Company: WBS-PG
Filing Date: 2025-05-09
Form Type: 10-Q
Source: 0000801337-25-000026
Chunk: 109

Company: WEBSTER FINANCIAL CORP
Filing Date: 2025-05-09
Form: 10-Q
Item: Part I, Item 2
Chunk 109
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 is dependent on the type and whether the loan or lease is considered to be collateral dependent. Methods for collateral dependent commercial loans are either based on the fair value of the collateral less estimated costs to sell when the basis of repayment is the sale of collateral, or the present value of the expected cash flows from the operation of the collateral. For non-collateral dependent loans, either a discounted cash flow method or other loss factor method is used. Any individually assessed loan or lease for which no specific allowance is deemed necessary is either the result of sufficient cash flows or sufficient collateral coverage relative to the amortized cost of the asset. 

Additional information regarding the Company’s ACL methodology can be found within Note 1: Summary of Significant Accounting Policies in the Notes to Consolidated Financial Statements contained in Part II - Item 8. Financial Statements and Supplementary Data of the Company’s Annual Report on Form 10-K for the year ended December 31, 2024.

Asset Quality Ratios

The Company manages asset quality using risk tolerance levels established through the Company’s underwriting standards, servicing, and management of its loan and lease portfolio. Loans and leases for which a heightened risk of loss has been identified are regularly monitored to mitigate further deterioration and preserve asset quality in future periods. Non-performing assets, credit losses, and net charge-offs are considered by management to be key measures of asset quality.

The following table summarizes key asset quality ratios and their underlying components:(Dollars in thousands)March 31,2025December 31, 2024Non-performing loans and leases (1) (2)$564,398 $461,326 Total loans and leases53,056,223 52,505,168 Non-performing loans and leases as a percentage of total loans and leases 1.06 %0.88 %Non-performing loans and leases (1) (2)$564,398 $461,326 Add: OREO and repossessed assets310 425 Total non-performing assets (1)$564,708 $461,751 Total loans and leases plus OREO and repossessed assets$53,056,533 $52,505,593 Non-performing assets as a percentage of total loans and leases plus OREO   and repossessed assets1.06 %0.88 %Non-performing assets (1)$564,708 $461,751 Total assets80,279,750 79,025,073