v3.26.1
Loans and Allowance for Credit Losses on Loans
 6 Months Ended
Jun. 30, 2026
Receivables [Abstract]  
Loans and Allowance for Credit Losses on Loans Loans and Allowance for Credit Losses on Loans
Loans

The following table presents the composition of the loan portfolio as of June 30, 2026 and December 31, 2025:
($ in thousands)June 30, 2026December 31, 2025
Commercial real estate ("CRE")$1,190,117 $1,132,223 
Small Business Administration ("SBA")—real estate254,470 242,041 
SBA—non-real estate24,084 22,482 
Commercial and industrial ("C&I")221,623 221,270 
Home mortgage568,512 574,300 
Consumer255 1,353 
Gross loans2,259,061 2,193,669 
Allowance for credit losses(28,100)(27,975)
Net loans (1)
$2,230,961 $2,165,694 
(1)Includes net deferred loan costs (fees) and net unamortized premiums (discounts) of $(1.8) million as of June 30, 2026 and $(331) thousand as of December 31, 2025.

Allowance for Credit Losses on Loans

For loans that share risk characteristics, the Company employs a modeled approach that takes into account current and future economic conditions to estimate lifetime expected losses on a collective basis. With the adoption of Current Expected Credit Losses ("CECL"), the Company elected not to consider accrued interest receivable in its estimated credit losses as the Company writes off the uncollectible accrued interest receivable in a timely manner. Generally, loans are placed on nonaccrual status when they become 90 days or more past due, and any previously accrued but unpaid interest is reversed against interest income. Accrued interest receivable on loans totaled $9.2 million and $8.8 million as of June 30, 2026 and December 31, 2025, respectively.

For collectively evaluated loans, the Company uses transition matrices to develop the Probability of Default ("PD") and Loss Given Default ("LGD") approaches, incorporating quantitative factors and qualitative considerations in the calculation of the allowance. The model provides forecasts of PD based on national unemployment rates using regression analysis. The Company incorporates future economic conditions using a weighted multiple scenario approach: baseline and adverse. The Company applies a reasonable and supportable period of one year for the baseline scenario and two years for the adverse scenario, after which loss assumptions revert to historical loss information through a one-year reversion period for the baseline scenario and a two-year reversion period for the adverse scenario. The Company segments the loan portfolio by major loan type using the Call Report codes and internal loan risk ratings to determine the Bank's allowance for credit losses.
The methodologies described above generally rely on historical loss experience to determine the quantitative portion of the allowance for credit losses. The Company also considers other qualitative and macroeconomic variables related to current conditions and reasonable and supportable forecasts that may indicate current expected credit losses could differ from the historical information reflected in the quantitative models. Key qualitative and macroeconomic variables include GDP, unemployment rates, interest rates, asset quality ratios, loan portfolio concentration, California house price index, and CRE price index. The parameters for making adjustments are established under a Credit Risk Matrix that provides different possible scenarios for each of the factors listed below. The Credit Risk Matrix and the possible scenarios enable the Bank to qualitatively adjust the loss rates. This matrix considers the following nine factors, which are patterned after the guidelines provided under the Federal Financial Institutions Examination Council Interagency Policy Statement on the Allowance for Credit Losses, updated to reflect the adoption of CECL:
•    Changes in lending policies and procedures, including changes in underwriting standards and practices for collection, charge-offs, and recoveries;
•    Actual and expected changes in national and local economic and business conditions and developments in which the institution operates that affect the collectivity of loans;
•    Changes in the nature and volume of the loan portfolio;
•    Changes in the experience, ability, and depth of lending management and staff;
•    Changes in the volume and severity of past-due loans, the volume of nonaccrual loans, and the volume and severity of adversely classified loans;
•    Changes in the quality of the credit review function;
•    Changes in the value of the underlying collateral for loans that are not collateral-dependent;
•    The existence, growth, and effect of any concentrations of credit, and
•    The effect of other external factors, such as the regulatory, legal and technological environments; competition; and events such as natural disasters.

The Company evaluates loans individually when they do not share similar risk characteristics with other loans in the portfolio and are not eligible for the practical expediency threshold. As a practical expedient, the Company generally does not individually evaluate loans with an outstanding net exposure of less than $500 thousand, net of government guarantees, where applicable. Instead, expected credit losses for these loans are estimated on a collective basis within the applicable loan segment. Loans with an outstanding net exposure of $500 thousand or greater that do not share similar risk characteristics with the collectively evaluated population are assessed individually, as appropriate.

When a loan is individually evaluated for the allowance for credit losses, the Company uses one of two valuation methods: (1) the present value of expected future cash flows discounted at the loan’s effective interest rate; or (2) for collateral-dependent loans, the fair value of the underlying collateral. For collateral-dependent loans, the Company obtains an updated "as-is" appraisal or other appropriate valuation to estimate the collateral's fair value. To help ensure valuations remain current, appraisals are generally updated every twelve months by a qualified independent appraiser. If the fair value of the collateral is less than the loan's amortized cost basis, the Company records an allowance for credit losses with a corresponding provision for credit losses.

The Company maintains a separate allowance for credit losses for its off-balance sheet commitments. The Company uses an estimated funding rate to allocate an allowance to undrawn exposures. This funding rate serves as a credit conversion factor, reflecting the likelihood that undrawn lines of credit may be drawn at any time. The funding rate is determined based on a look-back period of eight quarters. Credit loss is not estimated for off-balance sheet commitments that are unconditionally cancellable by the Company.
The following table summarizes the activity in the allowance for credit losses on loans by portfolio segment and unfunded commitments for the three months ended June 30, 2026 and 2025:
($ in thousands)
CRE
SBA—
Real Estate
SBA —Non-
Real Estate
C&I
Home
Mortgage
ConsumerTotal
Balance as of March 31, 2026$12,007 $6,994 $677 $1,848 $6,877 $3 $28,406 
Provision for (reversal of) credit losses
(a)
(817)593 179 (203)118 (1)(131)
Charge-offs— (2)(159)(63)— — (224)
Recoveries— 35 14 — — — 49 
Balance as of June 30, 2026$11,190 $7,620 $711 $1,582 $6,995 $2 $28,100 
Balance as of March 31, 2025$9,010 $5,381 $512 $1,710 $8,755 $— $25,368 
Provision for (reversal of) credit losses
(a)
9 931 (17)(372)704 — 1,255 
Charge-offs(129)(413)— — — — (542)
Recoveries80 — 4 121 — — 205 
Balance as of June 30, 2025$8,970 $5,899 $499 $1,459 $9,459 $— $26,286 
($ in thousands)
CRE
SBA—
Real Estate
SBA —Non-
Real Estate
C&I
Home
Mortgage
ConsumerTotal
Balance as of December 31, 2025$10,427 $6,385 $587 $1,611 $8,956 $9 $27,975 
Provision for (reversal of) credit losses
(a)
749 1,188 266 34 (1,961)(7)269 
Charge-offs— (33)(159)(63)— — (255)
Recoveries14 80 17 — — — 111 
Balance as of June 30, 2026$11,190 $7,620 $711 $1,582 $6,995 $2 $28,100 
Balance as of December 31, 2024$9,290 $5,557 $418 $1,844 $7,684 $3 $24,796 
(Reversal of) provision for credit losses
(a)
(271)755 72 (477)1,866 (3)1,942 
Charge-offs(129)(413)(10)(29)(91)— (672)
Recoveries80 — 19 121 — — 220 
Balance as of June 30, 2025$8,970 $5,899 $499 $1,459 $9,459 $— $26,286 
($ in thousands)
Three Months Ended June 30,Six Months Ended June 30,
Unfunded commitments2026202520262025
Allowance for credit losses on unfunded commitments, beginning of period
$286 $409 $274 $360 
Reversal of provision for credit losses
(b)
(18)(49)(6)— 
Allowance for credit losses on unfunded commitments, end of period
$268 $360 $268 $360 
(Reversal of) provision for credit losses
(a) + (b)
$(149)$1,206 $263 $1,942 

Collateral-dependent loans are loans where repayment is expected to be provided solely by the sale of the underlying collateral, and there are no other available and reliable sources of repayment. The estimated credit losses for these loans are based on the collateral’s fair value less selling costs. Generally, the Company records a partial charge-off to reduce the loan’s carrying value to the collateral’s fair value less selling costs at the time of foreclosure.
The following table represents the amortized cost basis of collateral-dependent loans by property type as of June 30, 2026 and December 31, 2025, for which repayment is expected to be obtained through the sale of the underlying collateral:
($ in thousands)Hotel / MotelRetailSingle-Family ResidentialOffice
Total (1)(2)
As of June 30, 2026
CRE
$2,106 $— $1,641 $— $3,747 
SBA—real estate5,038 2,682 — — 7,720 
SBA—non-real estate— 14 — 140 154 
Home mortgage— — 1,425 — 1,425 
Total$7,144 $2,696 $3,066 $140 $13,046 
As of December 31, 2025
CRE
$2,134 $211 $1,079 $— $3,424 
SBA—real estate4,891 1,528 — — 6,419 
Home mortgage— — 589 — 589 
Total$7,025 $1,739 $1,668 $— $10,432 
(1)Excludes guaranteed portion of SBA loans totaling $22.5 million and $12.7 million as of June 30, 2026 and December 31, 2025, respectively.
(2)The allowance for credit losses allocated to these loans as of June 30, 2026 and December 31, 2025 was $2.2 million and $1.3 million, respectively.

The following table presents the amortized cost in nonaccrual loans and loans past due 90 or more days and still accruing interest as of June 30, 2026 and December 31, 2025:
($ in thousands)Nonaccrual Loans with a Related Allowance for Credit LossesNonaccrual Loans without a Related Allowance for Credit LossesTotal Nonaccrual Loans
90 or More
Days
Past Due &
Still Accruing
Total (1)
As of June 30, 2026
CRE
$1,192 $2,555 $3,747 $— $3,747 
SBA—real estate6,482 3,864 10,346 892 11,238 
SBA—non-real estate— 854 854 — 854 
C&I— — — — — 
Home mortgage— 1,425 1,425 — 1,425 
Total$7,674 $8,698 $16,372 $892 $17,264 
As of December 31, 2025
CRE
$554 $2,870 $3,424 $— $3,424 
SBA—real estate7,343 1,851 9,194 — 9,194 
SBA—non-real estate646 — 646 — 646 
C&I218 — 218 — 218 
Home mortgage— 589 589 — 589 
Total$8,761 $5,310 $14,071 $— $14,071 
(1)    Excludes guaranteed portion of loans totaling $30.5 million and $20.9 million as of June 30, 2026 and December 31, 2025, respectively.
Nonaccrual loans and accruing loans past due 90 days or more include both (i) loans with similar risk characteristics that are collectively evaluated for allowance, and (ii) loans that do not share similar risk characteristics that are individually evaluated for allowance. Under the Company's policy, nonaccrual loans with outstanding balances above the $500 thousand threshold that lack shared risk characteristics are subject to individual evaluation for expected credit losses.
The following table represents the aging analysis of gross loans as of June 30, 2026 and December 31, 2025:
Still Accruing
($ in thousands)
30-59
Days
Past Due (1)
60-89
Days
Past Due
90 or More Days
Past Due
Nonaccrual Loans (2)
Current Accruing Loans
Total
As of June 30, 2026
CRE$723 $— $— $3,747 $1,185,647 $1,190,117 
SBA—real estate2,648 516 892 10,346 240,068 254,470 
SBA—non-real estate525 456 — 854 22,249 24,084 
C&I26 77 — — 221,520 221,623 
Home mortgage3,152 2,363 — 1,425 561,572 568,512 
Consumer— — — — 255 255 
Total$7,074 $3,412 $892 $16,372 $2,231,311 $2,259,061 
As of December 31, 2025
CRE$— $— $— $3,424 $1,128,799 $1,132,223 
SBA—real estate2,532 1,163 — 9,194 229,152 242,041 
SBA—non-real estate30 5 — 646 21,801 22,482 
C&I— — — 218 221,052 221,270 
Home mortgage557 2,005 — 589 571,149 574,300 
Consumer— — — — 1,353 1,353 
Total$3,119 $3,173 $— $14,071 $2,173,306 $2,193,669 
(1)Excludes guaranteed portion of loans totaling $3.2 million as of December 31, 2025, with the excluded portion classified within "Current Accruing" loans. As of June 30, 2026, there was no guaranteed portion.
(2)Excludes guaranteed portion of loans totaling $30.5 million as of June 30, 2026, including $28.5 million in SBA—real estate and $2.0 million in SBA—non-real estate and $20.9 million as of December 31, 2025, including $18.9 million in SBA—real estate, $1.7 million in SBA—non-real estate, and $319 thousand in a CRE loan

Loan Modifications to Borrowers Experiencing Financial Difficulty

To help borrowers facing financial difficulty, the Company may agree to modify the contractual terms of a loan as a way to mitigate loss. These modifications are handled individually, aiming to create terms that support both repayment and the borrower's financial needs. A borrower is considered as experiencing financial difficulty when there is significant uncertainty regarding the borrower's ability to meet required debt payments or secure comparable financing from another creditor at a market rate for similar debt. Modifications may include, but not limited to, payment delays, interest rate reductions, term extensions, principal forgiveness, or a combination of such modifications.
The following tables present the amortized cost of loans as of June 30, 2026 that were modified for borrowers experiencing financial difficulty during the three and six months ended June 30, 2026 and 2025 by loan segment and modification type:
Three Months Ended June 30, 2026Modification TypePercentage to Each Loan Segment
($ in thousands)Payment DelayTotal
CRE$2,161 $2,161 0.18 %
Total$2,161 $2,161 
Three Months Ended June 30, 2025Modification TypePercentage to Each Loan Segment
($ in thousands)Payment DelayTotal
CRE
$1,084 $1,084 0.11 %
SBA—real estate (1)
2,081 2,081 0.86 %
Total$3,165 $3,165 
Six Months Ended June 30, 2026Modification TypePercentage to Each Loan Segment
($ in thousands)Payment DelayTotal
CRE
$2,161 $2,161 0.18 %
SBA—real estate (1)
1,723 1,723 0.68 %
Total$3,884 $3,884 
Six Months Ended June 30, 2025Modification TypePercentage to Each Loan Segment
($ in thousands)Payment DelayTotal
CRE (2)
$4,239 $4,239 0.42 %
SBA—real estate (1)
2,730 2,730 1.13 %
Total$6,969 $6,969 
(1)    Excludes guaranteed portion of SBA loans totaling $2.9 million and $3.2 million as of June 30, 2026 and June 30, 2025, respectively.
(2)    Interest-only payment arrangements are included within payment deferments as other-than-significant payment delays under ASC 310-10-50-39.

The following tables describe the financial effect of the loan modifications made to borrowers experiencing financial difficulty for the periods presented:
Financial Effect
Modification & Loan TypesDescription of Financial EffectThree Months Ended June 30, 2026Six Months Ended June 30, 2026
Payment Delay:
CREDeferment of payment by a weighted average of0.5 years0.5 years
SBA—real estateDeferment of payment by a weighted average ofN/A0.5 years
Financial Effect
Modification & Loan TypesDescription of Financial EffectThree Months Ended June 30, 2025Six Months Ended June 30, 2025
Payment Delay:
CRE (1)
Deferment of payment by a weighted average of0.3 years0.4 years
SBA—real estateDeferment of payment by a weighted average of0.3 years0.3 years
(1)Interest-only payment arrangements are included within payment deferments as other-than-significant payment delays under ASC 310-10-50-39.

A modified loan may become delinquent and may result in a payment default (generally 90 days past due) subsequent to modification. There were no loans that received modifications within the previous 12 months
preceding June 30, 2026 and 2025, and subsequently defaulted in three and six months ended June 30, 2026, and 2025.

For both the six months ended June 30, 2026, and 2025, the Company had no additional commitments to lend to borrowers included in the tables above.

The Company closely monitors the performance of modified loans to borrowers experiencing financial difficulty to understand the effectiveness of its modification efforts. The following table presents the performance of such loans that were modified in the twelve months ended June 30, 2026 and 2025:
Payment Performance as of June 30, 2026
($ in thousands)Current30 - 89 Days
Past Due		90+ Days
Past Due		Total
CRE
$2,161 $1,580 $— $3,741 
SBA—real estate (1)
1,723 2,073 — 3,796 
Total$3,884 $3,653 $— $7,537 
Payment Performance as of June 30, 2025
($ in thousands)Current30 - 89 Days
Past Due		90+ Days
Past Due		Total
CRE$1,733 $1,580 $— $3,313 
SBA—real estate (1)
5,236 — 1,960 7,196 
Total$6,969 $1,580 $1,960 $10,509 
(1)Excludes guaranteed portion of SBA loans totaling $9.3 million and $7.4 million as of June 30, 2026 and 2025, respectively.

Credit Quality Indicators

The Company categorizes loans into risk categories based on relevant information about borrowers' ability to service their debt including: current financial information, historical payment experience, credit documentation, public information, and current economic trends. For consumer loans, a credit grade is established at inception, and generally only adjusted based on performance. The Company analyzes loans individually by classifying the loans as to credit risk. This analysis is performed on a quarterly basis. The Company uses the following definitions for risk ratings:
Special Mention — Loans classified as special mention have a potential weakness that deserves management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or of the Company’s credit position at some future date.
Substandard — Loans classified as substandard are inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any. Loans so classified have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected.
Doubtful — Loans classified as doubtful have all the weaknesses inherent in those classified as substandard, with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable.
Loans not meeting the criteria above that are analyzed individually as part of the above described process are considered to be pass-rated loans.
The following table presents the loan portfolio's amortized cost and current year-to-date gross write-offs by loan type, risk rating and year of origination as of June 30, 2026 and December 31, 2025:
June 30, 2026
Term Loans by Origination YearRevolving LoansRevolving Loans Converted to Term LoansTotal
($ in thousands)202620252024
2023
2022Prior
CRE
Pass $177,212 $328,072 $239,198 $75,101 $208,373 $144,604 $10,340 $— $1,182,900 
Special mention— — 586 — — — — — 586 
Substandard— — — 2,969 1,501 2,161 — — 6,631 
Doubtful— — — — — — — — — 
Subtotal$177,212 $328,072 $239,784 $78,070 $209,874 $146,765 $10,340 $— $1,190,117 
Year-to-date charge-offs$— $— $— $— $— $— $— $— $— 
SBA— real estate
Pass (1)
$27,804 $42,304 $24,774 $28,473 $39,706 $70,475 $— $— $233,536 
Special mention (1)
— — 2,722 — 1,196 2,942 — — 6,860 
Substandard (1)
— 982 851 1,238 6,055 4,948 — — 14,074 
Doubtful— — — — — — — — — 
Subtotal$27,804 $43,286 $28,347 $29,711 $46,957 $78,365 $— $— $254,470 
Year-to-date charge-offs$— $19 $— $— $11 $3 $— $— $33 
SBA—non-real estate
Pass (1)
$3,479 $5,514 $7,196 $3,229 $1,502 $2,239 $— $— $23,159 
Special mention— — 71 — — — — — 71 
Substandard (1)
— 14 442 52 168 178 — — 854 
Doubtful— — — — — — — — — 
Subtotal$3,479 $5,528 $7,709 $3,281 $1,670 $2,417 $— $— $24,084 
Year-to-date charge-offs$— $— $46 $88 $— $25 $— $— $159 
C&I
Pass$10,398 $4,647 $17,246 $7,430 $9,069 $10,439 $160,299 $705 $220,233 
Special mention— — — — — — 1,315 — 1,315 
Substandard— — — 75 — — — — 75 
Doubtful— — — — — — — — — 
Subtotal$10,398 $4,647 $17,246 $7,505 $9,069 $10,439 $161,614 $705 $221,623 
Year-to-date charge-offs$— $16 $13 $34 $— $— $— $— $63 
Home mortgage
Pass$43,437 $123,224 $29,308 $42,068 $227,449 $100,064 $— $— $565,550 
Special mention— — — — — — — — — 
Substandard— — — — 2,962 — — — 2,962 
Doubtful— — — — — — — — — 
Subtotal$43,437 $123,224 $29,308 $42,068 $230,411 $100,064 $— $— $568,512 
Year-to-date charge-offs$— $— $— $— $— $— $— $— $— 
Consumer
Pass$70 $— $— $— $— $— $185 $— $255 
Special mention— — — — — — — — — 
Substandard— — — — — — — — — 
Doubtful— — — — — — — — — 
Subtotal$70 $— $— $— $— $— $185 $— $255 
Year-to-date charge-offs$— $— $— $— $— $— $— $— $— 
Total loans
Pass (1)
$262,400 $503,761 $317,722 $156,301 $486,099 $327,821 $170,824 $705 $2,225,633 
Special mention (1)
— — 3,379 — 1,196 2,942 1,315 — 8,832 
Substandard (1)
— 996 1,293 4,334 10,686 7,287 — — 24,596 
Doubtful— — — — — — — — — 
Subtotal$262,400 $504,757 $322,394 $160,635 $497,981 $338,050 $172,139 $705 $2,259,061 
Year-to-date charge-offs$— $35 $59 $122 $11 $28 $— $— $255 
December 31, 2025
Term Loans by Origination YearRevolving LoansRevolving Loans Converted to Term LoansTotal
($ in thousands)20252024
2023
20222021Prior
CRE
Pass (1)
$341,466 $243,845 $87,232 $222,690 $158,119 $57,954 $10,553 $— $1,121,859 
Special mention— 592 — — 2,179 — — — 2,771 
Substandard (1)
— — 1,580 5,802 — 211 — — 7,593 
Doubtful— — — — — — — — — 
Subtotal$341,466 $244,437 $88,812 $228,492 $160,298 $58,165 $10,553 $— $1,132,223 
Year-to-date charge-offs$— $— $— $— $— $129 $— $— $129 
SBA— real estate
Pass (1)
$45,147 $26,310 $25,059 $47,886 $11,362 $68,727 $— $— $224,491 
Special mention (1)
— 1,989 — 3,409 457 1,246 — — 7,101 
Substandard (1)
— 593 1,190 4,542 345 3,779 — — 10,449 
Doubtful— — — — — — — — — 
Subtotal$45,147 $28,892 $26,249 $55,837 $12,164 $73,752 $— $— $242,041 
Year-to-date charge-offs$— $— $— $— $— $413 $— $— $413 
SBA—non-real estate
Pass (1)
$5,838 $7,538 $3,697 $1,695 $79 $2,967 $— $— $21,814 
Special mention (1)
13 — — — — — — — 13 
Substandard (1)
— 183 89 169 — 214 — — 655 
Doubtful— — — — — — — — — 
Subtotal$5,851 $7,721 $3,786 $1,864 $79 $3,181 $— $— $22,482 
Year-to-date charge-offs$— $— $3 $— $— $33 $— $— $36 
C&I
Pass$7,942 $19,098 $8,737 $10,379 $11,799 $1,364 $159,857 $756 $219,932 
Special mention— — — — — — 1,000 — 1,000 
Substandard— — — — 218 — 120 — 338 
Doubtful— — — — — — — — — 
Subtotal$7,942 $19,098 $8,737 $10,379 $12,017 $1,364 $160,977 $756 $221,270 
Year-to-date charge-offs$— $— $41 $157 $— $— $— $— $198 
Home mortgage
Pass$136,984 $33,996 $50,255 $244,188 $64,949 $41,788 $— $— $572,160 
Special mention— — — — — — — — — 
Substandard— — — 2,140 — — — — 2,140 
Doubtful— — — — — — — — — 
Subtotal$136,984 $33,996 $50,255 $246,328 $64,949 $41,788 $— $— $574,300 
Year-to-date charge-offs$— $— $— $77 $— $14 $— $— $91 
Consumer
Pass$— $— $— $— $— $— $1,353 $— $1,353 
Special mention— — — — — — — — — 
Substandard— — — — — — — — — 
Doubtful— — — — — — — — — 
Subtotal$— $— $— $— $— $— $1,353 $— $1,353 
Year-to-date charge-offs$— $— $— $— $— $— $— $— $— 
Total loans
Pass (1)
$537,377 $330,787 $174,980 $526,838 $246,308 $172,800 $171,763 $756 $2,161,609 
Special mention (1)
13 2,581 — 3,409 2,636 1,246 1,000 — 10,885 
Substandard (1)
— 776 2,859 12,653 563 4,204 120 — 21,175 
Doubtful— — — — — — — — — 
Subtotal$537,390 $334,144 $177,839 $542,900 $249,507 $178,250 $172,883 $756 $2,193,669 
Year-to-date charge-offs$— $— $44 $234 $— $589 $— $— $867 
(1)As of June 30, 2026 and December 31, 2025, $35.8 million and $27.3 million, respectively, of criticized loans with payments guaranteed by government agencies were classified as "Pass" rated.