Regulatory Matters

9 Months Ended

Sep. 30, 2024

Regulated Operations [Abstract]

Regulatory Matters

NOTE 10 – REGULATORY MATTERS

The Bank is subject to various regulatory capital requirements administered by the federal banking agencies. Capital adequacy guidelines and 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 about components, risk weighting and other factors. Failure to meet minimum capital requirements can initiate certain mandatory and possibly additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Company’s financial statements.

Management believes, as of September 30, 2024, that the Bank meets all capital adequacy requirements to which it is subject.

As of September 30, 2024, the most recent notification from the FDIC categorized the Bank as well capitalized under the regulatory framework for prompt corrective action. To be categorized as well capitalized, the Bank must maintain minimum total risk-based, Tier 1 risk-based, Common Equity Tier 1 risk-based and Tier 1 leverage ratios as set forth in the table. There are no conditions or events since that notification that management believes have changed the Bank’s category.

The Bank’s actual capital amounts and ratios are presented in the table as of the dates indicated:

				Minimum For Capital			Minimum To Be Well
				Adequacy Purposes			Capitalized Under
				Plus Capital			Prompt Corrective
	Actual			Conservation Buffer			Action Provisions
	Amount		Ratio	Amount		Ratio	Amount		Ratio
				(dollars in thousands)
As of September 30, 2024
Total Capital (to Risk Weighted Assets)	$	153,215	16.80%	$	95,755	10.50%	$	91,196	10.00%
Tier 1 Capital (to Risk Weighted Assets)		143,386	15.72%		77,516	8.50%		72,956	8.00%
Common Equity Tier 1 Capital (to Risk Weighted Assets)		143,386	15.72%		63,837	7.00%		59,277	6.50%
Tier 1 Capital (to Average Assets)		143,386	10.67%		53,776	4.00%		67,220	5.00%
As of December 31, 2023
Total Capital (to Risk Weighted Assets)	$	149,014	17.30%	$	90,440	10.50%	$	86,133	10.00%
Tier 1 Capital (to Risk Weighted Assets)		139,667	16.22%		73,213	8.50%		68,907	8.00%
Common Equity Tier 1 Capital (to Risk Weighted Assets)		139,667	16.22%		60,293	7.00%		55,987	6.50%
Tier 1 Capital (to Average Assets)		139,667	11.31%		49,406	4.00%		61,758	5.00%