Note

- Employee Benefits

The Bank has a profit-sharing plan for the benefit of its employees and their beneficiaries. Contributions to the plan are determined by the Board of Directors of Ohio Valley. Contributions charged to expense were

$264,

$352,

and

$340

for

2019,

2018

and

2017.

Ohio Valley maintains an Employee Stock Ownership Plan (“ESOP”) covering substantially all employees of the Company. Ohio Valley issues shares to the ESOP, purchased by the ESOP with subsidiary cash contributions, which are allocated to ESOP participants based on relative compensation. The total number of shares held by the ESOP, all of which have been allocated to participant accounts, were

365,274

and

360,669

December 31, 2019

and

2018.

In addition, the subsidiaries made contributions to its ESOP Trust as follows:

	Years ended December 31
	2019		2018		2017

Number of shares issued		8,333		7,294		15,118

Fair value of stock contributed	$	328	$	295	$	428

Cash contributed		500		500		250

Total expense	$	828	$	795	$	678

Life insurance contracts with a cash surrender value of

$28,481

and annuity assets of

$2,115

December 31, 2019

have been purchased by the Company, the owner of the policies. The purpose of these contracts was to replace a current group life insurance program for executive officers, implement a deferred compensation plan for directors and executive officers, implement a director retirement plan and implement supplemental retirement plans for certain officers. Under the deferred compensation plan, Ohio Valley pays each participant the amount of fees deferred plus interest over the participant’s desired term, upon termination of service. Under the director retirement plan, participants are eligible to receive ongoing compensation payments upon retirement subject to length of service. The supplemental retirement plans provide payments to select executive officers upon retirement based upon a compensation formula determined by Ohio Valley’s Board of Directors. The present value of payments expected to be provided are accrued during the service period of the covered individuals and amounted to

$7,815

and

$7,267

December 31, 2019

and

2018.

Expenses related to the plans for each of the last

three

years amounted to

$627,

$602,

and

$490.

In association with the split-dollar life insurance plan, the present value of the postretirement benefit totaled

$3,130

December 31, 2019

and

$2,873

December 31, 2018.

During

2017,

the Company collected

$2,107

in proceeds on

two

BOLI policies and recorded

$1,993

in proceeds expected to be received from the settlement of

two

other BOLI policies. This resulted in a

$3,586

reduction to BOLI assets and a net gain of

$514

that was recorded to income. The proceeds of

$1,993

had

not

yet been collected by year-end

2017

and, therefore, were recorded as other assets at

December 31, 2017.

The proceeds were collected in

2018.