Company: ONBPP
Filing Date: 2025-07-30
Form Type: 10-Q
Source: 0000707179-25-000018
Chunk: 50

Company: OLD NATIONAL BANCORP /IN/
Filing Date: 2025-07-30
Form: 10-Q
Item: Item 1
Chunk 50
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 TAX CREDIT INVESTMENTS

Old National is a limited partner in several tax-advantaged limited partnerships whose purpose is to invest in approved qualified affordable housing, renewable energy, or other renovation or community revitalization projects. These investments are included in other assets on the balance sheet, with any unfunded commitments included with other liabilities. As of June 30, 2025, Old National expects to recover its remaining investments through the use of the tax credits that are generated by the investments. The following table summarizes Old National’s investments in qualified affordable housing projects and other tax credit investments:(dollars in thousands) June 30, 2025December 31, 2024InvestmentAccounting MethodInvestmentUnfundedCommitment (1)InvestmentUnfundedCommitmentLow Income Housing Tax Credit (“LIHTC”)Proportional amortization$234,674 $130,855 $199,350 $115,345 Federal Historic Tax Credit (“FHTC”)Proportional amortization28,224 21,228 30,835 24,869 New Markets Tax Credit (“NMTC”)Consolidation114,142 — 60,462 — Renewable EnergyEquity4 — 4 — Total $377,044 $152,083 $290,651 $140,214 (1)All commitments will be paid by Old National by December 31, 2040. 

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The following table summarizes the amortization expense and tax benefit recognized for Old National’s qualified affordable housing projects and other tax credit investments:(dollars in thousands)AmortizationExpense (1)Tax Expense(Benefit)Recognized (2)Three Months Ended June 30, 2025  LIHTC$3,205 $(4,516)FHTC614 (723)NMTC5,815 (7,049)Total$9,634 $(12,288)Three Months Ended June 30, 2024LIHTC$2,780 $(3,743)FHTC728 (690)NMTC2,546 (3,175)Renewable Energy11 — Total$6,065 $(7,608)Six Months Ended June 30, 2025LIHTC$6,409 $(8,815)FHTC1,169 (1,418