Company: BWFG
Filing Date: 2025-08-06
Form Type: 10-Q
Source: 0001505732-25-000126
Chunk: 101

Company: Bankwell Financial Group, Inc.
Filing Date: 2025-08-06
Form: 10-Q
Item: Part I, Item 8
Chunk 101
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 which the fair value of the security was less than the amortized cost of the security.The U.S. Government and agency obligations owned are either direct obligations of the U.S. Government or guaranteed by the U.S. Government. Therefore, the contractual cash flows are guaranteed and as a result the unrealized losses in this portfolio are considered to be only temporarily impaired.The corporate bonds are investments in subordinated debt of federally insured banks, the majority of which are callable after five years of origination. The Company monitors its corporate bond, state agency and municipal bond portfolios and considers them to have minimal default risk.The Company has the intent and ability to retain its investment securities in an unrealized loss position at June 30, 2025 until the decline in value has recovered or the security has matured.

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3. Loans Receivable and ACL-Loans

The following table sets forth a summary of the loan portfolio at June 30, 2025 and December 31, 2024:(In thousands)June 30, 2025December 31, 2024Real estate loans:Residential$34,978 $42,766 Commercial1,802,224 1,899,134 Construction203,758 173,555 2,040,960 2,115,455 Commercial business559,221 515,125 Consumer68,801 75,308 Total loans2,668,982 2,705,888 ACL-Loans(29,256)(29,007)Deferred loan origination fees, net(3,984)(3,922)Loans receivable, net$2,635,742 $2,672,959 Lending activities primarily consist of commercial real estate loans, commercial business loans and, to a lesser degree, consumer loans. Loans may also be granted for the construction of commercial properties. The majority of commercial mortgage loans are collateralized by first or second mortgages on real estate.Risk managementThe Company has established credit policies applicable to each type of lending activity in which it engages. The Company evaluates the creditworthiness of each client and extends credit of up to 80% of the market value of the collateral, (85% maximum for owner occupied commercial real estate), depending on the client's creditworthiness and the type of collateral. The client’s ability to service the debt is monitored on an ongoing basis. Real estate is the primary form of collateral. Other important forms of collateral are business assets, deposits and marketable