Company: CVBF
Filing Date: 2025-04-08
Form Type: DEF 14A
Source: 0000950170-25-051966
Chunk: 22

Company: CVB FINANCIAL CORP
Filing Date: 2025-04-08
Form: DEF 14A
Chunk 22
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 Climate Principles do not formally apply to Citizens Business Bank at our current asset size, the Climate Principles expressly state that all financial institutions may have “material exposures” to climate-related financial risks, and, accordingly, we believe it is likely that our prudential regulators will expect us to address certain elements of the Climate Principles in connection with their review of specific loans or perceived risks.

Carbon and Climate

During 2024, Citizens Business Bank made or maintained numerous loans designed to support borrowers in financing environmentally sound and sustainable projects that foster a net-zero emissions economy, facilitate adaptation to climate change, or provide other environmental benefits. Specifically, during 2024, Citizens Business Bank made or maintained 17 loans, with an aggregate principal balance of approximately $14 million, to finance our customers' purchase and installation of solar equipment to generate electricity, including solar arrays and panels. In addition, also in 2024, Citizens Business Bank originated a guidance line of credit with a commitment amount of $400,000 to provide financing for the purchase of electric vehicles. The Bank also renewed three loans, with respective outstanding principal balances of $1.2 million for electric car charging stations, $4.9 million to reduce ash emissions in mining, and $1.4 million in the form of a letter of credit for solar panels to power electric vehicle charging stations.

Furthermore, during 2024, Citizens Business Bank continued to maintain a term loan with a committed principal amount up to $70 million to provide financing for the construction of a customer’s co-generation plant which is designed to replace an older on-site generator and to produce both electricity and heat more efficiently. Moreover, as part of Citizens Business Bank’s dairy and agricultural lending activities, we continued to maintain a commitment up to a maximum amount of $7 million loan to provide a gas pipeline partnership with working capital, pending the partnership’s receipt of low carbon fuel credits on a biogas facility designed to process and utilize raw methane gas generated by local dairy farms that would otherwise be released into the atmosphere.

With respect to our ongoing lending programs, among other targeted products, Citizens Business Bank offers C-PACE loans for commercial property owners and developers. Commercial property owners and developers can utilize C-PACE loans to fund environmental improvements to reduce their properties’ carbon footprint and energy usage. The C-PACE program enables such owners and developers to improve their properties’ infrastructure, by providing support for lender financing to help advance important public purposes, including greenhouse gas emission reductions, lower water usage, wildfire mitigation and seismic safety. These enhancements are typically focused