Minimum capital requirements

3 Months Ended

Mar. 31, 2020

Banking and Thrift [Abstract]

Minimum capital requirements

Minimum capital requirements:

Banks and bank holding companies are subject to regulatory capital requirements administered by federal banking agencies. Capital adequacy guidelines and, additionally for banks, prompt corrective action regulations involve quantitative measures of assets, liabilities, and certain off-balance sheet items calculated under regulatory accounting practices. Capital amounts and classifications are also subject to qualitative judgments by regulators. Failure to meet capital requirements can initiate regulatory action.

Under regulatory guidance for non-advanced approaches institutions, the Bank and Company are required to maintain minimum amounts and ratios of common equity Tier I capital to risk-weighted assets. Additionally, under U.S. Basel III Capital Rules, the decision was made to opt-out of including accumulated other comprehensive income in regulatory capital. As of March 31, 2020 and December 31, 2019, the Bank and Company met all capital adequacy requirements to which they are subject.

In December 2018, the OCC, the Board of Governors of the Federal Reserve System, and the FDIC approved a final rule to address changes to credit loss accounting under GAAP, including banking organizations’ implementation of CECL. The final rule provides banking organizations the option to phase in over a three-year period the day-one adverse effects on regulatory capital that may result from the adoption of the new accounting standard. In March 2020, the OCC, the Board of Governors of the Federal Reserve System, and the FDIC announced an interim final rule to delay the estimated impact on regulatory capital stemming from the implementation of CECL. The interim final rule maintains the three-year transition option in the previous rule and provides banks the option to delay for two years an estimate of CECL’s effect on regulatory capital, relative to the incurred loss methodology’s effect on regulatory capital, followed by a three-year transition period (five-year transition option). The Company adopted the capital transition relief over the permissible five-year period.

Actual and required capital amounts and ratios are presented below at period-end.

	Actual				Forcapital adequacy purposes				Minimum Capital adequacy with capital buffer				To be well capitalized underprompt corrective action provisions
	Amount		Ratio		Amount		Ratio		Amount		Ratio		Amount		Ratio
March 31, 2020
Total Capital (to risk-weighted assets)
FB Financial Corporation	$	688,396	12.5	%	$	440,573	8.0	%	$	578,253	10.5	%	N/A		N/A
FirstBank	696,625		12.7	%	438,819		8.0	%	575,950		10.5	%	$	548,524	10.0	%
Tier 1 Capital (to risk-weighted assets)
FB Financial Corporation	$	636,922	11.6	%	$	329,442	6.0	%	$	466,710	8.5	%	N/A		N/A
FirstBank	645,151		11.7	%	330,847		6.0	%	468,699		8.5	%	$	441,129	8.0	%
Tier 1 Capital (to average assets)
FB Financial Corporation	$	636,922	10.3	%	$	247,348	4.0	%	N/A		N/A		N/A		N/A
FirstBank	645,151		10.4	%	248,135		4.0	%	N/A		N/A		$	310,169	5.0	%
Common Equity Tier 1 Capital (to risk-weighted assets)
FB Financial Corporation	$	606,922	11.0	%	$	248,286	4.5	%	$	386,223	7.0	%	N/A		N/A
FirstBank	645,151		11.7	%	248,135		4.5	%	385,988		7.0	%	$	358,417	6.5	%

	Actual				For capital adequacy purposes				Minimum Capital adequacy with capital buffer				To be well capitalized under prompt corrective action provisions
	Amount		Ratio		Amount		Ratio		Amount		Ratio		Amount		Ratio
December 31, 2019
Total Capital (to risk-weighted assets)
FB Financial Corporation	$	633,549	12.2	%	$	415,442	8.0	%	$	545,268	10.5	%	N/A		N/A
FirstBank	623,432		12.1	%	412,186		8.0	%	540,995		10.5	%	$	515,233	10.0	%
Tier 1 Capital (to risk-weighted assets)
FB Financial Corporation	$	602,410	11.6	%	$	311,591	6.0	%	$	441,421	8.5	%	N/A		N/A
FirstBank	592,293		11.5	%	309,022		6.0	%	437,782		8.5	%	$	412,030	8.0	%
Tier 1 Capital (to average assets)
FB Financial Corporation	$	602,410	10.1	%	$	238,578	4.0	%	N/A		N/A		N/A		N/A
FirstBank	592,293		9.9	%	239,310		4.0	%	N/A		N/A		$	299,138	5.0	%
Common Equity Tier 1 Capital (to risk-weighted assets)
FB Financial Corporation	$	572,410	11.1	%	$	232,058	4.5	%	$	360,979	7.0	%	N/A		N/A
FirstBank	592,293		11.5	%	231,767		4.5	%	360,526		7.0	%	$	334,774	6.5	%