Alerus Financial, N.A.: Regulatory Capital and Risk-Weighted Assets
As of 2Q26, from Call Report Schedule RC-R.
Capital conservation buffer: 4.11% (2Q26), against the 2.50% a bank must hold above each risk-based minimum to pay dividends and discretionary bonuses without limits. The buffer is the smallest of the three cushions over the minimums; here the binding ratio is Total capital. The bank clears the requirement. Filed figure: 4.11% (RCOAH311).
What each ratio is made of, 2Q26
Open a ratio to see its numerator and denominator as filed, our recomputation, and how far it sits above each regulatory line.
Common equity Tier 1 ratio 10.92% +4.42 pp over well capitalized
Common equity Tier 1 is the loss-absorbing core: common stock, retained earnings and most of accumulated other comprehensive income, less goodwill, intangibles and other deductions. It is measured against risk-weighted assets.
| Common equity Tier 1 capital | $474.1M | 474,133 | RCOAP859 |
|---|---|---|---|
| Divided by total risk-weighted assets | $4.34B | 4,343,815 | RCOAA223 |
| Recomputed ratio | 10.92% | numerator / denominator | |
| Filed ratio | 10.92% | RCOAP793 | |
| Regulatory minimum | 4.50% | ||
| Minimum plus conservation buffer | 7.00% | ||
| Well-capitalized level | 6.50% | ||
| Cushion over that level | +4.42 pp | $191.8M | capital that could be lost first |
Tier 1 risk-based capital ratio 10.92% +2.92 pp over well capitalized
Tier 1 adds additional Tier 1 instruments, such as qualifying noncumulative perpetual preferred stock, to common equity Tier 1. Measured against risk-weighted assets.
| Tier 1 capital | $474.1M | 474,133 | RCOA8274 |
|---|---|---|---|
| Divided by total risk-weighted assets | $4.34B | 4,343,815 | RCOAA223 |
| Recomputed ratio | 10.92% | numerator / denominator | |
| Filed ratio | 10.92% | RCOA7206 | |
| Regulatory minimum | 6.00% | ||
| Minimum plus conservation buffer | 8.50% | ||
| Well-capitalized level | 8.00% | ||
| Cushion over that level | +2.92 pp | $126.6M | capital that could be lost first |
Total risk-based capital ratio 12.11% +2.11 pp over well capitalized
Total capital adds Tier 2, mostly qualifying subordinated debt and the allowance for credit losses up to 1.25% of risk-weighted assets, to Tier 1. Measured against risk-weighted assets.
| Total capital | $526.1M | 526,067 | RCOA3792 |
|---|---|---|---|
| Divided by total risk-weighted assets | $4.34B | 4,343,815 | RCOAA223 |
| Recomputed ratio | 12.11% | numerator / denominator | |
| Filed ratio | 12.11% | RCOA7205 | |
| Regulatory minimum | 8.00% | ||
| Minimum plus conservation buffer | 10.50% | ||
| Well-capitalized level | 10.00% | ||
| Cushion over that level | +2.11 pp | $91.7M | capital that could be lost first |
Tier 1 leverage ratio 9.26% +4.26 pp over well capitalized
Tier 1 capital over average total assets for the quarter, with no risk weighting. It caps how far a bank can grow on low-risk-weight assets.
| Tier 1 capital | $474.1M | 474,133 | RCOA8274 |
|---|---|---|---|
| Divided by average total assets for the leverage ratio | $5.12B | 5,118,027 | RCOAA224 |
| Recomputed ratio | 9.26% | numerator / denominator | |
| Filed ratio | 9.26% | RCOA7204 | |
| Regulatory minimum | 4.00% | ||
| Well-capitalized level | 5.00% | ||
| Cushion over that level | +4.26 pp | $218.2M | capital that could be lost first |
Amounts in the middle column are thousands of dollars as filed. Ratios are the standardized column of Schedule RC-R Part I.
The capital stack, $ thousands
From common equity to total capital, then the denominators the ratios divide by. Negatives in parentheses.
| Line | 2Q26 | 1Q26 | 4Q25 | 3Q25 | 2Q25 | 1Q25 | Source |
|---|---|---|---|---|---|---|---|
| Common stock plus related surplus, net of treasury stock | 287,688 | 287,688 | 287,688 | 287,688 | 287,688 | 287,688 | RCOAP742 |
| Retained earnings | 297,684 | 289,736 | 275,951 | 317,902 | 309,916 | 294,710 | RCOAKW00 |
| Accumulated other comprehensive income | (4,979) | (4,237) | (2,157) | (54,338) | (59,847) | (63,254) | RCOAB530 |
| Common equity Tier 1 minority interest | 0 | 0 | 0 | 0 | 0 | 0 | RCOAP839 |
| Common equity Tier 1 capital before adjustments and deductions | 580,393 | 573,187 | 561,482 | 551,252 | 537,757 | 519,144 | RCOAP840 |
| Adjustments and deductions from common equity Tier 1 | (106,260) | (108,842) | (112,809) | (62,875) | (59,943) | (59,113) | P859 - P840 |
| Common equity Tier 1 capital | 474,133 | 464,345 | 448,673 | 488,377 | 477,814 | 460,031 | RCOAP859 |
| Additional Tier 1 capital | 0 | 0 | 0 | 0 | 0 | 0 | RCOAP865 |
| Tier 1 capital | 474,133 | 464,345 | 448,673 | 488,377 | 477,814 | 460,031 | RCOA8274 |
| Tier 2 capital | 51,934 | 53,987 | 54,040 | 55,647 | 55,489 | 55,661 | RCOA5311 |
| Allowance includable in Tier 2 capital | 51,934 | 53,987 | 54,040 | 55,647 | 55,489 | 55,661 | RCOA5310 |
| Total capital | 526,067 | 518,332 | 502,713 | 544,024 | 533,303 | 515,692 | RCOA3792 |
| Total risk-weighted assets | 4,343,815 | 4,318,948 | 4,311,318 | 4,441,509 | 4,430,411 | 4,440,472 | RCOAA223 |
| Average total assets for the leverage ratio | 5,118,027 | 5,096,451 | 5,203,990 | 5,244,164 | 5,114,372 | 5,078,738 | RCOAA224 |
Risk-weighted assets by exposure category, 2Q26
Each category's exposure is filed across the risk-weight columns of Schedule RC-R Part II; its risk-weighted assets are each allocation times its weight. The average risk weight says how much capital a dollar of that exposure consumes.
| Category | Exposure | Risk-weighted | Avg weight | Share of RWA | Source |
|---|---|---|---|---|---|
| Cash and balances due | $109.0M | $6.3M | 5.74% | 0.14% | RC-R Part II, item 1 |
| Securities (HTM and AFS) | $650.9M | $146.5M | 22.51% | 3.37% | RC-R Part II, item 2.a, 2.b |
| Loans: residential mortgage | $1.19B | $692.4M | 58.36% | 15.94% | RC-R Part II, item 4.a, 5.a |
| Loans: high-volatility commercial real estate | $5.1M | $7.7M | 150.00% | 0.18% | RC-R Part II, item 4.b, 5.b |
| Loans: past due and nonaccrual | $10.7M | $13.9M | 129.57% | 0.32% | RC-R Part II, item 4.c, 5.c |
| Loans: all other | $2.86B | $2.78B | 97.11% | 63.91% | RC-R Part II, item 4.d, 5.d |
| All other assets | $241.4M | $222.1M | 92.01% | 5.11% | RC-R Part II, item 8 |
| Off-balance-sheet commitments and letters of credit | $451.6M | $428.3M | 94.85% | 9.86% | RC-R Part II, item 12, 13, 14, 15, 17, 18.a, 18.b |
| Derivatives (over the counter and centrally cleared) | $21.8M | $11.8M | 54.12% | 0.27% | RC-R Part II, item 20, 21 |
| Market risk and other approaches | NA | $39.0M | NA | 0.90% | RC-R Part II, item 27 |
How the categories add up to total risk-weighted assets
| Categories above, excluding market risk and other approaches | $4.30B | ties to item 31 ($4.30B) |
|---|---|---|
| Risk-weighted assets before deductions | $4.34B | RCONB704 |
| Less: excess allowance for credit losses | $0 | A222 |
| Less: allocated transfer risk reserve | $0 | 3128 |
| Total risk-weighted assets | $4.34B | RCONG641, ties |
12 quarters against the asset-tier median
| Quarter | Framework | CET1 | Tier 1 | Total capital | Leverage | Tier median CET1 | Tier median Tier 1 | Tier median Total capital | Tier median Leverage |
|---|---|---|---|---|---|---|---|---|---|
| 2Q26 | Risk-based | 10.92% | 10.92% | 12.11% | 9.26% | 13.52% | 13.55% | 14.66% | 10.52% |
| 1Q26 | Risk-based | 10.75% | 10.75% | 12.00% | 9.11% | 13.45% | 13.46% | 14.59% | 10.46% |
| 4Q25 | Risk-based | 10.41% | 10.41% | 11.66% | 8.62% | 13.36% | 13.37% | 14.44% | 10.38% |
| 3Q25 | Risk-based | 11.00% | 11.00% | 12.25% | 9.31% | 13.38% | 13.39% | 14.51% | 10.37% |
| 2Q25 | Risk-based | 10.78% | 10.78% | 12.04% | 9.34% | 13.21% | 13.21% | 14.27% | 10.30% |
| 1Q25 | Risk-based | 10.36% | 10.36% | 11.61% | 9.06% | 13.15% | 13.17% | 14.26% | 10.24% |
| 4Q24 | Risk-based | 10.18% | 10.18% | 11.43% | 8.69% | 13.02% | 13.05% | 14.10% | 10.07% |
| 3Q24 | Risk-based | 10.73% | 10.73% | 11.98% | 8.90% | 12.97% | 13.02% | 14.13% | 10.12% |
| 2Q24 | Risk-based | 11.23% | 11.23% | 12.48% | 9.05% | 12.93% | 12.94% | 14.06% | 10.10% |
| 1Q24 | Risk-based | 11.73% | 11.73% | 12.98% | 9.30% | 12.90% | 12.91% | 14.02% | 10.06% |
| 4Q23 | Risk-based | 11.40% | 11.40% | 12.51% | 9.92% | 12.81% | 12.82% | 13.92% | 10.01% |
| 3Q23 | Risk-based | 12.68% | 12.68% | 13.86% | 10.72% | 12.78% | 12.79% | 13.93% | 10.03% |
NA means not filed for that quarter: a community bank leverage ratio filer files no risk-based ratios. Tier medians are the served benchmark for banks in the same asset tier.
Against similar banks, 2Q26
| Bank | Assets | Framework | CET1 | Tier 1 | Total capital | Leverage |
|---|---|---|---|---|---|---|
| Alerus Financial, N.A. (this bank) | Risk-based | 10.92% | 10.92% | 12.11% | 9.26% | |
| Leader Bank, N.A. | $5.28B | Risk-based | 19.80% | 19.80% | 21.06% | 11.58% |
| Southern Bank and Trust Company | $5.30B | Risk-based | 12.68% | 12.68% | 13.63% | 9.63% |
| Northeast Bank | $5.23B | Risk-based | 13.46% | 13.46% | 14.71% | 11.90% |
| Interbank | $5.33B | CBLR | NA | NA | NA | 11.06% |
| Celtic Bank Corporation | $5.33B | CBLR | NA | NA | NA | 18.04% |
| Morton Community Bank | $5.35B | Risk-based | 13.59% | 13.59% | 14.59% | 10.62% |
| Southern Bank | $5.19B | Risk-based | 12.12% | 12.12% | 13.37% | 10.45% |
| Five Star Bank | $5.38B | Risk-based | 11.11% | 11.11% | 12.12% | 10.25% |
| Bridgewater Bank | $5.38B | Risk-based | 12.73% | 12.73% | 13.98% | 11.65% |
| Barrington Bank & Trust Company, N.A. | $5.17B | Risk-based | 10.91% | 10.91% | 11.53% | 10.08% |
| Peer 25th percentile | 11.87% | 11.87% | 13.05% | 10.30% | ||
| Peer median | 12.70% | 12.70% | 13.80% | 10.84% | ||
| Peer 75th percentile | 13.49% | 13.49% | 14.62% | 11.63% | ||
| This bank's percentile | 12 | 12 | 12 | 0 |
Peer ratios use the same basis as this bank: the standardized column of Schedule RC-R where served, the filed summary otherwise. Similar banks are the nearest banks by size in the same asset tier.
Source: FFIEC Call Report Schedule RC-R, Parts I and II, as filed. Well capitalized means at least 6.5% CET1, 8% Tier 1, 10% total capital and 5% leverage under the prompt corrective action rules; a community bank leverage ratio filer must instead hold the leverage ratio its framework requires. The same figures are in the API at /api/v1/banks/933256/regulatory-capital/ and in the Excel workbook. Next: the capital tab, the peer group page, or the full profile.