Financial Performance - Net income for the three months ended June 30, 2021, was $5.6 million, or $0.24 diluted earnings per share, compared to $2.0 million, or $0.08 diluted earnings per share, for the same period in 2020[146] - Net income for the three months ended June 30, 2021, was $5.7 million, or $0.24 per diluted share, a 179.7% increase from $2.0 million, or $0.08 per diluted share, for the same period in 2020[179] - Net income for the six months ended June 30, 2021, was $11.4 million, or $0.47 diluted earnings per share, compared to $4.1 million, or $0.16 diluted earnings per share, for the same period in 2020[201] Interest Income and Margin - Net interest income increased by $2.7 million, or 18.0%, to $17.8 million for the three months ended June 30, 2021, from $15.1 million for the same period in 2020[147] - Net interest income for the six months ended June 30, 2021, was $35.8 million, up from $29.6 million in 2020[201] - The net interest margin was 3.06% for the three months ended June 30, 2021, compared to 2.74% for the same period in 2020[147] - The net interest margin for the six months ended June 30, 2021, was 3.15%, compared to 2.80% for the same period in 2020[204] Loan Loss Provision and Credit Quality - The provision for loan losses was a credit of $1.2 million for the three months ended June 30, 2021, compared to a provision of $2.5 million for the same period in 2020[146] - The provision for loan losses for the three months ended June 30, 2021, was a credit of $1.2 million, compared to a provision of $2.5 million for the same period in 2020, reflecting an improvement in economic forecasts[194] - Nonperforming loans totaled $6.0 million, or 0.34% of total loans, down from $7.8 million, or 0.45% at December 31, 2020[171] - The allowance for loan losses as a percentage of total loans was 1.12% at June 30, 2021, compared to 1.20% at December 31, 2020[171] Loan Portfolio and PPP Loans - Total PPP loans decreased by $61.7 million, or 36.9%, from $167.3 million at December 31, 2020, to $105.5 million at June 30, 2021[153] - The Company processed 1,341 PPP loan forgiveness applications totaling $196.7 million as of June 30, 2021[154] - Modifications granted under the CARES Act declined to $57.0 million, or 3.2% of total loans, excluding PPP loans, as of June 30, 2021[157] - The Company anticipates that the majority of the PPP loan portfolio will be repaid through forgiveness by the end of 2021[154] Assets and Deposits - As of June 30, 2021, total assets increased by $110.7 million, or 4.7%, to $2.5 billion compared to December 31, 2020[166] - Core deposits increased by $279.2 million, or 19.3%, from December 31, 2020, to $1.7 billion, or 79.2% of total deposits[172] - Average demand deposits increased by $98.4 million, or 19.5%, to $603.3 million, representing 27.9% of total average deposits[191] - Average demand deposits increased by $135.8 million, or 30.4%, from $446.7 million for the six months ended June 30, 2020, to $582.5 million for the same period in 2021[212] Expenses and Efficiency - Non-interest income increased by $322,000, or 15.4%, to $2.4 million for the three months ended June 30, 2021, with service charges and fees rising by $516,000, or 33.1%[196] - Non-interest expense rose by $1.4 million, or 11.7%, to $13.7 million for the three months ended June 30, 2021, driven by a $887,000 increase in salaries and benefits[199] - The efficiency ratio improved to 66.1% for the three months ended June 30, 2021, from 71.5% in the same period in 2020[199] - Non-interest expense increased by $2.4 million, or 9.9%, to $27.0 million for the six months ended June 30, 2021[220] Capital and Borrowing - Shareholders' equity was $223.7 million, or 9.0% of total assets, as of June 30, 2021, down from $226.6 million, or 9.6% at December 31, 2020[175] - The Company authorized a stock repurchase plan to repurchase up to 2.4 million shares, or 10% of its outstanding common stock[177] - Total Capital to Risk Weighted Assets for the consolidated entity was $261,914 thousand, representing a ratio of 15.19% as of June 30, 2021, exceeding the minimum requirement of 8.00%[230] - At June 30, 2021, the company had $511.7 million in available borrowing capacity with the FHLB[226] Tax and Other Considerations - The effective tax rate increased to 27.0% for the three months ended June 30, 2021, compared to 18.6% for the same period in 2020, due to higher pre-tax projected income[200] - Income tax expense for the six months ended June 30, 2021, was $3.9 million, with an effective tax rate of 25.5%[221] - The company reported no off-balance sheet arrangements that could materially affect its financial condition[233] - There have been no material changes in the company's assessment of sensitivity to market risk since the 2020 Annual Report[234]

PART I [Financial Statements (Unaudited)](index=6&type=section&id=Item%201.%20Financial%20Statements%20of%20Western%20New%20England%20Bancorp%2C%20Inc.%20and%20Subsidiaries%28Unaudited%29) This section presents Western New England Bancorp, Inc.'s unaudited consolidated financial statements, including balance sheets, income, comprehensive income, equity, and cash flows, with detailed notes [Consolidated Balance Sheets](index=6&type=section&id=Consolidated%20Balance%20Sheets%20%E2%80%93%20March%2031%2C%202021%20and%20December%2031%2C%202020) Total assets increased to **$2.46 billion** by March 31, 2021, driven by cash and deposits, while shareholders' equity slightly decreased Consolidated Balance Sheet Highlights (in thousands) | Account | March 31, 2021 | December 31, 2020 | | :--- | :--- | :--- | | Cash and cash equivalents | $132,124 | $87,444 | | Loans, net | $1,903,641 | $1,906,226 | | Total Assets | $2,463,529 | $2,365,886 | | Total deposits | $2,154,133 | $2,038,130 | | Total Liabilities | $2,240,673 | $2,139,246 | | Total Shareholders' Equity | $222,856 | $226,640 | [Consolidated Statements of Net Income](index=7&type=section&id=Consolidated%20Statements%20of%20Net%20Income%20%E2%80%93%20Three%20Months%20Ended%20March%2031%2C%202021%20and%202020) Net income significantly increased to **$5.8 million** in Q1 2021, driven by higher net interest income and a lower provision for loan losses Net Income Performance (in thousands, except per share data) | Metric | Q1 2021 | Q1 2020 | | :--- | :--- | :--- | | Net interest and dividend income | $18,026 | $14,553 | | Provision for loan losses | $75 | $2,100 | | Non-interest income | $3,004 | $2,525 | | Non-interest expense | $13,327 | $12,314 | | Net income | $5,791 | $2,080 | | Diluted earnings per share | $0.24 | $0.08 | [Consolidated Statements of Comprehensive Income](index=9&type=section&id=Consolidated%20Statements%20of%20Comprehensive%20Income%20%E2%80%93%20Three%20Months%20Ended%20March%2031%2C%202021%20and%202020) Comprehensive income decreased to **$2.7 million** in Q1 2021, primarily due to unrealized holding losses on available-for-sale securities Comprehensive Income (in thousands) | Component | Q1 2021 | Q1 2020 | | :--- | :--- | :--- | | Net income | $5,791 | $2,080 | | Other comprehensive (loss) income | $(3,057) | $2,700 | | **Comprehensive income** | **$2,734** | **$4,780** | [Consolidated Statements of Changes in Shareholders' Equity](index=10&type=section&id=Consolidated%20Statements%20of%20Changes%20in%20Shareholders%27%20Equity%20%E2%80%93%20Three%20Months%20Ended%20March%2031%2C%202021%20and%202020) Shareholders' equity decreased to **$222.9 million** due to common stock repurchases and cash dividends, partially offset by comprehensive income - Key activities impacting shareholders' equity in Q1 2021 included net income of **$5.8 million**, an other comprehensive loss of **$3.1 million**, common stock repurchases of **$5.8 million**, and cash dividends of **$1.2 million**[22](index=22&type=chunk)[23](index=23&type=chunk) [Consolidated Statements of Cash Flows](index=12&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows%20%E2%80%93%20Three%20Months%20Ended%20March%2031%2C%202021%20and%202020) Cash and cash equivalents increased by **$44.7 million** in Q1 2021, driven by financing activities, largely from increased deposits, offsetting investing outflows Cash Flow Summary (in thousands) | Activity | Q1 2021 | Q1 2020 | | :--- | :--- | :--- | | Net cash provided by operating activities | $11,002 | $12,053 | | Net cash used in investing activities | $(60,260) | $(10,741) | | Net cash provided by financing activities | $93,938 | $622 | | **Net change in cash and cash equivalents** | **$44,680** | **$1,934** | [Notes to Consolidated Financial Statements](index=14&type=section&id=Notes%20to%20Consolidated%20Financial%20Statements) Detailed notes explain accounting policies and financial data, covering loan portfolio, securities, share-based compensation, and subsequent events - The company operates 25 banking offices in Massachusetts and Connecticut, with primary revenue from interest on loans and securities[30](index=30&type=chunk) - The allowance for loan losses methodology was updated in March 2020 to include a qualitative factor for the "Economic Impact of COVID-19"[56](index=56&type=chunk) - Subsequent to the quarter end, the company completed a **$20 million** subordinated notes offering and authorized a new stock repurchase plan for up to **2.4 million** shares[139](index=139&type=chunk)[141](index=141&type=chunk) [Management's Discussion and Analysis (MD&A)](index=44&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses Q1 2021 financial performance, highlighting increased net income driven by higher net interest income and lower loan loss provision, alongside strong financial condition - The company's growth-oriented strategy focuses on increasing commercial and residential lending, growing core deposits, and investing in technology[144](index=144&type=chunk)[146](index=146&type=chunk) - As of March 31, 2021, loan modifications under the CARES Act declined **74%** to **$66.9 million** (**3.8%** of total loans, ex-PPP) from a peak of **$261.0 million**[156](index=156&type=chunk) Paycheck Protection Program (PPP) Loan Status as of March 31, 2021 | Round | Original Loan Amount ($M) | Original of Loans | Balance Outstanding ($M) | of Loans Remaining | | :--- | :--- | :--- | :--- | :--- | | Round 1 and 2 | $223.1 | 1,386 | $98.5 | 340 | | Round 3 | $71.6 | 660 | $71.6 | 660 | | **Total** | **$294.7** | **2,046** | **$170.1** | **1,000** | [Comparison of Financial Condition](index=49&type=section&id=COMPARISON%20OF%20FINANCIAL%20CONDITION%20AT%20MARCH%2031%2C%202021%20AND%20DECEMBER%2031%2C%202020) Total assets grew by **$97.6 million** to **$2.5 billion** in Q1 2021, driven by increased cash and investment securities, with deposits rising and equity slightly decreasing - Total assets increased by **$97.6 million**, or **4.1%**, from December 31, 2020[166](index=166&type=chunk) - Core deposits grew by **$183.5 million**, or **12.7%**, representing **75.7%** of total deposits, up from **71.0%** at year-end 2020[169](index=169&type=chunk) - Nonperforming loans decreased to **$6.8 million** (**0.39%** of total loans, ex-PPP) from **$7.8 million** (**0.45%** of total loans, ex-PPP) at year-end 2020[168](index=168&type=chunk) [Comparison of Operating Results](index=50&type=section&id=COMPARISON%20OF%20OPERATING%20RESULTS%20FOR%20THE%20THREE%20MONTHS%20ENDED%20MARCH%2031%2C%202021%20AND%20MARCH%2031%2C%202020) Net income significantly increased in Q1 2021, driven by higher net interest income from lower funding costs and a sharp decrease in loan loss provision - Net interest income increased by **$3.5 million** (**23.9%**) YoY, primarily due to a **$3.8 million** (**65.6%**) decrease in interest expense[183](index=183&type=chunk) - The provision for loan losses decreased by **$2.0 million** (**96.4%**) YoY, reflecting a more stable economic outlook[190](index=190&type=chunk) - The net interest margin (tax-equivalent) expanded to **3.26%** from **2.89%** in Q1 2020, benefiting from lower deposit costs[185](index=185&type=chunk) - Non-interest income increased by **$479,000** (**19.0%**) YoY, mainly due to a gain on non-marketable equity investments and mortgage banking income[193](index=193&type=chunk) [Liquidity and Capital Resources](index=55&type=section&id=Liquidity%20and%20Capital%20Resources) The company maintains a strong liquidity position with substantial borrowing capacity and regulatory capital ratios exceeding 'well-capitalized' requirements Regulatory Capital Ratios (Bank) as of March 31, 2021 | Ratio | Actual | Minimum to be Well-Capitalized | | :--- | :--- | :--- | | Total Capital (to Risk Weighted Assets) | 13.85% | 10.00% | | Tier 1 Capital (to Risk Weighted Assets) | 12.60% | 8.00% | | Common Equity Tier 1 Capital | 12.60% | 6.50% | | Tier 1 Leverage Ratio | 8.81% | 5.00% | - At March 31, 2021, the company had available borrowing capacity of **$453.3 million** with the FHLB, plus lines of credit with the FRB and correspondent banks[200](index=200&type=chunk)[201](index=201&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=57&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) No material changes in the company's assessment of market risk sensitivity have occurred since its 2020 Annual Report on Form 10-K - There have been no material changes in the company's market risk profile since its 2020 Annual Report[208](index=208&type=chunk) [Controls and Procedures](index=57&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures were effective, with no material changes in internal control over financial reporting during the quarter - The CEO and CFO have certified that the company's disclosure controls and procedures were effective as of March 31, 2021[209](index=209&type=chunk) - No material changes in internal control over financial reporting occurred during the last fiscal quarter[211](index=211&type=chunk) PART II – OTHER INFORMATION [Legal Proceedings](index=58&type=section&id=Item%201.%20Legal%20Proceedings) The company is subject to ordinary legal proceedings, but believes pending matters are covered by insurance or would not materially affect the company - The company reports no material legal proceedings that would have a significant adverse effect on its financial condition[212](index=212&type=chunk) [Risk Factors](index=58&type=section&id=Item%201A.%20Risk%20Factors) No material changes in the company's risk factors have occurred since the filing of its 2020 Annual Report on Form 10-K - No material changes to the company's risk factors are reported for the period since December 31, 2020[213](index=213&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=58&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The company repurchased **711,635** common shares at an average of **$8.12** per share in Q1 2021, with **326,936** shares remaining for repurchase Common Stock Repurchases in Q1 2021 | Period | Total Shares Purchased | Average Price Paid per Share ($) | | :--- | :--- | :--- | | January 2021 | 106,476 | 6.79 | | February 2021 | 52,616 | 8.13 | | March 2021 | 552,543 | 8.37 | | **Total** | **711,635** | **8.12** | - As of March 31, 2021, **326,936** shares were still available for repurchase under the existing plan authorized in October 2020[217](index=217&type=chunk) [Other Information](index=59&type=section&id=Item%205.%20Other%20Information) No other information required for disclosure under this item was reported for the quarter - No information was reported under this item[220](index=220&type=chunk) [Exhibits](index=59&type=section&id=Item%206.%20Exhibits) This section lists exhibits filed with the Form 10-Q, including CEO/CFO certifications and XBRL-formatted financial statements - Exhibits filed include Sarbanes-Oxley Act certifications (302 and 906) and XBRL interactive data files[221](index=221&type=chunk)

Securities and Exchange Commission Washington, D.C. 20549 FORM 10-K ANNUAL REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934 (413)568-1911 (Registrant's telephone number, including area code) Securities registered pursuant to Section 12(b) of the Act: | | | (Name of each exchange on which | | --- | --- | --- | | (Title of each class) | (Trading Symbol) | registered) | | Common Stock, $0.01 par value per | | | | share | WNEB | The NASDAQ Global Select Market | Securities register ...

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ___________ to ___________ Commission File Number: 001-16767 UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2020 or Western New England Bancorp, Inc. (Exact name of registrant as specified in its charter) Massachusetts 7 ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2020 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ___________ to ___________ Commission File Number: 001-16767 Western New England Bancorp, Inc. (Exact name of registrant as specified in its charter) Massachusetts 73-162 ...

☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2020 or UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ___________ to ___________ Commission File Number: 001-16767 Western New England Bancorp, Inc. (Exact name of registrant as specified in its charter) Massachusetts 73-16 ...

United States Securities and Exchange Commission Washington, D.C. 20549 FORM 10-K ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2019 Commission File No.: 001-16767 Western New England Bancorp, Inc. (Exact name of registrant as specified in its charter) Massachusetts 73-1627673 (State or other jurisdiction of incorporation or organization) (I.R.S. Employer Identification No.) 141 Elm Street, Westfield, Massachusetts 01085 (Address ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ___________ to ___________ Commission File Number: 001-16767 Western New England Bancorp, Inc. (Exact name of registrant as specified in its charter) 141 Elm Street, Westfield, Massachusetts 01086 (Address of principal executive offices) (Zip Code) (413) 568-1911 ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2019 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ___________ to ___________ Commission File Number: 001-16767 | Title of each class | Trading | Name of each exchange on which registered | | --- | --- | --- | | | Symbol( ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2019 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ____ to _____ Commission file number 001-16767 Western New England Bancorp, Inc. (Exact name of registrant as specified in its charter) (State or other jurisdiction of i ...