AmeriServ Financial Inc. Receives $21 Million of Capital From the Small Business Lending Fund

AmeriServ Financial, Inc. ASRV today reported that it received $21 million from the Small Business Lending Fund. The SBLF is a voluntary program sponsored by the U.S. Department of Treasury that encourages small business lending by providing capital to qualified community banks at favorable rates. The initial interest rate on the SBLF funds will be 5% and may be decreased to as low as 1% if growth thresholds are met for outstanding small business loans. AmeriServ Financial Inc. used the SBLF proceeds to repurchase $21 million of outstanding preferred shares issued under the TARP Capital Purchase Program. AmeriServ Financial Inc. also plans to proceed with the repurchase of the stock purchase warrant associated with the TARP Capital Purchase Program.