Regulatory Capital

12 Months Ended

Dec. 31, 2022

Banking and Thrift, Interest [Abstract]

Regulatory Capital

Regulatory Capital

The Federal Reserve adopted capital adequacy guidelines that are used to assess the adequacy of capital in supervising a bank holding company. The guidelines require the Company to hold a 2.5 percent capital conservation buffer designed to absorb losses during periods of economic stress. The Company has elected to opt-out of the requirement to include most components of accumulated other comprehensive income. As of December 31, 2022, management believes the Company and Bank meet all capital adequacy requirements to which they are subject.

Prompt corrective action regulations provide the following classifications: well capitalized, adequately capitalized, undercapitalized, significantly undercapitalized and critically undercapitalized. If undercapitalized, capital distributions (including payment of a dividend) are generally restricted, as is paying management fees to its bank holding company. Failure to meet minimum capital requirements set forth in the table below can initiate certain mandatory and possible additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Company’s and Bank’s financial condition. The Company’s and Bank’s capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings and other factors.

At December 31, 2022 and 2021, the most recent regulatory notifications categorized the Company and Bank as well capitalized under the regulatory framework for prompt corrective action. To be well capitalized, the Bank must maintain minimum total capital, Tier 1 capital, Common Tier 1 capital and Tier 1 Leverage ratios as set forth in the table below. There are no conditions or events since December 31, 2022 that management believes have changed the Company’s or Bank’s risk-based capital category.

Current guidance from the Federal Reserve provides, among other things, that dividends per share on the Company’s common stock generally should not exceed earnings per share, measured over the previous four fiscal quarters. In certain circumstances, Montana law also places limits or restrictions on a bank’s ability to declare and pay dividends.

The following tables illustrate the FRB’s adequacy guidelines and the Company’s and the Bank’s compliance with those guidelines:

	December 31, 2022
	Actual				Required for Capital Adequacy Purposes				To Be Well Capitalized Under Prompt Corrective Action Regulations
(Dollars in thousands)	Amount		Ratio		Amount		Ratio		Amount		Ratio
Total capital (to risk-weighted assets)
Consolidated	$	2,629,557	14.02	%	$	1,500,096	8.00	%	N/A		N/A
Glacier Bank	2,544,147		13.58	%	1,498,264		8.00	%	$	1,872,830	10.00	%
Tier 1 capital (to risk-weighted assets)
Consolidated	2,314,322		12.34	%	1,125,072		6.00	%	N/A		N/A
Glacier Bank	2,359,412		12.60	%	1,123,698		6.00	%	1,498,264		8.00	%
Common Equity Tier 1 (to risk-weighted assets)
Consolidated	2,314,322		12.34	%	843,804		4.50	%	N/A		N/A
Glacier Bank	2,359,412		12.60	%	842,774		4.50	%	1,217,340		6.50	%
Tier 1 capital (to average assets)
Consolidated	2,314,322		8.79	%	1,053,214		4.00	%	N/A		N/A
Glacier Bank	2,359,412		8.97	%	1,052,136		4.00	%	1,315,169		5.00	%

	December 31, 2021
	Actual				Required for Capital Adequacy Purposes				To Be Well Capitalized Under Prompt Corrective Action Regulations
(Dollars in thousands)	Amount		Ratio		Amount		Ratio		Amount		Ratio
Total capital (to risk-weighted assets)
Consolidated	$	2,432,364	14.21	%	$	1,369,157	8.00	%	N/A		N/A
Glacier Bank	2,312,775		13.53	%	1,367,488		8.00	%	$	1,709,361	10.00	%
Tier 1 capital (to risk-weighted assets)
Consolidated	2,136,749		12.49	%	1,026,868		6.00	%	N/A		N/A
Glacier Bank	2,147,660		12.56	%	1,025,616		6.00	%	1,367,488		8.00	%
Common Equity Tier 1 (to risk-weighted assets)
Consolidated	2,136,749		12.49	%	770,151		4.50	%	N/A		N/A
Glacier Bank	2,147,660		12.56	%	769,212		4.50	%	1,111,084		6.50	%
Tier 1 capital (to average assets)
Consolidated	2,136,749		8.64	%	989,712		4.00	%	N/A		N/A
Glacier Bank	2,147,660		8.70	%	987,680		4.00	%	1,234,601		5.00	%

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N/A - Not applicable