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SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of
The Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) February 9, 1999
PEOPLES FINANCIAL SERVICES CORP.
(Exact name of registrant as specified in its charter)
Pennsylvania 0-23863 23-2391852
(State or other jurisdiction (Commission (IRS Employer
of incorporation) File Number) Ident. No.)
50 Main Street, Hallstead, Pennsylvania 18822
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (717) 879-2175
N/A
(Former name or former address, if changed since last report.)
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Item 5. Other Events.
The press release, dated February 9, 1999, of Peoples
Financial Services Corp., attached hereto as Exhibit 99.1 is
incorporated herein by reference.
Item 7. Financial Statements and Exhibits.
(a) Exhibits.
The following exhibit is filed herewith:
99.1 Press Release, dated February 9, 1999, of Peoples
Financial Services Corp.
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act
of 1934, the registrant has duly caused this report to be signed
on its behalf by the undersigned hereunto duly authorized.
PEOPLES FINANCIAL SERVICES CORP.
Dated: February 9, 1999
By/s/ John W. Ord
John W. Ord
President and
Chief Executive Officer
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Exhibit 99.1
PRESS RELEASE
Peoples Financial Services Corp., the parent company of Peoples
National Bank, has reported record earnings for 1998.
At year end, net income was $3,405,000, which was 13.08% over the
1997 earnings of $3,011,000. There was growth in all areas but
especially important was net interest income which was up
$582,000 over 1997 according to President and CEO, John W. Ord.
Total assets at year-end 1998 were $247,202,000 compared to year-
end 1997 of $228,720,000 - an increase of 8.1%. Also reported
were net loans at $139,536,000, up 11.5% and deposits at
$209,881,000, an increase of 8.4%.
The company paid shareholders a record $995,407 in cash
dividends, an increase of 35.4% over the $735,292 paid out in
1997. The market value per share at year end was $25.50 compared
to $17.60 at year-end 1997, an increase of 45%. The year-end
1997 stock price was adjusted to reflect the five-for-two stock
split paid in 1998.
In other company news, the Peoples Financial Services Corp. Board
recently declared a cash dividend of $.12 per share payable on
February 12 to shareholders of record January 29, 1999.
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Consolidated Financial Highlights
Dec. 31 Dec. 31 % Inc/
1998 1997 (Dec)
Performance
Net Income 3,405 3,011 13.08%
Return of Average Assets 1.45 1.38 5.07%
Return on Equity 13.23 12.20 8.44%
Shareholders' Value
Net Income(1) 1.56 1.38 13.04%
Dividends(1) .46 .34 35.29%
Book Value(1) 12.42 11.28 10.11%
Market Value(1) 25.50 17.60 44.89%
Market Value/Book Value Ratio 205.31 156.08 31.54%
Price Earnings Multiple 16.35x 12.79x 27.83%
Dividend Payout Ratio 29.23 24.42 19.70%
Dividend Yield 1.80 2.18 (17.43)%
Safety & Soundness
Shareholders' Equity/Asset
Ratio 10.94 10.77 1.58%
Allowance for Loan Loss As
a Percent of Loans 1.21 1.34 (9.70)%
Net Charge Offs/Total Loans .11 .09 22.22%
Allowance for Loan Loss/
Nonaccrual Loans 331.88 163.24 103.31%
Allowance for Loan Loss/
Nonperforming Loans 231.61 94.89 144.08%
Balance Sheet Highlights at December 31, 1998
Total Assets 247,202 228,720 8.08%
Total Investments 93,175 88,149 5.70%
Net Loans 139,536 125,110 11.53%
Allowance for Loan Losses 1,713 1,676 2.21%
Total Deposits 209,881 193,592 8.41%
Shareholders' Equity 27,046 24,644 9.75%
Amounts in Thousands, except per-share
(1) 1997 amounts are adjusted to reflect the five-for-two stock
split effective in September 1998.
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