Cornerstone Bank: Regulatory Capital and Risk-Weighted Assets
As of 2Q26, from Call Report Schedule RC-R.
Capital conservation buffer: 4.44% (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: 4.44% (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 11.28% +4.78 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 | $174.8M | 174,813 | RCOAP859 |
|---|---|---|---|
| Divided by total risk-weighted assets | $1.55B | 1,550,304 | RCOAA223 |
| Recomputed ratio | 11.28% | numerator / denominator | |
| Filed ratio | 11.28% | RCOAP793 | |
| Regulatory minimum | 4.50% | ||
| Minimum plus conservation buffer | 7.00% | ||
| Well-capitalized level | 6.50% | ||
| Cushion over that level | +4.78 pp | $74.0M | capital that could be lost first |
Tier 1 risk-based capital ratio 11.28% +3.28 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 | $174.8M | 174,813 | RCOA8274 |
|---|---|---|---|
| Divided by total risk-weighted assets | $1.55B | 1,550,304 | RCOAA223 |
| Recomputed ratio | 11.28% | numerator / denominator | |
| Filed ratio | 11.28% | RCOA7206 | |
| Regulatory minimum | 6.00% | ||
| Minimum plus conservation buffer | 8.50% | ||
| Well-capitalized level | 8.00% | ||
| Cushion over that level | +3.28 pp | $50.8M | capital that could be lost first |
Total risk-based capital ratio 12.44% +2.44 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 | $192.9M | 192,899 | RCOA3792 |
|---|---|---|---|
| Divided by total risk-weighted assets | $1.55B | 1,550,304 | RCOAA223 |
| Recomputed ratio | 12.44% | numerator / denominator | |
| Filed ratio | 12.44% | RCOA7205 | |
| Regulatory minimum | 8.00% | ||
| Minimum plus conservation buffer | 10.50% | ||
| Well-capitalized level | 10.00% | ||
| Cushion over that level | +2.44 pp | $37.9M | 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 | $174.8M | 174,813 | RCOA8274 |
|---|---|---|---|
| Divided by average total assets for the leverage ratio | $1.82B | 1,816,131 | 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 | $84.0M | 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 | 55,078 | 55,078 | 55,078 | 55,078 | 55,078 | 55,078 | RCOAP742 |
| Retained earnings | 119,735 | 114,141 | 108,540 | 102,463 | 96,626 | 91,409 | RCOAKW00 |
| Accumulated other comprehensive income | (23,576) | (25,494) | (22,330) | (24,502) | (27,291) | (29,238) | RCOAB530 |
| Common equity Tier 1 minority interest | 0 | 0 | 0 | 0 | 0 | 0 | RCOAP839 |
| Common equity Tier 1 capital before adjustments and deductions | 151,237 | 143,725 | 141,288 | 133,039 | 124,413 | 117,249 | RCOAP840 |
| Adjustments and deductions from common equity Tier 1 | 23,576 | 25,494 | 22,330 | 24,502 | 27,291 | 29,238 | P859 - P840 |
| Common equity Tier 1 capital | 174,813 | 169,219 | 163,618 | 157,541 | 151,704 | 146,487 | RCOAP859 |
| Additional Tier 1 capital | 0 | 0 | 0 | 0 | 0 | 0 | RCOAP865 |
| Tier 1 capital | 174,813 | 169,219 | 163,618 | 157,541 | 151,704 | 146,487 | RCOA8274 |
| Tier 2 capital | 18,086 | 18,257 | 18,010 | 17,358 | 17,020 | 16,393 | RCOA5311 |
| Allowance includable in Tier 2 capital | 18,086 | 18,257 | 18,010 | 17,358 | 17,020 | 16,393 | RCOA5310 |
| Total capital | 192,899 | 187,476 | 181,628 | 174,899 | 168,724 | 162,880 | RCOA3792 |
| Total risk-weighted assets | 1,550,304 | 1,476,591 | 1,444,225 | 1,451,469 | 1,456,375 | 1,430,286 | RCOAA223 |
| Average total assets for the leverage ratio | 1,816,131 | 1,764,199 | 1,815,236 | 1,773,160 | 1,801,493 | 1,795,360 | 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 | $67.0M | $3.9M | 5.87% | 0.25% | RC-R Part II, item 1 |
| Securities (HTM and AFS) | $323.7M | $56.8M | 17.56% | 3.67% | RC-R Part II, item 2.a, 2.b |
| Fed funds sold and repo-style transactions | $40.8M | $4.6M | 11.19% | 0.29% | RC-R Part II, item 3.a, 16 |
| Loans: residential mortgage | $163.4M | $90.1M | 55.12% | 5.81% | RC-R Part II, item 4.a, 5.a |
| Loans: high-volatility commercial real estate | $7.8M | $11.7M | 150.00% | 0.76% | RC-R Part II, item 4.b, 5.b |
| Loans: past due and nonaccrual | $29.8M | $44.7M | 150.00% | 2.88% | RC-R Part II, item 4.c, 5.c |
| Loans: all other | $1.16B | $1.14B | 98.22% | 73.69% | RC-R Part II, item 4.d, 5.d |
| All other assets | $98.2M | $106.9M | 108.87% | 6.90% | RC-R Part II, item 8 |
| Off-balance-sheet commitments and letters of credit | $94.8M | $87.2M | 91.93% | 5.62% | RC-R Part II, item 12, 13, 14, 15, 17, 18.a, 18.b |
| Derivatives (over the counter and centrally cleared) | $5.0M | $1.9M | 37.41% | 0.12% | RC-R Part II, item 20, 21 |
| Market risk and other approaches | NA | $900 | 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 | $1.55B | ties to item 31 ($1.55B) |
|---|---|---|
| Risk-weighted assets before deductions | $1.55B | RCONB704 |
| Less: excess allowance for credit losses | $0 | A222 |
| Less: allocated transfer risk reserve | $0 | 3128 |
| Total risk-weighted assets | $1.55B | 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 | 11.28% | 11.28% | 12.44% | 9.63% | 13.52% | 13.55% | 14.66% | 10.52% |
| 1Q26 | Risk-based | 11.46% | 11.46% | 12.70% | 9.59% | 13.45% | 13.46% | 14.59% | 10.46% |
| 4Q25 | Risk-based | 11.33% | 11.33% | 12.58% | 9.01% | 13.36% | 13.37% | 14.44% | 10.38% |
| 3Q25 | Risk-based | 10.85% | 10.85% | 12.05% | 8.88% | 13.38% | 13.39% | 14.51% | 10.37% |
| 2Q25 | Risk-based | 10.42% | 10.42% | 11.59% | 8.42% | 13.21% | 13.21% | 14.27% | 10.30% |
| 1Q25 | Risk-based | 10.24% | 10.24% | 11.39% | 8.16% | 13.15% | 13.17% | 14.26% | 10.24% |
| 4Q24 | Risk-based | 10.00% | 10.00% | 11.15% | 8.10% | 13.02% | 13.05% | 14.10% | 10.07% |
| 3Q24 | Risk-based | 9.65% | 9.65% | 10.79% | 8.33% | 12.97% | 13.02% | 14.13% | 10.12% |
| 2Q24 | Risk-based | 9.59% | 9.59% | 10.70% | 8.27% | 12.93% | 12.94% | 14.06% | 10.10% |
| 1Q24 | Risk-based | 9.97% | 9.97% | 11.10% | 8.23% | 12.90% | 12.91% | 14.02% | 10.06% |
| 4Q23 | Risk-based | 9.38% | 9.38% | 10.51% | 7.35% | 12.81% | 12.82% | 13.92% | 10.01% |
| 3Q23 | Risk-based | 9.31% | 9.31% | 10.56% | 7.80% | 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 |
|---|---|---|---|---|---|---|
| Cornerstone Bank (this bank) | Risk-based | 11.28% | 11.28% | 12.44% | 9.63% | |
| Independent Bank | $1.85B | Risk-based | 10.22% | 10.22% | 11.05% | 10.60% |
| First State Bank | $1.85B | Risk-based | 14.08% | 14.08% | 15.18% | 9.61% |
| Fall River Five Cents Savings Bank | $1.86B | Risk-based | 11.61% | 11.61% | 12.38% | 8.70% |
| Bank of Clarke | $1.85B | Risk-based | 14.29% | 14.29% | 15.48% | 12.27% |
| Security National Bank of Omaha | $1.86B | Risk-based | 13.37% | 13.37% | 14.63% | 10.58% |
| Embassy Bank for the Lehigh Valley | $1.86B | Risk-based | 14.10% | 14.10% | 15.16% | 8.83% |
| Legacy Bank & Trust Company | $1.85B | CBLR | NA | NA | NA | 11.91% |
| North Easton Savings Bank | $1.84B | Risk-based | 16.22% | 16.22% | 16.80% | 11.19% |
| American Bank of Commerce | $1.86B | CBLR | NA | NA | NA | 9.65% |
| Wellworth Bank | $1.84B | Risk-based | 13.79% | 13.79% | 14.98% | 9.92% |
| Peer 25th percentile | 12.93% | 12.93% | 14.07% | 9.62% | ||
| Peer median | 13.93% | 13.93% | 15.07% | 10.25% | ||
| Peer 75th percentile | 14.15% | 14.15% | 15.25% | 11.04% | ||
| This bank's percentile | 12 | 12 | 25 | 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/879457/regulatory-capital/ and in the Excel workbook. Next: the capital tab, the peer group page, or the full profile.