15 unchanged sentences
The policy limits acceptable fluctuations in net interest income from the baseline (flat rates) one-year scenario and variances in the economic value of equity from the baseline values based on current rates.
−Removed: Table XI, which follows this discussion, is based on the results of calculations performed using the simulation model as of March 31, 2024 and December 31, 2023.
−Removed: In the analysis based on March 31, 2024 and December 31, 2023 data, the amounts of net interest income decrease, as compared to the amounts based on current interest rates, in both the upward and downward rate scenarios.
−Removed: Further, at March 31, 2024 and December 31, 2023, the economic value of equity is modeled to decrease in all of the rising and falling rate scenarios.
+Added: Table XI, which follows this discussion, is based on the results of calculations performed using the simulation model as of June 30, 2024 and December 31, 2023.
+Added: In the analysis based on June 30, 2024 and December 31, 2023 data, the amounts of net interest income decrease, as compared to the amounts based on current interest rates, in both the upward and downward rate scenarios.
+Added: Further, at June 30, 2024 and December 31, 2023, the economic value of equity is modeled to decrease in all of the rising and falling rate scenarios.
The modeling results reflect the impact of management’s assumptions that, in light of the significant increases in short-term interest rates that have occurred since early 2022, the Corporation’s deposit rates would rise in the increasing rate scenarios to a greater extent than they would fall in the decreasing rate scenarios.
1 unchanged sentence
The Table also shows that as of the respective dates, the changes in net interest income and changes in economic value were within the policy limits in all scenarios.
+Added: In Table XI, the modeled economic value of equity is higher in all rate scenarios at June 30, 2024 as compared to December 31, 2023.
+Added: The increase was mainly caused by an overall increase in the assumed lives of nonmaturity deposits used in the June 30, 2024 analysis based on an updated study completed in the second quarter 2024.
generally accepted accounting principles, available-for-sale debt securities are carried at fair value as of each balance sheet date.
−Removed: The difference between amortized cost and fair value of available-for-sale debt securities, net of deferred income tax, is included in accumulated other comprehensive income (loss) within stockholders’ equity.
−Removed: Increases in interest rates have caused the fair value of the Corporation’s available-for-sale debt securities to decrease, resulting in an accumulated other comprehensive loss of $41.1 million at March 31, 2024.
−Removed: In contrast, most of the Corporation’s other financial instruments, including loans receivable (held for investment),
+Added: The difference between amortized cost and fair value of available-for-sale debt securities, net of deferred income tax, is included
CITIZENS & NORTHERN CORPORATION – FORM 10-Q
−Removed: deposits and borrowed funds are carried on the balance sheet at historical cost without adjustment for the impact of changes in interest rates.
+Added: in accumulated other comprehensive income (loss) within stockholders’ equity.
+Added: Increases in interest rates have caused the fair value of the Corporation’s available-for-sale debt securities to decrease, resulting in an accumulated other comprehensive loss related to securities of $41.7 million at June 30, 2024.
+Added: In contrast, most of the Corporation’s other financial instruments, including loans receivable (held for investment), deposits and borrowed funds are carried on the balance sheet at historical cost without adjustment for the impact of changes in interest rates.
TABLE XI – THE EFFECT OF HYPOTHETICAL CHANGES IN INTEREST RATES
−Removed: March 31, 2024 Data
+Added: June 30, 2024 Data
(In Thousands)
−Removed: Period Ending March 31, 2025
+Added: Period Ending June 30, 2025
Change in Rates
−Removed: Economic Value of Equity at March 31, 2024
+Added: Economic Value of Equity at June 30, 2024
Change in Rates
7 unchanged sentences
Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.