Your Community Bank to acquire First Federal Savings Bank
STAFF REPORT
Tuesday, April 22, 2014, 2 p.m. — Change is in store for a longtime 
Bardstown financial institution following the announcement that First Federal Savings Bank of Elizabethtown is being acquired by Community Bank Shares of Indiana, the holding company for Your Community Bank.
The $18 million dollar deal announced Tuesday means all of First Federal’s branches — including two in Bardstown — will become branches of Your Community Bank. Once the deal is finalized, the move will expand Community Bank Shares of Indiana’s footprint to 41 branch offices throughout Indiana and Kentucky and increase its assets to $1.6 billion.
First Federal operates branches at 315 N. Third St. and 401 E. John Rowan in Bardstown.
“We are excited to add to our presence in the Louisville and Bardstown markets, while expanding into Elizabethtown and neighboring communities,” James D. Rickard, president and CEO of Community Bank Shares of Indiana, said in a press release.
As part of the deal, Community Bank Shares will acquire all of First Financial’s outstanding preferred stock that was issued in the Troubled Assets Relief Program, according to the release.
The outstanding shares will be redeemed once the acquisition is complete for about $12.3 million, plus accrued but unpaid interest, according to the release. No cash will change hands as part of the deal.
The deal is still subject to First Financial Service Corp. and Community Bank Shares shareholder approvals and regulatory approvals. The deal is expected to close in the late third or fourth quarter of 2014, according to the release.
Community Bank Shares of Indiana is a bank holding company with $846 million in total assets as of March 31, 2014.
First Financial Service Corp., through its wholly owned subsidiary First Federal Savings Bank of Elizabethtown, has 17 offices in Kentucky, including seven offices in the Louisville metro area. As of Dec. 31, 2013, First Financial Service Corp. had about $859 million in total assets, $467 million in loans and $783 million in deposits.
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