Regulatory Capital

3 Months Ended

Mar. 31, 2023

Notes to Financial Statements

Regulatory Capital

13.     Regulatory Capital

Under current capital regulations, the Bank is required to comply with four separate capital adequacy standards and a Capital Conservation Buffer (“CCB”). As of March 31, 2023, the Bank continues to be categorized as “well-capitalized” under the prompt corrective action regulations and continues to exceed all regulatory capital requirements. The CCB for the Bank was 6.18% and 6.37% at March 31, 2023 and December 31, 2022, respectively.

Set forth below is a summary of the Bank’s compliance with banking regulatory capital standards.

	March 31, 2023				December 31, 2022
			Percent of				Percent of
	Amount		Assets		Amount		Assets
	(Dollars in thousands)
Tier I (leverage) capital:
Capital level	$	906,437	10.55	%	$	915,628	10.56	%
Requirement to be well-capitalized		429,793	5.00			433,667	5.00
Excess		476,644	5.55			481,961	5.56
Common Equity Tier I risk-based capital:
Capital level	$	906,437	13.61	%	$	915,628	13.79	%
Requirement to be well-capitalized		433,017	6.50			431,734	6.50
Excess		473,420	7.11			483,894	7.29
Tier I risk-based capital:
Capital level	$	906,437	13.61	%	$	915,628	13.79	%
Requirement to be well-capitalized		532,944	8.00			531,365	8.00
Excess		373,493	5.61			384,263	5.79
Total risk-based capital:
Capital level	$	944,683	14.18	%	$	954,457	14.37	%
Requirement to be well-capitalized		666,181	10.00			664,206	10.00
Excess		278,502	4.18			290,251	4.37

The Holding Company is subject to the same regulatory capital requirements as the Bank. As of March 31, 2023, the Holding Company continues to be categorized as “well-capitalized” under the prompt corrective action regulations and continues to exceed all regulatory capital requirements. The CCB for the Holding Company at March 31, 2023 and December 31, 2022 was 5.07% and 5.25%, respectively.

Set forth below is a summary of the Holding Company’s compliance with banking regulatory capital standards.

	March 31, 2023				December 31, 2022
			Percent of				Percent of
	Amount		Assets		Amount		Assets
	(Dollars in thousands)
Tier I (leverage) capital:
Capital level	$	737,138	8.58	%	$	746,880	8.61	%
Requirement to be well-capitalized		429,761	5.00			433,607	5.00
Excess		307,377	3.58			313,273	3.61
Common Equity Tier I risk-based capital:
Capital level	$	690,846	10.37	%	$	698,258	10.52	%
Requirement to be well-capitalized		432,870	6.50			431,635	6.50
Excess		257,976	3.87			266,623	4.02
Tier I risk-based capital:
Capital level	$	737,138	11.07	%	$	746,880	11.25	%
Requirement to be well-capitalized		532,763	8.00			531,243	8.00
Excess		204,375	3.07			215,637	3.25
Total risk-based capital:
Capital level	$	965,384	14.50	%	$	975,709	14.69	%
Requirement to be well-capitalized		665,953	10.00			664,054	10.00
Excess		299,431	4.50			311,655	4.69