| Industries |
|---|
| Technology Hardware Storage and Peripherals |
| Information Technology |
| Technology Hardware and Equipment |
| Real Estate |
| Real Estate Services |
| Asset Management and Custody Banks |
| Investment Banking and Brokerage |
| Environmental Services |
| Health Care Distribution and Services |
| Exposures |
|---|
| Cooperate |
| Provide |
| Regime |
| Intelligence |
| Leadership |
| Military |
| Express intent |
| Event Codes |
|---|
| Host meeting |
| Yield to order |
| Agree |
| Military blockade |
| Acknowledge responsibility |
| Sanction |
| Solicit support |
| Demand |
| Sports contest |
| Yield |
| Propose |
| Comment |
| Accident |
| Force |
| Warn |
| Promise |
| Wiki | Wiki Summary |
|---|---|
| Investment banking | Investment banking denotes certain activities of a financial services company or a corporate division that consist in advisory-based financial transactions on behalf of individuals, corporations, and governments. Traditionally associated with corporate finance, such a bank might assist in raising financial capital by underwriting or acting as the client's agent in the issuance of debt or equity securities. |
| Technology | Technology is the result of accumulated knowledge and application of skills, methods, and processes used in industrial production and scientific research. Technology is embedded in the operation of all machines, with or without detailed knowledge of their function, for the intended purpose of an organization. |
| Financial condition report | In accounting, a financial condition report (FCR) is a report on the solvency condition of an insurance company that takes into account both the current financial status, as reflected in the balance sheet, and an assessment of the ability of the company to survive future risk scenarios. Risk assessment in an FCR involves dynamic solvency testing, a type of dynamic financial analysis that simulates management response to risk scenarios, to test whether a company could remain solvent in the face of deteriorating economic conditions or major disasters. |
| Financial ratio | A financial ratio or accounting ratio is a relative magnitude of two selected numerical values taken from an enterprise's financial statements. Often used in accounting, there are many standard ratios used to try to evaluate the overall financial condition of a corporation or other organization. |
| Financial law | Financial law is the law and regulation of the insurance, derivatives, commercial banking, capital markets and investment management sectors. Understanding Financial law is crucial to appreciating the creation and formation of banking and financial regulation, as well as the legal framework for finance generally. |
| Form 10-K | A Form 10-K is an annual report required by the U.S. Securities and Exchange Commission (SEC), that gives a comprehensive summary of a company's financial performance. Although similarly named, the annual report on Form 10-K is distinct from the often glossy "annual report to shareholders," which a company must send to its shareholders when it holds an annual meeting to elect directors (though some companies combine the annual report and the 10-K into one document). |
| Federal takeover of Fannie Mae and Freddie Mac | In September 2008 the Federal Housing Finance Agency (FHFA) announced that it would take over the Federal National Mortgage Association (Fannie Mae) and the Federal Home Loan Mortgage Corporation (Freddie Mac). Both government-sponsored enterprises, which finance home mortgages in the United States by issuing bonds, had become illiquid as the market for those bonds collapsed in the subprime mortgage crisis. |
| Krishna Raja Sagara | Krishna Raja Sagara, also popularly known as KRS, is a lake and the dam that creates it. They are close to the settlement of Krishna Raja Sagara in the Indian State of Karnataka. |
| Life Insurance Corporation | Life Insurance Corporation of India (LIC) is an Indian statutory insurance and investment corporation headquartered in the city of Mumbai, India. It is under the ownership of Government of India. |
| Assets under management | In finance, assets under management (AUM), sometimes called funds under management, measures the total market value of all the financial assets which an individual or financial institution—such as a mutual fund, venture capital firm, or depository institution—or a decentralized network protocol controls, typically on behalf of a client. These funds may be managed for clients/users or for themselves in the case of a financial institution which has mutual funds or holds its own venture capital. |
| Defence mechanism | In psychoanalytic theory, a defence mechanism (American English: defense mechanism), is an unconscious psychological operation that functions to protect a person from anxiety-producing thoughts and feelings related to internal conflicts and outer stressors.Defence mechanisms may result in healthy or unhealthy consequences depending on the circumstances and frequency with which the mechanism is used. Defence mechanisms (German: Abwehrmechanismen) are psychological strategies brought into play by the unconscious mind to manipulate, deny, or distort reality in order to defend against feelings of anxiety and unacceptable impulses and to maintain one's self-schema or other schemas. |
| North American Free Trade Agreement | The North American Free Trade Agreement (NAFTA ; Spanish: Tratado de Libre Comercio de América del Norte, TLCAN; French: Accord de libre-échange nord-américain, ALÉNA) was an agreement signed by Canada, Mexico, and the United States that created a trilateral trade bloc in North America. The agreement came into force on January 1, 1994, and superseded the 1988 Canada–United States Free Trade Agreement between the United States and Canada. |
| Recession | In economics, a recession is a business cycle contraction when there is a general decline in economic activity. Recessions generally occur when there is a widespread drop in spending (an adverse demand shock). |
| Company | A company, abbreviated as co., is a legal entity representing an association of people, whether natural, legal or a mixture of both, with a specific objective. Company members share a common purpose and unite to achieve specific, declared goals. |
| Risk management | Risk management is the identification, evaluation, and prioritization of risks (defined in ISO 31000 as the effect of uncertainty on objectives) followed by coordinated and economical application of resources to minimize, monitor, and control the probability or impact of unfortunate events or to maximize the realization of opportunities.\nRisks can come from various sources including uncertainty in international markets, threats from project failures (at any phase in design, development, production, or sustaining of life-cycles), legal liabilities, credit risk, accidents, natural causes and disasters, deliberate attack from an adversary, or events of uncertain or unpredictable root-cause. |
| Lluís Companys | Lluís Companys i Jover (Catalan pronunciation: [ʎuˈis kumˈpaɲs]; 21 June 1882 – 15 October 1940) was a Spanish politician from Catalonia who served as president of Catalonia from 1934 and during the Spanish Civil War.\nCompanys was a lawyer close to labour movement and one of the most prominent leaders of the Republican Left of Catalonia (ERC) political party, founded in 1931. |
| Passeig de Lluís Companys, Barcelona | Passeig de Lluís Companys (Catalan pronunciation: [pəˈsɛdʒ də ʎuˈis kumˈpaɲs]) is a promenade in the Ciutat Vella and Eixample districts of Barcelona, Catalonia, Spain, and can be seen as an extension of Passeig de Sant Joan. It was named after President Lluís Companys, who was executed in 1940. |
| Estadi Olímpic Lluís Companys | Estadi Olímpic Lluís Companys (Catalan pronunciation: [əsˈtaði uˈlimpiɡ ʎuˈis kumˈpaɲs], formerly known as the Estadi Olímpic de Montjuïc and Estadio de Montjuic) is a stadium in Barcelona, Catalonia, Spain. Originally built in 1927 for the 1929 International Exposition in the city (and Barcelona's bid for the 1936 Summer Olympics, which were awarded to Berlin), it was renovated in 1989 to be the main stadium for the 1992 Summer Olympics and 1992 Summer Paralympics. |
| Víctor Gay Zaragoza | Víctor Gay Zaragoza (born 19 June 1982 in Barcelona, Spain) is a writer, storyteller, trainer and consultant on storytelling. He is author of the essays "Filosofía Rebelde" (Rebel Philosophy), "50 libros que cambiarán tu vida" (50 books that will change your life) and the historical novel "El defensor" (The defender). |
| Porter's five forces analysis | Porter's Five Forces Framework is a method of analysing the operating environment of a competition of a business. It draws from industrial organization (IO) economics to derive five forces that determine the competitive intensity and, therefore, the attractiveness (or lack thereof) of an industry in terms of its profitability. |
| Stock market | A stock market, equity market, or share market is the aggregation of buyers and sellers of stocks (also called shares), which represent ownership claims on businesses; these may include securities listed on a public stock exchange, as well as stock that is only traded privately, such as shares of private companies which are sold to investors through equity crowdfunding platforms. Investment is usually made with an investment strategy in mind. |
| Financial services | Financial services are the economic services provided by the finance industry, which encompasses a broad range of businesses that manage money, including credit unions, banks, credit-card companies, insurance companies, accountancy companies, consumer-finance companies, stock brokerages, investment funds, individual asset managers, and some government-sponsored enterprises.\n\n\n== History ==\n\nThe term "financial services" became more prevalent in the United States partly as a result of the Gramm–Leach–Bliley Act of the late 1990s, which enabled different types of companies operating in the U.S. financial services industry at that time to merge.Companies usually have two distinct approaches to this new type of business. |
| Common stock | Common stock is a form of corporate equity ownership, a type of security. The terms voting share and ordinary share are also used frequently outside of the United States. |
| Preferred stock | Preferred stock (also called preferred shares, preference shares, or simply preferreds) is a component of share capital that may have any combination of features not possessed by common stock, including properties of both an equity and a debt instrument, and is generally considered a hybrid instrument. Preferred stocks are senior (i.e., higher ranking) to common stock but subordinate to bonds in terms of claim (or rights to their share of the assets of the company, given that such assets are payable to the returnee stock bond) and may have priority over common stock (ordinary shares) in the payment of dividends and upon liquidation. |
| Consolidation (business) | In business, consolidation or amalgamation is the merger and acquisition of many smaller companies into a few much larger ones. In the context of financial accounting, consolidation refers to the aggregation of financial statements of a group company as consolidated financial statements. |
| Convertible bond | In finance, a convertible bond or convertible note or convertible debt (or a convertible debenture if it has a maturity of greater than 10 years) is a type of bond that the holder can convert into a specified number of shares of common stock in the issuing company or cash of equal value. It is a hybrid security with debt- and equity-like features. |
| Agile management | Agile management is the application of the principles of Agile software development to various management processes, particularly project management. Following the appearance of the Manifesto for Agile Software Development in 2001, Agile techniques started to spread into other areas of activity. |
| Network management | Network management is the process of administering and managing computer networks. Services provided by this discipline include fault analysis, performance management, provisioning of networks and maintaining quality of service. |
| Emergency management | Emergency management, also called emergency response or disaster management, is the organization and management of the resources and responsibilities for dealing with all humanitarian aspects of emergencies (prevention, preparedness, response, mitigation, and recovery). The aim is to prevent and reduce the harmful effects of all hazards, including disasters. |
| Dividend | Division is one of the four basic operations of arithmetic, the ways that numbers are combined to make new numbers. The other operations are addition, subtraction, and multiplication. |
| Operations management | Operations management is an area of management concerned with designing and controlling the process of production and redesigning business operations in the production of goods or services. It involves the responsibility of ensuring that business operations are efficient in terms of using as few resources as needed and effective in meeting customer requirements. |
| Net interest income | Net interest income (NII) is the difference between revenues generated by interest-bearing assets and the cost of servicing (interest-burdened) liabilities. For banks, the assets typically include commercial and personal loans, mortgages, construction loans and investment securities. |
| Risk-free rate | The risk-free rate of return, usually shortened to the risk-free rate, is the rate of return of a hypothetical investment with scheduled payment(s) over a fixed period of time that is assumed to meet all payment obligations.Since the risk-free rate can be obtained with no risk, any other investment having some risk will have to have a higher rate of return in order to induce any investors to hold it.\nIn practice, to infer the risk-free interest rate in a particular currency, market participants often choose the yield to maturity on a risk-free bond issued by a government of the same currency whose risks of default are so low as to be negligible. |
| Technological singularity | The technological singularity—or simply the singularity—is a hypothetical point in time at which technological growth becomes uncontrollable and irreversible, resulting in unforeseeable changes to human civilization. According to the most popular version of the singularity hypothesis, called intelligence explosion, an upgradable intelligent agent will eventually enter a "runaway reaction" of self-improvement cycles, each new and more intelligent generation appearing more and more rapidly, causing an "explosion" in intelligence and resulting in a powerful superintelligence that qualitatively far surpasses all human intelligence. |
| Technologic | Technology is the result of accumulated knowledge and application of skills, methods, and processes used in industrial production and scientific research. Technology is embedded in the operation of all machines, with or without detailed knowledge of their function, for the intended purpose of an organization. |
| Technological change | Technological change (TC) or technological development is the overall process of invention, innovation and diffusion of technology or processes. In essence, technological change covers the invention of technologies (including processes) and their commercialization or release as open source via research and development (producing emerging technologies), the continual improvement of technologies (in which they often become less expensive), and the diffusion of technologies throughout industry or society (which sometimes involves disruption and convergence). |
| Technological determinism | Technological determinism is a reductionist theory that assumes that a society's technology progresses by following its own internal logic of efficiency, while determining the development of the social structure and cultural values, therefore technological progress is fundamentally an anti-democratic force. The term is believed to have originated from Thorstein Veblen (1857–1929), an American sociologist and economist. |
| Risk Factors |
|---|
| CITIZENS FIRST BANCORP INC ITEM 1A RISK FACTORS Significant Competition from an Array of Financial Service Providers Our ability to achieve strong financial performance and a satisfactory return on investment to shareholders will depend in part on our ability to expand our available financial services |
| In addition to the challenge of attracting and retaining customers for traditional banking services, our competitors now include securities dealers, brokers, mortgage bankers, investment advisors and finance and insurance companies who seek to offer one-stop financial services to their customers that may include services that banks have not been able or allowed to offer to their customers in the past |
| The increasingly competitive environment is a result primarily of changes in regulation, changes in technology and product delivery systems and the accelerating pace of consolidation among financial services providers |
| If we fail to adequately address each of the competitive pressures in the banking industry, our financial condition and results of operations could be adversely affected |
| Economic Downturn A general economic slowdown in the geographic region where the Company operates could negatively impact our business |
| The Company’s profitability is primarily dependent on the profitability of the Bank, which operates in the Southeastern portion of the State of Michigan |
| In addition to adverse changes in general economic conditions in the United States, unfavorable changes in economic conditions affecting the geographic region in which the Company operates, such as adverse effects of weather or changes in the automotive industry, may have a significant adverse impact on operations of the Company |
| An economic slowdown could have the following consequences: • Loan delinquencies may increase; • Problem assets and foreclosures may increase; • Demand for the products and services of the Company may decline; and • Collateral (including real estate) for loans made by the Company may decline in value, in turn reducing customers’ borrowing power, and making existing loans less secure |
| General Credit Risk The risk of nonpayment of loans is inherent in commercial banking |
| Such nonpayment could have an adverse effect on the Company’s earnings and our overall financial condition as well as the value of our common stock |
| Management attempts to reduce the Company’s credit exposure by carefully monitoring the concentration of its loans within specific industries and through loan application and approval procedures |
| However, there can be no assurance that such monitoring and procedures will reduce such lending risks |
| Credit losses can cause insolvency and failure of a financial institution and, in such event, its shareholders could lose their entire investment |
| Environmental Risks In the course of our business, we may foreclose and take title to real estate, and could be subject to environmental liabilities with respect to these properties |
| We may be held liable to a governmental entity or to third persons for property damage, personal injury, 31 _________________________________________________________________ [84]Table of Contents investigation and clean-up costs incurred by these parties in connection with environmental contamination, or may be required to investigate or clean up hazardous or toxic substances, or chemical releases at a property |
| The costs associated with investigation or remediation activities could be substantial |
| In addition, as the owner or former owner of a contaminated site, we may be subject to common law claims by third parties based on damages and costs resulting from environmental contamination emanating from the property |
| If we ever become subject to significant environmental liabilities, our business, financial condition, liquidity and results of operations could be materially and adversely affected |
| Susceptibility to Changes in Regulation Any changes to state and federal banking laws and regulations may negatively impact our ability to expand services and to increase the value of our business |
| We are subject to extensive state and federal regulation, supervision, and legislation that govern almost all aspects of our operations |
| These laws may change from time to time and are primarily intended for the protection of consumers, depositors and the deposit insurance funds |
| In addition, the Company’s earnings are affected by the monetary policies of the Board of Governors of the Federal Reserve |
| These policies, which include regulating the national supply of bank reserves and bank credit, can have a major effect upon the source and cost of funds and the rates of return earned on loans and investments |
| The Federal Reserve influences the size and distribution of bank reserves through its open market operations and changes in cash reserve requirements against member bank deposits |
| The Gramm-Leach-Bliley Act regarding financial modernization that became effective in November, 1999 removed many of the barriers to the integration of the banking, securities and insurance industries and is likely to increase the competitive pressures upon the Company |
| We cannot predict what effect such Act and any presently contemplated or future changes in the laws or regulations or their interpretations would have on us, but such changes could be materially adverse to our financial performance |
| For more information on this subject, see the section under Part I, Item 1 of this Report captioned “Regulation and Supervision |
| Our profitability depends in substantial part on our “net interest spread,” which is the difference between the rates we receive on loans and investments and the rates we pay for deposits and other sources of funds |
| Our net interest spread will depend on many factors that are partly or entirely outside our control, including competition, federal economic, monetary and fiscal policies, and economic conditions generally |
| Historically, net interest spreads for other financial institutions have widened and narrowed in response to these and other factors, which are often collectively referred to as “interest rate risk |
| ” Over the last few years, the Company, along with most other financial institutions, has experienced a “margin squeeze” as lower interest rates have made it difficult to maintain a more favorable net interest spread |
| The principal objectives of asset/liability management are to manage sensitivity of net interest spread and net income to potential changes in interest rates |
| Funding positions are kept within predetermined limits designed to ensure that risk-taking is not excessive and that liquidity is properly managed |
| In the event that our asset/liability management strategies are unsuccessful, our profitability may be adversely affected |
| For more information regarding the Company’s exposure to interest rate risk, see Part II, Item 7A of this Report |
| Attraction and Retention of Key Personnel Our success depends upon the continued service of our senior management team and upon our ability to attract and retain qualified financial services personnel |
| Competition for qualified employees is intense |
| In our experience, it can take a significant period of time to identify and hire personnel with the combination of skills and attributes required in carrying out our strategy |
| If we lose the services of our key personnel, or are unable to attract additional qualified personnel, our business, financial condition, results of operations and cash flows could be materially adversely affected |
| Dividend Payout Restrictions We currently pay a quarterly dividend on our common shares |
| However, there is no assurance that we will be able to pay dividends in the future |
| Dividends are subject to determination and declaration by our board of directors, which takes into account many factors |
| The declaration of dividends by us on our common stock is subject to the discretion of our board and to applicable state and federal regulatory limitations |
| The Company’s ability to pay dividends on its common stock depends on its receipt of dividends from the Bank |
| The Bank is subject to restrictions and limitations in the amount and timing of the dividends it may pay to the Company |
| 32 _________________________________________________________________ [85]Table of Contents Anti-Takeover Provisions Provisions of our Articles of Incorporation and Delaware law could have the effect of discouraging takeover attempts which certain stockholders might deem to be in their interest |
| These anti-takeover provisions may make us a less attractive target for a takeover bid or merger, potentially depriving shareholders of an opportunity to sell their shares of common stock at a premium over prevailing market prices as a result of a takeover bid or merger |
| Operational Risks We are subject to certain operations risks, including, but not limited to, data processing system failures and errors, customer or employee fraud and catastrophic failures resulting from terrorist acts or natural disasters |
| We maintain a system of internal controls to mitigate against such occurrences and maintain insurance coverage for such risks that are insurable, but should such an event occur that is not prevented or detected by our internal controls, uninsured or in excess of applicable insurance limits, it could have a significant adverse impact on our business, financial condition or results of operations |
| Information Systems We rely heavily on communications and information systems to conduct our business |
| Any failure, interruption or breach in security of these systems could result in failures or disruptions in our customer relationship management, general ledger, deposit, loan and other systems |
| While we have policies and procedures designed to prevent or limit the effect of the failure, interruption or security breach of our information systems, there can be no assurance that any such failures, interruptions or security breaches will not occur or, if they do occur, that they will be adequately addressed |
| The occurrence of any failures, interruptions or security breaches of our information systems could damage our reputation, result in a loss of customer business, subject us to additional regulatory scrutiny, or expose us to civil litigation and possible financial liability, any of which could have a material adverse effect on our financial condition and results of operations |
| Technological Advances The financial services industry is continually undergoing rapid technological change with frequent introductions of new technology-driven products and services |
| The effective use of technology increases efficiency and enables financial institutions to better serve customers and to reduce costs |
| Our future success depends, in part, upon our ability to address the needs of our customers by using technology to provide products and services that will satisfy customer demands, as well as to create additional efficiencies in our operations |
| Many of our competitors have substantially greater resources to invest in technological improvements |
| We may not be able to effectively implement new technology-driven products and services or be successful in marketing these products and services to our customers |
| Failure to successfully keep pace with technological change affecting the financial services industry could have a material adverse impact on our business and, in turn, our financial condition and results of operations |
| Severe Weather, Natural Disasters, Acts Of War Or Terrorism and Other External Events Severe weather, natural disasters, acts of war or terrorism and other adverse external events could have a significant impact on our ability to conduct business |
| Such events could affect the stability of our deposit base, impair the ability of borrowers to repay outstanding loans, impair the value of collateral securing loans, cause significant property damage, result in loss of revenue and/or cause us to incur additional expenses |
| Although management has established disaster recovery policies and procedures, the occurrence of any such event could have a material adverse effect on our business, which, in turn, could have a material adverse effect on our financial condition and results of operations |
| Trading Volume Risks Although our common stock is listed for trading on the Nasdaq National Market, the trading volume in our common stock is less than that of other larger financial services companies |
| A public trading market having the desired characteristics of depth, liquidity and orderliness depends on the presence in the marketplace of willing buyers and sellers of our common stock at any given time |
| This presence depends on the individual decisions of investors and general economic and market conditions over which we have no control |
| Given the lower trading volume of our common stock, significant sales of our common stock, or the expectation of these sales, could cause our stock price to fall |
| 33 _________________________________________________________________ [86]Table of Contents Our Common Stock Is Not An Insured Deposit Our common stock is not a bank deposit and, therefore, is not insured against loss by the FDIC, any other deposit insurance fund or by any other public or private entity |
| Investment in our common stock is inherently risky for the reasons described in this “Risk Factors” section and elsewhere in this report and is subject to the same market forces that affect the price of common stock in any company |
| As a result, if you acquire our common stock, you may lose some or all of your investment |
| This list of important factors is not exclusive |
| These risks and uncertainties should be considered in evaluating forward-looking statements, and undue reliance should not be placed on these statements |
| Neither the Company nor the Bank undertakes — and each specifically disclaims any obligation — to update any forward-looking statement, whether written or oral, that may be made from time to time by or on behalf of the Company or the Bank or to release publicly the result of any revisions that may be made to any forward-looking statements, including revisions to reflect events or circumstances after the date of such statements or to reflect the occurrence of anticipated or unanticipated events |