The Andover Bank: Regulatory Capital and Risk-Weighted Assets
As of 2Q26, from Call Report Schedule RC-R.
Capital conservation buffer: 14.31% (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: 14.31% (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 21.74% +15.24 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 | $59.5M | 59,491 | RCOAP859 |
|---|---|---|---|
| Divided by total risk-weighted assets | $273.6M | 273,614 | RCOAA223 |
| Recomputed ratio | 21.74% | numerator / denominator | |
| Filed ratio | 21.74% | RCOAP793 | |
| Regulatory minimum | 4.50% | ||
| Minimum plus conservation buffer | 7.00% | ||
| Well-capitalized level | 6.50% | ||
| Cushion over that level | +15.24 pp | $41.7M | capital that could be lost first |
Tier 1 risk-based capital ratio 21.74% +13.74 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 | $59.5M | 59,491 | RCOA8274 |
|---|---|---|---|
| Divided by total risk-weighted assets | $273.6M | 273,614 | RCOAA223 |
| Recomputed ratio | 21.74% | numerator / denominator | |
| Filed ratio | 21.74% | RCOA7206 | |
| Regulatory minimum | 6.00% | ||
| Minimum plus conservation buffer | 8.50% | ||
| Well-capitalized level | 8.00% | ||
| Cushion over that level | +13.74 pp | $37.6M | capital that could be lost first |
Total risk-based capital ratio 22.31% +12.31 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 | $61.0M | 61,042 | RCOA3792 |
|---|---|---|---|
| Divided by total risk-weighted assets | $273.6M | 273,614 | RCOAA223 |
| Recomputed ratio | 22.31% | numerator / denominator | |
| Filed ratio | 22.31% | RCOA7205 | |
| Regulatory minimum | 8.00% | ||
| Minimum plus conservation buffer | 10.50% | ||
| Well-capitalized level | 10.00% | ||
| Cushion over that level | +12.31 pp | $33.7M | capital that could be lost first |
Tier 1 leverage ratio 9.63% +4.63 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 | $59.5M | 59,491 | RCOA8274 |
|---|---|---|---|
| Divided by average total assets for the leverage ratio | $617.6M | 617,631 | RCOAA224 |
| Recomputed ratio | 9.63% | numerator / denominator | |
| Filed ratio | 9.63% | RCOA7204 | |
| Regulatory minimum | 4.00% | ||
| Well-capitalized level | 5.00% | ||
| Cushion over that level | +4.63 pp | $28.6M | 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 | 12,654 | 12,654 | 12,654 | 12,654 | 12,654 | 12,654 | RCOAP742 |
| Retained earnings | 49,491 | 48,849 | 47,966 | 47,595 | 46,270 | 45,638 | RCOAKW00 |
| Accumulated other comprehensive income | (23,539) | (25,313) | (23,254) | (25,972) | (29,804) | (30,555) | RCOAB530 |
| Common equity Tier 1 minority interest | 0 | 0 | 0 | 0 | 0 | 0 | RCOAP839 |
| Common equity Tier 1 capital before adjustments and deductions | 38,606 | 36,190 | 37,366 | 34,277 | 29,120 | 27,737 | RCOAP840 |
| Adjustments and deductions from common equity Tier 1 | 20,885 | 22,659 | 20,600 | 23,318 | 27,150 | 27,901 | P859 - P840 |
| Common equity Tier 1 capital | 59,491 | 58,849 | 57,966 | 57,595 | 56,270 | 55,638 | RCOAP859 |
| Additional Tier 1 capital | 0 | 0 | 0 | 0 | 0 | 0 | RCOAP865 |
| Tier 1 capital | 59,491 | 58,849 | 57,966 | 57,595 | 56,270 | 55,638 | RCOA8274 |
| Tier 2 capital | 1,551 | 1,574 | 1,507 | 1,511 | 1,517 | 1,521 | RCOA5311 |
| Allowance includable in Tier 2 capital | 1,551 | 1,574 | 1,507 | 1,511 | 1,517 | 1,521 | RCOA5310 |
| Total capital | 61,042 | 60,423 | 59,473 | 59,106 | 57,787 | 57,159 | RCOA3792 |
| Total risk-weighted assets | 273,614 | 273,398 | 267,537 | 264,595 | 259,432 | 254,347 | RCOAA223 |
| Average total assets for the leverage ratio | 617,631 | 605,014 | 613,298 | 609,342 | 607,248 | 595,784 | 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 | $25.2M | $767K | 3.05% | 0.28% | RC-R Part II, item 1 |
| Securities (HTM and AFS) | $290.3M | $50.3M | 17.33% | 18.38% | RC-R Part II, item 2.a, 2.b |
| Loans: residential mortgage | $176.8M | $105.8M | 59.83% | 38.66% | RC-R Part II, item 4.a, 5.a |
| Loans: past due and nonaccrual | $123K | $184K | 150.00% | 0.07% | RC-R Part II, item 4.c, 5.c |
| Loans: all other | $104.6M | $83.0M | 79.33% | 30.34% | RC-R Part II, item 4.d, 5.d |
| All other assets | $26.7M | $25.9M | 96.88% | 9.46% | RC-R Part II, item 8 |
| Off-balance-sheet commitments and letters of credit | $7.6M | $7.6M | 100.00% | 2.78% | RC-R Part II, item 12, 13, 14, 15, 17, 18.a, 18.b |
| Market risk and other approaches | NA | $92K | NA | 0.03% | RC-R Part II, item 27 |
How the categories add up to total risk-weighted assets
| Categories above, excluding market risk and other approaches | $273.5M | does not tie to item 31 ($273.6M) |
|---|---|---|
| Risk-weighted assets before deductions | $273.6M | RCONB704 |
| Less: excess allowance for credit losses | $0 | A222 |
| Less: allocated transfer risk reserve | $0 | 3128 |
| Total risk-weighted assets | $273.6M | 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 | 21.74% | 21.74% | 22.31% | 9.63% | 15.12% | 15.12% | 16.26% | 10.99% |
| 1Q26 | Risk-based | 21.52% | 21.52% | 22.10% | 9.73% | 14.98% | 15.01% | 16.09% | 10.86% |
| 4Q25 | Risk-based | 21.67% | 21.67% | 22.23% | 9.45% | 14.89% | 14.90% | 16.02% | 10.79% |
| 3Q25 | Risk-based | 21.77% | 21.77% | 22.34% | 9.45% | 14.82% | 14.86% | 15.98% | 10.87% |
| 2Q25 | Risk-based | 21.69% | 21.69% | 22.27% | 9.27% | 14.75% | 14.79% | 15.93% | 10.80% |
| 1Q25 | Risk-based | 21.87% | 21.87% | 22.47% | 9.34% | 14.77% | 14.82% | 15.94% | 10.70% |
| 4Q24 | Risk-based | 21.72% | 21.72% | 22.30% | 9.06% | 14.67% | 14.74% | 15.75% | 10.61% |
| 3Q24 | Risk-based | 23.28% | 23.28% | 23.90% | 9.61% | 14.69% | 14.72% | 15.80% | 10.69% |
| 2Q24 | Risk-based | 22.47% | 22.47% | 23.10% | 9.75% | 14.55% | 14.57% | 15.69% | 10.61% |
| 1Q24 | Risk-based | 22.52% | 22.52% | 23.16% | 9.94% | 14.58% | 14.60% | 15.70% | 10.54% |
| 4Q23 | Risk-based | 22.18% | 22.18% | 22.79% | 9.76% | 14.42% | 14.45% | 15.56% | 10.55% |
| 3Q23 | Risk-based | 21.90% | 21.90% | 22.51% | 9.51% | 14.65% | 14.67% | 15.79% | 10.60% |
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 |
|---|---|---|---|---|---|---|
| The Andover Bank (this bank) | Risk-based | 21.74% | 21.74% | 22.31% | 9.63% | |
| Wayne County Bank | $595.1M | CBLR | NA | NA | NA | 13.58% |
| Cattlemens Bank | $595.2M | CBLR | NA | NA | NA | 10.28% |
| The First National Bank of East Texas | $594.8M | CBLR | NA | NA | NA | 9.96% |
| Citizens State Bank | $594.4M | CBLR | NA | NA | NA | 11.48% |
| Citizens Bank Minnesota | $596.0M | Risk-based | 11.68% | 11.68% | 12.33% | 9.33% |
| Crest Savings Bank | $594.2M | Risk-based | 14.45% | 14.45% | 15.32% | 8.85% |
| MNB Bank | $594.1M | CBLR | NA | NA | NA | 11.09% |
| Gulf Capital Bank | $596.5M | Risk-based | 16.72% | 16.72% | 17.63% | 13.78% |
| Cross Bank | $593.5M | CBLR | NA | NA | NA | 10.45% |
| Riverstone Bank | $593.4M | CBLR | NA | NA | NA | 9.74% |
| Peer 25th percentile | 13.06% | 13.06% | 13.83% | 9.80% | ||
| Peer median | 14.45% | 14.45% | 15.32% | 10.37% | ||
| Peer 75th percentile | 15.58% | 15.58% | 16.48% | 11.38% | ||
| This bank's percentile | 100 | 100 | 100 | 20 |
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/27614/regulatory-capital/ and in the Excel workbook. Next: the capital tab, the peer group page, or the full profile.