What ACNB Corp. told the SEC could break it.

ACNB flags that changes in trade policy — tariffs or trade-war escalation — could harm the local economies it serves, with its customers (particularly agriculture, manufacturing and retail businesses) facing higher imported-goods costs, reduced export demand and supply-chain disruptions; the resulting lower revenues and profitability could reduce loan demand, deposit growth and fee income that are critical to ACNB's results.

“Our customers-particularly local businesses engaged in agriculture, manufacturing, and retail-may face higher costs for imported goods and materials, reduced export demand, and supply chain disruptions due to increased tariffs. These challenges could lead to lower revenues, reduced profitability, an”

ACNB Bank is extensively regulated by the Federal Reserve and FDIC — subject to FDICIA operational, managerial, compensation and capital standards, prompt-corrective-action consequences, and a prohibition on accepting brokered deposits without approval unless well-capitalized — while its ACNB Insurance Services subsidiary is licensed across 46 states; legal/regulatory actions or changes could materially affect its business.

“All but well capitalized institutions are prohibited from accepting brokered deposits without prior regulatory approval. Under FDICIA, financial institutions are subject to increased regulatory scrutiny and must comply with certain operational, managerial and compensation standards established by Federal Reserve Board regulations.”

ACNB Bank operates through 33 community banking offices concentrated in the Pennsylvania counties of Adams, Berks, Cumberland, Franklin, Lancaster and York and the Maryland counties of Baltimore, Carroll and Frederick, and the real estate securing its loans is concentrated in this Market Area; a decline in local real-estate values or regional economic conditions would reduce its collateral values and impair credit quality.

“These properties are concentrated in ACNB's Market Area. Real estate values and real estate markets generally are affected by, among other things, changes in national, regional or local economic conditions, fluctuations in interest rates, the availability of loans to potential purchasers, changes in the tax laws and other government statutes, regulations and policies, and acts of nature. If real estate prices decline, particularly in ACNB's Market Area, the value of the real estate collateral securing ACNB's loans could be reduced.”

As a holding company, ACNB's primary source of operating funds and its ability to pay stockholder dividends depend on dividends from ACNB Bank — $55.5 million of the Bank's undistributed earnings was available for distribution without prior regulatory approval at year-end 2025, and dividends are prohibited if they would reduce the Bank's capital below minimum requirements or violate Pennsylvania-law restrictions — so constraints on subsidiary dividends could pressure holding-company liquidity and its own dividend.

“As of December 31, 2025 $ 55.5 million of undistributed earnings of the Bank, included in consolidated retained earnings, was available for distribution to the Corporation as dividends without prior regulatory approval.”