−Removed: The Company is providing the disclosure below and supplementing the risk factors described in “Risk Factors” in Item 1A of our 2019 10-K and Item 1A of our Form 10-Q for the quarter ended March 31, 2020 with the risk factors set forth below.
+Added: The Company is providing the disclosure below and supplementing the risk factors described in “Risk Factors” in Item 1A of our 2019 10-K and Item 1A of our Forms 10-Q for the quarters ended March 31, 2020 and June 30, 2020 with the risk factors set forth below.
The information in this Form 10-Q should be read in conjunction with the risk factors described on our 2019 10-K and the information under “Forward-Looking Statements” in this Form 10-Q and in our 2019 10-K.
5 unchanged sentences
A significant decline in general economic conditions caused by inflation, recession, tariffs, unemployment, changes in securities markets, changes in housing market prices, geopolitical uncertainties, natural disasters, pandemics and election outcomes or other factors could impact economic conditions and, in turn, could have a material adverse effect on our financial condition and results of operations.
−Removed: In particular, the COVID-19 (also referred to as novel coronavirus) outbreak, which has been declared a global pandemic by the World Health Organization, has significantly and negatively impacted financial markets and economic conditions in the United States and globally.
+Added: In particular, the COVID-19 (also referred to as novel coronavirus) outbreak, which has been declared a global pandemic by the World Health Organization, has significantly and negatively impacted financial markets and economic conditions in our markets, the United States and globally.
+Added: Recently, Minnesota and Wisconsin have been experiencing an increase in COVID-19 cases, which could further impact conditions in our markets.
As a result, consumer confidence and consumer credit factors have been, and may be further, negatively impacted.
16 unchanged sentences
An increase in interest rates or weakening economic conditions (such as high levels of unemployment), including weakening economic conditions as a result of the COVID-19 pandemic, has and could further adversely impact the ability of borrowers to repay outstanding loans, or could substantially weaken the value of collateral securing those loans.
−Removed: As of June 30, the Bank had completed $197.3 million of loan modifications due to COVID-19-related borrower requests, all of which were done in the second quarter of 2020.
+Added: As of September 30, 2020, the Bank had $126.7 million of loan modifications remaining due to pandemic-related borrower requests.
See “Allowance for Loan Losses” for discussion of COVID-19 qualitative factors, and related provision for loan losses.
14 unchanged sentences
In addition, any resulting downward pressure on real estate values could increase the potential for problem loans and thus have a direct impact on our consolidated results of operations.
−Removed: We have begun to participate as an approved lender pursuant to the Paycheck Protection Program, which was established under the congressionally-approved Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”) and is administered by the U.S.
+Added: We participate as an approved lender pursuant to the Paycheck Protection Program, which was established under the congressionally-approved Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”) and is administered by the U.S.
Small Business Administration (the “SBA”).
−Removed: The Paycheck Protection Program is a $349 billion loan program, which gives small businesses and self-employed individuals guaranteed loans and loan forgiveness to stay in business during the COVID-19 pandemic, subject to certain requirements.
−Removed: These first come, first-served loans are available until June 30, 2020, or until the funds are depleted.
−Removed: All banks are allowed to participate in the Paycheck Protection Program, provided they obtain approval from the SBA.
−Removed: As an SBA-approved lender, we have secured more than $137 million in authorized funding for our customers under the Paycheck Protection Program.
−Removed: While we anticipate that our participation in the Paycheck Protection Program will have a positive impact on our financial condition, we cannot predict the extent of the loans we will be able to secure for our customers or the extent of the impact on our business.
−Removed: As a result of factors including the fact that the Paycheck Protection Program is a new program that was created urgently in response to the COVID-19 outbreak, lenders and customers have experienced, and may experience further, challenges in the application process and administration.
+Added: The Paycheck Protection Program gives small businesses and self-employed individuals guaranteed loans and loan forgiveness to stay in business during the COVID-19 pandemic, subject to certain requirements.
+Added: As an SBA-approved lender, we secured more than $139 million in authorized funding for our customers under the Paycheck Protection Program.
+Added: As a result of factors including the fact that the Paycheck Protection Program is a new program that was created urgently in response to the COVID-19 outbreak, lenders and customers have experienced, and may experience further, challenges in the administration and debt forgiveness process.
While governmental and non-governmental organizations are engaging in efforts to combat the spread and severity of the COVID-19 pandemic and related public health issues, these measures may not be effective.
1 unchanged sentence
Such events or conditions could result in regulation or restrictions affecting the conduct of our business in the future.
+Added: UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS
+Added: (a) Not applicable.
+Added: (b) Not applicable.
+Added: (c) Not applicable.
+Added: DEFAULTS UPON SENIOR SECURITIES
+Added: Not applicable.
+Added: MINE SAFETY DISCLOSURES
+Added: Not applicable.
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.