GREAT SOUTHERN BANCORP, INC. 10-Q

Item 1. Legal Proceedings In the normal course of business, the Company and its subsidiaries are subject to pending and threatened legal actions, some of which seek substantial relief or damages. While the ultimate outcome of such legal proceedings cannot be predicted with certainty, after reviewing pending and threatened litigation with counsel, management believes at this time that the outcome of such litigation will not have a material adverse effect on the Company’s business, financial condition or results of operations. As noted in this report under Part I, Item 2, “Management’s Discussion and Analysis of Financial Condition and Results of Operations—Business Initiatives”. Great Southern has previously reported certain issues and contractual disputes regarding its proposed conversion to a new core banking platform to be delivered by a third-party vendor. This ultimately led to Great Southern terminating the Master Agreement with the third-party vendor and initiating litigation against them, with the third-party vendor filing a counterclaim against Great Southern. As of May 1, 2025, the parties have executed a settlement agreement whereby, in pertinent part, the parties will jointly stipulate to a dismissal of all legal actions and the termination of the Master Agreement. Contemporaneously with this action, the parties’ debit card servicing agreement has been extended. Great Southern had previously recorded an accrued expense for these matters in 2024. No additional material expenses are expected to be incurred in the settlement of this matter. Item 1A. Risk Factors There have been no material changes to the risk factors set forth in Part I, Item 1A of the Company’s Annual Report on Form 10-K for the year ended December 31, 2024.