6 unchanged sentences
(1) the potential impact of pandemics and other health emergencies and the government’s response thereto on our operations as well as those of our clients and on the economy generally and in our market area specifically;
−Removed: (2) competitive pressures among depository institutions may increase significantly;
+Added: (2) competitive and technological pressures among financial institutions may increase significantly;
(3) changes in the interest rate environment may reduce interest margins;
8 unchanged sentences
and (12) the outcome of any future regulatory and legal investigations and proceedings may not be anticipated;
+Added: and (13) risks associated with generative artificial intelligence technology.
Further information on other factors that could affect the financial results of Unity Bancorp, Inc.
15 unchanged sentences
The Company and the Bank derive a majority of their revenue from net interest income (i.e., the difference between the interest received on loans and securities and the interest paid on deposits and borrowings).
−Removed: The Company, through the Bank, conducts a traditional and community-oriented commercial banking business and offers services, including personal and business checking accounts, time
−Removed: deposits, money market accounts, savings accounts, credit cards, debit cards, wire transfers, safe deposit boxes, access to automated teller services and internet and mobile banking, typical of a community banking business.
+Added: The Company, through the Bank, conducts a traditional and community-
+Added: oriented commercial banking business and offers services, including personal and business checking accounts, time deposits, money market accounts, savings accounts, credit cards, debit cards, wire transfers, safe deposit boxes, access to automated teller services and internet and mobile banking, typical of a community banking business.
The Bank also offers retirement accounts, Automated Clearing House (“ACH”) origination and Remote Deposit Capture (“RDC”).
1 unchanged sentence
The Company structures its specific services and charges in a manner designed to attract the business of the small and medium sized business, professional community and state and local municipalities, as well as that of individuals residing, working and shopping in its service area.
−Removed: Deposits serve as the primary source of funding for interest-earning assets, but also generate noninterest income through stop payment fees, wire transfer fees, insufficient fund fees, debit card income, foreign ATM fees, interchange and other miscellaneous fees.
+Added: Deposits serve as the primary source of funding for interest-earning assets, but also generate noninterest income through treasury solution fees, merchant fees, stop payment fees, wire transfer fees, insufficient fund fees, debit/credit card income, foreign ATM fees, interchange and other miscellaneous fees.
In addition, the Bank generates additional noninterest income through residential, commercial and Small Business Administration (“SBA”) loan originations, servicing and sales.
The Company engages in a wide range of lending activities and offers commercial, SBA, consumer, mortgage, home equity and personal loans.
−Removed: Commercial lending is primarily comprised of owner-occupied and non-owner occupied commercial mortgages and is supplemented by commercial and industrial lending activities, secured by business assets including receivables, inventory and equipment.
+Added: Commercial lending is primarily comprised of owner-occupied and non-owner occupied commercial mortgages and is supplemented by commercial and industrial lending activities, secured by business assets including real estate, receivables, inventory and equipment.
Additionally, the Company engages in commercial and residential construction lending activities.
+Added: A significant majority of the Company’s loans are real-estate secured.
Service Areas
The Company’s primary service area is defined as the neighborhoods served by the Bank’s offices.
−Removed: The Bank’s main office is located in Clinton, New Jersey and the Bank operates twenty-one branches primarily along the Route 22/Route 78 corridors with branches in Bergen, Hunterdon, Middlesex, Morris, Ocean, Somerset, Union and Warren counties in New Jersey and Northampton County in Pennsylvania.
+Added: The Bank’s main office is located in Clinton, New Jersey and the Bank operates twenty-two branches primarily along the Route 22/Route 78 corridors with branches in Bergen, Hunterdon, Middlesex, Morris, Ocean, Somerset, Union and Warren counties in New Jersey and Northampton County in Pennsylvania.
Through its banking locations and online services, the Bank is able to support clients throughout the New York City metropolitan area.
9 unchanged sentences
As of December 31, 2025, the Company employed 239 full‑time and 6 part‑time employees.
−Removed: None of the Company’s employees are represented by any collective bargaining units.
−Removed: The Company believes that its relations with its employees are good and believes its ability to attract and retain employees is a key to the Company’s success.
−Removed: Accordingly, the Company strives to offer competitive salaries and employee benefits to all employees and monitors salaries in its market areas.
+Added: None of the Company’s employees are represented by collective bargaining units.
+Added: The Company believes its relations with employees are good and that its ability to attract and retain talent is critical to its success.
+Added: To support this objective, the Company strives to offer competitive salaries and comprehensive employee benefits and regularly monitors compensation levels within its market areas.
+Added: The Company provides medical benefits through a self‑insured health plan.
In addition, the principal purposes of the Company’s equity incentive plans are to attract, retain, and motivate selected employees, consultants, and directors through the granting of stock‑based compensation awards.
161 unchanged sentences
If any subsidiary bank of a financial holding company receives a rating under the CRA of less than "satisfactory", then the financial holding company is prohibited from engaging in new activities or acquiring companies other than bank holding companies, banks or savings associations until the rating is raised to "satisfactory" or better.
+Added: Artificial Intelligence.
+Added: State and federal regulatory agencies have begun adopting rules and guidelines regarding the use of artificial intelligence (“AI”) technologies in connection with the provision of financial services.
+Added: For example, the CFPB and other federal bank regulatory agencies have provided guidance that creditors may be subject to adverse action notice requirements under the Equal Credit Opportunity Act even if they rely on algorithmic underwriting models.
+Added: The New York State Department of Financial Services issued an industry letter on combating cybersecurity risks associated with AI.
+Added: Additionally, on January 23, 2025, President Trump issued an executive order aimed at reducing barriers to AI innovation in the U.S.
+Added: The executive order requires relevant persons and bodies within the federal government to develop an AI action plan to carry out this objective and revokes an AI-related executive order issued in 2023 by President Biden, as well as all corresponding policies, regulations, orders, directives, and other actions taken in response to such order.
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.