b'Recently Adopted Accounting Standards: ASU 2014-09Revenue from Contracts with Customers On January 1, 2018, the Bank adopted Accounting Standards Codification (ASC) Update 2014-09, Revenue from Contracts with Customers and all subsequent Accounting Standards Updates that modified this standard under the modified retrospective approach with no material impact on its consolidated financial statements.Under this standard, the Bank recognizes revenue when the control of goods or services are transferred to customers at an amount that reflects the consideration to which the Bank expects to be entitled in exchange for those goods and services.ASU 2016-01Recognition and Measurement of Financial Assets and Financial Liabilities In 2018, the Bank also adopted ASU 2016-01, Recognition and Measurement of Financial Assets and Financial Liabilities. This standard update amended the guidance on the classification and measurement of financial instruments.The adoption of this standard had no material impact on CNBs financial statements.ASU 2016-02Leases (Topic 842) In February 2016, the Financial Accounting Standards Board (FASB) released Accounting Standard Update (ASU) 2016-02, Leases (Topic 842).The Update is intended to increase transparency and comparability among organizations by recognizing right-of-use (ROU) assets and lease liabilities on the balance sheet and disclosing key information about leasing arrangements.The core principle of the Update is that a lessee recognizes the assets and liabilities that arise from leases, which is a change from previous GAAP that did not require lease assets and lease liabilities to be recognized on the balance sheet for operating leases.The Bank implemented ASU 2016-02 and all subsequent ASUs that modified Topic 842 on January 1, 2019 using the modified retrospective approach.As allowed by ASU 2018-11, the guidance was applied on a prospective basis using the alternative transition method, which eliminates the requirement to restate periods prior to the date of implementation.As such, financial information related to December 31, 2018 and the year then ended have not been updated and the disclosures required under the new standard have not been provided for dates and periods prior to January 1, 2019.Additionally, implementation of this Update did not result in a cumulative-effect adjustment to retained earnings.The standard provides for several practical expedients in transition, which have been described at Note 19.The Bank elected to apply the practical expedients, which, among other things, allowed it to carryforward the prior conclusions on lease identification, lease classification, initial direct costs and determination of the lease term.10'