The Bank of Herrin: Regulatory Capital and Risk-Weighted Assets
As of 2Q26, from Call Report Schedule RC-R.
Capital conservation buffer: 5.31% (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: 5.31% (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 12.36% +5.86 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 | $32.0M | 31,982 | RCOAP859 |
|---|---|---|---|
| Divided by total risk-weighted assets | $258.8M | 258,761 | RCOAA223 |
| Recomputed ratio | 12.36% | numerator / denominator | |
| Filed ratio | 12.36% | RCOAP793 | |
| Regulatory minimum | 4.50% | ||
| Minimum plus conservation buffer | 7.00% | ||
| Well-capitalized level | 6.50% | ||
| Cushion over that level | +5.86 pp | $15.2M | capital that could be lost first |
Tier 1 risk-based capital ratio 12.36% +4.36 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 | $32.0M | 31,982 | RCOA8274 |
|---|---|---|---|
| Divided by total risk-weighted assets | $258.8M | 258,761 | RCOAA223 |
| Recomputed ratio | 12.36% | numerator / denominator | |
| Filed ratio | 12.36% | RCOA7206 | |
| Regulatory minimum | 6.00% | ||
| Minimum plus conservation buffer | 8.50% | ||
| Well-capitalized level | 8.00% | ||
| Cushion over that level | +4.36 pp | $11.3M | capital that could be lost first |
Total risk-based capital ratio 13.31% +3.31 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 | $34.4M | 34,430 | RCOA3792 |
|---|---|---|---|
| Divided by total risk-weighted assets | $258.8M | 258,761 | RCOAA223 |
| Recomputed ratio | 13.31% | numerator / denominator | |
| Filed ratio | 13.31% | RCOA7205 | |
| Regulatory minimum | 8.00% | ||
| Minimum plus conservation buffer | 10.50% | ||
| Well-capitalized level | 10.00% | ||
| Cushion over that level | +3.31 pp | $8.6M | capital that could be lost first |
Tier 1 leverage ratio 8.81% +3.81 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 | $32.0M | 31,982 | RCOA8274 |
|---|---|---|---|
| Divided by average total assets for the leverage ratio | $363.1M | 363,099 | RCOAA224 |
| Recomputed ratio | 8.81% | numerator / denominator | |
| Filed ratio | 8.81% | RCOA7204 | |
| Regulatory minimum | 4.00% | ||
| Well-capitalized level | 5.00% | ||
| Cushion over that level | +3.81 pp | $13.8M | 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 | 6,574 | 6,574 | 6,574 | 6,574 | 6,574 | 6,574 | RCOAP742 |
| Retained earnings | 25,408 | 24,360 | 25,392 | 24,379 | 23,553 | 22,702 | RCOAKW00 |
| Accumulated other comprehensive income | (10,399) | (10,601) | (10,197) | (11,354) | (12,798) | (13,837) | RCOAB530 |
| Common equity Tier 1 minority interest | 0 | 0 | 0 | 0 | 0 | 0 | RCOAP839 |
| Common equity Tier 1 capital before adjustments and deductions | 21,583 | 20,333 | 21,769 | 19,599 | 17,329 | 15,439 | RCOAP840 |
| Adjustments and deductions from common equity Tier 1 | 10,399 | 10,601 | 10,197 | 11,354 | 12,798 | 13,837 | P859 - P840 |
| Common equity Tier 1 capital | 31,982 | 30,934 | 31,966 | 30,953 | 30,127 | 29,276 | RCOAP859 |
| Additional Tier 1 capital | 0 | 0 | 0 | 0 | 0 | 0 | RCOAP865 |
| Tier 1 capital | 31,982 | 30,934 | 31,966 | 30,953 | 30,127 | 29,276 | RCOA8274 |
| Tier 2 capital | 2,448 | 2,379 | 2,382 | 2,418 | 2,958 | 3,005 | RCOA5311 |
| Allowance includable in Tier 2 capital | 2,448 | 2,379 | 2,382 | 2,418 | 2,958 | 3,005 | RCOA5310 |
| Total capital | 34,430 | 33,313 | 34,348 | 33,371 | 33,085 | 32,281 | RCOA3792 |
| Total risk-weighted assets | 258,761 | 256,231 | 256,586 | 251,055 | 240,792 | 250,219 | RCOAA223 |
| Average total assets for the leverage ratio | 363,099 | 365,704 | 359,226 | 353,003 | 356,948 | 348,282 | 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 | $6.8M | $415K | 6.07% | 0.16% | RC-R Part II, item 1 |
| Securities (HTM and AFS) | $108.4M | $21.7M | 20.00% | 8.38% | RC-R Part II, item 2.a, 2.b |
| Loans: residential mortgage | $38.0M | $20.9M | 55.04% | 8.08% | RC-R Part II, item 4.a, 5.a |
| Loans: high-volatility commercial real estate | $284K | $426K | 150.00% | 0.16% | RC-R Part II, item 4.b, 5.b |
| Loans: past due and nonaccrual | $1.5M | $2.3M | 150.00% | 0.90% | RC-R Part II, item 4.c, 5.c |
| Loans: all other | $192.0M | $192.0M | 100.00% | 74.19% | RC-R Part II, item 4.d, 5.d |
| All other assets | $15.0M | $14.0M | 93.24% | 5.41% | RC-R Part II, item 8 |
| Off-balance-sheet commitments and letters of credit | $7.1M | $7.1M | 100.00% | 2.73% | RC-R Part II, item 12, 13, 14, 15, 17, 18.a, 18.b |
| Market risk and other approaches | NA | $700 | NA | 0.00% | RC-R Part II, item 27 |
How the categories add up to total risk-weighted assets
| Categories above, excluding market risk and other approaches | $258.8M | ties to item 31 ($258.8M) |
|---|---|---|
| Risk-weighted assets before deductions | $258.8M | RCONB704 |
| Less: excess allowance for credit losses | $0 | A222 |
| Less: allocated transfer risk reserve | $0 | 3128 |
| Total risk-weighted assets | $258.8M | 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 | 12.36% | 12.36% | 13.31% | 8.81% | 15.12% | 15.12% | 16.26% | 10.99% |
| 1Q26 | Risk-based | 12.07% | 12.07% | 13.00% | 8.46% | 14.98% | 15.01% | 16.09% | 10.86% |
| 4Q25 | Risk-based | 12.46% | 12.46% | 13.39% | 8.90% | 14.89% | 14.90% | 16.02% | 10.79% |
| 3Q25 | Risk-based | 12.33% | 12.33% | 13.29% | 8.77% | 14.82% | 14.86% | 15.98% | 10.87% |
| 2Q25 | Risk-based | 12.51% | 12.51% | 13.74% | 8.44% | 14.75% | 14.79% | 15.93% | 10.80% |
| 1Q25 | Risk-based | 11.70% | 11.70% | 12.90% | 8.41% | 14.77% | 14.82% | 15.94% | 10.70% |
| 4Q24 | Risk-based | 12.36% | 12.36% | 13.60% | 9.17% | 14.67% | 14.74% | 15.75% | 10.61% |
| 3Q24 | Risk-based | 12.60% | 12.60% | 13.85% | 9.15% | 14.69% | 14.72% | 15.80% | 10.69% |
| 2Q24 | Risk-based | 12.05% | 12.05% | 13.03% | 9.00% | 14.55% | 14.57% | 15.69% | 10.61% |
| 1Q24 | Risk-based | 12.01% | 12.01% | 12.98% | 8.84% | 14.58% | 14.60% | 15.70% | 10.54% |
| 4Q23 | Risk-based | 12.58% | 12.58% | 13.51% | 9.53% | 14.42% | 14.45% | 15.56% | 10.55% |
| 3Q23 | Risk-based | 12.98% | 12.98% | 13.94% | 9.68% | 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 Bank of Herrin (this bank) | Risk-based | 12.36% | 12.36% | 13.31% | 8.81% | |
| Frontier Bank | $349.2M | Risk-based | 11.28% | 11.28% | 12.32% | 8.76% |
| Firststate Bank | $349.4M | CBLR | NA | NA | NA | 11.14% |
| Commercial Savings Bank | $348.8M | Risk-based | 11.62% | 11.62% | 12.66% | 8.44% |
| Citizens National Bank of Albion | $348.5M | Risk-based | 25.45% | 25.45% | 26.70% | 17.35% |
| Citizens Deposit Bank of Arlington, Inc. | $348.2M | CBLR | NA | NA | NA | 13.66% |
| Cowboy Bank | $350.3M | CBLR | NA | NA | NA | 12.72% |
| Western Bank, Artesia, New Mexico | $350.5M | Risk-based | 15.80% | 15.80% | 16.77% | 11.14% |
| Heritage Community Bank | $347.8M | Risk-based | 9.39% | 9.39% | 10.64% | 8.30% |
| New Albin Savings Bank | $350.6M | Risk-based | 39.92% | 39.92% | 40.67% | 15.53% |
| CLB the Community Bank | $350.9M | CBLR | NA | NA | NA | 11.36% |
| Peer 25th percentile | 11.37% | 11.37% | 12.40% | 9.36% | ||
| Peer median | 13.71% | 13.71% | 14.72% | 11.25% | ||
| Peer 75th percentile | 23.04% | 23.04% | 24.22% | 13.42% | ||
| This bank's percentile | 50 | 50 | 50 | 30 |
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/835444/regulatory-capital/ and in the Excel workbook. Next: the capital tab, the peer group page, or the full profile.