DUNMORE, Pa., October 15, 2020 (GLOBE NEWSWIRE) – Fidelity D & D Bancorp, Inc. (NASDAQ: FDBC) today announced that its wholly owned subsidiary, The Fidelity Deposit and Discount Bank (“Fidelity Bank”) , has significantly reduced its loan forbearance by helping local businesses affected by the COVID-19 pandemic through the Federal Customer Assistance Program or the forbearance process. As of the week of March 16, 2020, and in accordance with guidelines and directives issued by the Federal Financial Institutions Examination Council (FFIEC), Fidelity Bank has provided housing to commercial and retail borrowers. The program temporarily allowed businesses to defer principal and / or interest on contract payments for up to six (6) months.
Fidelity Bank granted initial forbearance to 1,429 borrowers, all located in communities served by the bank, totaling $ 201.8 million in principal balances and representing 17.9% of the total loan and lease portfolio at 30 June 2020. Fidelity Bank received a second forbearance request. of only 95 of these borrowers, totaling $ 11.8 million in principal balance and representing 1.0% of the total loan and lease portfolio as of September 30, 2020.
Fidelity Bank had a grand total of 212 borrowers in forbearance totaling $ 25.1 million, or 2.2% of the total loan and lease portfolio as of September 30, 2020. Total forbearance includes borrowers still subject to the original conditions of forbearance, borrowers whose original terms expired and received a second forbearance, and borrowers who received a first forbearance in the third quarter of 2020.
Fidelity Bank President and CEO Daniel J. Santaniello said: “The Customer Support Program demonstrates how our relationship banking strategy has enabled us to build strong partnerships with our commercial and retail borrowers. . Our prudent and pragmatic credit culture exemplifies the resilience of Fidelity Bank’s asset quality even during the economic uncertainty of COVID. Fidelity Bankers have worked hard to help their clients through this unprecedented time and remain committed to moving them forward. “
About Fidelity D & D Bancorp, Inc. and The loyalty Deposit and remittance Bank
Fidelity D&D Bancorp, Inc. and its wholly owned subsidiary, The Fidelity Deposit and Discount Bank have built a solid history as trusted financial advisors to clients served by Fidelity Bank, which has built a solid history in as a locally owned and operated community. Bank. Serving individuals, families and businesses for over 118 years in Lackawanna and Luzerne Counties and Lehigh Valley, there are 20 branches and offices of Fidelity Bank Wealth Management in Schuylkill County. A full-service, 24/7 customer service center serves as a virtual branch, accepting and assisting customers who prefer to open accounts and transact over the phone, chat or online. In addition, Fidelity Bank offers full-service trust and investment services, a mortgage center, and a range of personal and commercial banking products and services.
Fidelity Bank has been recognized nationally for its strong financial performance and superior customer experience. It has been named one of the top 200 community banks in the country by American Banker for six consecutive years, and Forbes has ranked it among the state’s top banks for the past two years. The company has been the # 1 mortgage lender in the Lackawanna County market for over 8 years. Fidelity Bank is passionate about success and is committed to building strong relationships through superior service. Fidelity Bank deposits are insured by the Federal Deposit Insurance Corporation to the fullest extent permitted by law.
Certain of the matters discussed in this press release constitute forward-looking statements for the purposes of the Securities Act of 1933, as amended, and the Securities Exchange Act of 1934, as amended, and as such may involve known risks and unknowns, uncertainties and other factors which may cause the actual results, performance or achievements of Fidelity D & D Bancorp, Inc. (the “Company”) to be materially different from future results, performance or achievements expressed or under – understood by these forward-looking statements. The words “expect”, “anticipate”, “intend”, “plan”, “believe”, “estimate” and similar expressions are intended to identify such forward-looking statements.
The actual results of the Company may differ materially from the results anticipated in these forward-looking statements due to various factors, including, without limitation:
- the effects of economic conditions, in particular with regard to the negative impact of severe, widespread and ongoing disruptions caused by the spread of coronavirus disease 2019 (COVID-19) and responses thereto on current customers and the operations of the Company, in particular the effect of the economy on the repayment capacity of borrowers;
- the costs and effects of litigation and the unexpected or adverse results of such litigation;
- the impact of new or existing laws and regulations, including the Tax Cuts and Jobs Act and the Dodd-Frank 2010 Wall Street Reform and Consumer Protection Act and regulations therein promulgated;
- the impacts of Basel III capital and liquidity requirements and other regulatory statements, regulations and rules;
- government monetary and fiscal policies, as well as legislative and regulatory changes;
- the effects of federal fiscal and fiscal negotiations in the short and long term and their effects on economic and business conditions;
- the effect of changes in accounting policies and practices, as may be adopted by regulators, as well as by the Financial Accounting Standards Board and other accounting standard setters;
- the risks of changes in interest rates on the level and composition of deposits, demand for loans and the values of loan guarantees, securities and interest rate protection agreements, as well as interest rate risks ‘interest;
- the effects of competition from other commercial banks, savings banks, mortgage banks, consumer credit companies, credit unions, securities brokerage firms, insurance companies, money market funds and other mutual funds and other financial institutions operating in our market area and elsewhere, including institutions operating locally, regionally, nationally and internationally, as well as those competitors offering banking products and services by mail, telephone, computer and Internet;
- technological changes;
- interruption or breach of the security of our information systems and other risks and technological attacks resulting in failures or disruptions in the management of accounts receivable, general ledger processing and updates of loans or deposits and the potential impacts thereof, including additional costs, reputational damage, regulatory penalties, and financial losses;
- acquisitions and integrations of acquired businesses;
- failure of the assumptions underlying the constitution of loan loss reserves and of the estimates of the values of guarantees and various financial assets and liabilities;
- volatility in securities markets;
- acts of war or terrorism;
- disruption of credit and equity markets; and
- the risk that our analyzes of these risks and forces are incorrect and / or that the strategies developed to deal with them are unsuccessful.
The Company cautions readers not to place undue reliance on forward-looking statements, which reflect analyzes only as of the date of this release. The Company has no obligation to update any forward-looking statements to reflect events or circumstances after the date of this release.
For more information, please visit our Investor Relations website located at www.bankatfidelity.com.
Eugene J. Walsh
Executive Vice President and Chief Operating Officer