Company: FSBC
Filing Date: 2025-11-06
Form Type: 10-Q
Source: 0001628280-25-050090
Chunk: 12

Company: FIVE STAR BANCORP
Filing Date: 2025-11-06
Form: 10-Q
Item: Part I, Item 1
Chunk 12
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, 2024(in thousands)Carrying AmountsFair ValueFair Value HierarchyCarrying AmountsFair ValueFair Value HierarchyFinancial assets:Cash and cash equivalents$580,447 $580,447 Level 1$352,343 $352,343 Level 1Time deposits in banks100 100 Level 14,121 4,121 Level 1Securities available-for-sale95,635 95,635 Level 298,194 98,194 Level 2Securities held-to-maturity2,190 1,996 Level 32,720 2,353 Level 3Loans held for sale— — Level 23,247 3,597 Level 2Loans held for investment, net of allowance for credit losses3,845,198 3,786,585 Level 33,494,895 3,412,032 Level 3Financial liabilities:Time deposits625,580 624,992 Level 2670,154 669,078 Level 2Subordinated notes74,004 73,546 Level 373,895 73,371 Level 3The Company used the following methods and assumptions to estimate the fair value of its financial instruments at September 30, 2025 and December 31, 2024:Cash and cash equivalents and time deposits in banks: The carrying amount is estimated to be fair value due to the liquid nature of the assets and their short-term maturities.Investment securities: See discussion above for the methods and assumptions used by the Company to estimate the fair value of available-for-sale investment securities. The fair value of held-to-maturity securities is estimated by calculating the net present value of future cash flows based on observable market data, such as interest rates and yield curves (observable at commonly quoted intervals) as provided by an independent third party.Loans held for sale: The fair value is based on what secondary markets are currently offering for portfolios with similar characteristics.Loans held for investment, net of allowance for credit losses: For variable rate loans that reprice frequently with no significant change in credit risk, fair values are based on carrying values. Fair values for other loans are estimated using discounted cash flow analyses, which use interest rates being offered at each reporting date for loans with similar terms to borrowers of comparable creditworthiness without considering widening credit spreads due to market illiquidity, which approximates the exit price notion. The allowance for credit losses