Introduction to Problem Banks eBook

Internal Use Only

Breakout Group Exercise Breakout group exercise (15 minutes) In your group: 1. Select a spokesperson 2. Discuss the red flag 3. Come up with questions (at least 3) you would ask management or areas you want to follow-up on. 4. Your group will present their questions to the larger group.

Internal Use Only

Breakout Group Exercise

Groups 1 & 4 :

Groups 2 & 5: •Increase in the level of AOCI (negative) in the bank’s AFS securities.

Groups 3 & 6:

•Increase in borrowings

•Increase in

concentration of depositors in one market sector.

with the FHLB