RVSB Riverview Bancorp Dashboard

Risks

• The COVID-19 pandemic has adversely affected our ability to conduct business and is expected to adversely impact our future financial results and those of our customers. The ultimate impact will depend on future developments, which are highly uncertain and cannot be predicted, including the scope and duration of the pandemic and actions taken by governmental authorities in response to the COVID-19 pandemic.
• Our business may be adversely affected by downturns in the national and the regional economies on which we depend.
• Our real estate construction and land acquisition and development loans expose us to risk.
• Our emphasis on commercial real estate lending may expose us to increased lending risks.
• The level of our commercial real estate loan portfolio may subject us to additional regulatory scrutiny.
• Our business may be adversely affected by credit risk associated with residential property.
• Loans originated under the SBA Paycheck Protection Program subject us to credit, forgiveness and guarantee risk.
• Repayment of our commercial business loans is often dependent on the cash flows of the borrower, which may be unpredictable, and the collateral securing these loans may fluctuate in value.
• Our allowance for loan losses may prove to be insufficient to absorb losses in our loan portfolio.
• If our investments in real estate are not properly valued or sufficiently reserved to cover actual losses, or if we are required to increase our valuation reserves, our earnings could be reduced.
• Changes in interest rates may reduce our net interest income and may result in higher defaults in a rising rate environment.
• Our securities portfolio may be negatively impacted by fluctuations in market value and interest rates.
• Revenue from mortgage banking operations is sensitive to changes in economic conditions, decreased economic activity, a slowdown in the housing market, higher interest rates or new legislation which may adversely impact our financial condition and results of operations
• A general decline in economic conditions may adversely affect the fees generated by our asset management company.
• We operate in a highly regulated environment and may be adversely affected by changes in federal and state laws and regulations.
• Non-compliance with the USA PATRIOT Act, Bank Secrecy Act, or other laws and regulations could result in fines or sanctions and limit our ability to get regulatory approval of acquisitions.
• If our enterprise risk management framework is not effective at mitigating risk and loss to us, we could suffer unexpected losses and our results of operations could be materially adversely affected.
• We are subject to certain risks in connection with our use of technology.
• Our business may be adversely affected by an increasing prevalence of fraud and other financial crimes.
• We may experience future goodwill impairment, which could reduce our earnings.
• The required accounting treatment of loans we acquire through acquisitions could result in higher net interest margins and interest income in current periods and lower net interest margins and interest income in future periods.
• We rely on other companies to provide key components of our business infrastructure.
• Uncertainty relating to the London Interbank Offered Rate ("LIBOR") calculation process and potential phasing out of LIBOR may adversely affect our results of operations.
• Ineffective liquidity management could adversely affect our financial results and condition.
• Our branching strategy may cause our expenses to increase faster than revenues.
• Our growth or future losses may require us to raise additional capital in the future, but that capital may not be available when it is needed or the cost of that capital may be very high.
• Competition with other financial institutions could adversely affect our profitability.
• Our ability to retain and recruit key management personnel and bankers is critical to the success of our business strategy and any failure to do so could impair our customer relationships and adversely affect our business and results of operations.
• Managing reputational risk is important to attracting and maintaining customers, investors and employees.
• We rely on dividends from the Bank for substantially all of our revenue at the holding company level.