The Berkshire Bank: Regulatory Capital and Risk-Weighted Assets
As of 2Q26, from Call Report Schedule RC-R.
Capital conservation buffer: 87.00% (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: 87.00% (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 93.68% +87.18 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 | $130.5M | 130,478 | RCOAP859 |
|---|---|---|---|
| Divided by total risk-weighted assets | $139.3M | 139,276 | RCOAA223 |
| Recomputed ratio | 93.68% | numerator / denominator | |
| Filed ratio | 93.68% | RCOAP793 | |
| Regulatory minimum | 4.50% | ||
| Minimum plus conservation buffer | 7.00% | ||
| Well-capitalized level | 6.50% | ||
| Cushion over that level | +87.18 pp | $121.4M | capital that could be lost first |
Tier 1 risk-based capital ratio 93.68% +85.68 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 | $130.5M | 130,478 | RCOA8274 |
|---|---|---|---|
| Divided by total risk-weighted assets | $139.3M | 139,276 | RCOAA223 |
| Recomputed ratio | 93.68% | numerator / denominator | |
| Filed ratio | 93.68% | RCOA7206 | |
| Regulatory minimum | 6.00% | ||
| Minimum plus conservation buffer | 8.50% | ||
| Well-capitalized level | 8.00% | ||
| Cushion over that level | +85.68 pp | $119.3M | capital that could be lost first |
Total risk-based capital ratio 95.00% +85.00 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 | $132.3M | 132,317 | RCOA3792 |
|---|---|---|---|
| Divided by total risk-weighted assets | $139.3M | 139,276 | RCOAA223 |
| Recomputed ratio | 95.00% | numerator / denominator | |
| Filed ratio | 95.00% | RCOA7205 | |
| Regulatory minimum | 8.00% | ||
| Minimum plus conservation buffer | 10.50% | ||
| Well-capitalized level | 10.00% | ||
| Cushion over that level | +85.00 pp | $118.4M | capital that could be lost first |
Tier 1 leverage ratio 24.16% +19.16 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 | $130.5M | 130,478 | RCOA8274 |
|---|---|---|---|
| Divided by average total assets for the leverage ratio | $540.1M | 540,075 | RCOAA224 |
| Recomputed ratio | 24.16% | numerator / denominator | |
| Filed ratio | 24.16% | RCOA7204 | |
| Regulatory minimum | 4.00% | ||
| Well-capitalized level | 5.00% | ||
| Cushion over that level | +19.16 pp | $103.5M | 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 | 97,657 | 97,656 | 97,656 | 97,657 | 97,657 | 97,657 | RCOAP742 |
| Retained earnings | 32,821 | 31,896 | 31,389 | 33,523 | 32,955 | 37,234 | RCOAKW00 |
| Accumulated other comprehensive income | (2,957) | (2,822) | (2,815) | (3,395) | (3,909) | (4,151) | RCOAB530 |
| Common equity Tier 1 minority interest | 0 | 0 | 0 | 0 | 0 | 0 | RCOAP839 |
| Common equity Tier 1 capital before adjustments and deductions | 127,521 | 126,730 | 126,230 | 127,785 | 126,703 | 130,740 | RCOAP840 |
| Adjustments and deductions from common equity Tier 1 | 2,957 | 2,823 | 2,815 | 3,395 | 3,909 | 4,151 | P859 - P840 |
| Common equity Tier 1 capital | 130,478 | 129,553 | 129,045 | 131,180 | 130,612 | 134,891 | RCOAP859 |
| Additional Tier 1 capital | 0 | 0 | 0 | 0 | 0 | 0 | RCOAP865 |
| Tier 1 capital | 130,478 | 129,553 | 129,045 | 131,180 | 130,612 | 134,891 | RCOA8274 |
| Tier 2 capital | 1,839 | 1,937 | 2,000 | 2,122 | 2,243 | 2,366 | RCOA5311 |
| Allowance includable in Tier 2 capital | 1,839 | 1,937 | 2,000 | 2,122 | 2,243 | 2,366 | RCOA5310 |
| Total capital | 132,317 | 131,490 | 131,045 | 133,302 | 132,855 | 137,257 | RCOA3792 |
| Total risk-weighted assets | 139,276 | 147,243 | 152,320 | 162,244 | 172,544 | 182,461 | RCOAA223 |
| Average total assets for the leverage ratio | 540,075 | 536,510 | 556,498 | 586,536 | 594,073 | 594,617 | 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 | $320.0M | $4.6M | 1.43% | 3.11% | RC-R Part II, item 1 |
| Securities (HTM and AFS) | $69.9M | $2.4M | 3.40% | 1.62% | RC-R Part II, item 2.a, 2.b |
| Loans: residential mortgage | $31.3M | $21.4M | 68.43% | 14.54% | RC-R Part II, item 4.a, 5.a |
| Loans: past due and nonaccrual | $18.3M | $18.3M | 100.00% | 12.45% | RC-R Part II, item 4.c, 5.c |
| Loans: all other | $94.9M | $94.9M | 100.00% | 64.52% | RC-R Part II, item 4.d, 5.d |
| All other assets | $6.1M | $5.4M | 88.03% | 3.68% | RC-R Part II, item 8 |
| Off-balance-sheet commitments and letters of credit | $133K | $123K | 92.48% | 0.08% | RC-R Part II, item 12, 13, 14, 15, 17, 18.a, 18.b |
| Market risk and other approaches | NA | $200 | 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 | $147.1M | ties to item 31 ($147.1M) |
|---|---|---|
| Risk-weighted assets before deductions | $147.1M | RCONB704 |
| Less: excess allowance for credit losses | $7.8M | A222 |
| Less: allocated transfer risk reserve | $0 | 3128 |
| Total risk-weighted assets | $139.3M | 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 | 93.68% | 93.68% | 95.00% | 24.16% | 15.12% | 15.13% | 16.26% | 10.99% |
| 1Q26 | Risk-based | 87.99% | 87.99% | 89.30% | 24.15% | 14.98% | 15.01% | 16.09% | 10.86% |
| 4Q25 | Risk-based | 84.72% | 84.72% | 86.03% | 23.19% | 14.89% | 14.90% | 16.02% | 10.79% |
| 3Q25 | Risk-based | 80.85% | 80.85% | 82.16% | 22.37% | 14.82% | 14.86% | 15.98% | 10.87% |
| 2Q25 | Risk-based | 75.70% | 75.70% | 77.00% | 21.99% | 14.75% | 14.79% | 15.93% | 10.80% |
| 1Q25 | Risk-based | 73.93% | 73.93% | 75.23% | 22.69% | 14.77% | 14.82% | 15.94% | 10.70% |
| 4Q24 | Risk-based | 66.78% | 66.78% | 68.07% | 22.58% | 14.67% | 14.74% | 15.75% | 10.61% |
| 3Q24 | Risk-based | 57.49% | 57.49% | 58.77% | 22.46% | 14.69% | 14.72% | 15.80% | 10.69% |
| 2Q24 | Risk-based | 56.26% | 56.26% | 57.54% | 21.83% | 14.55% | 14.57% | 15.69% | 10.61% |
| 1Q24 | Risk-based | 53.62% | 53.62% | 54.90% | 22.52% | 14.58% | 14.60% | 15.70% | 10.54% |
| 4Q23 | Risk-based | 51.90% | 51.90% | 53.18% | 21.81% | 14.42% | 14.45% | 15.56% | 10.55% |
| 3Q23 | Risk-based | 47.36% | 47.36% | 48.64% | 21.15% | 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 Berkshire Bank (this bank) | Risk-based | 93.68% | 93.68% | 95.00% | 24.16% | |
| Lake Elmo Bank | $529.7M | Risk-based | 16.14% | 16.14% | 17.39% | 11.62% |
| First Montana Bank, Inc. | $530.3M | Risk-based | 15.89% | 15.89% | 16.90% | 10.15% |
| Peoples Bank | $529.6M | Risk-based | 10.79% | 10.79% | 11.60% | 8.09% |
| Citizens Community Bank | $531.0M | CBLR | NA | NA | NA | 9.83% |
| The Peoples Bank | $531.1M | Risk-based | 15.52% | 15.52% | 16.77% | 9.29% |
| First Secure Community Bank | $528.8M | Risk-based | 10.60% | 10.60% | 11.47% | 9.43% |
| High Country Bank | $528.5M | CBLR | NA | NA | NA | 9.62% |
| Fifth District Savings Bank | $531.8M | Risk-based | 38.90% | 38.90% | 39.48% | 21.41% |
| Huntington Federal Savings Bank | $532.3M | CBLR | NA | NA | NA | 15.07% |
| Peer 25th percentile | 11.97% | 11.97% | 12.89% | 9.43% | ||
| Peer median | 15.71% | 15.71% | 16.84% | 9.83% | ||
| Peer 75th percentile | 16.08% | 16.08% | 17.27% | 11.62% | ||
| This bank's percentile | 100 | 100 | 100 | 100 |
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/1396764/regulatory-capital/ and in the Excel workbook. Next: the capital tab, the peer group page, or the full profile.