Loans

6 Months Ended

Jun. 30, 2026

Note 5 — Loans

The following is a summary of total loans:


	June 30,			December 31,
(Dollars in thousands)	2026			2025
Loans:
Construction and land development ⁽¹⁾	$	2,982,968		$	2,548,360
Commercial non-owner-occupied		17,481,117			16,651,760
Commercial owner-occupied real estate		7,852,391			7,576,991
Consumer owner-occupied ⁽²⁾		9,125,082			8,618,434
Home equity loans		1,909,020			1,831,789
Commercial and industrial		9,378,444			9,181,408
Other income producing property		1,175,338			1,232,153
Consumer		934,035			955,266
Other loans		8,477			2,366
Total loans		50,846,872			48,598,527
Less: allowance for credit losses		(586,664)			(585,197)
Loans, net	$	50,260,208		$	48,013,330

(1)

Construction and land development includes loans for both commercial construction and development, as well as loans for 1-4 family residential construction and lot loans.

(2)

Consumer owner-occupied real estate includes loans on both 1-4 family owner-occupied property, as well as loans collateralized by 1-4 family owner-occupied properties with a business intent.

The above table reflects the loan portfolio at the amortized cost basis for the periods June 30, 2026, and December 31, 2025, to include net deferred costs of $84.1 million and $97.0 million, respectively, and unamortized discount related to loans acquired of $185.9 million and $259.5 million, respectively. Accrued interest receivables of $187.6 million and $186.5 million, respectively, are accounted for separately and reported in other assets for the periods June 30, 2026, and December 31, 2025.

For a description of the Company’s loan risk grading system, including the definitions of Pass, Special Mention, Substandard, and Doubtful, refer to Note 4 to the Consolidated Financial Statements in the 2025 Form 10-K.

The following table presents the credit risk profile by risk grade of commercial loans by origination year as of and for the period ending June 30, 2026:


(Dollars in thousands)		Term Loans Amortized Cost Basis by Origination Year
As of June 30, 2026	2026		2025		2024		2023		2022		Prior		Revolving		Total
Construction and land development
Risk rating:
Pass	$	497,110	$	1,084,206	$	500,035	$	106,149	$	89,490	$	69,163	$	144,237	$	2,490,390
Special mention		1,328		3,097		278		25,393		—		550		41,738		72,384
Substandard		2,121		5,764		6,986		31,998		8,693		6,224		—		61,786
Doubtful		—		—		—		—		—		—		—		—
Total Construction and land development	$	500,559	$	1,093,067	$	507,299	$	163,540	$	98,183	$	75,937	$	185,975	$	2,624,560
Construction and land development
Current-period gross charge-offs	$	—	$	—	$	—	$	—	$	—	$	166	$	—	$	166

Commercial non-owner-occupied
Risk rating:
Pass	$	2,534,850	$	2,514,311	$	1,079,357	$	1,089,654	$	3,429,598	$	4,552,116	$	259,543	$	15,459,429
Special mention		26,266		47,961		26,375		42,827		324,787		101,640		1,070		570,926
Substandard		49,745		76,404		31,664		196,749		691,061		404,382		753		1,450,758
Doubtful		—		—		—		—		—		4		—		4
Total Commercial non-owner-occupied	$	2,610,861	$	2,638,676	$	1,137,396	$	1,329,230	$	4,445,446	$	5,058,142	$	261,366	$	17,481,117
Commercial non-owner-occupied
Current-period gross charge-offs	$	—	$	—	$	—	$	969	$	—	$	—	$	—	$	969

Commercial Owner-Occupied
Risk rating:
Pass	$	871,834	$	1,221,181	$	692,300	$	603,475	$	1,088,014	$	2,899,012	$	110,661	$	7,486,477
Special mention		2,704		6,922		2,978		10,136		11,877		17,764		261		52,642
Substandard		6,089		18,510		25,540		49,646		86,756		124,746		1,969		313,256
Doubtful		—		8		4		—		—		4		—		16
Total commercial owner-occupied	$	880,627	$	1,246,621	$	720,822	$	663,257	$	1,186,647	$	3,041,526	$	112,891	$	7,852,391
Commercial owner-occupied
Current-period gross charge-offs	$	—	$	—	$	11	$	134	$	188	$	38	$	—	$	371

Commercial and industrial
Risk rating:
Pass	$	1,814,574	$	1,759,014	$	861,689	$	494,697	$	672,230	$	974,791	$	2,400,723	$	8,977,718
Special mention		735		5,119		4,226		5,712		3,649		7,399		11,854		38,694
Substandard		14,719		26,814		59,029		50,188		47,701		60,314		102,969		361,734
Doubtful		4		8		30		59		69		26		102		298
Total commercial and industrial	$	1,830,032	$	1,790,955	$	924,974	$	550,656	$	723,649	$	1,042,530	$	2,515,648	$	9,378,444
Commercial and industrial
Current-period gross charge-offs	$	1,108	$	2,617	$	6,266	$	3,004	$	1,204	$	1,399	$	1,928	$	17,526

Other income producing property
Risk rating:
Pass	$	128,579	$	143,743	$	93,401	$	65,554	$	239,444	$	296,614	$	63,941	$	1,031,276
Special mention		142		1,811		260		45		1,844		2,051		519		6,672
Substandard		1,409		838		625		1,877		10,602		20,986		221		36,558
Doubtful		—		—		—		—		—		—		—		—
Total other income producing property	$	130,130	$	146,392	$	94,286	$	67,476	$	251,890	$	319,651	$	64,681	$	1,074,506
Other income producing property
Current-period gross charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Consumer owner-occupied
Risk rating:
Pass	$	7,167	$	14,860	$	2,106	$	17,596	$	10,329	$	34,808	$	38,819	$	125,685
Special mention		—		105		726		128		—		76		95		1,130
Substandard		473		1,251		—		368		—		—		583		2,675
Doubtful		—		—		—		—		—		—		—		—
Total Consumer owner-occupied	$	7,640	$	16,216	$	2,832	$	18,092	$	10,329	$	34,884	$	39,497	$	129,490
Consumer owner-occupied
Current-period gross charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Other loans
Risk rating:
Pass	$	8,477	$	—	$	—	$	—	$	—	$	—	$	—	$	8,477
Special mention		—		—		—		—		—		—		—		—
Substandard		—		—		—		—		—		—		—		—
Doubtful		—		—		—		—		—		—		—		—
Total other loans	$	8,477	$	—	$	—	$	—	$	—	$	—	$	—	$	8,477
Other loans
Current-period gross charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Total Commercial Loans
Risk rating:
Pass	$	5,862,591	$	6,737,315	$	3,228,888	$	2,377,125	$	5,529,105	$	8,826,504	$	3,017,924	$	35,579,452
Special mention		31,175		65,015		34,843		84,241		342,157		129,480		55,537		742,448
Substandard		74,556		129,581		123,844		330,826		844,813		616,652		106,495		2,226,767
Doubtful		4		16		34		59		69		34		102		318
Total Commercial Loans	$	5,968,326	$	6,931,927	$	3,387,609	$	2,792,251	$	6,716,144	$	9,572,670	$	3,180,058	$	38,548,985
Commercial Loans
Current-period gross charge-offs	$	1,108	$	2,617	$	6,277	$	4,107	$	1,392	$	1,603	$	1,928	$	19,032

The following table presents the credit risk profile by risk grade of commercial loans by origination year as of and for the period ending December 31, 2025:


(Dollars in thousands)		Term Loans Amortized Cost Basis by Origination Year
As of December 31, 2025	2025		2024		2023		2022		2021		Prior		Revolving		Total
Construction and land development
Risk rating:
Pass	$	862,035	$	575,253	$	264,370	$	175,486	$	57,814	$	40,977	$	147,911	$	2,123,846
Special mention		706		137		1,815		20,580		335		510		—		24,083
Substandard		5,292		7,512		32,431		5,898		892		5,564		—		57,589
Doubtful		—		—		—		—		—		—		—		—
Total Construction and land development	$	868,033	$	582,902	$	298,616	$	201,964	$	59,041	$	47,051	$	147,911	$	2,205,518
Construction and land development
Current-period gross charge-offs	$	—	$	—	$	—	$	—	$	16	$	—	$	—	$	16

Commercial non-owner-occupied
Risk rating:
Pass	$	2,564,868	$	1,161,720	$	1,304,297	$	3,828,512	$	2,440,726	$	2,996,445	$	185,751	$	14,482,319
Special mention		51,864		17,084		100,316		383,957		27,680		96,579		10,484		687,964
Substandard		169,713		28,225		100,542		598,777		357,340		226,461		415		1,481,473
Doubtful		—		—		—		—		1		3		—		4
Total Commercial non-owner-occupied	$	2,786,445	$	1,207,029	$	1,505,155	$	4,811,246	$	2,825,747	$	3,319,488	$	196,650	$	16,651,760
Commercial non-owner-occupied
Current-period gross charge-offs	$	—	$	—	$	4,565	$	1,237	$	18,033	$	9,800	$	—	$	33,635

Commercial Owner-Occupied
Risk rating:
Pass	$	1,210,501	$	777,109	$	634,593	$	1,105,730	$	1,110,749	$	2,218,753	$	102,835	$	7,160,270
Special mention		4,609		1,075		12,204		10,424		5,539		17,866		438		52,155
Substandard		19,657		38,394		52,341		115,676		33,813		102,965		1,703		364,549
Doubtful		9		4		—		—		—		4		—		17
Total commercial owner-occupied	$	1,234,776	$	816,582	$	699,138	$	1,231,830	$	1,150,101	$	2,339,588	$	104,976	$	7,576,991
Commercial owner-occupied
Current-period gross charge-offs	$	1,095	$	—	$	874	$	1,628	$	184	$	1,317	$	50	$	5,148

Commercial and industrial
Risk rating:
Pass	$	2,644,081	$	1,056,432	$	613,536	$	876,480	$	410,578	$	771,994	$	2,396,981	$	8,770,082
Special mention		5,089		2,283		20,226		6,023		2,955		2,208		14,387		53,171
Substandard		10,054		50,362		52,210		52,356		37,921		31,469		123,611		357,983
Doubtful		—		3		43		68		50		2		6		172
Total commercial and industrial	$	2,659,224	$	1,109,080	$	686,015	$	934,927	$	451,504	$	805,673	$	2,534,985	$	9,181,408
Commercial and industrial
Current-period gross charge-offs	$	23,240	$	2,947	$	4,351	$	9,157	$	12,680	$	11,844	$	10,007	$	74,226

Other income producing property
Risk rating:
Pass	$	157,404	$	114,264	$	88,883	$	272,672	$	173,188	$	210,459	$	55,663	$	1,072,533
Special mention		2,020		463		145		269		542		2,897		602		6,938
Substandard		1,936		420		1,918		15,540		2,294		17,247		548		39,903
Doubtful		—		—		—		—		—		—		—		—
Total other income producing property	$	161,360	$	115,147	$	90,946	$	288,481	$	176,024	$	230,603	$	56,813	$	1,119,374
Other income producing property
Current-period gross charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Consumer owner-occupied
Risk rating:
Pass	$	15,587	$	3,687	$	20,410	$	10,949	$	11,145	$	25,248	$	31,042	$	118,068
Special mention		118		745		131		—		—		—		—		994
Substandard		1,376		209		—		—		—		158		588		2,331
Doubtful		—		—		—		—		—		1		—		1
Total Consumer owner-occupied	$	17,081	$	4,641	$	20,541	$	10,949	$	11,145	$	25,407	$	31,630	$	121,394
Consumer owner-occupied
Current-period gross charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Other loans
Risk rating:
Pass	$	2,366	$	—	$	—	$	—	$	—	$	—	$	—	$	2,366
Special mention		—		—		—		—		—		—		—		—
Substandard		—		—		—		—		—		—		—		—
Doubtful		—		—		—		—		—		—		—		—
Total other loans	$	2,366	$	—	$	—	$	—	$	—	$	—	$	—	$	2,366
Other loans
Current-period gross charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Total Commercial Loans
Risk rating:
Pass	$	7,456,842	$	3,688,465	$	2,926,089	$	6,269,829	$	4,204,200	$	6,263,876	$	2,920,183	$	33,729,484
Special mention		64,406		21,787		134,837		421,253		37,051		120,060		25,911		825,305
Substandard		208,028		125,122		239,442		788,247		432,260		383,864		126,865		2,303,828
Doubtful		9		7		43		68		51		10		6		194
Total Commercial Loans	$	7,729,285	$	3,835,381	$	3,300,411	$	7,479,397	$	4,673,562	$	6,767,810	$	3,072,965	$	36,858,811
Commercial Loans
Current-period gross charge-offs	$	24,335	$	2,947	$	9,790	$	12,022	$	30,913	$	22,961	$	10,057	$	113,025

For the consumer segment, delinquency of a loan is determined by past due status. Consumer loans are automatically placed on nonaccrual status once the loan is 90 days past due. Construction and land development loans are on 1-4 family residential properties and lots.

The following table presents the credit risk profile by past due status of consumer loans by origination year as of and for the period ending June 30, 2026:


(Dollars in thousands)	Term Loans Amortized Cost Basis by Origination Year
As of June 30, 2026	2026		2025		2024		2023		2022		Prior		Revolving		Total
Consumer owner-occupied
Days past due:
Current	$	1,001,713	$	1,164,128	$	584,617	$	896,759	$	2,287,256	$	2,987,852	$	—	$	8,922,325
30 days past due		—		5,151		5,785		3,797		2,857		6,777		—		24,367
60 days past due		—		2,887		2,472		2,412		512		5,525		—		13,808
90 days past due		212		2,286		10,324		11,052		3,877		7,341		—		35,092
Total Consumer owner-occupied	$	1,001,925	$	1,174,452	$	603,198	$	914,020	$	2,294,502	$	3,007,495	$	—	$	8,995,592
Consumer owner-occupied
Current-period gross charge-offs	$	—	$	385	$	1,098	$	886	$	250	$	22	$	—	$	2,641

Home equity loans
Days past due:
Current	$	159	$	1,456	$	3,162	$	1,398	$	2,589	$	13,586	$	1,876,828	$	1,899,178
30 days past due		—		—		90		—		70		269		2,888		3,317
60 days past due		—		—		114		—		3		579		1,496		2,192
90 days past due		—		—		666		685		397		1,424		1,161		4,333
Total Home equity loans	$	159	$	1,456	$	4,032	$	2,083	$	3,059	$	15,858	$	1,882,373	$	1,909,020
Home equity loans
Current-period gross charge-offs	$	—	$	—	$	104	$	10	$	—	$	50	$	35	$	199

Consumer
Days past due:
Current	$	126,474	$	155,609	$	107,469	$	132,304	$	129,074	$	187,623	$	90,568	$	929,121
30 days past due		53		161		89		161		264		917		47		1,692
60 days past due		—		66		230		64		213		316		39		928
90 days past due		1		40		261		221		363		1,382		26		2,294
Total consumer	$	126,528	$	155,876	$	108,049	$	132,750	$	129,914	$	190,238	$	90,680	$	934,035
Consumer
Current-period gross charge-offs	$	28	$	419	$	359	$	555	$	128	$	113	$	2,702	$	4,304

Construction and land development
Days past due:
Current	$	69,597	$	144,048	$	44,526	$	21,646	$	38,200	$	39,807	$	—	$	357,824
30 days past due		—		—		—		302		—		10		—		312
60 days past due		—		—		—		—		—		—		—		—
90 days past due		—		—		—		3		269		—		—		272
Total Construction and land development	$	69,597	$	144,048	$	44,526	$	21,951	$	38,469	$	39,817	$	—	$	358,408
Construction and land development
Current-period gross charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Other income producing property
Days past due:
Current	$	1,273	$	3,936	$	1,187	$	7,233	$	47,121	$	39,583	$	94	$	100,427
30 days past due		—		—		—		—		—		—		—		—
60 days past due		—		—		—		—		—		—		—		—
90 days past due		—		—		3		—		258		144		—		405
Total other income producing property	$	1,273	$	3,936	$	1,190	$	7,233	$	47,379	$	39,727	$	94	$	100,832
Other income producing property
Current-period gross charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Total Consumer Loans
Days past due:
Current	$	1,199,216	$	1,469,177	$	740,961	$	1,059,340	$	2,504,240	$	3,268,451	$	1,967,490	$	12,208,875
30 days past due		53		5,312		5,964		4,260		3,191		7,973		2,935		29,688
60 days past due		—		2,953		2,816		2,476		728		6,420		1,535		16,928
90 days past due		213		2,326		11,254		11,961		5,164		10,291		1,187		42,396
Total Consumer Loans	$	1,199,482	$	1,479,768	$	760,995	$	1,078,037	$	2,513,323	$	3,293,135	$	1,973,147	$	12,297,887
Consumer Loans
Current-period gross charge-offs	$	28	$	804	$	1,561	$	1,451	$	378	$	185	$	2,737	$	7,144

The following table presents the credit risk profile by past due status of total loans by origination year as of and for the period ending June 30, 2026:

(Dollars in thousands)

Term Loans Amortized Cost Basis by Origination Year

As of June 30, 2026

2026

2025

2024

2023

2022

Prior

Revolving

Total

Total Loans

7,167,808

8,411,695

4,148,604

3,870,288

9,229,467

12,865,805

5,153,205

50,846,872

Current-period gross charge-offs

1,136

3,421

7,838

5,558

1,770

1,788

4,665

26,176

The following table presents the credit risk profile by past due status of consumer loans by origination year as of and for the period ending December 31, 2025:


(Dollars in thousands)	Term Loans Amortized Cost Basis by Origination Year
As of December 31, 2025	2025		2024		2023		2022		2021		Prior		Revolving		Total
Consumer owner-occupied
Days past due:
Current	$	1,182,075	$	647,315	$	1,014,555	$	2,407,217	$	1,639,720	$	1,543,231	$	—	$	8,434,113
30 days past due		2,060		3,805		5,472		3,232		3,926		3,369		—		21,864
60 days past due		685		2,557		2,670		620		559		1,626		—		8,717
90 days past due		1,156		9,661		8,967		6,584		1,524		4,454		—		32,346
Total Consumer owner-occupied	$	1,185,976	$	663,338	$	1,031,664	$	2,417,653	$	1,645,729	$	1,552,680	$	—	$	8,497,040
Consumer owner-occupied
Current-period gross charge-offs	$	122	$	926	$	981	$	458	$	53	$	107	$	—	$	2,647

Home equity loans
Days past due:
Current	$	1,627	$	5,549	$	2,618	$	3,463	$	1,308	$	13,961	$	1,794,239	$	1,822,765
30 days past due		50		26		160		199		—		502		2,752		3,689
60 days past due		—		50		212		74		—		108		1,615		2,059
90 days past due		—		218		577		886		138		610		847		3,276
Total Home equity loans	$	1,677	$	5,843	$	3,567	$	4,622	$	1,446	$	15,181	$	1,799,453	$	1,831,789
Home equity loans
Current-period gross charge-offs	$	—	$	66	$	—	$	70	$	—	$	415	$	—	$	551

Consumer
Days past due:
Current	$	193,165	$	134,608	$	156,266	$	154,801	$	62,652	$	156,314	$	91,731	$	949,537
30 days past due		55		117		304		271		205		1,295		75		2,322
60 days past due		41		70		427		50		—		268		65		921
90 days past due		67		177		532		365		47		1,288		10		2,486
Total consumer	$	193,328	$	134,972	$	157,529	$	155,487	$	62,904	$	159,165	$	91,881	$	955,266
Consumer
Current-period gross charge-offs	$	390	$	912	$	910	$	776	$	114	$	2,655	$	6,007	$	11,764

Construction and land development
Days past due:
Current	$	129,749	$	80,514	$	27,590	$	53,698	$	26,284	$	24,390	$	—	$	342,225
30 days past due		—		—		—		—		—		—		—		—
60 days past due		—		—		—		—		—		—		—		—
90 days past due		—		—		154		463		—		—		—		617
Total Construction and land development	$	129,749	$	80,514	$	27,744	$	54,161	$	26,284	$	24,390	$	—	$	342,842
Construction and land development
Current-period gross charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Other income producing property
Days past due:
Current	$	3,638	$	2,037	$	7,756	$	50,859	$	16,477	$	31,521	$	86	$	112,374
30 days past due		—		—		—		—		—		—		—		—
60 days past due		—		—		—		—		—		16		—		16
90 days past due		—		3		—		258		—		128		—		389
Total other income producing property	$	3,638	$	2,040	$	7,756	$	51,117	$	16,477	$	31,665	$	86	$	112,779
Other income producing property
Current-period gross charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Total Consumer Loans
Days past due:
Current	$	1,510,254	$	870,023	$	1,208,785	$	2,670,038	$	1,746,441	$	1,769,417	$	1,886,056	$	11,661,014
30 days past due		2,165		3,948		5,936		3,702		4,131		5,166		2,827		27,875
60 days past due		726		2,677		3,309		744		559		2,018		1,680		11,713
90 days past due		1,223		10,059		10,230		8,556		1,709		6,480		857		39,114
Total Consumer Loans	$	1,514,368	$	886,707	$	1,228,260	$	2,683,040	$	1,752,840	$	1,783,081	$	1,891,420	$	11,739,716
Consumer Loans
Current-period gross charge-offs	$	512	$	1,904	$	1,891	$	1,304	$	167	$	3,177	$	6,007	$	14,962

The following table presents the credit risk profile by past due status of total loans by origination year as of and for the period ending December 31, 2025:


(Dollars in thousands)	Term Loans Amortized Cost Basis by Origination Year
As of December 31, 2025	2025		2024		2023		2022		2021		Prior		Revolving		Total
Total Loans	$	9,243,653	$	4,722,088	$	4,528,671	$	10,162,437	$	6,426,402	$	8,550,891	$	4,964,385	$	48,598,527

Current-period gross charge-offs	$	24,847	$	4,851	$	11,681	$	13,326	$	31,080	$	26,138	$	16,064	$	127,987

The following table presents an aging analysis of past due accruing loans, segregated by class, as of June 30, 2026 and December 31, 2025:


	30 - 59 Days			60 - 89 Days			90+ Days			Total						Non-		Total
(Dollars in thousands)	Past Due			Past Due			Past Due			Past Due			Current			Accruing		Loans
June 30, 2026
Construction and land development	$	2,475		$	2,099		$	108		$	4,682		$	2,972,485		$	5,801	$	2,982,968
Commercial non-owner-occupied		6,994			2,177			—			9,171			17,429,641			42,305		17,481,117
Commercial owner-occupied		11,999			6,207			346			18,552			7,792,320			41,519		7,852,391
Consumer owner-occupied		17,823			1,504			1,063			20,390			9,024,719			79,973		9,125,082
Home equity loans		2,678			1,808			—			4,486			1,895,492			9,042		1,909,020
Commercial and industrial		26,640			7,044			2,251			35,935			9,256,352			86,157		9,378,444
Other income producing property		743			701			28			1,472			1,171,477			2,389		1,175,338
Consumer		1,501			788			—			2,289			928,316			3,430		934,035
Other loans		—			—			—			—			8,477			—		8,477
	$	70,853		$	22,328		$	3,796		$	96,977		$	50,479,279		$	270,616	$	50,846,872
December 31, 2025
Construction and land development	$	3,018		$	472		$	139		$	3,629		$	2,537,171		$	7,560	$	2,548,360
Commercial non-owner-occupied		8,457			304			408			9,169			16,575,180			67,411		16,651,760
Commercial owner-occupied		14,821			4,651			865			20,337			7,516,697			39,957		7,576,991
Consumer owner-occupied		16,301			901			—			17,202			8,527,681			73,551		8,618,434
Home equity loans		2,739			1,226			1			3,966			1,819,479			8,344		1,831,789
Commercial and industrial		24,890			5,860			2,913			33,663			9,052,979			94,766		9,181,408
Other income producing property		1,582			827			615			3,024			1,227,020			2,109		1,232,153
Consumer		2,002			793			—			2,795			949,014			3,457		955,266
Other loans		—			—			—			—			2,366			—		2,366
	$	73,810		$	15,034		$	4,941		$	93,785		$	48,207,587		$	297,155	$	48,598,527

The following table is a summary of information pertaining to nonaccrual loans by class, including loans modified for borrowers with financial difficulty as of June 30, 2026, and December 31, 2025:

June 30,

Greater than

Non-accrual

December 31,

(Dollars in thousands)

2026

90 Days Accruing⁽¹⁾

with no allowance⁽¹⁾

2025

Construction and land development

5,801

108

3,796

7,560

Commercial non-owner-occupied

42,305

—

39,945

67,411

Commercial owner-occupied real estate

41,519

346

10,212

39,957

Consumer owner-occupied

79,973

1,063

1,484

73,551

Home equity loans

9,042

—

8,344

Commercial and industrial

86,157

2,251

8,360

94,766

Other income producing property

2,389

—

2,109

Consumer

3,430

—

3,457

Total loans on nonaccrual status

270,616

3,796

63,797

297,155

(1)

Greater than 90 days accruing and non-accrual with no allowance loans at June 30, 2026.

There is no interest income recognized during the period on nonaccrual loans. The Company follows its nonaccrual policy by reversing contractual interest income in the income statement when the Company places a loan on nonaccrual status. Loans on nonaccrual status in which there is no allowance assigned are individually evaluated loans that do not carry a specific reserve. See Note 1 — Summary of Significant Accounting Policies of the 2025 Form 10-K for further detailed descriptions on individually evaluated loans.

The following is a summary of collateral dependent loans, by type of collateral, and the extent to which they are collateralized during the period:


	June 30,		Collateral			December 31,		Collateral
(Dollars in thousands)	2026		Coverage		%	2025		Coverage		%
Construction and land development
Other	$	3,796	$	7,725	204%	$	5,778	$	7,725	134%
Commercial owner-occupied real estate
Church		3,260		5,288	162%		3,315		6,075	183%
Other		6,952		15,363	221%		6,157		9,549	155%
Commercial non-owner-occupied real estate
Hotel		8,420		9,720	115%		—		—	—
Retail		3,561		4,549	128%		3,451		5,251	152%
Other		2,444		3,438	141%		1,250		1,512	121%
Office		1,860		1,908	103%		12,250		22,015	180%
Multifamily		23,660		29,592	125%		44,860		50,894	113%
Commercial and industrial
Other		37,147		39,213	106%		49,491		46,539	94%
Other income producing property
1-4 family investment property		—		—	—		717		545	76%
Consumer owner-occupied
1st Mtg Residential		1,484		2,250	152%		1,484		2,250	152%
Total collateral dependent loans	$	92,584	$	119,046		$	128,753	$	152,355

The Bank designates individually evaluated loans on non-accrual with a net book balance exceeding the designated threshold as collateral dependent loans. Collateral dependent loans are loans for which the repayment is expected to be provided substantially through the operation or sale of the collateral and the borrower is experiencing financial difficulty. These loans do not share common risk characteristics and are not included within the collectively evaluated loans for determining the ACL. The Bank has adopted the collateral maintenance practical expedient to measure the ACL based on the fair value of collateral. The ACL is calculated on an individual loan basis based on the shortfall between the fair value of the loan's collateral, which is adjusted for selling costs, and amortized cost. If the fair value of the collateral exceeds the amortized cost, no allowance is required. The Bank’s threshold for individually evaluated loans is $1.0 million. The changes above in collateral percentage are generally due to appraisal value updates or changes in the number of loans within the asset class and collateral type. Overall collateral dependent loans decreased $36.2 million during the six months ended June 30, 2026.

Loans on nonaccrual status at the date of modification are initially classified as nonaccrual. Loans on accruing status at the date of modification are initially classified as accruing if the note is reasonably assured of repayment and performance is expected in accordance with its modified terms. Such loans may be designated as nonaccrual loans subsequent to the modification date if reasonable doubt exists as to the collection of interest or principal under the modification agreement. Nonaccrual loans are returned to accruing status when there is economic substance to the modification, there is documented credit evaluation of the borrower’s financial condition, the remaining balance is reasonably assured of repayment in accordance with its modified terms, and the borrower has demonstrated sustained repayment performance in accordance with the modified terms for a reasonable period of time (generally a minimum of six months). See Note 1 — Summary of Significant Accounting Policies of the 2025 Form 10-K for how such modifications are factored into the determination of the ACL for the periods presented above.

The following tables present loans designated as modifications made to borrowers experiencing financial difficulty during the three and six months ended June 30, 2026, and 2025, respectively. The loans are segregated by type of modification and asset class, indicating the financial effect of the modifications. There were no combination interest rate reduction and payment delay modifications for the three and six months ended June 30, 2026. There were no combination interest rate reduction and payment delay modifications for the three months ended June 30, 2025.

Three Months Ended June 30,

2026

2025

Reduction in Weighted

Amortized

% of Total

Average Contractual

Amortized

% of Total

Average Contractual

(Dollars in thousands)

Cost

Asset Class

Interest Rate

Cost

Asset Class

Interest Rate

Interest rate reduction

Commercial owner-occupied real estate

316

0.00%

1.00%

332

0.00%

1.55%

Commercial and industrial

534

0.01%

1.32%

—

Total interest rate reductions

850

332

Six Months Ended June 30,

2026

2025

Reduction in Weighted

Amortized

% of Total

Average Contractual

Amortized

% of Total

Average Contractual

(Dollars in thousands)

Cost

Asset Class

Interest Rate

Cost

Asset Class

Interest Rate

Interest rate reduction

Construction and land development

1,813

0.06%

1.75%

—

Commercial non-owner occupied

1,124

0.01%

0.81%

15,045

0.10%

0.86%

Commercial owner-occupied real estate

316

0.00%

1.00%

332

0.00%

1.55%

Commercial and industrial

808

0.01%

1.00%

378

0.00%

1.75%

Total interest rate reductions

4,061

15,755

Three Months Ended June 30,

2026

2025

Increase in

Amortized

% of Total

Weighted Average

Amortized

% of Total

Weighted Average

(Dollars in thousands)

Cost

Asset Class

Life of Loan

Cost

Asset Class

Life of Loan

Term extension

Construction and land development

1,459

0.05%

11 months

—

Commercial non-owner occupied

32,962

0.19%

5 months

—

Commercial owner-occupied real estate

1,215

0.02%

7 months

—

Consumer owner-occupied

2,751

0.03%

5 months

4,269

0.05%

4 months

Commercial and industrial

16,105

0.17%

4 months

9,245

0.11%

4 months

Other income producing property

2,443

0.21%

3 months

—

Total term extensions

56,935

13,514

Six Months Ended June 30,

2026

2025

Increase in

Amortized

% of Total

Weighted Average

Amortized

% of Total

Weighted Average

(Dollars in thousands)

Cost

Asset Class

Life of Loan

Cost

Asset Class

Life of Loan

Term extension

Construction and land development

1,459

0.05%

11 months

286

0.01%

9 months

Commercial non-owner-occupied

41,111

0.24%

6 months

—

Commercial owner-occupied real estate

4,784

0.06%

7 months

—

Consumer owner-occupied

3,619

0.04%

4 months

4,269

0.05%

4 months

Commercial and industrial

30,924

0.33%

5 months

9,245

0.11%

4 months

Other income producing property

2,443

0.21%

3 months

—

Total term extensions

84,340

13,800

Three Months Ended June 30,

2026

2025

Weighted Average of

Amortized

% of Total

Months Payments

Amortized

% of Total

Months Payments

(Dollars in thousands)

Cost

Asset Class

Were Deferred

Cost

Asset Class

Were Deferred

Other-than-insignificant payment delay

Commercial non-owner occupied

67,136

0.38%

6 months

—

Commercial owner-occupied real estate

2,784

0.04%

4 months

5,404

0.07%

6 months

Consumer owner occupied

373

0.00%

2 months

—

Commercial and industrial

5,928

0.06%

24 months

1,610

0.02%

6 months

Other income producing property

266

0.02%

60 months

—

Total payment delays

76,487

7,014

Six Months Ended June 30,

2026

2025

Weighted Average of

Amortized

% of Total

Months Payments

Amortized

% of Total

Months Payments

(Dollars in thousands)

Cost

Asset Class

Were Deferred

Cost

Asset Class

Were Deferred

Other-than-insignificant payment delay

Commercial non-owner-occupied

135,258

0.77%

7 months

—

Commercial owner-occupied real estate

3,840

0.05%

5 months

5,713

0.08%

7 months

Consumer owner-occupied

373

0.00%

2 months

—

Commercial and industrial

13,128

0.14%

16 months

1,610

0.02%

6 months

Other income producing property

266

0.02%

60 months

—

Total payment delays

152,865

7,323

Three Months Ended June 30,

2026

2025

Reduction in

Increase in

Reduction in

Increase in

Weighted Average

Weighted

Weighted Average

Weighted

Amortized

Contractual

Average

Amortized

Contractual

Average

(Dollars in thousands)

Cost

Interest Rate

Life of Loan

Cost

Interest Rate

Life of Loan

Combination - Term Extension and Interest Rate Reduction

Commercial non-owner occupied

24,397

0.57%

36 months

—

Consumer owner-occupied

—

363

1.50%

18 months

Total term extension and interest rate reduction combinations

24,397

363

Six Months Ended June 30,

2026

2025

Reduction in

Increase in

Reduction in

Increase in

Weighted Average

Weighted

Weighted Average

Weighted

Amortized

Contractual

Average

Amortized

Contractual

Average

(Dollars in thousands)

Cost

Interest Rate

Life of Loan

Cost

Interest Rate

Life of Loan

Combination - Term Extension and Interest Rate Reduction

Commercial non-owner occupied

24,397

0.57%

36 months

—

Consumer owner-occupied

1,218

0.54%

37 months

853

3.01%

9 months

Total term extension and interest rate reduction combinations

25,615

853

Six Months Ended June 30,

2026

2025

Reduction in

Increase in

Weighted

Reduction in

Weighted

Average

Amortized

Contractual

Amortization

Amortized

Contractual

Amortization

(Dollars in thousands)

Cost

Interest Rate

Term

Cost

Interest Rate

Term

Combination - Interest Rate Reduction and Payment Delay

Commercial and industrial

—

1,177

0.75%

12 months

Total interest rate reduction and payment delay combinations

—

1,177

The Bank on occasion will enter into modification agreements which extend the maturity payoff on a loan or reduce the interest rate for borrowers willing to continue to pay, to minimize losses for the Bank. At June 30, 2026, the Company had $6.8 million in remaining commitments to lend additional funds on loans to borrowers experiencing financial difficulty and modified during the current reporting period.

The following table presents the changes in status of loans modified within the previous twelve months to borrowers experiencing financial difficulty, as of June 30, 2026 and 2025, by type of modification. The subsequent defaults were all due to past due status greater than 60 days.


	June 30,
	2026						2025
	Paying Under						Paying Under
	Restructured		Converted to		Foreclosures		Restructured		Converted to		Foreclosures
	Terms		Nonaccrual		and Defaults		Terms		Nonaccrual		and Defaults
	Amortized		Amortized		Amortized		Amortized		Amortized		Amortized
(Dollars in thousands)	Cost		Cost		Cost		Cost		Cost		Cost
Interest rate reduction
Construction and land development	$	1,813	$	—	$	—	$	—	$	—	$	—
Commercial non-owner-occupied		2,058		—		—		15,045		—		—
Commercial owner-occupied real estate		722		—		—		332		—		—
Commercial and industrial		808		—		—		378		—		—
Consumer owner-occupied		—		—		—		—		—		482
Total interest rate reductions	$	5,401	$	—	$	—	$	15,755	$	—	$	482

Term extension
Construction and land development	$	5,307	$	—	$	258	$	286	$	—	$	—
Commercial non-owner-occupied		62,054		—		—		—		—		—
Commercial owner-occupied real estate		5,201		—		—		—		—		—
Commercial and industrial		30,924		—		356		9,245		—		—
Other income producing property		2,443		—		—		—		—		—
Consumer owner-occupied		4,816		265		2,215		5,876		—		298
Total term extensions	$	110,745	$	265	$	2,829	$	15,407	$	—	$	298

Other-than-insignificant payment delay
Commercial non-owner occupied	$	143,902	$	—	$	—	$	—	$	—	$	—
Commercial owner-occupied real estate		3,840		—		—		6,087		—		—
Commercial and industrial		13,128		—		—		1,610		—		—
Other income producing property		266		—		—		—		—		—
Consumer owner-occupied		373		—		—		—		—		—
Total payment delays	$	161,509	$	—	$	—	$	7,697	$	—	$	—

Term Extension and Interest Rate Reduction
Commercial non-owner occupied	$	24,397	$	—	$	—	$	—	$	—	$	—
Consumer owner-occupied		1,733		—		560		1,220		—		—
Total term extension and interest rate combinations	$	26,130	$	—	$	560	$	1,220	$	—	$	—

Term Extension and Payment Delay
Commercial non-owner occupied	$	2,005	$	—	$	—	$	—	$	—	$	—
Commercial and industrial		224		—		—		1,177		—		—
Total term extension and payment delay combinations	$	2,229	$	—	$	—	$	1,177	$	—	$	—

Interest Rate Reduction and Payment Delay
Commercial non-owner occupied	$	29,676	$	—	$	—	$	—	$	—	$	—
Total interest rate reduction and payment delay combinations	$	29,676	$	—	$	—	$	—	$	—	$	—
	$	335,690	$	265	$	3,389	$	41,256	$	—	$	780

The following table depicts the performance of loans modified within the previous twelve months to borrowers experiencing financial difficulty, as of June 30, 2026 and 2025:


	June 30, 2026						June 30, 2025
	Payment Status (Amortized Cost Basis)						Payment Status (Amortized Cost Basis)
			30-89 Days		90+ Days				30-89 Days		90+ Days
(Dollars in thousands)	Current		Past Due		Past Due		Current		Past Due		Past Due
Construction and land development	$	7,120	$	258	$	—	$	286	$	—	$	—
Commercial non-owner-occupied		262,086		2,005		—		15,045		—		—
Commercial owner-occupied real estate		6,950		2,813		—		6,418		—		—
Commercial and industrial		43,444		1,640		356		12,410		—		—
Other income producing property		2,709		—		—		—		—		—
Consumer owner-occupied		7,188		926		1,849		6,740		655		482
Total	$	329,497	$	7,642	$	2,205	$	40,899	$	655	$	482