

($ in thousands)	June 30, 2026		December 31, 2025
Commercial:
C&I	$	19,862,701	$	18,650,755
CRE:
CRE	15,585,610		15,407,088
Multifamily residential	5,251,556		5,112,328
Construction and land	831,822		742,357
Total CRE	21,668,988		21,261,773
Total commercial	41,531,689		39,912,528
Consumer:
Residential mortgage:
Single-family residential (“SFR”) — Traditional	13,818,417		13,692,025
SFR — Bridge to Home Ownership (“BTHO”)	1,517,892		1,310,524
Home equity loans	2,039,285		1,911,897
Total residential mortgage	17,375,594		16,914,446
Other consumer	56,657		51,198
Total consumer	17,432,251		16,965,644
Total loans held-for-investment (1)	$	58,963,940	$	56,878,172
ALLL	(842,056)		(809,773)
Loans held-for-investment, net (1)	$	58,121,884	$	56,068,399

Accrued interest receivable on loans held-for-investment was $255 million and $251 million as of June 30, 2026 and December 31, 2025, respectively, and was included in Other assets on the Consolidated Balance Sheet. The interest income recognized and reversed on nonaccrual loans was immaterial for both the three and six months ended June 30, 2026 and 2025. For the Company’s accounting policy on accrued interest receivable related to loans held-for-investment, refer to Note 1 — Summary of Significant Accounting Policies — Significant Accounting Policies — Loans Held-for-Investment to the Consolidated Financial Statements of the Company’s 2025 Form 10-K. The Company also has loans held-for-sale. For the Company’s accounting policy on loans held-for-sale, refer to Note 1 — Summary of Significant Accounting Policies — Significant Accounting Policies — Loans Held-for-Sale to the Consolidated Financial Statements in the Company’s 2025 Form 10-K.

All loans are subject to the Company’s credit review and monitoring process. For the commercial loan portfolio, loans are risk rated based on an analysis of the borrower’s current payment performance or delinquency, repayment sources, financial and liquidity factors, including industry and geographic considerations. For the consumer loan portfolio, payment performance or delinquency is typically the driving indicator for risk ratings.

The following tables summarize the Company’s loans held-for-investment and year-to-date gross write-offs by loan portfolio segments, internal risk ratings and vintage year as of the periods presented. The vintage year is the year of loan origination, renewal or major modification. Gross write-offs in the following tables are for the six months ended June 30, 2026, and the year ended December 31, 2025. Revolving loans that are converted to term loans presented in the tables below are excluded from the term loans by vintage year columns.


	June 30, 2026
	Term Loans by Origination Year
($ in thousands)	2026		2025		2024		2023		2022		Prior		Revolving Loans		Revolving Loans Converted to Term Loans		Total
Commercial:
C&I:
Pass	$	1,292,513	$	2,536,352	$	1,401,347	$	661,871	$	423,554	$	566,857	$	12,299,367	$	69,124	$	19,250,985
Criticized (accrual)	8		3,850		36,570		13,047		87,746		50,318		371,485		—		563,024
Criticized (nonaccrual)	421		1,470		5,657		15,416		207		25,488		33		—		48,692


Total C&I	1,292,942		2,541,672		1,443,574		690,334		511,507		642,663		12,670,885		69,124		19,862,701
Gross write-offs (1)	4,569		1,396		795		8,310		32		19,688		—		—		34,790
CRE:
Pass	1,151,479		2,564,084		1,525,072		1,899,914		3,019,049		4,759,749		77,286		51,828		15,048,461
Criticized (accrual)	1,488		29,512		21,676		108,807		124,045		182,404		—		—		467,932
Criticized (nonaccrual)	—		3,787		10,813		11,129		3,503		39,985		—		—		69,217


Subtotal CRE	1,152,967		2,597,383		1,557,561		2,019,850		3,146,597		4,982,138		77,286		51,828		15,585,610
Gross write-offs (1)	—		1,305		—		—		9		6,843		—		—		8,157
Multifamily residential:
Pass	475,389		832,421		321,737		425,034		1,114,319		2,033,813		31,069		3,789		5,237,571
Criticized (accrual)	—		—		—		—		5,127		8,603		—		—		13,730
Criticized (nonaccrual)	—		—		—		—		—		255		—		—		255


Subtotal multifamily residential	475,389		832,421		321,737		425,034		1,119,446		2,042,671		31,069		3,789		5,251,556

Construction and land:
Pass	123,367		271,208		119,399		199,171		76,684		16,716		5,627		—		812,172

Criticized (nonaccrual)	—		—		—		—		19,650		—		—		—		19,650
Subtotal construction and land	123,367		271,208		119,399		199,171		96,334		16,716		5,627		—		831,822


Total CRE	1,751,723		3,701,012		1,998,697		2,644,055		4,362,377		7,041,525		113,982		55,617		21,668,988

Total CRE gross write-offs (1)	—		1,305		—		—		9		6,843		—		—		8,157
Total commercial	$	3,044,665	$	6,242,684	$	3,442,271	$	3,334,389	$	4,873,884	$	7,684,188	$	12,784,867	$	124,741	$	41,531,689
Total commercial gross write-offs (1)	$	4,569	$	2,701	$	795	$	8,310	$	41	$	26,531	$	—	$	—	$	42,947


	June 30, 2026
	Term Loans by Origination Year
($ in thousands)	2026		2025		2024		2023		2022		Prior		Revolving Loans		Revolving Loans Converted to Term Loans		Total
Consumer:
Residential mortgage:
SFR:
Pass (2)	$	1,705,569	$	2,555,111	$	1,534,862	$	2,103,178	$	2,654,672	$	4,719,367	$	—	$	—	$	15,272,759
Criticized (accrual)	195		7,312		2,430		3,805		3,788		8,710		—		—		26,240
Criticized (nonaccrual) (2)	483		10,826		3,587		4,218		6,273		11,923		—		—		37,310
Subtotal SFR mortgage (3)	1,706,247		2,573,249		1,540,879		2,111,201		2,664,733		4,740,000		—		—		15,336,309
Gross write-offs(1)(4)	6		—		20		4		8		38		—		—		76
Home equity loans:
Pass	4,424		9,898		2,371		4,346		12,773		29,026		1,869,376		65,459		1,997,673
Criticized (accrual)	—		1,735		—		845		1,815		1,288		6,053		1,155		12,891
Criticized (nonaccrual)	—		4,062		1,028		2,900		1,606		14,722		—		4,403		28,721
Subtotal home equity loans	4,424		15,695		3,399		8,091		16,194		45,036		1,875,429		71,017		2,039,285
Gross write-offs	—		—		—		11		—		—		—		—		11
Total residential mortgage	1,710,671		2,588,944		1,544,278		2,119,292		2,680,927		4,785,036		1,875,429		71,017		17,375,594
Total residential mortgage gross write-offs (1)	6		—		20		15		8		38		—		—		87
Other consumer:
Pass	8,722		22,941		—		—		4,727		214		19,991		—		56,595

Criticized (nonaccrual)	—		—		—		—		—		—		62		—		62
Total other consumer	8,722		22,941		—		—		4,727		214		20,053		—		56,657

Total consumer	$	1,719,393	$	2,611,885	$	1,544,278	$	2,119,292	$	2,685,654	$	4,785,250	$	1,895,482	$	71,017	$	17,432,251
Total consumer gross write-offs (1)	$	6	$	—	$	20	$	15	$	8	$	38	$	—	$	—	$	87
Total loans held-for-investment:
Pass	$	4,761,463	$	8,792,015	$	4,904,788	$	5,293,514	$	7,305,778	$	12,125,742	$	14,302,716	$	190,200	$	57,676,216
Criticized (accrual)	1,691		42,409		60,676		126,504		222,521		251,323		377,538		1,155		1,083,817
Criticized (nonaccrual)	904		20,145		21,085		33,663		31,239		92,373		95		4,403		203,907
Total	$	4,764,058	$	8,854,569	$	4,986,549	$	5,453,681	$	7,559,538	$	12,469,438	$	14,680,349	$	195,758	$	58,963,940
Total loans held-for-investment gross write-offs (1)	$	4,575	$	2,701	$	815	$	8,325	$	49	$	26,569	$	—	$	—	$	43,034


	December 31, 2025
	Term Loans by Origination Year
($ in thousands)	2025		2024		2023		2022		2021		Prior		Revolving Loans		Revolving Loans Converted to Term Loans		Total
Commercial:
C&I:
Pass	$	3,013,368	$	1,717,361	$	880,267	$	536,461	$	391,413	$	302,893	$	11,308,551	$	67,968	$	18,218,282
Criticized (accrual)	572		35,223		1,662		93,562		83,813		6,771		158,626		—		380,229
Criticized (nonaccrual)	2,922		4,733		26,810		1,640		9,525		6,526		88		—		52,244


Total C&I	3,016,862		1,757,317		908,739		631,663		484,751		316,190		11,467,265		67,968		18,650,755
Gross write-offs (1)	2,617		1,199		28,752		4,643		1,063		3,170		24		—		41,468
CRE:
Pass	2,615,789		1,562,420		2,015,433		3,188,363		1,708,927		3,607,918		78,712		47,512		14,825,074
Criticized (accrual)	30,275		29,807		116,862		134,018		48,569		183,937		—		—		543,468
Criticized (nonaccrual)	3,317		—		4,172		7,439		12,330		11,288		—		—		38,546


Subtotal CRE	2,649,381		1,592,227		2,136,467		3,329,820		1,769,826		3,803,143		78,712		47,512		15,407,088
Gross write-offs (1)	8,932		—		—		160		19		15,126		—		—		24,237
Multifamily residential:
Pass	895,323		338,209		478,782		1,138,693		663,916		1,547,124		32,207		3,820		5,098,074
Criticized (accrual)	—		—		—		5,175		—		8,787		—		—		13,962
Criticized (nonaccrual)	—		—		—		—		—		292		—		—		292


Subtotal multifamily residential	895,323		338,209		478,782		1,143,868		663,916		1,556,203		32,207		3,820		5,112,328
Gross write-offs (1)	—		—		—		—		—		8		—		—		8
Construction and land:
Pass	246,380		109,799		247,482		90,086		13,437		3,462		3,901		—		714,547

Criticized (nonaccrual)	—		8,897		—		18,913		—		—		—		—		27,810
Subtotal construction and land	246,380		118,696		247,482		108,999		13,437		3,462		3,901		—		742,357

Total CRE	3,791,084		2,049,132		2,862,731		4,582,687		2,447,179		5,362,808		114,820		51,332		21,261,773
Total CRE gross write-offs (1)	8,932		—		—		160		19		15,134		—		—		24,245
Total commercial	$	6,807,946	$	3,806,449	$	3,771,470	$	5,214,350	$	2,931,930	$	5,678,998	$	11,582,085	$	119,300	$	39,912,528
Total commercial gross write-offs (1)	$	11,549	$	1,199	$	28,752	$	4,803	$	1,082	$	18,304	$	24	$	—	$	65,713


	December 31, 2025
	Term Loans by Origination Year
($ in thousands)	2025		2024		2023		2022		2021		Prior		Revolving Loans		Revolving Loans Converted to Term Loans		Total
Consumer:
Residential mortgage:
SFR:
Pass (2)	$	2,861,764	$	1,837,821	$	2,349,242	$	2,808,694	$	1,860,110	$	3,228,996	$	—	$	—	$	14,946,627
Criticized (accrual)	3,157		3,646		5,589		5,427		235		9,356		—		—		27,410
Criticized (nonaccrual) (2)	4,566		891		3,445		4,617		1,620		13,373		—		—		28,512
Subtotal SFR mortgage (3)	2,869,487		1,842,358		2,358,276		2,818,738		1,861,965		3,251,725		—		—		15,002,549
Gross write-offs(1)(4)	—		14		—		—		—		—		—		—		14
Home equity loans:
Pass	13,652		4,796		4,740		5,258		11,233		22,213		1,750,894		70,577		1,883,363
Criticized (accrual)	1,879		—		97		140		287		526		6,784		1,654		11,367
Criticized (nonaccrual)	1,288		13		379		2,610		1,232		7,033		—		4,612		17,167
Subtotal home equity loans	16,819		4,809		5,216		8,008		12,752		29,772		1,757,678		76,843		1,911,897
Gross write-offs (1)	—		—		—		—		—		—		—		6		6
Total residential mortgage	2,886,306		1,847,167		2,363,492		2,826,746		1,874,717		3,281,497		1,757,678		76,843		16,914,446
Total residential mortgage gross write-offs (1)	—		14		—		—		—		—		—		6		20
Other consumer:
Pass	25,146		—		—		4,635		129		5,570		15,576		—		51,056

Criticized (nonaccrual)	—		—		49		—		—		—		93		—		142
Total other consumer	25,146		—		49		4,635		129		5,570		15,669		—		51,198


Total consumer	$	2,911,452	$	1,847,167	$	2,363,541	$	2,831,381	$	1,874,846	$	3,287,067	$	1,773,347	$	76,843	$	16,965,644
Total consumer gross write-offs (1)	$	—	$	14	$	—	$	—	$	—	$	—	$	—	$	6	$	20
Total loans held-for-investment:
Pass	$	9,671,422	$	5,570,406	$	5,975,946	$	7,772,190	$	4,649,165	$	8,718,176	$	13,189,841	$	189,877	$	55,737,023
Criticized (accrual)	35,883		68,676		124,210		238,322		132,904		209,377		165,410		1,654		976,436
Criticized (nonaccrual)	12,093		14,534		34,855		35,219		24,707		38,512		181		4,612		164,713



Total	$	9,719,398	$	5,653,616	$	6,135,011	$	8,045,731	$	4,806,776	$	8,966,065	$	13,355,432	$	196,143	$	56,878,172
Total loans held-for-investment gross write-offs (1)	$	11,549	$	1,213	$	28,752	$	4,803	$	1,082	$	18,304	$	24	$	6	$	65,733

(3)BTHO loans comprised 14%, 17%, 19%, 18% and 7% of total SFR loans originated in 2026, 2025, 2024, 2023 and 2022, respectively, as of June 30, 2026. There was an immaterial amount of BTHO loans originated prior to 2022 as of June 30, 2026. In comparison, BTHO loans comprised 15%, 16%, 16%, 6% and 1% of total SFR loans originated in 2025, 2024, 2023, 2022 and 2021, respectively, as of December 31, 2025. There were no BTHO loans originated prior to 2021.

Loans that are 90 or more days past due are generally placed on nonaccrual status unless the loan is well-collateralized and in the process of collection. Loans that are less than 90 days past due but have identified deficiencies, such as when the full collection of principal or interest becomes uncertain, are also placed on nonaccrual status. The following tables present the aging analysis of loans held-for-investment as of June 30, 2026 and December 31, 2025:



	June 30, 2026
($ in thousands)	Current Accruing Loans		Accruing Loans 30-59 Days Past Due		Accruing Loans 60-89 Days Past Due		Total Accruing Past Due Loans		Total Nonaccrual Loans		Total Loans
Commercial:
C&I	$	19,773,856	$	39,092	$	1,061	$	40,153	$	48,692	$	19,862,701
CRE:
CRE	15,501,657		13,340		1,396		14,736		69,217		15,585,610
Multifamily residential	5,245,573		5,728		—		5,728		255		5,251,556
Construction and land	812,172		—		—		—		19,650		831,822
Total CRE	21,559,402		19,068		1,396		20,464		89,122		21,668,988
Total commercial	41,333,258		58,160		2,457		60,617		137,814		41,531,689
Consumer:
Residential mortgage:
SFR — Traditional	13,724,214		38,187		21,633		59,820		34,383		13,818,417
SFR — BTHO	1,494,682		14,472		4,760		19,232		3,978		1,517,892
Home equity loans	1,982,279		15,408		12,877		28,285		28,721		2,039,285
Total residential mortgage	17,201,175		68,067		39,270		107,337		67,082		17,375,594
Other consumer	55,789		798		8		806		62		56,657
Total consumer	17,256,964		68,865		39,278		108,143		67,144		17,432,251
Total	$	58,590,222	$	127,025	$	41,735	$	168,760	$	204,958	$	58,963,940



	December 31, 2025
($ in thousands)	Current Accruing Loans		Accruing Loans 30-59 Days Past Due		Accruing Loans 60-89 Days Past Due		Total Accruing Past Due Loans		Total Nonaccrual Loans		Total Loans
Commercial:
C&I	$	18,572,467	$	25,962	$	82	$	26,044	$	52,244	$	18,650,755
CRE:
CRE	15,354,548		10,525		3,469		13,994		38,546		15,407,088
Multifamily residential	5,110,783		1,253		—		1,253		292		5,112,328
Construction and land	714,547		—		—		—		27,810		742,357
Total CRE	21,179,878		11,778		3,469		15,247		66,648		21,261,773
Total commercial	39,752,345		37,740		3,551		41,291		118,892		39,912,528
Consumer:
Residential mortgage:
SFR — Traditional	13,606,733		34,282		24,268		58,550		26,742		13,692,025
SFR — BTHO	1,292,491		11,728		3,406		15,134		2,899		1,310,524
Home equity loans	1,860,080		23,328		11,322		34,650		17,167		1,911,897
Total residential mortgage	16,759,304		69,338		38,996		108,334		46,808		16,914,446
Other consumer	50,979		56		21		77		142		51,198
Total consumer	16,810,283		69,394		39,017		108,411		46,950		16,965,644
Total	$	56,562,628	$	107,134	$	42,568	$	149,702	$	165,842	$	56,878,172

Foreclosed assets, consisting of OREO and other nonperforming assets, are included in Other assets on the Consolidated Balance Sheet. The Company had $25 million of foreclosed assets as of June 30, 2026, compared with $21 million as of December 31, 2025. The Company commences the foreclosure process on consumer mortgage loans after a borrower becomes more than 120 days delinquent in accordance with the Consumer Financial Protection Bureau guidelines. The carrying value of the consumer real estate loans that were in an active or suspended foreclosure process was $29 million and $16 million as of June 30, 2026 and December 31, 2025, respectively.

As part of the Company’s loss mitigation efforts, the Company may agree to modify the contractual terms of a loan to assist borrowers experiencing financial difficulty. The Company negotiates loan modifications on a case-by-case basis to achieve mutually agreeable terms that maximize loan collectability and meet the borrower’s financial needs. The Company considers various factors to identify borrowers experiencing financial difficulty. The primary factor for consumer loan borrowers is delinquency status. For commercial loan borrowers, these factors include credit risk ratings, the probability of loan risk rating downgrades, and overall risk profile changes. The modification may include, but is not limited to, payment delays, interest rate reductions, term extensions, principal forgiveness, or a combination of such modifications. Commercial loan borrowers that require immaterial modifications such as insignificant interest rate changes, short-term extensions (90 days or less) from the original maturity date, or temporary waivers or extensions of financial covenants which would not constitute material credit actions, are generally not considered to be experiencing financial difficulty and are not included in the disclosure. Insignificant payment deferrals (three months or less in the last 12 months) are also not included in the disclosure.



	Three Months Ended June 30, 2026
	Modification Type
							Combination:
($ in thousands)	Interest Rate Reduction		Term Extension		Payment Delay		Term Extension/ Payment Delay		Rate Reduction/ Payment Delay		Rate Reduction/ Term Extension/ Payment Delay		Total		Modification as a % of Loan Class
Commercial:
C&I	$	—	$	45,615	$	—	$	12,624	$	—	$	—	$	58,239	0.29	%

CRE	—		1,774		—		26,086		—		—		27,860		0.18	%

Construction and land	—		—		19,650		—		—		—		19,650		2.36	%

Total commercial	—		47,389		19,650		38,710		—		—		105,749		0.25	%
Consumer:

SFR	—		—		4,790		—		—		—		4,790		0.03	%
Home equity loans	—		—		3,330		—		—		—		3,330		0.16	%




Total consumer	—		—		8,120		—		—		—		8,120		0.05	%
Total	$	—	$	47,389	$	27,770	$	38,710	$	—	$	—	$	113,869	0.19	%



	Three Months Ended June 30, 2025
	Modification Type
							Combination:
($ in thousands)	Interest Rate Reduction		Term Extension		Payment Delay		Term Extension/ Payment Delay		Rate Reduction/ Payment Delay		Rate Reduction/ Term Extension/ Payment Delay		Total		Modification as a % of Loan Class
Commercial:
C&I	$	6,058	$	74,767	$	2,974	$	6,966	$	19,574	$	—	$	110,339	0.62	%

CRE	—		122,393		—		—		—		—		122,393		0.82	%
Multifamily	—		13,398		—		—		—		—		13,398		0.27	%
Construction and land	—		16,507		—		—		—		—		16,507		2.33	%

Total commercial	6,058		227,065		2,974		6,966		19,574		—		262,637		0.68	%
Consumer:

SFR	—		—		6,632		207		—		—		6,839		0.05	%
Home equity loans	—		—		3,943		—		426		421		4,790		0.26	%




Total consumer	—		—		10,575		207		426		421		11,629		0.07	%
Total	$	6,058	$	227,065	$	13,549	$	7,173	$	20,000	$	421	$	274,266	0.50	%



	Six Months Ended June 30, 2026
	Modification Type
							Combination:
($ in thousands)	Interest Rate Reduction		Term Extension		Payment Delay		Term Extension/ Payment Delay		Rate Reduction/ Term Extension		Rate Reduction/ Term Extension/ Payment Delay		Total		Modification as a % of Loan Class
Commercial:
C&I	$	—	$	117,383	$	—	$	12,624	$	—	$	—	$	130,007	0.65	%

CRE	—		12,213		—		26,086		—		—		38,299		0.25	%

Construction and land	—		—		19,650		—		—		—		19,650		2.36	%

Total commercial	—		129,596		19,650		38,710		—		—		187,956		0.45	%
Consumer:

SFR	—		—		10,664		—		—		—		10,664		0.07	%
Home equity loans	—		—		4,614		—		—		—		4,614		0.23	%




Total consumer	—		—		15,278		—		—		—		15,278		0.09	%
Total	$	—	$	129,596	$	34,928	$	38,710	$	—	$	—	$	203,234	0.34	%



	Six Months Ended June 30, 2025
	Modification Type
							Combination:
($ in thousands)	Interest Rate Reduction		Term Extension		Payment Delay		Term Extension/ Payment Delay		Rate Reduction/ Payment Delay		Rate Reduction/ Term Extension/ Payment Delay		Total		Modification as a % of Loan Class
Commercial:
C&I	$	6,058	$	76,231	$	2,974	$	29,167	$	19,574	$	—	$	134,004	0.75	%

CRE	—		140,343		—		—		—		—		140,343		0.94	%
Multifamily	—		13,677		—		—		—		—		13,677		0.27	%
Construction and land	—		16,507		—		—		—		—		16,507		2.33	%

Total commercial	6,058		246,758		2,974		29,167		19,574		—		304,531		0.79	%
Consumer:

SFR	—		—		10,699		295		—		—		10,994		0.08	%
Home equity loans	—		—		4,918		906		426		421		6,671		0.36	%




Total consumer	—		—		15,617		1,201		426		421		17,665		0.11	%
Total	$	6,058	$	246,758	$	18,591	$	30,368	$	20,000	$	421	$	322,196	0.59	%



	Financial Effects of Loan Modifications for the Three Months Ended June 30,
	2026		2025
($ in thousands)	Weighted-average Term Extension (in years)	Weighted-average Payment Delay (in years)	Weighted-Average Interest Rate Reduction		Weighted-average Term Extension (in years)	Weighted-average Payment Delay (in years)
Commercial:
C&I	1.1	0.7	3.38	%	0.9	0.7

CRE	1.1	0.3	—	%	3.3	0.0
Multifamily	0.0	0.0	—	%	0.5	0.0
Construction and land	0.0	0.9	—	%	0.8	0.0


Consumer:

SFR	0.0	1.2	—	%	10.0	1.9
Home equity loans	0.0	0.7	0.50	%	10.0	5.1



	Financial Effects of Loan Modifications for the Six Months Ended June 30,
	2026		2025
($ in thousands)	Weighted-average Term Extension (in years)	Weighted-average Payment Delay (in years)	Weighted-Average Interest Rate Reduction		Weighted-average Term Extension (in years)	Weighted-average Payment Delay (in years)
Commercial:
C&I	1.1	0.7	3.38	%	1.0	0.8

CRE	1.1	0.3	—	%	3.5	0.0
Multifamily	0.0	0.0	—	%	0.7	0.0
Construction and land	0.0	0.9	—	%	0.8	0.0


Consumer:

SFR	0.0	0.8	—	%	10.0	1.5
Home equity loans	0.0	0.8	0.50	%	15.2	8.0



	Loans Modified that Subsequently Defaulted During the Three Months Ended June 30, 2025
($ in thousands)	Term Extension		Payment Delay		Combination: Term Extension/ Payment Delay		Total
Commercial:
C&I	$	—	$	2,974	—		$	2,974

CRE	30,890		—		—		30,890



Total commercial	30,890		2,974		—		33,864
Consumer:

SFR	$	—	$	830	$	—	$	830
Home equity loans	—		3,509		286		3,795




Total consumer	—		4,339		286		4,625
Total	$	30,890	$	7,313	$	286	$	38,489





	Loans Modified that Subsequently Defaulted During the Six Months Ended June 30, 2026
($ in thousands)	Term Extension		Payment Delay		Combination: Term Extension/ Payment Delay		Total
Commercial:
C&I	$	—	$	12,832	$	—	$	12,832

CRE	1,774		—		—		1,774



Total commercial	1,774		12,832		—		14,606
Consumer:

SFR	—		6,698		—		6,698
Home equity loans	—		3,649		—		3,649




Total consumer	—		10,347		—		10,347
Total	$	1,774	$	23,179	$	—	$	24,953



	Loans Modified that Subsequently Defaulted During the Six Months Ended June 30, 2025
($ in thousands)	Term Extension		Payment Delay		Combination: Term Extension/ Payment Delay		Total
Commercial:
C&I	$	—	$	4,487	$	—	$	4,487

CRE	53,462		—		—		53,462



Total commercial	53,462		4,487		—		57,949
Consumer:

SFR	—		3,060		207		3,267
Home equity loans	—		5,541		286		5,827




Total consumer	—		8,601		493		9,094
Total	$	53,462	$	13,088	$	493	$	67,043



	Payment Performance as of June 30, 2026
($ in thousands)		Current		30 - 89 Days Past Due		90+ Days Past Due		Total
Commercial:
C&I		$	133,100	$	12,216	$	12,832	$	158,148

CRE		72,544		1,197		1,774		75,515

Construction and land		—		—		19,650		19,650

Total commercial		205,644		13,413		34,256		253,313
Consumer:

SFR		15,380		11,288		6,096		32,764
Home equity loans		10,032		2,983		2,335		15,350


Total consumer		25,412		14,271		8,431		48,114
Total		$	231,056	$	27,684	$	42,687	$	301,427
Total nonaccrual loans included above		$	3,034	$	466	$	42,687	$	46,187



	Payment Performance as of June 30, 2025
($ in thousands)		Current		30 - 89 Days Past Due		90+ Days Past Due		Total
Commercial:
C&I		$	165,093	$	—	$	—	$	165,093

CRE		162,915		—		—		162,915
Multifamily residential		13,677		—		—		13,677
Construction and land		16,507		—		—		16,507

Total commercial		358,192		—		—		358,192
Consumer:

SFR		11,646		3,196		2,337		17,179
Home equity loans		6,437		3,008		3,053		12,498


Total consumer		18,083		6,204		5,390		29,677
Total		$	376,275	$	6,204	$	5,390	$	387,869
Total nonaccrual loans included above		$	63,620	$	139	$	5,390	$	69,149

The Company has a current expected credit losses framework for all financial assets measured at amortized cost and certain off-balance sheet credit exposures. The Company’s allowance for credit losses, which includes both the ALLL and the allowance for unfunded credit commitments, is calculated with the objective of maintaining a reserve sufficient to absorb expected losses in our credit portfolios. The measurement of the allowance for credit losses is based on management’s best estimate of lifetime expected credit losses, periodic evaluation of the loan portfolio, lending-related commitments and other relevant factors.

The allowance for credit losses is deducted from the amortized cost basis of a financial asset or a group of financial assets so that the balance sheet reflects the net amount the Company expects to collect. Amortized cost is the principal balance outstanding, net of purchase premiums and discounts, deferred fees and costs, and escrow advances. Subsequent changes in expected credit losses are recognized in net income as a provision for, or a reversal of, credit loss expense.

The allowance for credit losses estimation involves procedures to consider the unique risk characteristics of the portfolio segments. The majority of the Company’s credit exposures that share risk characteristics with other similar exposures are collectively evaluated. The collectively evaluated loans include performing loans and unfunded credit commitments. If an exposure does not share risk characteristics with other exposures, the Company generally estimates expected credit losses on an individual basis.

Quantitative Component — The Company applies quantitative methods to estimate ALLL by considering a variety of factors such as historical loss experience, the current credit quality of the portfolio, and an economic outlook over the life of the loan. The Company incorporates forward-looking information using macroeconomic scenarios which include variables that are considered key drivers of increases and decreases in credit losses. The Company utilizes a probability-weighted, multiple-scenario forecast approach. These scenarios may consist of a base forecast representing management's view of the most likely outcome, combined with downside or upside scenarios reflecting possible worsening or improving economic conditions. The quantitative models incorporate a probability-weighted calculation of these macroeconomic scenarios over a reasonable and supportable forecast period. If the life of the loans extends beyond the reasonable and supportable forecast period, the Company will consider historical experience or long-run macroeconomic trends over the remaining life of the loans to estimate the ALLL.

Portfolio Segment

Risk Characteristics

Macroeconomic Variables

C&I

Risk rating, sector, loan origination size, loan age, delinquency status

Unemployment rate, gross domestic product (“GDP”), and U.S. Treasury rates

CRE, Multifamily residential, and Construction and land

Collateral value, property type, geographic location, loan age, delinquency status

Unemployment rate, GDP, and U.S. Treasury rates

SFR and Home equity loans

Collateral value, FICO score, geographic location, loan age, delinquency status

House Price Indices, unemployment rate, GDP

Other consumer

Loss rate approach

Immaterial — Macroeconomic variables are included in the qualitative estimate

The Company’s C&I lifetime loss rate model estimates the loss rate expected over the life of a loan. This loss rate is applied to the amortized cost basis, excluding accrued interest receivable, to determine expected credit losses. The lifetime loss rate model’s reasonable and supportable period spans eight quarters, thereafter, immediately reverting to the historical average loss rate, expressed through the loan-level lifetime loss rate.

To generate estimates of expected loss at the loan level for CRE, multifamily residential, and construction and land loans, projected probabilities of default (“PDs”) and loss given defaults (“LGDs”) are applied to the estimated exposure at default, considering the term and payment structure of the loan. The forecast of future economic conditions returns to long-run historical economic trends within the reasonable and supportable period. To estimate the life of a loan under both models, the contractual term of the loan is adjusted for estimated prepayments based on historical prepayment experience.

For SFR and home equity loans, projected PDs and LGDs are applied to the estimated exposure at default, considering the term and payment structure of the loan, to generate estimates of expected loss at the loan level. The forecast of future economic conditions returns to long-run historical economic trends after the reasonable and supportable period. To estimate the life of a loan for the SFR and home equity loan portfolios, the contractual term of the loan is adjusted for estimated prepayments based on historical prepayment experience. For other consumer loans, the Company uses a loss rate approach.

The magnitude of the impact of these factors on the Company’s qualitative assessment of the allowance for credit losses changes from period to period according to changes made by management in its assessment of these factors. The extent to which these factors change may depend on whether they are already reflected in quantitative loss estimates during the current period and the extent to which changes in these factors diverge from period to period.

While the Company’s allowance methodologies strive to reflect all relevant credit risk factors, there continues to be uncertainty associated with, but not limited to, potential imprecision in the estimation process due to the inherent time lag of obtaining information and normal variations between expected and actual outcomes. The Company may hold additional qualitative reserves that are designed to provide coverage for losses attributable to such risk.

When a loan no longer shares similar risk characteristics with other loans, such as in the case of certain nonaccrual loans, the Company estimates the ALLL on an individual loan basis. The ALLL for individually evaluated loans is measured as the difference between the recorded value of the loans and their fair value. For loans evaluated individually, the Company uses one of three different asset valuation measurement methods to determine their fair value: (1) the fair value of collateral less costs to sell; (2) the present value of expected future cash flows; or (3) the loan's observable market price. If an individually evaluated loan is determined to be collateral dependent, the Company applies the fair value of the collateral less costs to sell method. If an individually evaluated loan is determined not to be collateral dependent, the Company uses the present value of future cash flows or the observable market value of the loan.

•Collateral-Dependent Loans — The allowance of a collateral-dependent loan is limited to the difference between the recorded value and fair value of the collateral less cost of disposal or sale. As of June 30, 2026, collateral-dependent commercial and consumer loans totaled $92 million and $19 million, respectively. In comparison, collateral-dependent commercial and consumer loans totaled $69 million and $10 million, respectively, as of December 31, 2025. The Company's collateral-dependent loans were secured by real estate. As of both June 30, 2026 and December 31, 2025, the collateral value of the properties securing the collateral-dependent loans, net of selling costs, exceeded the recorded value of the majority of the loans.



		Three Months Ended June 30, 2026
		Commercial								Consumer
				CRE						Residential Mortgage
($ in thousands)		C&I		CRE		Multifamily Residential		Construction and Land		SFR — Traditional		SFR —BTHO		Home equity loans		Other Consumer		Total
ALLL, beginning of period		$	483,384	$	231,802	$	39,446	$	17,170	$	19,230	$	37,653	$	5,899	$	1,290	$	835,874

Provision for (reversal of) credit losses on loans	(a)	18,928		5,145		882		2,799		(496)		4,769		670		227		32,924
Gross charge-offs		(21,960)		(6,848)		—		(1)		(31)		—		(11)		(18)		(28,869)
Gross recoveries		394		1,252		12		—		123		—		2		3		1,786
Total net (charge-offs) recoveries		(21,566)		(5,596)		12		(1)		92		—		(9)		(15)		(27,083)
Foreign currency translation adjustment		341		—		—		—		—		—		—		—		341
ALLL, end of period		$	481,087	$	231,351	$	40,340	$	19,968	$	18,826	$	42,422	$	6,560	$	1,502	$	842,056



		Three Months Ended June 30, 2025
		Commercial								Consumer
				CRE						Residential Mortgage
($ in thousands)		C&I		CRE		Multifamily Residential		Construction and Land		SFR — Traditional		SFR —BTHO		Home equity loans		Other Consumer		Total


ALLL, beginning of period		$	421,288	$	212,899	$	32,324	$	15,199	$	19,281	$	27,648	$	4,879	$	1,338	$	734,856
Provision for (reversal of) credit losses on loans	(a)	27,595		8,007		(3,274)		2,654		(574)		5,638		369		(259)		40,156
Gross charge-offs		(8,151)		(8,306)		(3)		—		—		—		—		(4)		(16,464)
Gross recoveries		1,504		18		26		3		4		—		8		250		1,813
Total net (charge-offs) recoveries		(6,647)		(8,288)		23		3		4		—		8		246		(14,651)
Foreign currency translation adjustment		55		—		—		—		—		—		—		—		55
ALLL, end of period		$	442,291	$	212,618	$	29,073	$	17,856	$	18,711	$	33,286	$	5,256	$	1,325	$	760,416



		Six Months Ended June 30, 2026
		Commercial								Consumer
				CRE						Residential Mortgage
($ in thousands)		C&I		CRE		Multifamily Residential		Construction and Land		SFR — Traditional		SFR —BTHO		Home equity loans		Other Consumer		Total


ALLL, beginning of period		$	475,613	$	221,494	$	36,555	$	15,468	$	19,040	$	34,423	$	5,804	$	1,376	$	809,773
Provision for (reversal of) credit losses on loans	(a)	36,820		16,305		3,762		5,392		(207)		7,999		762		(35)		70,798
Gross charge-offs		(40,345)		(8,153)		—		(894)		(152)		—		(11)		(93)		(49,648)
Gross recoveries		8,312		1,705		23		2		145		—		5		254		10,446
Total net (charge-offs) recoveries		(32,033)		(6,448)		23		(892)		(7)		—		(6)		161		(39,202)
Foreign currency translation adjustment		687		—		—		—		—		—		—		—		687
ALLL, end of period		$	481,087	$	231,351	$	40,340	$	19,968	$	18,826	$	42,422	$	6,560	$	1,502	$	842,056



		Six Months Ended June 30, 2025
		Commercial								Consumer
				CRE						Residential Mortgage
($ in thousands)		C&I		CRE		Multifamily Residential		Construction and Land		SFR — Traditional		SFR —BTHO		Home equity loans		Other Consumer		Total

ALLL, beginning of period		$	384,319	$	218,677	$	32,117	$	17,497	$	19,413	$	25,403	$	3,132	$	1,494	$	702,052
Provision for (reversal of) credit losses on loans	(a)	63,965		16,112		(3,073)		2,349		(747)		7,883		2,108		(379)		88,218
Gross charge-offs		(9,139)		(22,243)		(7)		(1,996)		(9)		—		—		(53)		(33,447)
Gross recoveries		3,068		72		36		6		54		—		16		263		3,515
Total net (charge-offs) recoveries		(6,071)		(22,171)		29		(1,990)		45		—		16		210		(29,932)
Foreign currency translation adjustment		78		—		—		—		—		—		—		—		78
ALLL, end of period		$	442,291	$	212,618	$	29,073	$	17,856	$	18,711	$	33,286	$	5,256	$	1,325	$	760,416

In addition to the ALLL, the Company maintains an allowance for unfunded credit commitments. The Company has three general areas for which it provides the allowance for unfunded credit commitments: (1) recourse obligations for loans sold, (2) letters of credit, and (3) unfunded lending commitments. The allowance for unfunded credit commitments is maintained at a level that management believes to be sufficient to absorb estimated expected credit losses related to unfunded credit facilities. See Note 9 — Commitments and Contingencies to the Consolidated Financial Statements in this Form 10-Q for additional information related to unfunded credit commitments. The following table summarizes the activity in the allowance for unfunded credit commitments for the three and six months ended June 30, 2026 and 2025:



		Three Months Ended June 30,				Six Months Ended June 30,
($ in thousands)		2026		2025		2026		2025
Unfunded credit facilities
Allowance for unfunded credit commitments, beginning of period		$	47,005	$	40,464	$	48,690	$	39,526

Provision for (reversal of) credit losses on unfunded credit commitments	(b)	76		4,844		(1,606)		5,782
Foreign currency translation adjustments		(4)		(1)		(7)		(1)
Allowance for unfunded credit commitments, end of period		$	47,077	$	45,307	$	47,077	$	45,307

Provision for credit losses on loans, leases and unfunded credit commitments	(a) + (b)	$	33,000	$	45,000	$	69,192	$	94,000

The allowance for credit losses on loans, leases and unfunded credit commitments was $889 million as of June 30, 2026, an increase of $31 million compared with $858 million as of December 31, 2025. The increase in the allowance for credit losses was primarily driven by the Company’s net loan growth, qualitative risk assessment, and an economic outlook that reflected continued caution regarding inflation, the high-interest rate environment, and rising oil prices as a result of the Middle East conflict.

The Company considers multiple economic scenarios to develop the estimate of the ALLL. The scenarios may consist of a baseline forecast representing management's view of the most likely outcome, and downside or upside scenarios that reflect possible worsening or improving economic conditions. As of June 30, 2026, the Company assigned the same weighting to each of its upside, downside and baseline scenarios as compared with December 31, 2025. Compared with the December 2025 forecast, the June 2026 baseline forecast for GDP growth for the remainder of 2026 and 2027 showed no material change. The forecast for the unemployment rate showed minimal near-term improvement, as the labor market remains strong. The downside scenario assumed the economy falls into recession in the second quarter of 2026 as a result of elevated oil prices, rising inflation, tariffs, deportations, and still-elevated interest rates. The upside scenario assumed a more optimistic economic outlook, including faster resolutions to global conflicts, stronger growth, stable financial markets, and full employment being realized in the third quarter of 2026.

The Company’s primary business focus is on directly originated loans. The Company also purchases loans from and participates in loan financing with other banks. In the normal course of business, the Company also provides other financial institutions with the ability to participate in commercial loans that it originates, by selling loans to such institutions. Purchased loans may be transferred from held-for-investment to held-for-sale, and write-downs to ALLL are recorded, when appropriate.



	Three Months Ended June 30, 2026
	Commercial									Consumer
				CRE						Residential Mortgage
($ in thousands)	C&I			CRE		Multifamily Residential		Construction and Land		SFR		Total
Loans transferred from held-for-investment to held-for-sale (1)	$	107,606		$	—	$	—	$	—	$	—	$	107,606
Loans transferred from held-for-sale to held-for-investment	$	—		$	—	$	—	$	—	$	3,497	$	3,497
Sales (2)(3)	$	114,358		$	—	$	—	$	—	$	3,841	$	118,199
Purchases	$	48,203	(4)	$	—	$	—	$	—	$	127,125	$	175,328



	Six Months Ended June 30, 2026
	Commercial									Consumer		Total
				CRE						Residential Mortgage
($ in thousands)	C&I			CRE		Multifamily Residential		Construction and Land		SFR
Loans transferred from held-for-investment to held-for-sale (1)	$	209,383		$	—	$	9,959	$	—	$	5,345	$	224,687
Loans transferred from held-for-sale to held-for-investment	$	—		$	—	$	—	$	—	$	3,497	$	3,497
Sales (2)(3)	$	212,638		$	—	$	9,959	$	—	$	4,205	$	226,802
Purchases	$	158,095	(4)	$	—	$	—	$	—	$	267,636	$	425,731

(1)Includes write-downs of $3 million and $5 million to the allowance for loan losses related to loans transferred from held-for-investment to held-for-sale for the three and six months ended June 30, 2026, respectively, and $2 million for the six months ended June 30, 2025. There were no write-downs to the allowance for loan losses related to loans transferred from held-for-investment to held-for-sale for the three months ended June 30, 2025.