Eagle Financial Services (EFSI)

Risks

• The Company’s concentration in loans secured by real estate may increase its credit losses, which would negatively affect our financial results.
• An inadequate allowance for loan losses would reduce our earnings.
• The ongoing COVID-19 pandemic and measures intended to prevent its spread may adversely affect our business, financial condition and operations; the extent of such impacts are highly uncertain and difficult to predict.
• The Company’s operations may be adversely affected by cyber security risks.
• Failure to keep pace with technological change could adversely affect our business.
• The Company’s success depends upon its ability to manage interest rate risk.
• The Company’s success depends upon its ability to compete effectively in the banking industry.
• The Company could be adversely affected by economic conditions in its market area.
• The soundness of other financial institutions could adversely affect us.
• The Company may not be able to successfully manage its growth or implement its growth strategy, which may adversely affect results of operations and financial condition.
• Severe weather, natural disasters, acts of war or terrorism, geopolitical instability, public health issues, and other external events could significantly impact the Company's business.
• The Company relies heavily on its senior management team and the unexpected loss of key officers could adversely affect operations.
• Government measures to regulate the financial industry, including the Dodd-Frank Act, subject us to increased regulation and could adversely affect us.
• The Bank is subject to stringent capital and liquidity requirements as a result of the Basel III regulatory capital reforms and the Dodd-Frank Act.
• Increasing scrutiny and evolving expectations from customers, regulators, investors, and other stakeholders with respect to environmental, social and governance (ESG) practices may impose additional costs on the Company or expose it to new or additional risks.
• Climate change and related legislative and regulatory initiatives may result in operational changes and expenditures that could significantly impact the Company’s business.
• There can be no assurances concerning continuing dividend payments.
• The stock market can be volatile, and fluctuations in our operating results and other factors could cause our stock price to decline.