Primis Financial Corp. Provides Update on Delayed Filing Process

MCLEAN, Va., Aug. 12, 2024 /PRNewswire/ -- Primis Financial Corp. (NASDAQ: FRST) ("Primis" or the "Company"), and its wholly-owned subsidiary, Primis Bank (the "Bank"), today provided an update on its consultation process with the Office of the Chief Accountant of the Securities and Exchange Commission ("SEC") regarding the accounting for a consumer loan portfolio originated and serviced through a third-party (the "Program").  On August 9^th, the SEC provided its non-objection to the Company's accounting conclusions required to correct the prior accounting for this Program which will allow for the completion of the Company's previously delayed Annual Report on Form 10-K for the year ended December 31, 2023, its Quarterly Reports on Form 10-Q for the three months ended March 31, 2024 and three and six months ended June 30, 2024, and to restate its financial statements for each of the first three quarters of 2023.  The non-objection specifically addresses accounting for the Program loans and third-party agreements as separate units of account, or a "multi-unit" approach, under U.S. GAAP.  As detailed further below, the Company continues to pursue a consultation with the SEC to allow for the various pieces of the Program to be treated under a single-unit approach.   There can be no guarantee that the Company will be successful pursuing this "single-unit" approach and the timing of that process is uncertain.