Page 1

FOR IMMEDIATE RELEASE April 22 , 2021 CODORUS VALLEY BANCORP , INC . Exhibit 99.1 Codorus Valley Bancorp , Inc. Reports First Quarter 2021 Earnings YORK , Pa . Codorus Valley Bancorp , Inc. ( Codorus Valley , or the Corporation ) ( NASDAQ : CVLY ) , parent company of PeoplesBank , A Codorus Valley Company ( PeoplesBank ) , collectively referred to as the Company , today announced net income of $ 3.9 million or $ 0.40 per share basic and diluted , for the quarter ended March 31 , 2021 , as compared to a net loss of $ 3.0 million or ( $ 0.31 ) per share basic and diluted , for the quarter ended March 31 , 2020 . " Earnings for the first quarter 2021 increased by 230 % over the same period in 2020 as the prior year's earnings were adversely affected by a loss directly attributable to a single , large commercial lending relationship at PeoplesBank , " stated Larry J. Miller , Chairman , President / CEO . Miller added , “ non - interest income increased 29.5 percent in the first quarter , predominately due to higher volumes of mortgages which are being originated and then primarily sold to the secondary market . " The Corporation's net interest income for the three months ended March 31 , 2021 was $ 15.5 million , an increase of $ 110,000 or 0.7 percent when compared to the net interest income of $ 15.4 million for the same period in 2020. The Corporation's tax - equivalent net interest margin was 3.04 percent for the quarter ended March 31 , 2021 compared to the tax - equivalent net interest margin of 3.44 percent for the same period in 2020 . The provision for loan losses for the three months ended March 31 , 2021 was $ 1.2 million compared to $ 9.4 million for the same period in 2020. The decreased provision expense was attributed primarily to a partial charge off arising from a single , large commercial lending relationship during the prior period . Changes in the external environment created by COVID - 19 continue to impact qualitative factors for certain loan segments in the allowance for loan loss analysis . The Corporation's nonperforming assets ratio was 2.55 percent as of March 31 , 2021 , an increase from the nonperforming assets ratio as of March 31 , 2020 of 1.97 percent . As of March 31 , 2021 , management believes the Allowance for Loan Losses is adequate , however , changing economic conditions associated with the COVID - 19 pandemic may require future adjustments .