M&T Bank (MTB) Risk Factor Changes

mortgage institutions relating to the management of material financial risks from climate change in December 2023.

In addition, laws, regulations, and the expectations of federal and state banking regulators, investors and other stakeholders regarding appropriate climate-related risk management, practices and disclosures are conti…

challenges related to maintaining sufficient qualified personnel due to labor shortages, talent attrition, employee illness and willingness to return to work; and disruptions to business operations at the Company and…

Depending on the impact of pandemics, military conflicts, terrorism and other detrimental or destabilizing global and national events on general economic and market conditions, consumer and corporate spending and inve…

Pandemics; acts of war; military conflicts, including current conflicts in eastern Europe and in the Middle East; or terrorism and other adverse external events, including severe weather and other natural disasters, c…

Moreover, there has been an increased focus by investors and other stakeholders on topics related to corporate policies and approaches relating to environmental, social and governance matters.

The Company's reputation may be harmed, which could negatively impact investor and customer confidence.

assessments and unpredictability of the outcome of legal proceedings, amounts accrued may not represent the ultimate loss to the Company from the legal proceedings in question.

Although the Company establishes accruals for legal proceedings when information related to the loss contingencies represented by those matters indicates both that a loss is probable and that the amount of loss can be…

applicable to the use of AI.

The Company or its third-party vendors, clients or counterparties may develop or incorporate AI technology in certain business processes, services or products.

There have been numerous instances involving financial services and consumer-based companies reporting unauthorized access to and disclosure of client or customer information or the destruction or theft of corporate d…

Information security risks for large financial institutions such as M&T have increased significantly in recent years in part because of the proliferation of new technologies, such as AI and digital and mobile banking…

The Company’s information systems may experience interruptions or breaches in security, such as cyber attacks, including due to events beyond the Company’s control.

the SEC, to adopt rules to require reporting of incentive compensation and to prohibit certain compensation arrangements.

The Company’s compensation practices are subject to review and oversight by the Federal Reserve, the OCC, the FDIC and other regulators.

or community group inquiries, investigations or opposition, including those based on concerns regarding policies or practices related to fair access to financial services; or changes in legislation or the political en…

M&T has expanded its business through acquisitions in the past and may do so in the future.

M&T is a separate and distinct legal entity from its subsidiaries.

its deposits to meet liquidity objectives, it may be subject to paying higher funding costs.

Regulatory changes relating to liquidity and risk management may also negatively impact the Company’s results of operations and competitive position.

In addition, adverse developments at other financial institutions, including failures of other financial institutions, could result in negative media coverage regarding the financial services industry, which may negat…

portfolio, including construction loans, loans secured by office, retail, health services, hospitality and multifamily properties and loans secured by property in the New York City and certain other large metropolitan…

Under the Tailoring Rules, for BHCs designated as Category IV institutions, including M&T, the Federal Reserve conducts biennial supervisory stress tests required under the Dodd-Frank Act whereby the BHC’s financial p…

See "Capital Requirements" and "Resolution Planning and Resolution-Related Requirements" under Part I, Item 1, "Business" for information regarding the federal banking regulators’ July 2023 proposal implementing revis…

The Company may be subject to more stringent capital and liquidity requirements.

Any new regulatory requirements, changes to existing requirements, or changes to interpretations of requirements could require changes to the Company’s businesses, result in increased compliance costs and affect the p…

Government authorities, including the bank regulatory agencies, can pursue aggressive enforcement actions with respect to compliance and other legal matters involving financial activities, which heightens the risks as…

The Company’s core banking business is largely concentrated within the Company’s retail banking office network footprint, located principally in the Northeast and Mid-Atlantic regions.

The Company is routinely subject to examinations from various governmental taxing authorities.

The monetary and other related policies of the government and its agencies, including the Federal Reserve, have a significant impact on interest rates and overall financial market performance.

The Federal Reserve, through the FOMC, may raise or lower interest rates in response to economic conditions, particularly inflationary pressures and unemployment statistics.

Additionally, economic conditions, financial markets and inflationary pressures may be adversely affected by the impact of current or anticipated geopolitical uncertainties; military conflicts; political uncertainty i…

Weakness in the economy, or fluctuations in market factors, has adversely affected the Company in the past and may adversely affect the Company in the future.

•The Company's reputation may be harmed, which could negatively impact investor and customer confidence.

•The Company’s information systems may experience interruptions or breaches in security, such as cyber attacks, including due to events beyond the Company’s control.

•The Company may be subject to more stringent capital and liquidity requirements.

•Weakness in the economy, or fluctuations in market factors, has adversely affected the Company in the past and may adversely affect the Company in the future.

For example, the COVID-19 pandemic created economic and financial disruptions that adversely affected, and may in the future adversely affect, the Company’s business, financial condition, capital and results of operat…

regarding the financial services industry in general, a subset of financial institutions or M&T in particular.

debt than it does currently, which would likely adversely affect interest expense, net interest income and net interest margin.

criminal pleas or admissions of wrongdoing as part of such settlements, which could have significant collateral consequences for a financial institution, including loss of customers, restrictions on the ability to acc…

The Company’s core banking business is largely concentrated within the Company’s retail banking office network footprint, located principally in the Northeast and Mid-Atlantic regions.

the rates of interest that the Company charges on loans and that the Company pays on borrowings and interest-bearing deposits and can also affect the value of the Company’s on-balance sheet and off-balance sheet finan…

•Risks of harm to the Company's reputation.

In July 2025 the GENIUS Act, which establishes a regulatory framework for “payment stablecoins” and their issuers, was signed into law.

The total amount that the Company pays for funding is dependent, in part, on the Company’s ability to maintain or grow its customer deposits.

Factors that influence the Company’s credit loss experience include: (i) overall economic conditions affecting businesses and consumers, generally; (ii) the impact of commercial and residential real estate values on l…

enforcement actions in connection with the resolution of an inquiry or investigation, even if unrelated to the prior enforcement action.

the result and adjustments required could have a material effect on the Company’s results of operations.