Minnesota Lakes Bank: Regulatory Capital and Risk-Weighted Assets
As of 2Q26, from Call Report Schedule RC-R.
Capital conservation buffer: 9.99% (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: 9.99% (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 16.84% +10.35 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 | $13.3M | 13,349 | RCOAP859 |
|---|---|---|---|
| Divided by total risk-weighted assets | $79.2M | 79,246 | RCOAA223 |
| Recomputed ratio | 16.84% | numerator / denominator | |
| Filed ratio | 16.84% | RCOAP793 | |
| Regulatory minimum | 4.50% | ||
| Minimum plus conservation buffer | 7.00% | ||
| Well-capitalized level | 6.50% | ||
| Cushion over that level | +10.35 pp | $8.2M | capital that could be lost first |
Tier 1 risk-based capital ratio 16.84% +8.85 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 | $13.3M | 13,349 | RCOA8274 |
|---|---|---|---|
| Divided by total risk-weighted assets | $79.2M | 79,246 | RCOAA223 |
| Recomputed ratio | 16.84% | numerator / denominator | |
| Filed ratio | 16.84% | RCOA7206 | |
| Regulatory minimum | 6.00% | ||
| Minimum plus conservation buffer | 8.50% | ||
| Well-capitalized level | 8.00% | ||
| Cushion over that level | +8.85 pp | $7.0M | capital that could be lost first |
Total risk-based capital ratio 17.99% +7.99 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 | $14.3M | 14,258 | RCOA3792 |
|---|---|---|---|
| Divided by total risk-weighted assets | $79.2M | 79,246 | RCOAA223 |
| Recomputed ratio | 17.99% | numerator / denominator | |
| Filed ratio | 17.99% | RCOA7205 | |
| Regulatory minimum | 8.00% | ||
| Minimum plus conservation buffer | 10.50% | ||
| Well-capitalized level | 10.00% | ||
| Cushion over that level | +7.99 pp | $6.3M | capital that could be lost first |
Tier 1 leverage ratio 10.69% +5.69 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 | $13.3M | 13,349 | RCOA8274 |
|---|---|---|---|
| Divided by average total assets for the leverage ratio | $124.9M | 124,924 | RCOAA224 |
| Recomputed ratio | 10.69% | numerator / denominator | |
| Filed ratio | 10.69% | RCOA7204 | |
| Regulatory minimum | 4.00% | ||
| Well-capitalized level | 5.00% | ||
| Cushion over that level | +5.69 pp | $7.1M | 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 | 10,989 | 10,989 | 10,989 | 10,989 | 10,989 | 10,989 | RCOAP742 |
| Retained earnings | 4,417 | 4,301 | 4,249 | 4,001 | 3,694 | 4,506 | RCOAKW00 |
| Accumulated other comprehensive income | (181) | (151) | (15) | (93) | (179) | (289) | RCOAB530 |
| Common equity Tier 1 minority interest | 0 | 0 | 0 | 0 | 0 | 0 | RCOAP839 |
| Common equity Tier 1 capital before adjustments and deductions | 15,225 | 15,139 | 15,223 | 14,897 | 14,504 | 15,206 | RCOAP840 |
| Adjustments and deductions from common equity Tier 1 | (1,876) | (1,906) | (2,042) | (1,964) | (1,878) | (1,768) | P859 - P840 |
| Common equity Tier 1 capital | 13,349 | 13,233 | 13,181 | 12,933 | 12,626 | 13,438 | RCOAP859 |
| Additional Tier 1 capital | 0 | 0 | 0 | 0 | 0 | 0 | RCOAP865 |
| Tier 1 capital | 13,349 | 13,233 | 13,181 | 12,933 | 12,626 | 13,438 | RCOA8274 |
| Tier 2 capital | 909 | 810 | 584 | 1,078 | 1,109 | 684 | RCOA5311 |
| Allowance includable in Tier 2 capital | 909 | 810 | 584 | 1,078 | 1,109 | 684 | RCOA5310 |
| Total capital | 14,258 | 14,043 | 13,765 | 14,011 | 13,735 | 14,122 | RCOA3792 |
| Total risk-weighted assets | 79,246 | 85,816 | 85,015 | 85,419 | 87,963 | 89,834 | RCOAA223 |
| Average total assets for the leverage ratio | 124,924 | 124,362 | 127,702 | 125,999 | 122,145 | 123,746 | 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 | $20.6M | $120K | 0.58% | 0.15% | RC-R Part II, item 1 |
| Securities (HTM and AFS) | $27.6M | $705K | 2.55% | 0.89% | RC-R Part II, item 2.a, 2.b |
| Loans: residential mortgage | $14.1M | $7.1M | 50.00% | 8.90% | RC-R Part II, item 4.a, 5.a |
| Loans: past due and nonaccrual | $2.4M | $3.6M | 150.00% | 4.54% | RC-R Part II, item 4.c, 5.c |
| Loans: all other | $58.9M | $58.9M | 100.00% | 74.29% | RC-R Part II, item 4.d, 5.d |
| All other assets | $5.2M | $4.7M | 89.56% | 5.88% | RC-R Part II, item 8 |
| Off-balance-sheet commitments and letters of credit | $4.2M | $4.2M | 100.00% | 5.36% | RC-R Part II, item 12, 13, 14, 15, 17, 18.a, 18.b |
| Market risk and other approaches | NA | $500 | 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 | $79.2M | ties to item 31 ($79.2M) |
|---|---|---|
| Risk-weighted assets before deductions | $79.2M | RCONB704 |
| Less: excess allowance for credit losses | $0 | A222 |
| Less: allocated transfer risk reserve | $0 | 3128 |
| Total risk-weighted assets | $79.2M | 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 | 16.84% | 16.84% | 17.99% | 10.69% | 15.12% | 15.13% | 16.26% | 10.99% |
| 1Q26 | Risk-based | 15.42% | 15.42% | 16.36% | 10.64% | 14.98% | 15.01% | 16.09% | 10.86% |
| 4Q25 | Risk-based | 15.50% | 15.50% | 16.19% | 10.32% | 14.89% | 14.90% | 16.02% | 10.79% |
| 3Q25 | Risk-based | 15.14% | 15.14% | 16.40% | 10.26% | 14.82% | 14.86% | 15.98% | 10.87% |
| 2Q25 | Risk-based | 14.35% | 14.35% | 15.61% | 10.34% | 14.75% | 14.79% | 15.93% | 10.80% |
| 1Q25 | Risk-based | 14.96% | 14.96% | 15.72% | 10.86% | 14.77% | 14.82% | 15.94% | 10.70% |
| 4Q24 | Risk-based | 14.59% | 14.59% | 15.32% | 9.30% | 14.67% | 14.74% | 15.75% | 10.61% |
| 3Q24 | Risk-based | 14.67% | 14.67% | 15.44% | 10.27% | 14.69% | 14.72% | 15.80% | 10.69% |
| 2Q24 | Risk-based | 14.31% | 14.31% | 15.06% | 9.96% | 14.55% | 14.57% | 15.69% | 10.61% |
| 1Q24 | Risk-based | 13.92% | 13.92% | 14.62% | 8.92% | 14.58% | 14.60% | 15.70% | 10.54% |
| 4Q23 | Risk-based | 13.86% | 13.86% | 14.54% | 8.73% | 14.42% | 14.45% | 15.56% | 10.55% |
| 3Q23 | Risk-based | 14.15% | 14.15% | 14.86% | 8.30% | 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 |
|---|---|---|---|---|---|---|
| Minnesota Lakes Bank (this bank) | Risk-based | 16.84% | 16.84% | 17.99% | 10.69% | |
| First State Bank | $129.7M | Risk-based | 27.80% | 27.80% | 29.07% | 11.95% |
| Spiro State Bank | $129.9M | CBLR | NA | NA | NA | 17.01% |
| The Baltic State Bank | $129.6M | Risk-based | 10.52% | 10.52% | 11.59% | 7.81% |
| Concordia Bank | $130.0M | CBLR | NA | NA | NA | 11.92% |
| 1st Equity Bank | $130.0M | Risk-based | 21.22% | 21.22% | 22.48% | 16.46% |
| Keysavings Bank | $129.5M | CBLR | NA | NA | NA | 9.38% |
| SNB Bank, N.A. | $129.4M | CBLR | NA | NA | NA | 11.80% |
| Farmers State Bank & Trust Co. | $130.2M | Risk-based | 13.29% | 13.29% | 14.54% | 9.37% |
| The Citizens Bank | $129.2M | Risk-based | 26.46% | 26.46% | 27.51% | 12.22% |
| First National Bank | $129.2M | Risk-based | 12.27% | 12.27% | 13.37% | 7.85% |
| Peer 25th percentile | 12.53% | 12.53% | 13.66% | 9.38% | ||
| Peer median | 17.25% | 17.25% | 18.51% | 11.86% | ||
| Peer 75th percentile | 25.15% | 25.15% | 26.25% | 12.15% | ||
| This bank's percentile | 50 | 50 | 50 | 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/157650/regulatory-capital/ and in the Excel workbook. Next: the capital tab, the peer group page, or the full profile.