November 23, 2009 (FinancialWire) — PremierWest Bancorp (NASDAQ: PRWT), parent company of PremierWest Bank, announced that on November 18, 2009, it filed a registration statement with the Securities and Exchange Commission concerning an offering of its common stock.

PremierWest plans to conduct a rights offering in which its shareholders, as of a record date to be established, would receive non-transferable subscription rights to purchase newly issued shares of PremierWest common stock. In the event subscriptions for all available shares are not obtained from existing shareholders, PremierWest anticipates entering into agreements with certain institutional and high net worth investors pursuant to which these standby purchasers would purchase any such shares.

All shares in the offering would be sold at the same price. The gross proceeds from the offering are expected to be $36 million. Shareholders who exercise all of their basic subscription rights would also be able to subscribe for a pro rata portion of the shares not subscribed for by other stockholders. D.A. Davidson & Co. is acting as financial adviser to PremierWest. The sale of shares in the offering is conditioned on approval by the shareholders of PremierWest of an increase in the authorized common shares to 150 million.

PremierWest intends to use the proceeds of the common stock offering to improve our regulatory capital position, to invest in PremierWest Bank to improve its regulatory capital position and to retain the remainder of any proceeds at PremierWest for general corporate purposes.

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