Note 8 - Related Party Transactions

3 Months Ended

Mar. 31, 2020

Note

Related Party Transactions

In conducting its business, FNCB has engaged in, and intends to continue to engage in, banking and financial transactions with directors, executive officers and their related parties.

FNCB has granted loans, letters of credit and lines of credit to directors, executive officers and their related parties. The following table summarizes the changes in the total amounts of such outstanding loans, advances under lines of credit, net of any participations sold, as well as repayments during the

three

months ended

March 31, 2020

and

2019

	For the Three Months Ended March 31,
(in thousands)	2020			2019
Balance, beginning of period	$	77,897		$	64,634
Additions, new loans and advances		17,553			17,089
Repayments		(12,632	)		(9,573	)
Balance, end of period	$	82,818		$	72,150

March 31, 2020

there were

loans made to directors, executive officers and their related parties that were

not

performing in accordance with the terms of the loan agreements.

Deposits from directors, executive officers and their related parties held by the Bank at

March 31, 2020

and

December 31, 2019

amounted to

$116.9

million and

$84.1

million, respectively, an increase of

$32.7

million. Interest paid on the deposits amounted to

$120

thousand and

$119

thousand for the

three

months ended

March 31, 2020

and

2019

, respectively.

In the course of its operations, FNCB acquires goods and services from, and transacts business with, various companies of related parties, which include, but are

not

limited to, employee health insurance, fidelity bond and errors and omissions insurance, legal services, rent and repair of repossessed automobiles for resale. FNCB recorded payments to related parties for goods and services of

$490

thousand and

$528

thousand for the

three

months ended March

31,

2020

and

2019,

respectively.