SECURITY FEDERAL Business Summary

Security Federal Corp (SFDL) operates as the bank holding company for Security Federal Bank, generating revenue primarily through net interest income from a $1.6 billion asset base and non-interest income from ancillary financial services. The company's business is divided into three primary segments: Community Banking, which offers a full suite of deposit and lending products including commercial real estate, residential mortgages, and agricultural loans; Trust and Investment Services, providing estate planning and asset management; and Insurance Services, operated through its subsidiary Security Federal Insurance, Inc. As a certified Community Development Financial Institution (CDFI), the company maintains a specialized market niche focusing on underserved communities across 19 branches in South Carolina and Georgia. SFDL competes directly with regional peers such as Skyline Bankshares, Inc. (SLBK), Summit Bancshares, Inc. (SMAL), and Century Next Financial Corporation (CTUY), positioning itself as a well-capitalized, relationship-driven alternative to larger national lenders. Founded in 1922 as the Aiken Building and Loan Association, the company is led by a veteran executive team with deep institutional knowledge. J. Chris Verenes serves as Chief Executive Officer, bringing a background that includes leadership roles at AECOM Energy & Construction and Riegel Textile Corp. He is supported by President Roy G. Lindburg, a Certified Public Accountant with over 40 years of banking experience who previously served as the company’s CFO, and Darrell R. Rains, who currently holds the Executive Vice President and CFO positions. The leadership team is overseen by Chairman Timothy W. Simmons, while the T. Clifton Weeks Family Ltd. Partnership remains a notable significant stakeholder. This leadership core is characterized by exceptional stability, with the board of directors maintaining an average tenure exceeding 20 years as of early 2026.