Company: USB-PA
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0000036104-25-000055
Chunk: 196

Company: US BANCORP \DE\
Filing Date: 2025-08-07
Form: 10-Q
Chunk 196
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 379,832 |       |

(a) At June 30, 2025, $ 558million of loans 30–89 days past due and $ 2.2billion of loans 90 days or more past due purchased and that could be purchased from GNMA mortgage pools under delinquent loan repurchase options whose repayments are insured by the Federal Housing Administration or guaranteed by the United States Department of Veterans Affairs, were classified as current, compared with $ 660million and $ 2.3billion at December 31, 2024, respectively.

(b) Substantially all nonperforming loans at June 30, 2025 and December 31, 2024, had an associated allowance for credit losses. The Company recognized interest income on nonperforming loans of $ 6million and $ 6million for the three months ended June 30, 2025 and 2024, respectively, and $ 10million and $ 11million for the six months ended June 30, 2025 and 2024, respectively

| 44 |     | U.S. Bancorp |

The amount of foreclosed residential real estate held by the Company, and included in OREO, was $ 21million at both June 30, 2025 and December 31, 2024. These amounts excluded $ 55million and $ 46million at June 30, 2025 and December 31, 2024, respectively, of foreclosed residential real estate related to mortgage loans whose payments are primarily insured by the Federal Housing Administration or guaranteed by the United States Department of Veterans Affairs. In addition, the amount of residential mortgage loans secured by residential real estate in the process of foreclosure at June 30, 2025 and December 31, 2024, was $ 553million and $ 576million, respectively, of which $ 340million and $ 354million, respectively, related to loans purchased and that could be purchased from GNMA mortgage pools under delinquent loan repurchase options whose repayments are insured by the Federal Housing Administration or guaranteed by the United States Department of Veterans Affairs.

The Company classifies its loan portfolio classes using internal credit quality ratings on a quarterly basis. These ratings include pass, special mention and classified, and are an important part of the Company’s overall credit risk management process and evaluation of the allowance for credit losses. Loans with a pass rating represent those loans not classified on the Company’s rating scale for