1 unchanged sentence
The Company has leveraged its investment in its subsidiary bank and depends upon the dividends paid to it, as the sole shareholder of the subsidiary bank, as a principal source of funds for dividends to shareholders, stock repurchases and debt service requirements.
−Removed: At June 30, 2023, undivided profits of Simmons Bank were approximately $652.1 million, of which approximately $285.9 million was available for the payment of dividends to the Company without regulatory approval.
+Added: At September 30, 2023, undivided profits of Simmons Bank were approximately $687.9 million, of which approximately $238.0 million was available for the payment of dividends to the Company without regulatory approval.
In addition to dividends, other sources of liquidity for the Company are the sale of equity securities and the borrowing of funds.
21 unchanged sentences
Federal funds are available on a daily basis and are used to meet the normal fluctuations of a dynamic balance sheet.
−Removed: As of June 30, 2023, the Bank had approximately $540 million in federal funds lines of credit from upstream correspondent banks that can be accessed, if and when needed.
+Added: As of September 30, 2023, the Bank had approximately $510 million in federal funds lines of credit from upstream correspondent banks that can be accessed, if and when needed.
In order to ensure availability of these upstream funds we test these borrowing lines at least annually.
8 unchanged sentences
These funds can be used to meet seasonal loan patterns and other intermediate term balance sheet fluctuations.
−Removed: Approximately 48.8% o f the investment portfolio is classified as available-for-sale.
+Added: Approximately 47.3% o f the investment portfolio is classified as available-for-sale, and we may generate additional liquidity through opportunistic sales of investment securities.
We also use securities held in the securities portfolio to pledge when obtaining public funds.
17 unchanged sentences
Actual results will differ from simulated results due to the timing, magnitude and frequency of interest rate changes and changes in market conditions and management strategies, among other factors.
−Removed: As of June 30, 2023, the model simulations projected that 100 and 200 basis point increases in interest rates would result in a negative variance in net interest income of 0.29% and 1.05%, respectively, relative to the base case over the next 12 months due to our current liability sensitive balance sheet driven by the change in deposit mix in exposure to higher rate scenarios and increase in FHLB short-term advances, while decreases in interest rates of 100 basis points would result in a positive variance in net interest income of 1.34% relative to the base case over the next 12 months.
+Added: As of September 30, 2023, the model simulations projected that 100 and 200 basis point increases in interest rates would result in a negative variance in net interest income of 0.87% and 1.76%, respectively, relative to the base case over the next 12 months due to our current liability sensitive balance sheet driven by the change in deposit mix in exposure to higher rate scenarios and increase in FHLB short-term advances, while decreases in interest rates of 100 basis points would result in a positive variance in net interest income of 0.80% relative to the base case over the next 12 months.
These are good faith estimates and assume that the composition of our interest sensitive assets and liabilities existing at each period-end will remain constant over the relevant twelve month measurement period and that changes in market interest rates are instantaneous and sustained across the yield curve regardless of duration of pricing characteristics of specific assets or liabilities.
3 unchanged sentences
Since these correlations are based on competitive and market conditions, we anticipate that our future results will likely be different from the foregoing estimates, and such differences could be material.
−Removed: The table below presents our sensitivity to net interest income at June 30, 2023:
+Added: The table below presents our sensitivity to net interest income at September 30, 2023:
Net Interest Income Sensitivity
5 unchanged sentences
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.