Company: ASB
Filing Date: 2025-02-12
Form Type: 10-K
Source: 0000007789-25-000013
Chunk: 234

Company: ASSOCIATED BANC-CORP
Filing Date: 2025-02-12
Form: 10-K
Item: Item 7
Chunk 234
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%12,373 — %Commercial real estate — investor$5,227,975 100 %$5,124,245 100 %$5,080,344 100 %$4,384,569 100 %$4,342,584 100 %1-4 family construction$160,699 8 %$275,292 12 %$436,210 20 %$380,160 21 %$270,467 15 %All other construction1,821,933 92 %1,996,106 88 %1,719,012 80 %1,428,816 79 %1,569,950 85 %Real estate construction$1,982,632 100 %$2,271,398 100 %$2,155,222 100 %$1,808,976 100 %$1,840,417 100 %

The Corporation has long-term guidelines relative to the proportion of Commercial and Business, CRE, and Consumer loan commitments within the overall loan portfolio, with each targeted to represent 30 to 40% of the overall loan portfolio. The targeted long-term guidelines were unchanged during 2024 and 2023. Furthermore, certain sub-asset classes within the respective portfolios are further defined and dollar limitations are placed on these sub-portfolios. These guidelines and limits are reviewed quarterly and approved annually by the ERC. These guidelines and limits are designed to create balance and diversification within the loan portfolios.

During the fourth quarter of 2024, the Corporation announced its intention to sell $723 million in residential mortgages at a loss of $130 million related to the balance sheet repositioning announced during the fourth quarter of 2024 which closed in January 2025. 

During the fourth quarter of 2023, the Corporation completed a mortgage portfolio sale of $969 million of residential mortgages sold at a loss of $136 million related to the balance sheet repositioning announced during the fourth quarter of 2023. The proceeds of this sale were used to pay down higher cost funding and increase liquidity capacity. 

56

The Corporation's loan distribution and interest rate sensitivity as of December 31, 2024 are summarized in the following table:

Table 6 Loan Distribution and Interest Rate Sensitivity ($ in thousands)Within 1 Year(a)1-5 Years5-15 YearsOver 15 YearsTotal