Company: WTFCN
Filing Date: 2025-08-06
Form Type: 10-Q
Source: 0001015328-25-000188
Chunk: 73

Company: WINTRUST FINANCIAL CORP
Filing Date: 2025-08-06
Form: 10-Q
Item: Item 1
Chunk 73
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 owned classified as Level 3. The unobservable input applied to other real estate owned relates to the 10% reduction to the appraisal value representing the estimated cost of sale of the foreclosed property. A higher discount for the estimated cost of sale results in a decreased carrying value.The valuation techniques and significant unobservable inputs used to measure both recurring and non-recurring Level 3 fair value measurements at June 30, 2025 were as follows:(Dollars in thousands)Fair ValueValuation MethodologySignificant Unobservable InputInput / Range of InputsWeightedAverageof InputsImpact to valuationfrom an increased orhigher input valueMeasured at fair value on a recurring basis:Municipal securities$116,075 Bond pricingEquivalent ratingBBB-AA+N/AIncreaseMortgage loans held-for-sale27,168 Discounted cash flowsDiscount rate5.44%5.44%DecreaseCredit discount0% - 24%0.80%DecreaseLoans held-for-investment53,037 Discounted cash flowsDiscount rate5.44% - 6.38%5.49%DecreaseCredit discount0% - 18%1.26%DecreaseConstant prepayment rate (CPR) - current loans9.34%9.34%DecreaseAverage life - delinquent loans (in years)1.2 years - 11.5 years5.7 yearsDecreaseMSRs193,061 Discounted cash flowsDiscount rate5% - 27%10.43%DecreaseConstant prepayment rate (CPR)0% - 91%9.34%DecreaseCost of servicing$70 - $200$76 DecreaseCost of servicing - delinquent$200 - 1,000$390 DecreaseDerivatives5,548 Discounted cash flowsPull-through rate3% - 100%80.62 %IncreaseMeasured at fair value on a non-recurring basis:Individually assessed loans - foreclosure probable and collateral-dependent143,486 Appraisal valueAppraisal adjustment - cost of sale10%10.00%DecreaseOther real estate owned23,615 Appraisal valueAppraisal adjustment - cost of sale10%10.00%Decrease

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The Company is required under applicable accounting guidance to report the fair value of all financial instruments on the Consolidated Statements of Condition, including those financial instruments carried at cost. The table below presents