32 unchanged sentences
Common stock — no par value, 15,000,000 shares authorized:
−Removed: issued and outstanding 7,361,684 shares at June 30, 2025 and 7,424,893 shares at December 31, 2024
+Added: issued and outstanding 7,350,567 shares at September 30, 2025 and 7,424,893 shares at December 31, 2024
124,284 126,224
1 unchanged sentence
Retained earnings 111,172 103,024
−Removed: Accumulated other comprehensive income (loss) ( 14,387 ) ( 21,355 )
+Added: Accumulated other comprehensive loss ( 10,409 ) ( 21,355 )
Total shareholders’ equity 227,420 210,276
4 unchanged sentences
Three Months Ended
−Removed: June 30 Six Months Ended
+Added: September 30 Nine Months Ended
2025 2024 2025 2024
12 unchanged sentences
Net interest income 16,162 14,488 45,816 41,280
−Removed: (Reversal of) provision for credit losses ( 1,099 ) 170 ( 1,206 ) 562
+Added: Provision (reversal) for credit losses 209 946 ( 997 ) 1,508
Net interest income after provision for credit losses 15,953 13,542 46,813 39,772
27 unchanged sentences
Three Months Ended
−Removed: June 30 Six Months Ended
+Added: September 30 Nine Months Ended
2025 2024 2025 2024
Net income $ 5,240 $ 3,281 $ 14,220 $ 9,893
−Removed: Unrealized gains (losses) on AFS securities 3,879 703 8,893 ( 2,223 )
+Added: Unrealized gains on AFS securities 5,030 13,081 13,923 10,858
Tax effect (1)
( 1,052 ) ( 2,724 ) ( 2,977 ) ( 2,241 )
−Removed: Unrealized gains (losses) on AFS securities, net of tax 3,052 554 6,968 ( 1,740 )
−Removed: Comprehensive income (loss) $ 8,083 $ 4,035 $ 15,948 $ 4,872
+Added: Unrealized gains on AFS securities, net of tax 3,978 10,357 10,946 8,617
+Added: Comprehensive income $ 9,218 $ 13,638 $ 25,166 $ 18,510
(1) See “Note 6 – Capital Ratios and Shareholders' Equity” of these consolidated financial statements for tax effect reconciliation.
8 unchanged sentences
Income (Loss) Totals
−Removed: April 1, 2024 7,488,101 $ 126,656 $ 3,890 $ 98,318 $ ( 28,190 ) $ 200,674
+Added: June 30, 2024 7,474,016 $ 126,126 $ 3,951 $ 99,808 $ ( 27,636 ) $ 202,249
Comprehensive income (loss) — — — 3,281 10,357 13,638
Issuance of common stock 17,580 350 — — — 350
+Added: Common stock transferred from the Rabbi Trust to satisfy deferred compensation obligations — 23 ( 23 ) — — —
Share-based payment awards under the Directors Plan — — 53 — — 53
4 unchanged sentences
— — — ( 2,024 ) — ( 2,024 )
+Added: September 30, 2024 7,438,720 $ 125,218 $ 3,981 $ 101,065 $ ( 17,279 ) $ 212,985
June 30, 2025 7,361,684 $ 124,607 $ 2,331 $ 107,949 $ ( 14,387 ) $ 220,500
−Removed: April 1, 2025 7,408,010 $ 125,547 $ 2,508 $ 104,940 $ ( 17,439 ) $ 215,556
Comprehensive income (loss) — — — 5,240 3,978 9,218
6 unchanged sentences
— — — ( 2,017 ) — ( 2,017 )
−Removed: June 30, 2025 7,361,684 $ 124,607 $ 2,331 $ 107,949 $ ( 14,387 ) $ 220,500
+Added: September 30, 2025 7,350,567 $ 124,284 $ 2,373 $ 111,172 $ ( 10,409 ) $ 227,420
Common Shares
15 unchanged sentences
— — — ( 6,110 ) — ( 6,110 )
−Removed: June 30, 2024 7,474,016 $ 126,126 $ 3,951 $ 99,808 $ ( 27,636 ) $ 202,249
+Added: September 30, 2024 7,438,720 $ 125,218 $ 3,981 $ 101,065 $ ( 17,279 ) $ 212,985
December 31, 2024 7,424,893 $ 126,224 $ 2,383 $ 103,024 $ ( 21,355 ) $ 210,276
8 unchanged sentences
— — — ( 6,072 ) — ( 6,072 )
−Removed: June 30, 2025 7,361,684 $ 124,607 $ 2,331 $ 107,949 $ ( 14,387 ) $ 220,500
+Added: September 30, 2025 7,350,567 $ 124,284 $ 2,373 $ 111,172 $ ( 10,409 ) $ 227,420
See notes to interim condensed consolidated financial statements (unaudited).
1 unchanged sentence
(Dollars in thousands)
−Removed: Six Months Ended
+Added: Nine Months Ended
Operating activities
36 unchanged sentences
Interest paid $ 24,769 $ 25,203
+Added: Income taxes paid 1,900 1,800
Supplemental noncash information
2 unchanged sentences
NOTES TO INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)
−Removed: (Dollars in thousands except per share amounts)
+Added: (Dollars in thousands except per share amounts and ratios, unless otherwise noted)
Note 1 – Significant Accounting Policies
2 unchanged sentences
References to “the Bank” refer to Isabella Bank.
−Removed: The accompanying unaudited interim condensed consolidated financial statements in this Quarterly Report on Form 10-Q for the three and six-month periods ended June 30, 2025 (this “Form 10-Q”) have been prepared in accordance with GAAP for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X.
+Added: The accompanying unaudited interim condensed consolidated financial statements in this Quarterly Report on Form 10-Q for the three and nine-month periods ended September 30, 2025 (this “Form 10-Q”) have been prepared in accordance with GAAP for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X.
Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements.
In our opinion, all adjustments considered necessary for a fair presentation have been included.
−Removed: Operating results for the three and six-month periods ended June 30, 2025 are not necessarily indicative of the results that may be expected for the year ending December 31, 2025.
+Added: Operating results for the three and nine-month periods ended September 30, 2025 are not necessarily indicative of the results that may be expected for the year ending December 31, 2025.
For further information, refer to our Annual Report on Form 10-K for the year ended December 31, 2024, as filed with the SEC on March 12, 2025 (the “2024 Annual Report on Form 10-K”).
+Added: All financial data presented in these notes, as well as in Management’s Discussion and Analysis of Financial Condition and Results of Operations, including financial data presented in the tables and explanations thereof, are expressed in thousands except per share amounts and ratios and unless otherwise noted.
OPERATING SEGMENTS:
−Removed: Segment information is prepared on the same basis that our CEO, who is our Chief Operating Decision Maker (“CODM”), manages our segments, evaluates financial results, and makes key operating decisions.
+Added: Segment information is prepared on the same basis that our Chief Executive Officer, who is our Chief Operating Decision Maker (“CODM”), manages our segments, evaluates financial results, and makes key operating decisions.
While the CODM monitors the revenue streams of our various products and services, operations are managed, and financial performance is evaluated on a corporate-wide basis.
11 unchanged sentences
Certain amounts reported in the interim 2024 consolidated financial statements have been reclassified to conform with the 2025 presentation.
−Removed: Additionally, certain amounts reported as commercial and industrial loans have been reclassified as commercial real estate loans to conform to the June 30, 2025 presentation.
Our accounting policies are materially the same as those discussed in Note 1 to the Consolidated Financial Statements included in our 2024 Annual Report on Form 10-K.
+Added: SUBSEQUENT EVENTS:
+Added: We evaluated subsequent events after September 30, 2025 through the date our interim condensed consolidated financial statements were issued for potential recognition and disclosure.
+Added: We determined that no subsequent events require financial statement recognition or disclosure between September 30, 2025 and the date our interim condensed consolidated financial statements were issued.
Note 2 – AFS Securities
The amortized cost and fair value of AFS securities, with gross unrealized gains and losses, are as follows at:
−Removed: June 30, 2025
+Added: September 30, 2025
Treasury $ 210,462 $ — $ 4,421 $ 206,041
13 unchanged sentences
Total $ 515,516 $ 9 $ 26,496 $ 489,029
−Removed: The amortized cost and fair value of AFS securities by contractual maturity at June 30, 2025 are as follows:
+Added: The amortized cost and fair value of AFS securities by contractual maturity at September 30, 2025 are as follows:
Maturing Securities with Variable Monthly Payments or Noncontractual Maturities
14 unchanged sentences
Because of their variable monthly payments, mortgage-backed securities and collateralized mortgage obligations are not reported by a specific maturity group.
−Removed: The information in the following tables pertains to AFS securities with gross unrealized losses at June 30, 2025 and December 31, 2024, aggregated by investment category and length of time that individual securities have been in a continuous loss position.
−Removed: June 30, 2025
+Added: The information in the following tables pertains to AFS securities with gross unrealized losses at September 30, 2025 and December 31, 2024, aggregated by investment category and length of time that individual securities have been in a continuous loss position for which an allowance for credit losses has not been recorded.
+Added: September 30, 2025
Less Than Twelve Months Twelve Months or More
17 unchanged sentences
Number of securities in an unrealized loss position:
−Removed: As of June 30, 2025, no ACL has been recognized on AFS securities in an unrealized loss position, as management does not believe any of the securities are impaired due to reasons of credit quality.
+Added: As of September 30, 2025, no ACL has been recognized on AFS securities in an unrealized loss position, as management does not believe any of the securities are impaired due to reasons of credit quality.
This is based on our analysis of the underlying risk characteristics, including credit ratings, and other qualitative factors related to our AFS securities and consideration of our historical credit loss experience and internal forecasts.
1 unchanged sentence
Management does not currently intend to sell any of the securities classified as AFS in the table above, and believes it is more likely than not that we will not have to sell any such securities before a recovery of cost.
−Removed: The unrealized losses are due to increases in market interest rates over the yields available at the time the underlying securities were purchased.
+Added: The unrealized losses are generally due to a continued elevated market interest rate environment compared to the yields available at the time the underlying securities were purchased.
The fair value is expected to recover as the securities approach their respective maturity date or repricing date, or if the market yields for such investments decline.
2 unchanged sentences
The following table provides a detailed listing of our loan portfolio at:
−Removed: June 30, 2025 December 31, 2024
+Added: September 30, 2025 December 31, 2024
Balance Percent of Total Balance Percent of Total
30 unchanged sentences
Loan origination fees and certain direct loan origination costs are capitalized and recognized as a component of interest income over the term of the loan using the appropriate amortization method.
−Removed: Net unamortized deferred loan costs were $ 3,268 and $ 3,330 at June 30, 2025 and December 31, 2024, respectively.
+Added: Net unamortized deferred loan costs were $ 3,129 and $ 3,330 at September 30, 2025 and December 31, 2024, respectively.
Commercial and agricultural loans include loans for commercial real estate, commercial operating loans, advances to mortgage brokers, farmland and agricultural production, and loans to states and political subdivisions.
2 unchanged sentences
Borrowers with direct credit needs of more than $ 18,000 may be serviced through the use of loan participations with other commercial banks.
−Removed: Commercial and agricultural real estate loans commonly require loan-to-value limits of 80 % or less.
−Removed: Depending upon the type of loan, past credit history, and current operating results,
−Removed: we may require the borrower to pledge accounts receivable, inventory, property, or equipment.
+Added: Commercial and agricultural real estate loans commonly
+Added: require loan-to-value limits of 80 % or less.
+Added: Depending upon the type of loan, past credit history, and current operating results, we may require the borrower to pledge accounts receivable, inventory, property, or equipment.
Government agency guarantee may be required.
29 unchanged sentences
Loans may be returned to accrual status after six months of continuous performance and achievement of current payment status.
−Removed: Accrued interest receivable on loans was $ 5,858 and $ 6,384 at June 30, 2025 and December 31, 2024, respectively, which is included in other assets on the consolidated balance sheets.
+Added: Accrued interest receivable on loans was $ 6,592 and $ 6,384 at September 30, 2025 and December 31, 2024, respectively, which is included in other assets on the consolidated balance sheets.
The following table summarizes nonaccrual loan data by class of loans as of:
−Removed: June 30, 2025 December 31, 2024
+Added: September 30, 2025 December 31, 2024
Total Nonaccrual Loans Nonaccrual Loans with No ACL Total Nonaccrual Loans Nonaccrual Loans with No ACL
2 unchanged sentences
Commercial real estate
−Removed: Commercial mortgage non-owner occupied 533 533 — —
+Added: Commercial mortgage 1-4 family investor 3,000 3,000 — —
Residential real estate
2 unchanged sentences
The following tables summarize the past due and current loans for the entire loan portfolio as of:
−Removed: June 30, 2025
+Added: September 30, 2025
Accruing Loans 90 or More Days Past Due
53 unchanged sentences
The following tables display commercial and agricultural loans by credit risk ratings and year of origination as of:
−Removed: June 30, 2025
+Added: September 30, 2025
2025 2024 2023 2022 2021 Prior Revolving
42 unchanged sentences
2025 year-to-date gross charge-offs $ — $ — $ — $ — $ — $ — $ — $ — $ —
−Removed: June 30, 2025
+Added: September 30, 2025
2025 2024 2023 2022 2021 Prior Revolving
238 unchanged sentences
The following tables display residential real estate and consumer loans by payment status and year of origination as of:
−Removed: June 30, 2025
+Added: September 30, 2025
2025 2024 2023 2022 2021 Prior Revolving
36 unchanged sentences
2025 year-to-date gross charge-offs $ — $ 8 $ — $ — $ — $ 13 $ — $ — $ 21
−Removed: June 30, 2025
+Added: September 30, 2025
2025 2024 2023 2022 2021 Prior Revolving
68 unchanged sentences
The following is a summary of the amortized cost basis of loan modifications granted to borrowers experiencing financial difficulty for the:
−Removed: Three Months Ended June 30, 2025
−Removed: Interest Rate Reduction Term Extension Other-Than-Insignificant Payment Delay and Term Extension
+Added: Three Months Ended September 30, 2025
+Added: Other-Than-Insignificant Payment Delay Term Extension Other-Than-Insignificant Payment Delay and Term Extension
Amortized Cost Basis % of Total Class of Financial Receivable Amortized Cost Basis % of Total Class of Financial Receivable Amortized Cost Basis % of Total Class of Financial Receivable
1 unchanged sentence
Secured $ — 0.00 % $ — 0.00 % $ 443 0.18 %
+Added: Agricultural mortgage 914 1.35 % — 0.00 % — 0.00 %
+Added: Agricultural other — 0.00 % 925 3.08 % — 0.00 %
Total $ 914 $ 925 $ 443
−Removed: Six Months Ended June 30, 2025
−Removed: Interest Rate Reduction Term Extension Other-Than-Insignificant Payment Delay and Term Extension
−Removed: Amortized Cost Basis % of Total Class of Financial Receivable Amortized Cost Basis % of Total Class of Financial Receivable Amortized Cost Basis % of Total Class of Financial Receivable
+Added: Nine Months Ended September 30, 2025
+Added: Interest Rate Reduction Other-Than-Insignificant Payment Delay Term Extension Other-Than-Insignificant Payment Delay and Term Extension
+Added: Amortized Cost Basis % of Total Class of Financial Receivable Amortized Cost Basis % of Total Class of Financial Receivable Amortized Cost Basis % of Total Class of Financial Receivable Amortized Cost Basis % of Total Class of Financial Receivable
Commercial and industrial
2 unchanged sentences
Commercial mortgage owner occupied — 0.00 % — 0.00 % 1,497 0.84 % — 0.00 %
−Removed: Total $ 20 $ 4,625 $ 602
−Removed: Three Months Ended June 30, 2024
−Removed: Other-Than-Insignificant Payment Delay Other-Than-Insignificant Payment Delay and Term Extension
−Removed: Amortized Cost Basis % of Total Class of Financial Receivable Amortized Cost Basis % of Total Class of Financial Receivable
−Removed: Commercial and industrial
−Removed: Secured $ 2,125 1.03 % $ — 0.00 %
Agricultural mortgage — 0.00 % 914 1.35 % — 0.00 % — 0.00 %
1 unchanged sentence
Total $ 19 $ 914 $ 5,509 $ 1,006
−Removed: Six Months Ended June 30, 2024
−Removed: Other-Than-Insignificant Payment Delay Term Extension Other-Than-Insignificant Payment Delay and Term Extension
−Removed: Amortized Cost Basis % of Total Class of Financial Receivable Amortized Cost Basis % of Total Class of Financial Receivable Amortized Cost Basis % of Total Class of Financial Receivable
+Added: Three Months Ended September 30, 2024
+Added: Interest Rate Reduction
+Added: Amortized Cost Basis % of Total Class of Financial Receivable
+Added: Agricultural other $ 181 0.60 %
+Added: Nine Months Ended September 30, 2024
+Added: Interest Rate Reduction Other-Than-Insignificant Payment Delay Term Extension Other-Than-Insignificant Payment Delay and Term Extension
+Added: Amortized Cost Basis % of Total Class of Financial Receivable Amortized Cost Basis % of Total Class of Financial Receivable Amortized Cost Basis % of Total Class of Financial Receivable Amortized Cost Basis % of Total Class of Financial Receivable
Commercial and industrial
7 unchanged sentences
We do not modify any loans by forgiving principal or accrued interest.
−Removed: We had committed to advance $ 41 and $ 43 in additional funds to be disbursed in connection with modified loans at June 30, 2025 and December 31, 2024, respectively, as displayed in the tables above.
+Added: We had committed to advance $ 79 and $ 43 in additional funds to be disbursed in connection with modified loans at September 30, 2025 and December 31, 2024, respectively, as displayed in the tables above.
The following is a summary of the financial effect of the modifications granted to borrowers experiencing financial difficulty for the:
−Removed: Three Months Ended June 30
−Removed: Weighted-Average Interest Rate Reduction Payment Delay Term Weighted-Average Term Extension (Years) Payment Delay Term Weighted-Average Term Extension (Years)
+Added: Three Months Ended September 30
+Added: Payment Delay Term Weighted-Average Term Extension (Years) Weighted-Average Interest Rate Reduction
Commercial and industrial
−Removed: Secured 10.00 % 9.6 months 0.5 years 4 months N/A
−Removed: Agricultural mortgage N/A N/A N/A 5 months 0.5 years
−Removed: Agricultural other N/A N/A N/A 4 months 0.3 years
−Removed: Six Months Ended June 30
−Removed: Weighted-Average Interest Rate Reduction Payment Delay Term Weighted-Average Term Extension (Years) Payment Delay Term Weighted-Average Term Extension (Years)
+Added: Secured 6 months 1.08 N/A
+Added: Agricultural mortgage 4 months N/A N/A
+Added: Agricultural other N/A 0.50 0.50 %
+Added: Nine Months Ended September 30
+Added: Weighted-Average Interest Rate Reduction Payment Delay Term Weighted-Average Term Extension (Years) Weighted-Average Interest Rate Reduction Payment Delay Term Weighted-Average Term Extension (Years)
Commercial and industrial
−Removed: Secured 10.00 % 9.6 months 1.0 years 4 months 0.2 years
+Added: Secured 10.00 % 8.1 months 1.05 N/A 4 months 3.00
Commercial real estate
−Removed: Commercial mortgage owner occupied N/A N/A 15 years 7 months N/A
−Removed: Agricultural mortgage N/A N/A N/A 5 months 0.5 years
−Removed: Agricultural other N/A N/A N/A 4 months 0.3 years
−Removed: Secured - indirect N/A N/A N/A N/A 1.3 years
+Added: Commercial mortgage owner occupied N/A N/A 15.00 N/A 7 months N/A
+Added: Agricultural mortgage N/A 4 months N/A N/A 5 months 0.50
+Added: Agricultural other N/A N/A 0.50 0.50 % 4 months 0.33
+Added: Secured - indirect N/A N/A N/A N/A N/A 1.33
We closely monitor the performance of loans that are modified to borrowers experiencing financial difficulty to understand the effectiveness of our modification efforts.
The following tables summarize the amortized cost basis of loans that have been modified within the past 12 months prior to:
−Removed: June 30, 2025
+Added: September 30, 2025
Current 30-59 Days
9 unchanged sentences
Total $ 9,056 $ — $ — $ — $ 9,056
−Removed: June 30, 2024
+Added: September 30, 2024
Current 30-59 Days
11 unchanged sentences
Total $ 8,202 $ — $ — $ — $ 8,202
−Removed: We had no loans that defaulted in each of the three and six-month periods ended June 30, 2025 and 2024 which were modified within 12 months prior to the default date.
+Added: We had no loans that defaulted in each of the three and nine-month periods ended September 30, 2025 and 2024 which were modified within 12 months prior to the default date.
The credit quality of our loan portfolio is continuously monitored and is reflected within the ACL for loans.
11 unchanged sentences
For a loan that does not share risk characteristics with other loans, an individual analysis is performed to measure an allowance.
−Removed: Loans in nonaccrual status are individually evaluated for specific allocation of the allowance using the fair value of collateral, less costs to sell if foreclosure is probable, or the discounted cash flow method.
−Removed: We do not recognize interest income on loans
−Removed: in nonaccrual status.
+Added: Loans in nonaccrual status over established dollar thresholds are individually evaluated for specific allocation of the allowance using the fair value of collateral, less costs to sell if foreclosure is probable, or the discounted cash flow method.
+Added: recognize interest income on loans in nonaccrual status.
For loans not classified as nonaccrual, interest income is recognized daily, as earned, according to the terms of the loan agreement and the principal amount outstanding.
14 unchanged sentences
• Changes in the value of underlying collateral.
−Removed: A summary of activity in the ACL by portfolio segment and the recorded investment in loans by segments follows for the:
−Removed: Three Months Ended June 30, 2025
+Added: A summary of activity in the ACL for loans, excluding unfunded commitments, by portfolio segment and the recorded investment in loans by segments follows for the:
+Added: Three Months Ended September 30, 2025
Commercial and Industrial Commercial Real Estate Agricultural Residential Real Estate Consumer Total
−Removed: April 1, 2025 $ 1,239 $ 5,174 $ 266 $ 4,600 $ 1,456 $ 12,735
+Added: June 30, 2025 $ 1,318 $ 5,277 $ 316 $ 4,673 $ 1,393 $ 12,977
Charge-offs — — — — ( 175 ) ( 175 )
Recoveries 6 4 — 16 75 101
−Removed: Reversal of credit losses 147 53 50 57 ( 1,497 ) ( 1,190 )
−Removed: June 30, 2025 $ 1,318 $ 5,277 $ 316 $ 4,673 $ 1,393 $ 12,977
−Removed: Six Months Ended June 30, 2025
+Added: Provision for credit losses 29 102 1 107 7 246
+Added: September 30, 2025 $ 1,353 $ 5,383 $ 317 $ 4,796 $ 1,300 $ 13,149
+Added: Nine Months Ended September 30, 2025
Commercial and Industrial Commercial Real Estate Agricultural Residential Real Estate Consumer Total
3 unchanged sentences
Reversal of credit losses 19 156 30 230 ( 1,591 ) ( 1,156 )
−Removed: June 30, 2025 $ 1,318 $ 5,277 $ 316 $ 4,673 $ 1,393 $ 12,977
−Removed: Three Months Ended June 30, 2024
+Added: September 30, 2025 $ 1,353 $ 5,383 $ 317 $ 4,796 $ 1,300 $ 13,149
+Added: Three Months Ended September 30, 2024
Commercial and Industrial Commercial Real Estate Agricultural Residential Real Estate Consumer Total
−Removed: April 1, 2024 $ 1,267 $ 5,903 $ 265 $ 4,308 $ 1,647 $ 13,390
+Added: June 30, 2024 $ 1,264 $ 5,569 $ 258 $ 4,351 $ 1,653 $ 13,095
Charge-offs — — — — ( 1,767 ) ( 1,767 )
Recoveries 6 318 — 20 64 408
−Removed: Reversal of credit losses 331 ( 363 ) ( 7 ) 24 113 98
−Removed: June 30, 2024 $ 1,264 $ 5,569 $ 258 $ 4,351 $ 1,653 $ 13,095
−Removed: Six Months Ended June 30, 2024
+Added: Provision for credit losses ( 46 ) ( 710 ) — ( 40 ) 1,695 899
+Added: September 30, 2024 $ 1,224 $ 5,177 $ 258 $ 4,331 $ 1,645 $ 12,635
+Added: Nine Months Ended September 30, 2024
Commercial and Industrial Commercial Real Estate Agricultural Residential Real Estate Consumer Total
3 unchanged sentences
Provision for credit losses 582 ( 1,054 ) ( 14 ) ( 107 ) 1,918 1,325
−Removed: June 30, 2024 $ 1,264 $ 5,569 $ 258 $ 4,351 $ 1,653 $ 13,095
+Added: September 30, 2024 $ 1,224 $ 5,177 $ 258 $ 4,331 $ 1,645 $ 12,635
The following table illustrates the two main components of the ACL as of:
10 unchanged sentences
The following table presents loans that were evaluated for expected credit losses on an individual basis and the related specific allocations, by loan segment as of:
−Removed: June 30, 2025 December 31, 2024
+Added: September 30, 2025 December 31, 2024
Loan Balance Specific Allocation Loan Balance Specific Allocation
8 unchanged sentences
Appraisals are updated every one to two years depending on the type of loan and the total exposure of the borrower.
−Removed: Loans evaluated for expected credit losses on an individual basis as of June 30, 2025 include $ 1,087 in collateral dependent loans secured by commercial real estate and residential real estate of $ 533 and $ 554 , respectively.
+Added: Loans evaluated for expected credit losses on an individual basis as of September 30, 2025 include $ 3,426 in collateral dependent loans secured by commercial real estate and residential real estate of $ 3,000 and $ 426 , respectively.
Note 4 – Borrowed Funds
2 unchanged sentences
A summary of short-term borrowed funds without stated maturity dates was as follows for the:
−Removed: Three Months Ended June 30
+Added: Three Months Ended September 30
Maximum Month End Balance Average Balance Weighted Average Interest Rate During the Period Maximum Month End Balance Average Balance Weighted Average Interest Rate During the Period
2 unchanged sentences
FRB Discount Window — — 0.00 % 5,300 153 5.18 %
−Removed: Six Months Ended June 30
+Added: Nine Months Ended September 30
Maximum Month End Balance Average Balance Weighted Average Interest Rate During the Period Maximum Month End Balance Average Balance Weighted Average Interest Rate During the Period
3 unchanged sentences
Securities sold under agreements to repurchase are classified as secured borrowings and are reflected at the amount of cash received in connection with the transaction.
−Removed: The securities underlying the agreements have a carrying value and a fair value of $ 58,119 and $ 67,539 at June 30, 2025 and December 31, 2024, respectively.
+Added: The securities underlying the agreements have a carrying value and a fair value of $ 87,641 and $ 67,539 at September 30, 2025 and December 31, 2024, respectively.
Such securities remain under our control.
1 unchanged sentence
Securities sold under repurchase agreements without stated maturity dates were as follows as of:
−Removed: June 30, 2025 December 31, 2024
+Added: September 30, 2025 December 31, 2024
Amount Rate Amount Rate
14 unchanged sentences
In the event of maturities, calls, significant principal repayments, or significant decline in market values, we have an adequate level of AFS securities to pledge to satisfy collateral requirements.
−Removed: As of June 30, 2025, we had the ability to borrow up to an additional $ 376,974 without pledging additional collateral.
+Added: As of September 30, 2025, we had the ability to borrow up to an additional $ 384,555 without pledging additional collateral.
FHLB advances
1 unchanged sentence
The following table lists the maturities and weighted average interest rates of FHLB advances as of:
−Removed: June 30, 2025 December 31, 2024
+Added: September 30, 2025 December 31, 2024
Amount Rate Amount Rate
7 unchanged sentences
The following table summarizes our outstanding subordinated notes as of:
−Removed: June 30, 2025 December 31, 2024
+Added: September 30, 2025 December 31, 2024
Amount Rate Amount Rate
Fixed rate at 3.25 % to floating, due 2031
+Added: $ 30,000 3.25 % $ 30,000 3.25 %
Unamortized issuance costs ( 508 ) ( 576 )
6 unchanged sentences
Three Months Ended
−Removed: June 30 Six Months Ended
+Added: September 30 Nine Months Ended
2025 2024 2025 2024
7 unchanged sentences
Note 6 – Capital Ratios and Shareholders' Equity
−Removed: As of June 30, 2025 and December 31, 2024, the most recent notifications from the FRB and the FDIC categorized us as “well capitalized” under the FDIC's regulatory framework for prompt corrective action and the Basel III capital guidelines.
+Added: As of September 30, 2025 and December 31, 2024, the most recent notifications from the FRB and the FDIC categorized us as “well capitalized” under the FDIC's regulatory framework for prompt corrective action and the Basel III capital guidelines.
To be categorized as “well capitalized,” an institution must maintain minimum total risk-based, Tier 1 risk-based, common equity Tier 1, and Tier 1 leverage ratios as set forth in the following tables.
3 unchanged sentences
The following tables set forth these requirements and our ratios, both on a bank-only and on a consolidated basis, as of:
−Removed: June 30, 2025
+Added: September 30, 2025
Actual Minimum Capital
37 unchanged sentences
There are no significant regulatory constraints placed on our capital.
−Removed: At June 30, 2025, the Bank exceeded all minimum Basel III risk-based capital requirements with the capital conservation buffer.
+Added: At September 30, 2025, the Bank exceeded all minimum Basel III risk-based capital requirements with the capital conservation buffer.
State banking regulations place certain restrictions on dividends paid by banks to their shareholders.
1 unchanged sentence
The following table summarizes the changes in AOCI by component for the:
−Removed: Three Months Ended June 30
+Added: Three Months Ended September 30
Securities Defined
2 unchanged sentences
Pension Plan Total
−Removed: Balance, April 1 $ ( 17,042 ) $ ( 397 ) $ ( 17,439 ) $ ( 27,493 ) $ ( 697 ) $ ( 28,190 )
+Added: Balance, July 1 $ ( 13,990 ) $ ( 397 ) $ ( 14,387 ) $ ( 26,939 ) $ ( 697 ) $ ( 27,636 )
OCI before reclassifications 5,030 — 5,030 13,081 — 13,081
1 unchanged sentence
OCI, net of tax 3,978 — 3,978 10,357 — 10,357
−Removed: Balance, June 30 $ ( 13,990 ) $ ( 397 ) $ ( 14,387 ) $ ( 26,939 ) $ ( 697 ) $ ( 27,636 )
−Removed: Six Months Ended June 30
+Added: Balance, September 30 $ ( 10,012 ) $ ( 397 ) $ ( 10,409 ) $ ( 16,582 ) $ ( 697 ) $ ( 17,279 )
+Added: Nine Months Ended September 30
Securities Defined
6 unchanged sentences
OCI, net of tax 10,946 — 10,946 8,617 — 8,617
−Removed: Balance, June 30 $ ( 13,990 ) $ ( 397 ) $ ( 14,387 ) $ ( 26,939 ) $ ( 697 ) $ ( 27,636 )
−Removed: Included in OCI for the three and six-month periods ended June 30, 2025 and 2024 are changes in unrealized gains and losses related to certain auction rate money market preferred stocks.
+Added: Balance, September 30 $ ( 10,012 ) $ ( 397 ) $ ( 10,409 ) $ ( 16,582 ) $ ( 697 ) $ ( 17,279 )
+Added: Included in OCI for the three and nine-month periods ended September 30, 2025 and 2024 are changes in unrealized gains and losses related to certain auction rate money market preferred stocks.
These investments, for federal income tax purposes, have no deferred federal income taxes related to unrealized gains or losses given the nature of the investments.
A summary of the components of unrealized gains on AFS securities included in OCI follows for the:
−Removed: Three Months Ended June 30
+Added: Three Months Ended September 30
Auction Rate Money Market Preferred All Other AFS Securities Total Auction Rate Money Market Preferred All Other AFS Securities Total
2 unchanged sentences
Unrealized gains (losses), net of tax $ ( 64 ) $ 4,042 $ 3,978 $ 109 $ 10,248 $ 10,357
−Removed: Six Months Ended June 30
+Added: Nine Months Ended September 30
Auction Rate Money Market Preferred All Other AFS Securities Total Auction Rate Money Market Preferred All Other AFS Securities Total
32 unchanged sentences
The following tables list the quantitative information about loans measured at fair value on a nonrecurring basis as of:
−Removed: June 30, 2025
+Added: September 30, 2025
Valuation Technique Fair Value Unobservable Input Actual Range Weighted Average
11 unchanged sentences
The following table lists the quantitative information about OMSR fair value measurement as of:
−Removed: June 30, 2025
+Added: September 30, 2025
Valuation Technique Fair Value Unobservable Input Rate
12 unchanged sentences
The carrying amount and estimated fair value of financial instruments not recorded at fair value in their entirety on a recurring basis were as follows as of:
−Removed: June 30, 2025
+Added: September 30, 2025
Value Estimated
41 unchanged sentences
The table below presents the recorded amount of assets and liabilities measured at fair value on:
−Removed: June 30, 2025 December 31, 2024
+Added: September 30, 2025 December 31, 2024
Total Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3
10 unchanged sentences
Collateral dependent (net of ACL) 3,426 — — 3,426 254 — — 254
−Removed: Foreclosed assets 667 — — 667 544 — — 544
OMSR 2,164 — — 2,164 2,185 — — 2,185
+Added: Foreclosed assets 1,018 — — 1,018 544 — — 544
Total $ 518,578 $ — $ 511,970 $ 6,608 $ 492,012 $ — $ 489,029 $ 2,983
Percent of assets and liabilities measured at fair value 0.00 % 98.73 % 1.27 % 0.00 % 99.39 % 0.61 %
−Removed: We recorded an impairment related to foreclosed assets of $ 0 and $ 63 through earnings for the three and six-month periods ended June 30, 2025.
−Removed: No impairments related to foreclosed assets were recorded for the three and six month period ended June 30, 2024.
−Removed: We recorded an impairment related to OMSR of $ 2 through earnings for each of the three and six month periods ended June 30, 2025.
−Removed: No impairments related to OMSR were recorded for the three and six month period ended June 30, 2024.We had no other assets or liabilities recorded at fair value with changes in fair value recognized through earnings, on a recurring basis or nonrecurring basis, as of June 30, 2025.
+Added: We recorded an impairment related to OMSR of $ 1 and $ 3 through earnings for the three and nine month periods ended September 30, 2025, respectively, and $ 21 for each of the three and nine month periods ended September 30, 2024.
+Added: We recorded impairments related to foreclosed assets of $ 26 and $ 89 for three and nine month periods ended September 30, 2025, respectively.
+Added: No impairments related to foreclosed assets were recorded for three and nine month periods ended September 30, 2024.
+Added: We had no other assets or liabilities recorded at fair value with changes in fair value recognized through earnings, on a recurring basis or nonrecurring basis, as of September 30, 2025.
Further, we had no unrealized gains and losses included in OCI for recurring Level 3 fair value measurements held at the end of the reporting period.
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.