We are subject to regulation, examination, and supervision by the OCC. We are also governed by numerous federal and state laws and regulations, including the FDIC Improvement Act of 1991, which established five categories of capital adequacy ranging from “well capitalized” to “critically undercapitalized.” Such classifications are used by the FDIC to determine various matters, including prompt corrective action and each institution’s FDIC deposit insurance premium assessments. Capital amounts and classifications are also subject to the regulators’ qualitative judgments about the components of capital and risk weightings, among other factors.

The quantitative measures established to ensure capital adequacy require that banks maintain minimum amounts and ratios of leverage capital to average assets and of common equity tier 1 capital, tier 1 capital, and total capital to risk-weighted assets (as such measures are defined in the regulations). As of December 31, 2025 and 2024, our capital measures continued to exceed the minimum federal requirements, and as a result we are categorized as "Well Capitalized."

The following table sets forth our common equity tier 1, tier 1 risk-based, total risk-based, and leverage capital amounts and ratios, as well as the respective minimum regulatory capital requirements, at that date:


	Risk-Based Capital
	Common Equity Tier 1				Tier 1				Total				Leverage Capital
December 31, 2025	Amount		Ratio		Amount		Ratio		Amount		Ratio		Amount		Ratio
Actual capital	$	7,845	12.83	%	$	8,348	13.66	%	$	9,921	16.23	%	$	8,348	9.22	%
Minimum for capital adequacy purposes	2,751		4.50		3,668		6.00		4,890		8.00		3,623		4.00
Excess	$	5,094	8.33	%	$	4,680	7.66	%	$	5,031	8.23	%	$	4,725	5.22	%
December 31, 2024
Actual capital	$	7,997	11.83	%	$	8,501	12.57	%	$	10,238	15.14	%	$	8,501	7.68	%
Minimum for capital adequacy purposes	3,043		4.50		4,057		6.00		5,409		8.00		4,428		4.00
Excess	$	4,954	7.33	%	$	4,444	6.57	%	$	4,829	7.14	%	$	4,073	3.68	%