Item 1A. Risk Factors
Item 1A. Risk Factors
For information regarding the risk factors that could affect the Company’s business, results of operations, financial condition and liquidity, see the information under Part I, Item 1A. “Risk Factors” in the Form 10-K filed with the SEC on March 7, 2024, which is accessible on the SEC’s website at www.sec.gov. The following risk factor represent an update and addition to the risk factors previously disclosed in the Company’s Form 10-K, filed with the SEC on March 7, 2024.
Damage resulting from Hurricane Helene and similar future events could have a negative impact on the Company's business, financial condition and results of operations.
Many communities in western North Carolina suffered significant damage resulting from Hurricane Helene. At this time, it is unclear to what extent our customers have been affected by uninsured business interruption, property destruction and other related losses, and how those events may affect each customer's ability to meet its debt service obligations. Similar future events could potentially cause widespread property damage, require the relocation of an unprecedented number of residents and business operations, and severely disrupt normal economic activity in our market areas, which may have an adverse effect on our operations, loan originations and deposit base. The occurrence of any such event could have a material adverse effect on our business, financial condition and results of operations. While we have increased the allowance for credit losses by $669,000 as an estimate of expected losses associated with Hurricane Helene, additional reserve could be needed as we continue to assess the impact of Hurricane Helene on our customers.
41
Table of Contents
Text extracted from the filing as submitted to EDGAR. Formatting, tables and exhibits are simplified for reading; the original document is authoritative for anything you rely on.