lisa T. EarlywineVice President

Erica ParksAssistant Vice President

OFFICERS

8

92019 THIRD QUARTER REPORT

OFFICERS

Deborah R. BanksRetail Banking Officer

Crystal HuntRetail Banking Officer

Mortgage Lending

Paula BeebeVice President

Lee ColemanVice President

Central Bank & Trust Co. is a wholly owned subsidiary of Central Bancshares, Inc.

centralbank.com(859) 253-6222

(800) 637-6884

Member FDIC