Content analysis
?Positive | ||
Negative | ||
Uncertain | ||
Constraining | ||
Legalese | ||
Litigous | ||
Readability |
H.S. sophomore Avg
|
Financial report summary
?Competition
Data WarehouseRisks
- The majority of our assets are loans, which if not repaid would result in losses to the Bank.
- We are subject to lending concentration risks.
- Our ability to grow our loan portfolio may be hampered.
- MARKET AND INTEREST RATE RISK
- Difficult or volatile market conditions in the national financial markets, the U.S. economy generally, or our markets in particular may adversely affect our lending activity or other businesses, as well as our financial condition.
- Changes in interest rates could adversely affect our results of operations and financial condition.
- The performance of our investment securities portfolio is subject to fluctuation due to changes in interest rates and market conditions, including credit deterioration of the issuers of individual securities.
- We may be materially and adversely affected by the creditworthiness and liquidity of other financial institutions.
- A lack of liquidity could adversely affect our operations and jeopardize our business, financial condition or results of operations.
- Failure to address the federal debt ceiling in a timely manner, downgrade of the U.S. credit rating, and uncertain credit and financial market conditions may affect the stability of securities issued or guaranteed by the federal government, which may adversely affect the valuation or liquidity of our investment securities portfolio and increase future borrowing costs.
- Our mortgage revenue is cyclical and is sensitive to the level of interest rates, changes in economic conditions, decreased economic activity, and slowdowns in the housing market.
- The value of our mortgage servicing rights asset is subjective by nature and may be vulnerable to inaccuracies or other events outside our control.
- Decreased residential mortgage origination volume and pricing decisions of competitors may adversely affect our profitability.
- We may incur costs, liabilities, fines and other sanctions if we fail to satisfy our mortgage loan servicing obligations.
- LEGAL, REGULATORY AND COMPLIANCE RISK
- We are subject to significant government regulation and supervision.
- Applicable laws and regulations restrict both the ability of the Bank to pay dividends to us and our ability to pay dividends to our shareholders.
- As the parent company of the Bank, the Federal Reserve may require us to commit capital resources to support the Bank.
- Our financial condition may be affected negatively by the costs of litigation.
- TECHNOLOGY AND OPERATIONAL RISKS
- We rely on third-party vendors to provide services that are integral to the operation of our business.
- Our risk management framework may not be effective in mitigating risks and/or losses to us.
- System failure or breaches of our network security, including cyber-attacks or data security breaches, could subject us to increased operating costs as well as litigation among other liabilities.
- The financial services industry is undergoing rapid technological changes and we may not have the resources to implement new technology to stay current with these changes.
- We are subject to certain operational risks, including, but not limited to, client or employee fraud.
- The impact of widespread health emergencies, catastrophic events, or natural disasters adversely affect our business, financial condition, liquidity, and results of operations.
- STRATEGIC AND OTHER BUSINESS RISKS
- Our strategy of pursuing acquisitions exposes us to risk.
- We have a shareholder who owns a significant portion of our stock and that shareholders' interests in our business may be different than our other shareholders.
- We could be required to write down goodwill and other intangible assets.
- We face strong competition from financial services companies and other companies that offer banking services.
- Holders of our subordinated debentures have rights that are senior to those of our common shareholders.
- New lines of business, products, product enhancements or services may subject us to additional risks.
- Consumers may decide not to use banks to complete their financial transactions.
- We depend on the accuracy and completeness of information about customers.
- Negative publicity could impact our reputation.
- Recent volatility in the banking industry, and responsive measures to manage it, could have an adverse effect on our financial position or results of operations.