The Shelby State Bank: Regulatory Capital and Risk-Weighted Assets
As of 2Q26, from Call Report Schedule RC-R.
Capital conservation buffer: 6.75% (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: 6.75% (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 13.75% +7.25 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 | $35.9M | 35,872 | RCOAP859 |
|---|---|---|---|
| Divided by total risk-weighted assets | $260.9M | 260,868 | RCOAA223 |
| Recomputed ratio | 13.75% | numerator / denominator | |
| Filed ratio | 13.75% | RCOAP793 | |
| Regulatory minimum | 4.50% | ||
| Minimum plus conservation buffer | 7.00% | ||
| Well-capitalized level | 6.50% | ||
| Cushion over that level | +7.25 pp | $18.9M | capital that could be lost first |
Tier 1 risk-based capital ratio 13.75% +5.75 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 | $35.9M | 35,872 | RCOA8274 |
|---|---|---|---|
| Divided by total risk-weighted assets | $260.9M | 260,868 | RCOAA223 |
| Recomputed ratio | 13.75% | numerator / denominator | |
| Filed ratio | 13.75% | RCOA7206 | |
| Regulatory minimum | 6.00% | ||
| Minimum plus conservation buffer | 8.50% | ||
| Well-capitalized level | 8.00% | ||
| Cushion over that level | +5.75 pp | $15.0M | capital that could be lost first |
Total risk-based capital ratio 14.75% +4.75 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 | $38.5M | 38,467 | RCOA3792 |
|---|---|---|---|
| Divided by total risk-weighted assets | $260.9M | 260,868 | RCOAA223 |
| Recomputed ratio | 14.75% | numerator / denominator | |
| Filed ratio | 14.75% | RCOA7205 | |
| Regulatory minimum | 8.00% | ||
| Minimum plus conservation buffer | 10.50% | ||
| Well-capitalized level | 10.00% | ||
| Cushion over that level | +4.75 pp | $12.4M | capital that could be lost first |
Tier 1 leverage ratio 9.06% +4.06 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 | $35.9M | 35,872 | RCOA8274 |
|---|---|---|---|
| Divided by average total assets for the leverage ratio | $395.8M | 395,786 | RCOAA224 |
| Recomputed ratio | 9.06% | numerator / denominator | |
| Filed ratio | 9.06% | RCOA7204 | |
| Regulatory minimum | 4.00% | ||
| Well-capitalized level | 5.00% | ||
| Cushion over that level | +4.06 pp | $16.1M | 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 | 20,000 | 20,000 | 20,000 | 20,000 | 20,000 | 20,000 | RCOAP742 |
| Retained earnings | 16,879 | 16,237 | 15,735 | 14,920 | 14,488 | 14,106 | RCOAKW00 |
| Accumulated other comprehensive income | (4,827) | (4,702) | (4,099) | (4,666) | (6,187) | (6,791) | RCOAB530 |
| Common equity Tier 1 minority interest | 0 | 0 | 0 | 0 | 0 | 0 | RCOAP839 |
| Common equity Tier 1 capital before adjustments and deductions | 32,052 | 31,535 | 31,636 | 30,254 | 28,301 | 27,315 | RCOAP840 |
| Adjustments and deductions from common equity Tier 1 | 3,820 | 3,695 | 3,092 | 3,659 | 5,180 | 5,784 | P859 - P840 |
| Common equity Tier 1 capital | 35,872 | 35,230 | 34,728 | 33,913 | 33,481 | 33,099 | RCOAP859 |
| Additional Tier 1 capital | 0 | 0 | 0 | 0 | 0 | 0 | RCOAP865 |
| Tier 1 capital | 35,872 | 35,230 | 34,728 | 33,913 | 33,481 | 33,099 | RCOA8274 |
| Tier 2 capital | 2,595 | 2,527 | 2,481 | 2,410 | 2,350 | 2,286 | RCOA5311 |
| Allowance includable in Tier 2 capital | 2,595 | 2,527 | 2,481 | 2,410 | 2,350 | 2,286 | RCOA5310 |
| Total capital | 38,467 | 37,757 | 37,209 | 36,323 | 35,831 | 35,385 | RCOA3792 |
| Total risk-weighted assets | 260,868 | 260,770 | 252,636 | 253,052 | 251,430 | 243,981 | RCOAA223 |
| Average total assets for the leverage ratio | 395,786 | 388,285 | 378,493 | 389,927 | 357,621 | 356,785 | 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 | $25.3M | $71K | 0.28% | 0.03% | RC-R Part II, item 1 |
| Securities (HTM and AFS) | $140.5M | $24.9M | 17.71% | 9.54% | RC-R Part II, item 2.a, 2.b |
| Fed funds sold and repo-style transactions | $27.3M | $5.5M | 20.00% | 2.09% | RC-R Part II, item 3.a, 16 |
| Loans: residential mortgage | $53.9M | $35.9M | 66.66% | 13.77% | RC-R Part II, item 4.a, 5.a |
| Loans: all other | $164.7M | $164.7M | 100.00% | 63.15% | RC-R Part II, item 4.d, 5.d |
| All other assets | $17.0M | $15.3M | 90.17% | 5.88% | RC-R Part II, item 8 |
| Off-balance-sheet commitments and letters of credit | $13.8M | $13.8M | 100.00% | 5.28% | RC-R Part II, item 12, 13, 14, 15, 17, 18.a, 18.b |
| Market risk and other approaches | NA | $707K | NA | 0.27% | RC-R Part II, item 27 |
How the categories add up to total risk-weighted assets
| Categories above, excluding market risk and other approaches | $260.2M | ties to item 31 ($260.2M) |
|---|---|---|
| Risk-weighted assets before deductions | $260.9M | RCONB704 |
| Less: excess allowance for credit losses | $0 | A222 |
| Less: allocated transfer risk reserve | $0 | 3128 |
| Total risk-weighted assets | $260.9M | 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 | 13.75% | 13.75% | 14.75% | 9.06% | 15.12% | 15.12% | 16.26% | 10.99% |
| 1Q26 | Risk-based | 13.51% | 13.51% | 14.48% | 9.07% | 14.98% | 15.01% | 16.09% | 10.86% |
| 4Q25 | Risk-based | 13.75% | 13.75% | 14.73% | 9.18% | 14.89% | 14.90% | 16.02% | 10.79% |
| 3Q25 | Risk-based | 13.40% | 13.40% | 14.35% | 8.70% | 14.82% | 14.86% | 15.98% | 10.87% |
| 2Q25 | Risk-based | 13.32% | 13.32% | 14.25% | 9.36% | 14.75% | 14.79% | 15.93% | 10.80% |
| 1Q25 | Risk-based | 13.57% | 13.57% | 14.50% | 9.28% | 14.77% | 14.82% | 15.94% | 10.70% |
| 4Q24 | Risk-based | 13.71% | 13.71% | 14.62% | 9.16% | 14.67% | 14.74% | 15.75% | 10.61% |
| 3Q24 | Risk-based | 13.24% | 13.24% | 14.13% | 8.91% | 14.69% | 14.72% | 15.80% | 10.69% |
| 2Q24 | Risk-based | 13.15% | 13.15% | 14.12% | 9.12% | 14.55% | 14.57% | 15.69% | 10.61% |
| 1Q24 | Risk-based | 13.79% | 13.79% | 14.81% | 8.70% | 14.58% | 14.60% | 15.70% | 10.54% |
| 4Q23 | Risk-based | 13.62% | 13.62% | 14.64% | 8.62% | 14.42% | 14.45% | 15.56% | 10.55% |
| 3Q23 | Risk-based | 13.19% | 13.19% | 14.20% | 8.14% | 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 Shelby State Bank (this bank) | Risk-based | 13.75% | 13.75% | 14.75% | 9.06% | |
| The Citizens National Bank of Park Rapids | $397.0M | CBLR | NA | NA | NA | 11.70% |
| Volunteer Federal Savings Bank | $397.1M | Risk-based | 22.55% | 22.55% | 23.17% | 11.23% |
| Union Bank | $396.7M | Risk-based | 9.77% | 9.77% | 10.96% | 8.83% |
| Community Bank of Santa Maria | $396.5M | CBLR | NA | NA | NA | 10.49% |
| The Clinton National Bank | $396.4M | CBLR | NA | NA | NA | 13.44% |
| First Secure Bank and Trust Co. | $396.2M | Risk-based | 13.68% | 13.68% | 14.86% | 11.49% |
| Locality Bank | $396.2M | CBLR | NA | NA | NA | 12.91% |
| First Iowa State Bank | $396.1M | CBLR | NA | NA | NA | 10.20% |
| Southern Heritage Bank | $397.9M | CBLR | NA | NA | NA | 10.54% |
| The Farmers State Bank of Oakley, Kansas | $396.1M | Risk-based | 13.07% | 13.07% | 13.71% | 11.61% |
| Peer 25th percentile | 12.24% | 12.24% | 13.02% | 10.50% | ||
| Peer median | 13.37% | 13.37% | 14.28% | 11.36% | ||
| Peer 75th percentile | 15.90% | 15.90% | 16.93% | 11.68% | ||
| This bank's percentile | 75 | 75 | 50 | 10 |
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/961343/regulatory-capital/ and in the Excel workbook. Next: the capital tab, the peer group page, or the full profile.