First Community Bancshares Announces Successful Capital Raise, $19 Million Private Placement

First Community Bancshares, Inc. FCBC today announced that it completed, on May 20, 2011, a $19 million private placement of its 6.00% Series A noncumulative, convertible preferred stock. "We are very pleased to have raised this level of growth capital in a limited private placement," commented Chief Executive Officer John M. Mendez. "This new capital adds to the foundation from which we will execute our strategic growth plan.  Opportunities abound in today's marketplace, and with our strong capital and earnings profile, we are prepared to take advantage of those opportunities that offer strategic fit and strong returns." The Company limited the private placement to a small number of accredited investors. The convertible preferred shares carry a dividend rate of 6%. Each $1,000 liquidation value share of Series A preferred stock is convertible into 69 shares of First Community common stock at any time by the holder. The Company may redeem the shares at par after three years and the preferred shares mandatorily convert after five years.