increased levels of non-performing assets and charge-offs, increased loan loss provisions and reductions in income.
Additionally, as an integral part of their examination process, bank regulatory agencies periodically review our
allowance for loan losses. The banking agencies could require the recognition of additions to the loan loss allowance
based on their judgment of information available to them at the time of their examination.
Accrual of interest is discontinued on a loan when management believes, after considering economic and
business conditions and collection efforts, that the borrower’s financial condition is such that collection of interest is
doubtful.