CCFN · PA · Mid-size bank ($1B to $50B)
Total assets of FDIC-insured bank subsidiaries: $1.7B at the end of 2025
Filings on the SEC website · This bank on Bankgraph
| Report year | Using or planning AI | Explains how AI is controlled | Sees AI as a risk | Other mentions |
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| 2023 | ||||
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| 2025 |
| In the 2025 report | This bank | Banks of its size |
|---|---|---|
| Using AI now | No | 26 of 221 (12%) |
| Explains how AI is controlled | Yes | 55 of 221 (25%) |
| Sees AI as a risk | Yes | 184 of 221 (83%) |
| Mentions generative AI | No | 112 of 221 (51%) |
| Mentions AI agents | No | 18 of 221 (8%) |
2 passages new in the 2025 report, 0 passages from the 2024 report no longer there. The most specific passage is more detailed than last year.
Jeffrey T. Arnold Senior EVP and Chief Operating and Risk Officer » Increasing Reliance on Third - Party Vendors • Limit speed to market on new products and digital abilities • Elevates oversight risk • Mitigation Efforts » Fraud • Increased risk in traditional banking products • AI improved Social Engineering abilities • 2025 Statistics • Mitigation Efforts 28
Jason A. Fischer EVP and Chief Credit Officer » Responsible for the overall credit risk health of the bank • Oversee approval process & loan committee • Monitor health of the loan portfolio • Ensure compliance • Balance independence with lender partnerships • “Are we taking the right risks – and managing them well?” » Challenges • Maintain low Past Due & Non - Accruals levels • Commercial Real Estate Risk Exposure • Balancing credit growth while tightening underwriting standards » Opportunities in AI » Overall Credit Quality Remains Strong 30
Stephanie A. Oakes EVP and Chief Operations Officer » Information Technology (IT), Deposit Operations, E - Banking, Commercial Services, & Customer Support » Challenges » Evolving Threats » Artificial Intelligence, Social Engineering, Employee Awareness » Evolving Technology » Costs, Security, Balance, Speed, Competitive Advantage » Opportunities » Artificial Intelligence » Speed and efficiencies » Digital Growth » Multiple platform integrations, remote signature capabilities, financial education and wellness. Security and fraud prevention » Balance - Technology when you want it, people when you don’t 33
Artificial Intelligence introduces compliance, operational, reputational, and information security risks.
Unapproved or insecure Artificial Intelligence (“AI”) tools may expose confidential information or create compliance violations. Errors, failures, or biased outputs could lead to poor decision-making, regulatory breaches, or reputational damage. Oversight is required to ensure AI tools are used responsibly and to prevent misuse that could threaten the confidentiality, integrity, or availability of information. The Corporation has adopted an AI and Automated Tool Usage Policy to establish guidelines for the responsible, secure, and compliant use of AI systems, automated bots, Application Programming Interfaces (“APIs”), and machine learning technologies within the organization. This ensures that all AI-related activities support the Corporation’s strategic objectives, regulatory obligations, and risk management practices while aligning with information security controls and protecting sensitive data, customer information, proprietary business processes, and the Corporation’s reputation. Violations of the Corporation’s AI and Automated Tool Usage Policy could result in compliance, operational and information security violations resulting in a material adverse effect on its business, results of operations and financial condition.