FCF First Commonwealth Financial Corp.

Risks

• Changes in interest rates could negatively impact our financial condition and results of operations.
• We are subject to extensive government regulation and supervision.
• Our earnings are significantly affected by general business and economic conditions.
• Our allowance for credit losses may be insufficient.
• We may be adversely impacted by the transition from LIBOR as a reference rate.
• Acts of cyber-crime may compromise client and company information, disrupt access to our systems or result in loss of client or company assets.
• We must evaluate whether any portion of our recorded goodwill is impaired. Impairment testing may result in a material, non-cash write-down of our goodwill assets and could have a material adverse impact on our results of operations.
• First Commonwealth relies on dividends from its subsidiaries for most of its revenues.
• Competition from other financial institutions in originating loans, attracting deposits and providing various financial services may adversely affect our profitability.
• Negative publicity could damage our reputation.
• An interruption to our information systems could adversely impact our operations.
• Our controls and procedures may fail or be circumvented.
• We continually encounter technological change.
• We may not be able to attract and retain skilled people.
• Our operations rely on external vendors.
• We are subject to environmental liability risk associated with lending activities.
• Severe weather, natural disasters, acts of war or terrorism and other external events could significantly impact our business.
• We may be adversely affected by the soundness of other financial institutions.
• First Commonwealth’s stock price can be volatile.
• The trading volume in First Commonwealth’s common stock is less than that of other larger financial services companies.
• First Commonwealth may not continue to pay dividends on its common stock in the future.
• An investment in First Commonwealth’s common stock is not an insured deposit.
• Provisions of our articles of incorporation, bylaws and Pennsylvania law, as well as state and federal banking regulations, could delay or prevent a takeover of us by a third party.