Company: PNBK
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001628280-25-040370
Chunk: 171

Company: PATRIOT NATIONAL BANCORP INC
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 8
Chunk 171
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 cases, loans are placed on non-accrual status or charged-off, at an earlier date, if collection of principal or interest is considered doubtful.All interest accrued, but not collected for loans that are placed on non-accrual status or charged-off, is reversed against interest income. The interest on these loans is generally accounted for on the cash-basis method until qualifying for return to accrual status. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current, future payments are reasonably assured, after at least six months of timely payment history. The Bank considers loans under $100,000 and consumer installment loans to be pools of smaller homogeneous loan balances, and therefore are collectively evaluated for credit losses, and not individually evaluated for credit losses.

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Table of ContentsPATRIOT NATIONAL BANCORP, INC. AND SUBSIDIARIES Notes to Consolidated Financial Statements (Unaudited)

If non-accrual loans had been performing in accordance with the original contractual terms, additional interest income (net of cash collected) of approximately $941,000 and $2.1 million would have been recognized during the three and six months ended June 30, 2025, respectively. During the three and six months ended June 30, 2024, additional interest income (net of cash collected) of approximately $933,000 and $1.5 million would have been recognized, respectively.Interest income collected and recognized on non-accruing loans for the three and six months ended June 30, 2025 was $64,000 and $82,000, respectively. During the three and six months ended June 30, 2024, interest income collected and recognized on non-accruing loans was $205,000 and $226,000, respectively.

Individually Evaluated LoansThe following table reflects information about the individually evaluated loans by segment as of June 30, 2025 and December 31, 2024: (In thousands)June 30, 2025December 31, 2024Recorded Investment Principal Outstanding Related Allowance Recorded Investment Principal Outstanding Related Allowance With no related allowance recorded:Commercial Real Estate$20,892 $37,581 $— $18,361 $34,224 $— Commercial and Industrial2,856 7,362 — 1,831 2,251 — Construction to permanent - CRE31 149 —