Regulation FD Disclosure (Form 8-K)

Item 7.01Regulation FD Disclosure

During June 2026, two customers (the "Borrowers") of Wayne Bank (the "Bank"), the bank subsidiary of Norwood Financial Corp (the "Company"), filed for personal and corporate Chapter 11 bankruptcy. The Bank has five loans to four different corporate entities controlled by the Borrowers totaling $22.0 million (which represents the Bank's participation interest in a total credit of $29.0 million for which the Bank is the originating lender). The loans are primarily secured by several commercial real estate properties. The Company has been identified as a creditor to the bankrupt entities and is currently analyzing the potential loss exposure to the Company. The Company anticipates providing further information relating to the lending relationship as part of its second quarter earnings release expected to be issued on or about July 22, 2026.

The information contained in this Form 8-K provided under Item 7.01 is being furnished and shall not be deemed to be "filed" for purposes of Section 18 of the Securities Exchange Act of 1934 (the "Exchange Act"), or otherwise subject to the liability of such section, nor shall it be deemed incorporated by reference in any filing of the Company under the Securities Act of 1933 or the Exchange Act, unless expressly incorporated by specific reference in such filing.