Company: SFNC
Filing Date: 2025-05-08
Form Type: 10-Q
Source: 0001628280-25-023690
Chunk: 136

Company: SIMMONS FIRST NATIONAL CORP
Filing Date: 2025-05-08
Form: 10-Q
Item: Part I, Item 1
Chunk 136
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Risk-Based CapitalMarch 31,December 31,(Dollars in thousands)20252024Tier 1 capital:  Stockholders’ equity$3,531,485 $3,528,872 CECL transition provision— 30,873 Goodwill and other intangible assets(1,381,953)(1,385,128)Unrealized loss on available-for-sale securities, net of income taxes367,710 360,910 Total Tier 1 capital2,517,242 2,535,527 Tier 2 capital:Subordinated notes and debentures366,331 366,293 Subordinated debt phase out(132,000)(132,000)Qualifying allowance for credit losses and reserve for unfunded commitments257,769 222,313 Total Tier 2 capital492,100 456,606 Total risk-based capital$3,009,342 $2,992,133 Risk weighted assets$20,621,540 $20,473,960 Assets for leverage ratio$25,619,424 $26,037,459 Ratios at end of period:Common equity Tier 1 ratio (CET1)12.21 %12.38 %Tier 1 leverage ratio9.83 %9.74 %Tier 1 risk-based capital ratio12.21 %12.38 %Total risk-based capital ratio14.59 %14.61 %Minimum guidelines:Common equity Tier 1 ratio (CET1)4.50 %4.50 %Tier 1 leverage ratio4.00 %4.00 %Tier 1 risk-based capital ratio6.00 %6.00 %Total risk-based capital ratio8.00 %8.00 %

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Regulatory Capital Changes

In December 2018, the Federal Reserve, Office of the Comptroller of the Currency and Federal Deposit Insurance Corporation (“FDIC”) (collectively, the “agencies”) issued a final rule revising regulatory capital rules in anticipation of the adoption of ASU 2016-13 that provided an option to phase in over a three year period on a straight line basis the day-one impact of the adoption on earnings and Tier 1 capital (the “CECL Transition Provision”). 

In March 2020 and in response to the COVID-19 pandemic, the agencies issued a new regulatory capital rule revising