Regions Financial (RF) Risk Factor Changes

We are, and may in the future be, subject to litigation, investigations and governmental proceedings that may result in liabilities adversely affecting our financial condition, business or results of operations or in…

Certain accounting policies are critical to presenting our reported financial condition and results of operations.

members of our senior management team or other key personnel.

In recent years, well-publicized incidents involving the inappropriate collection, use, sharing, storage or other processing of personal information have led to expanded governmental scrutiny of practices relating to…

Our amended and restated by-laws (our “by-laws”) contain two forum selection provisions.

the FDIC adopted a final rule to increase initial base deposit insurance assessment rate schedules by 2 basis points, which began with the first quarterly assessment period of 2023.

The CRA, the Equal Credit Opportunity Act, the Fair Housing Act, and other fair lending laws and regulations (collectively, fair lending laws) impose community investment and nondiscriminatory lending requirements on…

In the prior administration, the CFPB has finalized a number of significant rules and introduced new regulatory initiatives, including, without limitation, by way of its enforcement authority and through public statem…

For more information concerning our legal and regulatory obligations with respect to Basel III Rules and long-term debt requirements, please see the “Supervision and Regulation-Regulatory Capital Requirements” discuss…

Regions and Regions Bank are each required to comply with applicable capital adequacy standards established by the Federal Reserve, which are based on Basel III.

Regions and Regions Bank are each subject to capital adequacy and liquidity guidelines and other regulatory requirements specifying minimum amounts and types of capital that must be maintained.

Any changes in any federal and state law, as well as regulations and governmental policies, income tax laws and accounting principles, could affect us in substantial and unpredictable ways, including ways that may adv…

are intended primarily for the protection of our depositors, our customers, the FDIC's DIF, and the banking financial system, not our shareholders or other creditors.

These conflicting views also increase the risk that any action or lack thereof by us on such matters will be perceived negatively by some stakeholders.

simultaneously.

We are subject to a variety of risks, including reputational risk, associated with sociopolitical issues.

We are subject to sociopolitical risks that could adversely affect our business, reputation and the trading price of our common stock.

Our and our stakeholders' concerns around climate change may expose us to risks, including risks associated with any transition to a lower-carbon economy.

Weather-related events, health crises, the occurrence or worsening of disease outbreaks or pandemics, or other catastrophic events, other natural or man-made disasters, climate change, as well as economic, market and…

Over time, there have been instances where technology used by us and other financial institutions has been alleged to have infringed patents held by others.

Our business is dependent on proprietary technology and other intellectual property that we or our vendors own or license from third parties.

In deciding whether to extend credit or enter into other transactions with clients and counterparties, we may rely on information furnished by or on behalf of clients and counterparties, including financial statements…

used in production of commodities.

As of December 31, 2025, consumer residential real estate loans represented approximately 26.5 percent of our total loan portfolio.

particular, the activity of fintechs has grown significantly over recent years and is expected to continue to grow.

inconvenience; however, future cyber-attacks or other similar incidents could be more disruptive and damaging, and we may not be able to anticipate or prevent all such attacks.

Regions may be impacted by actual or perceived soundness of other financial institutions, including as a result of the financial or operational failure of a major financial institution, or concerns about the creditwor…

Our credit ratings can have negative consequences that can impact our ability to access the debt and capital markets, as well as reduce our profitability through increased costs on future debt issuances.

We make various assumptions and judgments about the collectability of our loan portfolio and provide an allowance based on a number of factors.

Estimates for net interest income exposure to interest rate changes have been reduced recently.

The monetary policy tightening cycle observed from 2022 through mid-2024 led to increased volatility in fixed income markets.

We provide traditional commercial, retail and mortgage banking services, as well as other financial services including asset management, wealth management, securities brokerage, merger-and-acquisition advisory service…

An investment in the Company involves risks, some of which, including market, credit, technology, strategic, operational, reputational, legal, regulatory and compliance, liquidity, talent management, estimate and assu…

of any collateral held by us.

Weather-related events, pandemics and other natural or man-made disasters could cause a disruption in our operations or lead to other consequences that could adversely impact our financial results and condition.

On January 21, 2025, the U.S.

Our business and financial performance could be adversely affected by a U.S.

Changes in our accounting policies or in accounting standards could materially affect how we report our financial results and condition.

If the models that we use in our business perform poorly or provide inadequate information, our business or results of operations may be adversely affected.

significantly decrease the value of our MSRs.

Our reported financial results depend on management’s selection of accounting methods and certain assumptions and estimates.

Our operations rely on our ability, and the ability of key external parties, to maintain appropriately staffed workforces, and on the competence, trustworthiness, health and safety of employees.

Our businesses may be adversely affected if we are unable to hire and retain qualified employees.

Differences in regulation can affect our ability to compete effectively.

development or marketing of certain products or services, or increase the costs of offering them to customers.

We face substantial legal and operational risks in our safeguarding and other processing of personal information.

Our amended and restated bylaws designate (i) the Court of Chancery of the State of Delaware as the sole and exclusive forum for certain types of actions and proceedings that may be initiated by our shareholders and (…

Anti-takeover and banking laws and certain agreements and charter provisions may adversely affect share value.

We may not pay dividends on shares of our capital stock.

We are a holding company and depend on our subsidiaries for dividends, distributions and other payments.

Unfavorable results from ongoing stress analyses may adversely affect our ability to retain customers or compete for new business opportunities.

Increases in FDIC insurance assessments may adversely affect our earnings.

We may not be able to complete future acquisitions, may not be successful in realizing the benefits of any future acquisitions that are completed or may choose not to pursue acquisition opportunities we might find ben…

We are subject to numerous laws designed to protect consumers, including the CRA and fair lending laws, and a failure to comply with these laws could lead to a wide variety of penalties and other sanctions.

The former U.S.

Rulemaking changes and regulatory initiatives implemented by the CFPB may result in higher regulatory and compliance costs that may adversely affect our results of operations.

cost of funding, which could negatively affect our financial results or our ability to pay dividends and engage in share repurchases.

We may be subject to more stringent capital and liquidity requirements.

We are subject to a variety of risks in connection with any sale of loans we may conduct.

Regulations affecting banks and other financial institutions face continuous review, frequently change, and the ultimate effect of such changes cannot be predicted.

We are subject to extensive governmental regulation, which could have an adverse impact on our operations and our business model.

Damage to our reputation could significantly harm our businesses.

We are subject to ESG risks that could adversely affect our business, reputation and the trading price of our common stock.

We are, and may in the future be, subject to claims and litigation calling into question our right to use the intellectual property underlying certain technology in our business.

Enhanced regulatory and other standards for the oversight of vendors and other service providers can result in higher costs and other potential exposures.

We can be negatively affected if we fail to identify and address operational risks associated with the introduction of or changes to products, services and delivery platforms.

We are exposed to risk of environmental liability when we take title to property.

inaccurate, we may be subject to regulatory action, reputational harm or other adverse effects with respect to the operation of our business, our financial condition and our results of operations.

We depend on the accuracy and completeness of information about clients and counterparties.

We rely on other companies to provide key components of our business infrastructure.

We are subject to a variety of operational risks, including the risk of fraud or theft by internal or external parties, which may adversely affect our business and results of operations.

Instability in geopolitical matters could have a material adverse effect on our results of operations and financial condition.

An outbreak or escalation of hostilities between countries or within a country or region could have a material adverse effect on the U.S.

Weakness in commodity businesses could adversely affect our performance.

Risks associated with home equity products where we are in a second lien position could materially adversely affect our performance.

Weakness in the commercial real estate markets could adversely affect our performance.

could affect the ability of borrowers to repay loans.

Weakness in the residential real estate markets could adversely affect our performance.

Our operations are concentrated primarily in the South, Midwest and Texas, and adverse changes in the economic conditions in this region can adversely affect our financial results and condition.

Industry competition may adversely affect our degree of success.

We will continually encounter technological change and must effectively anticipate, develop and implement new technology.

We are subject to complex and evolving laws, regulations, rules, standards and contractual obligations regarding privacy and cybersecurity, which could increase the cost of doing business, compliance risks and potenti…

We rely on the mortgage secondary market to manage various risks.

Loss of deposits or a change in deposit mix could increase our funding costs.

Ineffective liquidity management could adversely affect our financial results and condition.

We may suffer losses if the value of collateral declines in stressed market conditions.

Changes in the soundness of other financial institutions could adversely affect us.

Any future reductions in our credit ratings may increase our funding costs and place limitations on business activities.

If we experience greater credit losses in our loan portfolios than anticipated, our earnings may be materially adversely affected.

Fluctuations in market interest rates, including the level and shape of the yield curve, may adversely affect our performance.

Our businesses have been, and may continue to be, adversely affected by conditions in the financial markets and economic conditions generally.

•Our business and financial performance could be adversely affected by a U.S.

•Industry competition may adversely affect our degree of success.

•We are at risk of a variety of systems failures or errors and cybersecurity incidents that could adversely affect customer experience and our business and financial performance.

Discussed below are risk factors that could adversely affect our financial results and condition, as well as the value of, and return on investment in the Company.

Our success depends, in part, on our executive officers and other key personnel.

the United States.

changes to these regulatory capital adequacy and liquidity guidelines.

Moreover, political and policy goals of elected and appointed officials may change over time, which could impact the rulemaking, supervision, examination, and enforcement priorities of the federal banking agencies.

Regulations affecting banks and other financial institutions face continuous review, frequently change, and the ultimate effect of such changes cannot be predicted.