13 unchanged sentences
However, in a declining interest rate environment, as loans with floors are repaid they generally are replaced with new loans which have lower interest rate floors.
−Removed: As of June 30, 2025, our loans with interest rate floors totaled $5.48 billion and had a weighted average floor rate of 4.88%, compared to a current average note rate of 6.52%.
−Removed: Our loans with interest rates at their floors at June 30, 2025, totaled $1.24 billion and had a weighted average note rate of 4.46%.
+Added: As of September 30, 2025, our loans with interest rate floors totaled $5.50 billion and had a weighted average floor rate of 4.91%, compared to a current average note rate of 6.47%.
+Added: Our loans with interest rates at their floors at September 30, 2025, totaled $1.18 billion and had a weighted average note rate of 4.50%.
The Company actively manages its exposure to interest rate risk through on-going adjustments to the mix of interest-earning assets and funding sources that affect the repricing speeds of loans, investments, interest-bearing deposits and borrowings.
11 unchanged sentences
The extent to which assets gain or lose value in relation to the gains or losses of liability values under the various interest rate assumptions determines the sensitivity of net economic value to changes in interest rates and provides an additional measure of interest rate risk.
−Removed: The interest rate sensitivity analysis performed by us incorporates beginning-of-the-period rate, balance and maturity data, using various levels of aggregation of that data, as well as certain assumptions concerning the maturity, repricing, amortization and prepayment characteristics of loans and other interest-earning assets and the repricing and withdrawal of deposits and other interest-bearing liabilities into an asset/liability simulation model.
+Added: We perform an interest rate sensitivity analysis that incorporates beginning-of-the-period rate, balance and maturity data, using various levels of aggregation of that data, as well as certain assumptions concerning the maturity, repricing, amortization and prepayment characteristics of loans and other interest-earning assets and the repricing and withdrawal of deposits and other interest-bearing liabilities into an asset/liability simulation model.
The interest rate sensitivity analysis includes a rate ramp sensitivity scenario, which assumes a gradual change in market interest rates at all maturities during the first year, as well as a rate shock interest rate sensitivity scenario, which assumes an instantaneous and sustained uniform change in market interest rates at all maturities.
2 unchanged sentences
Nonetheless, the interest rate sensitivity of our net interest income and net economic value of equity could vary substantially if different assumptions were used or if actual experience differs from the assumptions used.
−Removed: The following tables set forth, as of June 30, 2025, the estimated changes in our net interest income over one-year and two-year time horizons for our rate ramp and rate shock interest rate sensitivity scenarios, and the estimated changes in economic value of equity for our rate shock interest rate sensitivity scenario based on the indicated interest rate environments (dollars in thousands):
+Added: The following tables set forth, as of September 30, 2025, the estimated changes in our net interest income over one-year and two-year time horizons for our rate ramp and rate shock interest rate sensitivity scenarios, and the estimated changes in economic value of equity for our rate shock interest rate sensitivity scenario based on the indicated interest rate environments (dollars in thousands):
Interest Rate Risk Indicators - Rate Ramp
−Removed: June 30, 2025
+Added: September 30, 2025
Estimated Increase (Decrease) in
10 unchanged sentences
Interest Rate Risk Indicators - Rate Shock
−Removed: June 30, 2025
+Added: September 30, 2025
Estimated Increase (Decrease) in
10 unchanged sentences
however, no rates are allowed to go below zero.
−Removed: At June 30, 2025, as demonstrated by the tables above, the Company’s interest rate risk profile reflected moderate asset sensitivity, with net interest income projected to increase in rising rate scenarios and decrease in falling rate scenarios.
−Removed: Economic value of equity declines meaningfully in rising rate shock scenarios and increases modestly in falling rate shock scenarios.
−Removed: The results above indicate earnings benefit from higher rates in the near term, while long-term value is more sensitive to rate increases.
+Added: At September 30, 2025, the Company’s interest rate risk profile reflected a moderately asset-sensitive position in the near term, with net interest income projected to increase under rising rate scenarios and decrease under falling rate scenarios.
+Added: In contrast, the estimated long-term economic value of the balance sheet was more sensitive to interest rate changes, declining under rising rate scenarios and changing less under falling rate scenarios.
+Added: Overall, the results indicate that near-term earnings are expected to benefit from higher interest rates, while the long-term economic value of equity is more sensitive to market rate movements.
Another monitoring tool for assessing interest rate risk is gap analysis.
12 unchanged sentences
Finally, the ability of some borrowers to service their debt may decrease in the event of a severe change in market rates.
−Removed: The following table presents our interest sensitivity gap between interest-earning assets and interest-bearing liabilities at June 30, 2025 (dollars in thousands), based on the amounts of interest-earning assets and interest-bearing liabilities which are anticipated by us, based upon certain assumptions, to reprice or mature in each of the future periods shown.
−Removed: At June 30, 2025, total interest-earning assets maturing or repricing within one year exceeded total interest-bearing liabilities maturing or repricing in the same time period by $2.64 billion, representing a one-year cumulative gap to total assets ratio of 16.09%.
−Removed: Both the interest rate risk indicators and interest sensitivity gaps as of June 30, 2025 were within our internal policy guidelines, and management believes the current level of interest rate risk to be reasonable.
+Added: The following table presents our interest sensitivity gap between interest-earning assets and interest-bearing liabilities at September 30, 2025 (dollars in thousands), based on the amounts of interest-earning assets and interest-bearing liabilities which are anticipated by us, based upon certain assumptions, to reprice or mature in each of the future periods shown.
+Added: At September 30, 2025, total interest-earning assets maturing or repricing within one year exceeded total interest-bearing liabilities maturing or repricing in the same time period by $3.22 billion, representing a one-year cumulative gap to total assets ratio of 19.44%.
+Added: Both the interest rate risk indicators and interest sensitivity gaps as of September 30, 2025 were within our internal policy guidelines, and management believes the current level of interest rate risk to be reasonable.
Within 6 Months After 6 Months Within 1 Year After 1 Year Within 3 Years After 3 Years Within 5 Years After 5 Years Within 10 Years Over 10 Years Total
38 unchanged sentences
For the purpose of the gap analysis, these accounts have been assigned decay rates to reflect their longer effective maturities.
−Removed: If all of these accounts had been assumed to be short-term, the one-year cumulative gap of interest-sensitive assets would have been a negative $3.5 billion, or negative 21.40% of total assets, at June 30, 2025.
+Added: If all of these accounts had been assumed to be short-term, the one-year cumulative gap of interest-sensitive assets would have been a negative $3.2 billion, or negative 19.50% of total assets, at September 30, 2025.
Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.