Farmers and Merchants State Bank: Regulatory Capital and Risk-Weighted Assets
As of 2Q26, from Call Report Schedule RC-R.
Capital conservation buffer: 4.96% (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: 4.96% (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 11.73% +5.23 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 | $19.2M | 19,195 | RCOAP859 |
|---|---|---|---|
| Divided by total risk-weighted assets | $163.6M | 163,616 | RCOAA223 |
| Recomputed ratio | 11.73% | numerator / denominator | |
| Filed ratio | 11.73% | RCOAP793 | |
| Regulatory minimum | 4.50% | ||
| Minimum plus conservation buffer | 7.00% | ||
| Well-capitalized level | 6.50% | ||
| Cushion over that level | +5.23 pp | $8.6M | capital that could be lost first |
Tier 1 risk-based capital ratio 11.73% +3.73 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 | $19.2M | 19,195 | RCOA8274 |
|---|---|---|---|
| Divided by total risk-weighted assets | $163.6M | 163,616 | RCOAA223 |
| Recomputed ratio | 11.73% | numerator / denominator | |
| Filed ratio | 11.73% | RCOA7206 | |
| Regulatory minimum | 6.00% | ||
| Minimum plus conservation buffer | 8.50% | ||
| Well-capitalized level | 8.00% | ||
| Cushion over that level | +3.73 pp | $6.1M | capital that could be lost first |
Total risk-based capital ratio 12.96% +2.96 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 | $21.2M | 21,212 | RCOA3792 |
|---|---|---|---|
| Divided by total risk-weighted assets | $163.6M | 163,616 | RCOAA223 |
| Recomputed ratio | 12.96% | numerator / denominator | |
| Filed ratio | 12.96% | RCOA7205 | |
| Regulatory minimum | 8.00% | ||
| Minimum plus conservation buffer | 10.50% | ||
| Well-capitalized level | 10.00% | ||
| Cushion over that level | +2.96 pp | $4.8M | capital that could be lost first |
Tier 1 leverage ratio 11.02% +6.02 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 | $19.2M | 19,195 | RCOA8274 |
|---|---|---|---|
| Divided by average total assets for the leverage ratio | $174.2M | 174,187 | RCOAA224 |
| Recomputed ratio | 11.02% | numerator / denominator | |
| Filed ratio | 11.02% | RCOA7204 | |
| Regulatory minimum | 4.00% | ||
| Well-capitalized level | 5.00% | ||
| Cushion over that level | +6.02 pp | $10.5M | 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 | 4,500 | 4,500 | 4,500 | 4,500 | 4,500 | 4,500 | RCOAP742 |
| Retained earnings | 14,695 | 14,286 | 13,681 | 14,616 | 13,931 | 13,338 | RCOAKW00 |
| Accumulated other comprehensive income | (593) | (789) | (730) | (1,137) | (1,492) | (1,540) | RCOAB530 |
| Common equity Tier 1 minority interest | 0 | 0 | 0 | 0 | 0 | 0 | RCOAP839 |
| Common equity Tier 1 capital before adjustments and deductions | 18,602 | 17,997 | 17,451 | 17,979 | 16,939 | 16,298 | RCOAP840 |
| Adjustments and deductions from common equity Tier 1 | 593 | 789 | 730 | 1,137 | 1,492 | 1,540 | P859 - P840 |
| Common equity Tier 1 capital | 19,195 | 18,786 | 18,181 | 19,116 | 18,431 | 17,838 | RCOAP859 |
| Additional Tier 1 capital | 0 | 0 | 0 | 0 | 0 | 0 | RCOAP865 |
| Tier 1 capital | 19,195 | 18,786 | 18,181 | 19,116 | 18,431 | 17,838 | RCOA8274 |
| Tier 2 capital | 2,017 | 1,877 | 1,822 | 1,828 | 1,740 | 1,737 | RCOA5311 |
| Allowance includable in Tier 2 capital | 2,017 | 1,877 | 1,822 | 1,828 | 1,740 | 1,737 | RCOA5310 |
| Total capital | 21,212 | 20,663 | 20,003 | 20,944 | 20,171 | 19,575 | RCOA3792 |
| Total risk-weighted assets | 163,616 | 156,550 | 160,836 | 146,909 | 139,162 | 138,993 | RCOAA223 |
| Average total assets for the leverage ratio | 174,187 | 179,729 | 173,469 | 163,502 | 159,543 | 161,092 | 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 | $3.2M | $173K | 5.48% | 0.11% | RC-R Part II, item 1 |
| Securities (HTM and AFS) | $21.9M | $6.1M | 27.95% | 3.74% | RC-R Part II, item 2.a, 2.b |
| Fed funds sold and repo-style transactions | $1.3M | $266K | 20.00% | 0.16% | RC-R Part II, item 3.a, 16 |
| Loans: residential mortgage | $15.6M | $7.9M | 50.95% | 4.85% | RC-R Part II, item 4.a, 5.a |
| Loans: past due and nonaccrual | $835K | $1.3M | 150.00% | 0.77% | RC-R Part II, item 4.c, 5.c |
| Loans: all other | $131.7M | $131.7M | 99.97% | 80.46% | RC-R Part II, item 4.d, 5.d |
| All other assets | $8.5M | $6.1M | 71.31% | 3.71% | RC-R Part II, item 8 |
| Off-balance-sheet commitments and letters of credit | $10.1M | $10.1M | 100.00% | 6.20% | RC-R Part II, item 12, 13, 14, 15, 17, 18.a, 18.b |
| 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 | $163.6M | ties to item 31 ($163.6M) |
|---|---|---|
| Risk-weighted assets before deductions | $163.6M | RCONB704 |
| Less: excess allowance for credit losses | $0 | A222 |
| Less: allocated transfer risk reserve | $0 | 3128 |
| Total risk-weighted assets | $163.6M | 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 | 11.73% | 11.73% | 12.96% | 11.02% | 15.12% | 15.12% | 16.26% | 10.99% |
| 1Q26 | Risk-based | 12.00% | 12.00% | 13.20% | 10.45% | 14.98% | 15.01% | 16.09% | 10.86% |
| 4Q25 | Risk-based | 11.30% | 11.30% | 12.44% | 10.48% | 14.89% | 14.90% | 16.02% | 10.79% |
| 3Q25 | Risk-based | 13.01% | 13.01% | 14.26% | 11.69% | 14.82% | 14.86% | 15.98% | 10.87% |
| 2Q25 | Risk-based | 13.24% | 13.24% | 14.49% | 11.55% | 14.75% | 14.79% | 15.93% | 10.80% |
| 1Q25 | Risk-based | 12.83% | 12.83% | 14.08% | 11.07% | 14.77% | 14.82% | 15.94% | 10.70% |
| 4Q24 | Risk-based | 12.48% | 12.48% | 13.73% | 10.76% | 14.67% | 14.74% | 15.75% | 10.61% |
| 3Q24 | Risk-based | 13.07% | 13.07% | 14.32% | 11.02% | 14.69% | 14.72% | 15.80% | 10.69% |
| 2Q24 | Risk-based | 12.80% | 12.80% | 14.05% | 11.17% | 14.55% | 14.57% | 15.69% | 10.61% |
| 1Q24 | Risk-based | 12.85% | 12.85% | 14.10% | 10.52% | 14.58% | 14.60% | 15.70% | 10.54% |
| 4Q23 | Risk-based | 12.35% | 12.35% | 13.60% | 10.75% | 14.42% | 14.45% | 15.56% | 10.55% |
| 3Q23 | Risk-based | 13.09% | 13.09% | 14.35% | 10.93% | 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 |
|---|---|---|---|---|---|---|
| Farmers and Merchants State Bank (this bank) | Risk-based | 11.73% | 11.73% | 12.96% | 11.02% | |
| Feliciana Bank & Trust Company | $180.4M | CBLR | NA | NA | NA | 11.81% |
| The Farmers State Bank | $180.5M | CBLR | NA | NA | NA | 10.05% |
| Greater State Bank | $180.2M | Risk-based | 14.45% | 14.45% | 15.70% | 11.05% |
| Town Center Bank | $180.6M | Risk-based | 12.24% | 12.24% | 13.16% | 11.38% |
| State Bank of Whittington | $180.1M | Risk-based | 15.98% | 15.98% | 17.08% | 11.55% |
| Battle Bank, N.A. | $180.8M | CBLR | NA | NA | NA | 33.32% |
| Bank of Hydro | $180.8M | CBLR | NA | NA | NA | 11.56% |
| Slovenian Savings & Loan Association of Franklin-Conemaugh | $180.8M | CBLR | NA | NA | NA | 9.88% |
| LNB Community Bank | $181.0M | Risk-based | 16.98% | 16.98% | 18.23% | 9.36% |
| Gateway Bank | $181.0M | CBLR | NA | NA | NA | 9.65% |
| Peer 25th percentile | 13.90% | 13.90% | 15.07% | 9.92% | ||
| Peer median | 15.21% | 15.21% | 16.39% | 11.22% | ||
| Peer 75th percentile | 16.23% | 16.23% | 17.36% | 11.56% | ||
| This bank's percentile | 0 | 0 | 0 | 40 |
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/601153/regulatory-capital/ and in the Excel workbook. Next: the capital tab, the peer group page, or the full profile.