First Keystone Corp (OTC: FKYS)

First Keystone Corp operates as a bank holding company, overseeing its wholly-owned subsidiary, First Keystone Community Bank. The company is registered with and supervised by the Board of Governors of the Federal Reserve System. First Keystone Community Bank functions as a full-service commercial bank, offering a range of financial services to individuals and small to medium-sized businesses in Northeastern Pennsylvania. The bank's operations include accepting various types of deposits and extending secured and unsecured loans, including commercial, real estate, agricultural, and consumer loans. Additionally, the bank provides personal and corporate trust and agency services, such as trust investment accounts, investment advisory services, mutual funds, estate planning, and management of pension and profit-sharing plans.

First Keystone Corp generates revenue primarily through the dividends paid by First Keystone Community Bank. The bank's revenue streams are derived from interest earned on loans and investments, as well as fees from various services offered to its customers. The bank's customer base includes individuals and small to medium-sized businesses in its Northeastern Pennsylvania market area. As of December 31, 2024, the bank had total consolidated assets of approximately $1.4 billion, deposits of $1.0 billion, and stockholders' equity of $107 million.

• Community Banking: First Keystone Community Bank is the sole reportable segment of First Keystone Corp. The bank operates nineteen branch locations across several counties in Pennsylvania, including Columbia, Luzerne, Montour, Monroe, and Northampton. The bank's services cater to a diverse customer base, encompassing individuals and small to medium-sized businesses in the region. The bank's offerings include a wide range of deposit accounts, loan products, and trust and agency services. The bank's business is not seasonal in nature, and it has no foreign loans or highly leveraged transaction loans. Policies adopted by the Board of Directors guide the bank's lending activities.

First Keystone Corp operates within the competitive landscape of the banking industry in Northeastern Pennsylvania. The bank faces competition from various types of financial institutions, including 29 commercial banks, 2 savings banks, 1 savings and loan association, and 32 credit unions. Additionally, the bank competes with non-bank and online firms for loans, mutual funds, and other investment alternatives. Key competitors in the region include AgChoice Farm Credit, FNCB Bank, Citizens Bank, N.A., Fulton Bank, N.A., and Service 1st Federal Credit Union, among others. The bank's competitive advantages lie in its ability to provide a range of competitively priced products, quality consultative service, competitive rates, enhanced online service and offerings, and convenient locations and hours. The bank's strong presence in the Borough of Berwick, where it ranks second in deposit market share with 30.3% of deposits as of June 30, 2024, further solidifies its position in the market.

The bank's customer base consists of individuals and small to medium-sized businesses in Northeastern Pennsylvania. The bank serves a mix of rural communities, small to mid-sized towns, and cities within its primary market area. The current population of the bank's primary five-county footprint has increased by 1.0% since 2020 to 899,000 and is estimated to increase by 1.5% to 913,000 by 2030. The bank's services cater to the financial needs of these communities, providing a wide range of products and services to meet their diverse requirements.