Note 2. Merger Effective April 30, 2018, the Company merged with First West Virginia Bancorp, Inc. (FWVB), the holding company for Progressive Bank, N.A. (PB), a national association. In addition, effective April 30, 2018, PB merged in the Bank. The FWVB merger enhanced the Banks exposure into the core of the PA-WV-OH Tri-State region. Through the FWVB merger, the Company anticipates future revenue and earnings growth from an expanded menu of financial services offered through the Companys branch network in the Ohio Valley. The FWVB merger resulted in the addition of eight branches and expanded the Companys reach into West Virginia with seven branches and one branch in Eastern Ohio. The FWVB merger value was approximately $51.3 million. In connection with the FWVB merger, the Company issued 1,317,647 shares of common stock based on the Companys closing stock price on April 30, 2018, of $31.9068, and paid cash consideration of $9.8 million in exchange for all the outstanding shares of FWVB common stock. Merger-related expenses are recorded in the Consolidated Statement of Income and include costs relating to the Companys acquisition of FWVB, as described above. These charges represent one -time costs associated with acquisition activities and do not represent ongoing costs of the fully integrated combined organization. Accounting guidance requires that acquisition-related transactional and restructuring costs incurred by the Company be charged to expense as incurred. There were approximately $1.2 million of cumulative merger-related expenses, of which $24,000, were recorded in the Consolidated Statement of Income for the three months ended March 31, 2018. As of the date of merger, FWVB had approximately $334.0 million of assets, $96.8 million of loans, and $282.9 million of deposits held across a network of 8 branches located in West Virginia and eastern Ohio. The Company stockholders and FWVB stockholders now own approximately 76% and 24% of the combined company, respectively. The FWVB merger was accounted for as an acquisition in accordance with the acquisition method of accounting as detailed in Accounting Standards Codification ("ASC") 805, Business Combinations . The acquisition method of accounting requires an acquirer to recognize the assets acquired and the liabilities assumed based on their fair values as of the date of acquisition. This process is heavily reliant on measuring and estimating the fair values of all the assets and liabilities of the acquired entity. To the extent we did not have the requisite expertise to determine the fair values of the assets acquired and liabilities assumed, we engaged third -party valuation specialists to assist us in determining such values. The preliminary results of the fair value evaluation generated goodwill and intangible assets. Goodwill represents the excess of the cost of an acquisition over the fair value of the net assets acquired. Other intangible assets represent purchased assets that lack physical substance but can be distinguished from goodwill because of contractual obligations or other legal rights. The assets acquired and liabilities assumed of FWVB were recorded on the Companys Consolidated Statement of Financial Condition at their estimated fair values as of April 30, 2018. Based on a purchase price allocation, the Company recorded $23.5 million in goodwill and $9.1 million in core deposit intangibles related to the FWVB acquisition. None of the goodwill is deductible for income tax purposes, as the acquisition is accounted for as a tax-free exchange for tax purposes. The fair value of the assets acquired and liabilities assumed in the FWVB merger were as follows (dollars in thousands): Consideration Paid: Provision at June 30, 2018 Measurement Period Adjustments December 31, 2018 Cash Paid for Redemption of FWVB Common Stock $ 9,801 $ 9,801 CB Financial Common Stock Issued in Exchange for FWVB Common Stock 41,527 41,527 Total Consideration Paid 51,328 - 51,328 Assets Acquired: Cash and Cash Equivalents 30,433 30,433 Net Loans 95,456 95,456 Investment Securities 187,628 187,628 Premises and Equipment 13,047 (9,335 ) 3,712 Bank Owned Life Insurance 4,212 4,212 Core Deposit Intangible 12,789 (3,662 ) 9,127 Deferred Tax Assets (87 ) 1,411 1,324 Other Assets 3,030 3,030 Total Assets Acquired 346,508 (11,586 ) 334,922 Liabilities Assumed: Deposits 281,620 281,620 Borrowings 22,329 22,329 Other Liabilities 3,117 3,117 Total Liabilities Assumed 307,066 - 307,066 Total Identifiable Net Assets 39,442 (11,586 ) 27,856 Goodwill Recognized $ 11,886 11,586 $ 23,472 As part of the FWVB merger, the Company identified FWVB employees who would be retained and estimated a severance costs of $100,000 if those employees were terminated without cause within the first year of the merger. For the three months ended March 31, 2019, the Company paid out $52,000 in severance cost according to the FWVB merger agreement.