Bank of the Valley: Regulatory Capital and Risk-Weighted Assets
As of 2Q26, from Call Report Schedule RC-R.
Capital conservation buffer: 4.81% (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: 4.81% (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 11.56% +5.06 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 | $54.8M | 54,835 | RCOAP859 |
|---|---|---|---|
| Divided by total risk-weighted assets | $474.3M | 474,267 | RCOAA223 |
| Recomputed ratio | 11.56% | numerator / denominator | |
| Filed ratio | 11.56% | RCOAP793 | |
| Regulatory minimum | 4.50% | ||
| Minimum plus conservation buffer | 7.00% | ||
| Well-capitalized level | 6.50% | ||
| Cushion over that level | +5.06 pp | $24.0M | capital that could be lost first |
Tier 1 risk-based capital ratio 11.56% +3.56 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 | $54.8M | 54,835 | RCOA8274 |
|---|---|---|---|
| Divided by total risk-weighted assets | $474.3M | 474,267 | RCOAA223 |
| Recomputed ratio | 11.56% | numerator / denominator | |
| Filed ratio | 11.56% | RCOA7206 | |
| Regulatory minimum | 6.00% | ||
| Minimum plus conservation buffer | 8.50% | ||
| Well-capitalized level | 8.00% | ||
| Cushion over that level | +3.56 pp | $16.9M | capital that could be lost first |
Total risk-based capital ratio 12.81% +2.81 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 | $60.8M | 60,767 | RCOA3792 |
|---|---|---|---|
| Divided by total risk-weighted assets | $474.3M | 474,267 | RCOAA223 |
| Recomputed ratio | 12.81% | numerator / denominator | |
| Filed ratio | 12.81% | RCOA7205 | |
| Regulatory minimum | 8.00% | ||
| Minimum plus conservation buffer | 10.50% | ||
| Well-capitalized level | 10.00% | ||
| Cushion over that level | +2.81 pp | $13.3M | capital that could be lost first |
Tier 1 leverage ratio 9.87% +4.87 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 | $54.8M | 54,835 | RCOA8274 |
|---|---|---|---|
| Divided by average total assets for the leverage ratio | $555.3M | 555,294 | RCOAA224 |
| Recomputed ratio | 9.87% | numerator / denominator | |
| Filed ratio | 9.87% | RCOA7204 | |
| Regulatory minimum | 4.00% | ||
| Well-capitalized level | 5.00% | ||
| Cushion over that level | +4.87 pp | $27.1M | 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 | 32,686 | 32,668 | 32,615 | 32,615 | 32,615 | 32,566 | RCOAP742 |
| Retained earnings | 22,149 | 20,788 | 19,711 | 19,334 | 18,273 | 18,444 | RCOAKW00 |
| Accumulated other comprehensive income | (1,841) | (2,205) | (1,844) | (2,285) | (3,023) | (2,825) | RCOAB530 |
| Common equity Tier 1 minority interest | 0 | 0 | 0 | 0 | 0 | 0 | RCOAP839 |
| Common equity Tier 1 capital before adjustments and deductions | 52,994 | 51,251 | 50,482 | 49,664 | 47,865 | 48,185 | RCOAP840 |
| Adjustments and deductions from common equity Tier 1 | 1,841 | 2,154 | 1,743 | 2,133 | 2,820 | 2,571 | P859 - P840 |
| Common equity Tier 1 capital | 54,835 | 53,405 | 52,225 | 51,797 | 50,685 | 50,756 | RCOAP859 |
| Additional Tier 1 capital | 0 | 0 | 0 | 0 | 0 | 0 | RCOAP865 |
| Tier 1 capital | 54,835 | 53,405 | 52,225 | 51,797 | 50,685 | 50,756 | RCOA8274 |
| Tier 2 capital | 5,932 | 5,766 | 5,594 | 5,600 | 5,597 | 5,491 | RCOA5311 |
| Allowance includable in Tier 2 capital | 5,932 | 5,766 | 5,594 | 5,600 | 5,597 | 5,491 | RCOA5310 |
| Total capital | 60,767 | 59,171 | 57,819 | 57,397 | 56,282 | 56,247 | RCOA3792 |
| Total risk-weighted assets | 474,267 | 460,812 | 446,887 | 447,182 | 446,946 | 438,665 | RCOAA223 |
| Average total assets for the leverage ratio | 555,294 | 536,557 | 530,364 | 534,732 | 536,661 | 526,037 | 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 | $34.0M | $5.9M | 17.46% | 1.25% | RC-R Part II, item 1 |
| Securities (HTM and AFS) | $57.2M | $19.3M | 33.79% | 4.07% | RC-R Part II, item 2.a, 2.b |
| Fed funds sold and repo-style transactions | $800K | $160K | 20.00% | 0.03% | RC-R Part II, item 3.a, 16 |
| Loans: residential mortgage | $75.4M | $45.6M | 60.52% | 9.61% | RC-R Part II, item 4.a, 5.a |
| Loans: high-volatility commercial real estate | $10.3M | $14.9M | 145.05% | 3.15% | RC-R Part II, item 4.b, 5.b |
| Loans: past due and nonaccrual | $212K | $318K | 150.00% | 0.07% | RC-R Part II, item 4.c, 5.c |
| Loans: all other | $371.0M | $347.2M | 93.59% | 73.14% | RC-R Part II, item 4.d, 5.d |
| All other assets | $26.6M | $24.9M | 93.69% | 5.26% | RC-R Part II, item 8 |
| Off-balance-sheet commitments and letters of credit | $6.9M | $6.5M | 95.08% | 1.38% | RC-R Part II, item 12, 13, 14, 15, 17, 18.a, 18.b |
| Market risk and other approaches | NA | $9.7M | NA | 2.05% | RC-R Part II, item 27 |
How the categories add up to total risk-weighted assets
| Categories above, excluding market risk and other approaches | $464.9M | ties to item 31 ($464.9M) |
|---|---|---|
| Risk-weighted assets before deductions | $474.6M | RCONB704 |
| Less: excess allowance for credit losses | $372K | A222 |
| Less: allocated transfer risk reserve | $0 | 3128 |
| Total risk-weighted assets | $474.3M | 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 | 11.56% | 11.56% | 12.81% | 9.87% | 15.12% | 15.12% | 16.26% | 10.99% |
| 1Q26 | Risk-based | 11.59% | 11.59% | 12.84% | 9.95% | 14.98% | 15.01% | 16.09% | 10.86% |
| 4Q25 | Risk-based | 11.69% | 11.69% | 12.94% | 9.85% | 14.89% | 14.90% | 16.02% | 10.79% |
| 3Q25 | Risk-based | 11.58% | 11.58% | 12.84% | 9.69% | 14.82% | 14.86% | 15.98% | 10.87% |
| 2Q25 | Risk-based | 11.34% | 11.34% | 12.59% | 9.44% | 14.75% | 14.79% | 15.93% | 10.80% |
| 1Q25 | Risk-based | 11.57% | 11.57% | 12.82% | 9.65% | 14.77% | 14.82% | 15.94% | 10.70% |
| 4Q24 | Risk-based | 11.02% | 11.02% | 12.28% | 9.48% | 14.67% | 14.74% | 15.75% | 10.61% |
| 3Q24 | Risk-based | 10.79% | 10.79% | 12.05% | 9.20% | 14.69% | 14.72% | 15.80% | 10.69% |
| 2Q24 | Risk-based | 11.05% | 11.05% | 12.31% | 9.05% | 14.55% | 14.57% | 15.69% | 10.61% |
| 1Q24 | Risk-based | 11.05% | 11.05% | 12.31% | 9.11% | 14.58% | 14.60% | 15.70% | 10.54% |
| 4Q23 | Risk-based | 11.45% | 11.45% | 12.71% | 9.55% | 14.42% | 14.45% | 15.56% | 10.55% |
| 3Q23 | Risk-based | 11.27% | 11.27% | 12.53% | 9.46% | 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 |
|---|---|---|---|---|---|---|
| Bank of the Valley (this bank) | Risk-based | 11.56% | 11.56% | 12.81% | 9.87% | |
| The Peoples Bank | $581.8M | Risk-based | 20.58% | 20.58% | 21.72% | 10.25% |
| The Cottonport Bank | $581.6M | CBLR | NA | NA | NA | 13.94% |
| FNBC Bank and Trust | $581.6M | Risk-based | 17.63% | 17.63% | 18.81% | 10.02% |
| Merit Bank | $581.6M | Risk-based | 12.23% | 12.23% | 13.16% | 9.70% |
| Citizens State Bank | $581.0M | CBLR | NA | NA | NA | 8.58% |
| Sunstate Bank | $580.4M | Risk-based | 14.01% | 14.01% | 14.67% | 11.45% |
| First National Bank & Trust Company of McAlester | $580.4M | CBLR | NA | NA | NA | 10.89% |
| Lumbee Guaranty Bank | $583.5M | CBLR | NA | NA | NA | 10.71% |
| Bay State Savings Bank | $580.3M | Risk-based | 11.24% | 11.24% | 12.26% | 8.82% |
| WNB Financial, N.A. | $583.7M | CBLR | NA | NA | NA | 10.31% |
| Peer 25th percentile | 12.23% | 12.23% | 13.16% | 9.78% | ||
| Peer median | 14.01% | 14.01% | 14.67% | 10.28% | ||
| Peer 75th percentile | 17.63% | 17.63% | 18.81% | 10.85% | ||
| This bank's percentile | 20 | 20 | 20 | 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/478195/regulatory-capital/ and in the Excel workbook. Next: the capital tab, the peer group page, or the full profile.