Company: TCBI
Filing Date: 2025-02-11
Form Type: 10-K
Source: 0001077428-25-000036
Chunk: 134

Company: TEXAS CAPITAL BANCSHARES INC/TX
Filing Date: 2025-02-11
Form: 10-K
Item: Item 1A
Chunk 134
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 no assurance that such actions, if pursued, would be successful.

Other Risks Affecting the Business

The business faces unpredictable economic and business conditions.    The business is directly impacted by general economic, business and political conditions in Texas, the United States and internationally. The credit quality of the loan portfolio necessarily reflects, among other things, the general economic conditions in the areas in which the Company and its customers conduct their respective businesses. The Company’s financial condition can be affected by other factors that are beyond its control, including:

•geopolitical, national, regional and local economic conditions;

•the value of the U.S. Dollar in relation to the currencies of other advanced and emerging market countries;

•the performance of both domestic and international equity and debt markets and valuation of securities traded on recognized domestic and international exchanges;

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•general economic consequences of international conditions and the impact of those conditions on the U.S. and global economies;

•legislative and regulatory changes impacting the banking industry;

•impact of the 2024 presidential and congressional elections and other political conditions;

•the financial health of customers and economic conditions affecting them and the value of collateral, including effects from the continued price volatility of oil and gas and other commodities;

•the incidence of fraud, illegal payments, security breaches and other illegal acts among or impacting the Company, its customers and third parties;

•structural changes in the markets for origination, sale and servicing of residential mortgages;

•changes in governmental economic and regulatory policies, including the extent and timing of intervention in credit markets by the Federal Reserve or withdrawal from that intervention, generally including changes attributable to presidential and congressional elections;

•acts or threats of war, including the ongoing war in Ukraine and the Israeli Palestinian conflict;

•changes in the availability of liquidity at a systemic level; and

•material inflation or deflation.

Substantial deterioration in any of the foregoing conditions can have a material adverse effect on prospects and results of operations and financial condition. Declining or adverse economic conditions and adverse changes in investor, consumer and business sentiment generally result in reduced business activity, which may decrease the demand for products and services. Recently, inflation has been at a higher level than experienced in many decades, which has increased costs and impacted operations for the Company and many of its customers. There is no assurance that the Company will be able to return to historical rate of growth or profitability. The Company's customer base is primarily commercial in nature, and the Company does not have a significant retail branch network or retail consumer deposit base. In periods of