FDIC QUARTERLY A

Quarterly

2019

Volume 13, Number 2

Federal Deposit 

Insurance Corporation

Quarterly Banking Profile:

First Quarter 2019

Highlights:

■ Quarterly Net Income Increases 8.7 Percent From 

First Quarter 2018 to $60.7 Billion

■ Net Interest Margin Improves to 3.42 Percent 

as the Increase in Asset Yield Outpaces the 

Rise in Funding Cost 

■ Community Bank Net Income Increases 

10.1 Percent Year Over Year 

■ Insured Deposits Grow by 2.3 Percent 

■ DIF Reserve Ratio Is Unchanged at 1.36 Percent
FDIC QUARTERLY

The FDIC Quarterly is published by the Division of Insurance and Research of the 

Federal Deposit Insurance Corporation and contains a comprehensive summary of the 

most current financial results for the banking industry. Feature articles appearing in the 

FDIC Quarterly range from timely analysis of economic and banking trends at the national 

and regional level that may affect the risk exposure of FDIC-insured institutions to research 

on issues affecting the banking system and the development of regulatory policy.

Single copy subscriptions of the FDIC Quarterly can be obtained through the FDIC Public 

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The FDIC Quarterly is available online by visiting the FDIC website at www.fdic.gov. 

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individual feature articles, subscribe at www.fdic.gov/about/subscriptions/index.html.

Chairman

Jelena McWilliams

Director, Division of Insurance and Research

Diane Ellis

Executive Editor

George French

Managing Editors

Rosalind Bennett

Alan Deaton

Patrick Mitchell

Shayna M. Olesiuk

Philip A. Shively

Editors

Clayton Boyce

Kathy Zeidler

Publication Manager

Lynne Montgomery

Media Inquiries

(202) 898-6993
FDIC QUARTERLY i

2019 FDIC QUARTERLY

Volume 13 • Number 2

Some of the information used in the preparation of this publication was obtained from publicly available sources that are considered reliable. However, the use of this information 

does not constitute an endorsement of its accuracy by the Federal Deposit Insurance Corporation. Articles may be reprinted or abstracted if the publication and author(s) are 

credited. Please provide the FDIC’s Division of Insurance and Research with a copy of any publications containing reprinted material.

Quarterly Banking Profile: First Quarter 2019

FDIC-insured institutions reported aggregate net income of $60.7 billion in the first quarter 

of 2019, up $4.9 billion (8.7 percent) from a year earlier. The increase in net income was 

mainly attributable to a $7.9 billion (6 percent) increase in net interest income. The average 

return on assets increased to 1.35 percent, up from 1.28 percent a year earlier. Almost 

two-thirds of all institutions reported annual increases in net income and less than 4 percent 

of institutions were unprofitable. See page 1.

Community Bank Performance Community banks—which represent 92 percent of insured institutions—reported net 

income of $6.5 billion in the first quarter, up $595 million (10.1 percent) from a year earlier. 

The increase was driven by higher net interest income (up $1.1 billion, or 6.4 percent), higher 

realized gains on securities (up $111 million, or 207 percent), and lower provision expense 

(down $138 million, or 17.3 percent). Lower noninterest income (down $84 million, or 

1.9 percent) and higher noninterest expense (up $584 million, or 4 percent) partially offset 

improvements to net income. See page 15.

Insurance Fund Indicators The Deposit Insurance Fund (DIF) balance increased by $2.3 billion during the quarter to 

$104.9 billion on March 31, driven by assessment income, interest earned, and unrealized 

gains on securities. The DIF’s reserve ratio (the fund balance as a percent of estimated 

insured deposits) was 1.36 percent on March 31, 2019, unchanged from December 31, 2018, 

and up from 1.30 percent on March 31, 2018. See page 23.

2019 FDIC QUARTERLY
QUARTERLY BANKING PROFILE First Quarter 2019

FDIC QUARTERLY 1

INSURED INSTITUTION PERFORMANCE

Quarterly Net Income Increases 8.7 Percent From First Quarter 2018 to $60.7 Billion

Net Interest Margin Improves to 3.42 Percent as the Increase in Asset Yield Outpaces the Rise in Funding Cost

Loan Balances Drop Slightly From the Previous Quarter but Increase 4.1 Percent From a Year Ago

Noncurrent and Net Charge-Off Rates Remain Stable

The Number of Banks on the FDIC’s “Problem Bank List” Declines to 59

Net Income Increases 

8.7 Percent From 

First Quarter 2018 to 

$60.7 Billion

The aggregate net income for the 5,362 FDIC-insured commercial banks and savings institutions totaled $60.7 billion in first quarter 2019, an increase of $4.9 billion (8.7 percent) from 

a year ago. The improvement in net income was led by higher net interest income, which 

reflected a modest growth in interest-earning assets and wider net interest margins (NIM). 

Almost two out of every three banks (62.3 percent) reported year-over-year increases in net 

income, and less than 4 percent of banks reported net losses for the quarter. The average 

return on assets rose to 1.35 percent, an improvement from the 1.28 percent a year earlier.

Net Interest Income 

Expands 6 Percent 

From a Year Ago

Net interest income of $139.3 billion rose by $7.9 billion (6 percent) from 12 months ago, as 

more than three out of every four banks (79.2 percent) reported year-over-year increases. 

NIM for the banking industry increased by 10 basis points from a year ago to 3.42 percent, 

as average asset yields (up 49 basis points) increased by more than average funding costs 

(up 39 basis points). The largest institutions (banks with assets greater than $250 billion) 

reported the largest annual increase in NIM (up 11 basis points), almost twice the rate of all 

other institution size groups.

Loan-Loss Provisions Rise 

Almost 12 Percent From 

First Quarter 2018

Banks allocated $13.9 billion in loan-loss provisions in the first quarter, an increase of 

$1.5 billion (11.8 percent) from a year earlier. Slightly more than one-third of all banks 

(35.2 percent) reported annual increases in loan-loss provisions. A large portion of the 

annual increase was concentrated among the largest banks.

Securities and Other Gains/Losses, Net

Net Operating Income

Quarterly Net Income

All FDIC-Insured Institutions

$ Billions

Source: FDIC.

60.7

-15

-25

-5

5

15

25

35

45

55

65

2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019

Chart 1

Quarterly Noninterest Income 

Quarterly Net Interest Income 

Quarterly Net Operating Revenue 

All FDIC-Insured Institutions

$ Billions

Source: FDIC.

0

20

40

60

80

100

120

140

160

180

200

220

2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019

204.7

Chart 2
2 0 1 9  •  Volume 1 3 • Number 2

2 FDIC QUARTERLY

Noninterest Income 

Declines 2.9 Percent 

From a Year Ago

Noninterest income declined by $2 billion (2.9 percent) from a year ago, due to lower servicing fees, which fell by $2.1 billion (58.3 percent), and all other noninterest income, which 

declined by $1.1 billion (3.6 percent). Despite the overall decline in noninterest income, 

trading revenue rose by $2.5 billion (32.8 percent). Slightly more than half of all banks 

(52.6 percent) reported annual declines in noninterest income.

Noninterest Expense 

Declines From 

First Quarter 2018

Noninterest expense fell by $427.1 million (0.4 percent) from a year earlier. The increase 

in salary and employee benefits (up $1.1 billion, or 2 percent) was offset by a decline in all 

other noninterest expense (down $1.4 billion, or 3 percent). The average assets per employee 

increased from $8.4 million in first quarter 2018 to $8.8 million.

Net Charge-Offs 

Increase 5.5 Percent 

From 12 Months Ago

During the first quarter, banks charged off $12.7 billion in uncollectable loans, an increase of 

$667.9 million (5.5 percent) from first quarter 2018. Credit card balances reported the largest 

year-over-year dollar increase in net charge-offs, increasing by $543.4 million (6.6 percent). 

The average net charge-off rate remained unchanged from a year ago (0.50 percent). For 

eight out of the past ten quarters, the net charge-off rate for credit cards increased, reaching 

3.97 percent for the current quarter.

Noncurrent Loan Rate 

Remains Below 1 Percent

Noncurrent loan balances (90 days or more past due or in nonaccrual status) increased 

by $461.6 million (0.5 percent) from the previous quarter. Less than half of all banks 

(41.2 percent) reported increases in noncurrent loan balances. The quarterly increase was 

in commercial and industrial loan balances, which rose by $3.3 billion (22.8 percent), the 

largest quarterly dollar increase since first quarter 2016. The banking industry continued to 

reduce noncurrent loans for residential mortgages, which declined by $2.2 billion (5 percent) 

from the previous quarter. The average noncurrent rate remained unchanged from the previous quarter at 0.99 percent.

Source: FDIC.

Percent

Noncurrent Loan Rate and Quarterly Net Charge-O
 Rate

All FDIC-Insured Institutions

0

1

2

3

4

5

6

Quarterly Net Charge-O Rate

Noncurrent Loan Rate

2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019

Chart 3

Source: FDIC.

Note: Loan-loss reserves to noncurrent loans and leases.

$ Billions Coverage Ratio (Percent)

Reserve Coverage Ratio

All FDIC-Insured Institutions

0

50

100

150

200

250

300

350

400

450

0

20

40

60

80

100

120

140

160

180

 Loan-Loss Reserves ($) 

 Noncurrent Loans ($)

 Noncurrents Adjusted for GNMA Guaranteed Loans ($)

 Coverage Ratio (%) 

 Coverage Adjusted for GNMA Guaranteed Loans (%)

2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019

Chart 4
QUARTERLY BANKING PROFILE

FDIC QUARTERLY 3

Loan-Loss Reserves Increase 

From the Previous Quarter

At the end of first quarter, loan-loss reserves increased by $432.3 billion (0.3 percent) from 

the previous quarter. Almost two-thirds of all banks (64.9 percent) reported increases in 

loan-loss reserves during the quarter. At banks that itemize their loan-loss reserves, which 

represent 91 percent of total industry loan-loss reserves, the quarterly growth was attributable to commercial loans (up $761.4 million, or 2.4 percent) and other consumer (up 

$308.3 million, or 3.1 percent), which excludes credit cards. For the past 11 consecutive quarters, growth in total itemized loan-loss reserves was attributable to credit cards; however, 

credit card losses remained stable during the first quarter, increasing by only $54.2 million 

(0.1 percent).

Equity Capital Increases 

From the Fourth Quarter

During the three months ended March 31, equity capital of $2.1 trillion rose by $36.9 billion 

(1.8 percent). Retained earnings in first quarter 2019 totaled $22.1 billion and dividends paid 

rose to $38.6 billion, an increase of $7.9 billion (25.9 percent). Accumulated other comprehensive income increased by $20.6 billion, as the fair value of securities improved. At the end 

of first quarter, 99.6 percent of all insured institutions, which account for 99.87 percent of 

total industry assets, met or exceeded the requirements for the well-capitalized category, as 

defined for Prompt Corrective Action.

Total Assets Increase From 

the Previous Quarter

Total assets increased by $147 billion (0.8 percent) during the first quarter. Assets in trading accounts increased by $94.2 billion (16.5 percent), the largest quarterly dollar increase 

since first quarter 2008. Securities holdings among the banking industry remained stable 

(up $1.3 billion, or .003 percent) from the previous quarter. Mortgage-backed securities 

rose by $30.6 billion (1.4 percent), but were offset in part by lower U.S. Treasury securities 

(down $11.4 billion, or 2.1 percent) and state and municipal securities (down $7.6 billion, or 

2.3 percent).

Held-to-Maturity Securities

Available-for-Sale Securities

Unrealized Gains (Losses) on Investment Securities

All FDIC-Insured Institutions

$ Billions

Source: FDIC.

-100

-80

-60

-40

-20

 0

20

40

60

80

100

-5

2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019

Chart 5

Quarterly Change in Loan Balances

All FDIC-Insured Institutions

Source: FDIC.

Note: FASB Statements 166 and 167 resulted in the consolidation of large amounts of securitized loan

balances back onto banks’ balance sheets in the rst quarter of 2010. Although the total amount 

consolidated cannot be precisely quantied, the industry would have reported a decline in loan balances 

for the quarter absent this change in accounting standards.

$ Billions Percent

-300

-200

-100

0

100

200

300

-10

-8

-6

-4

-2

0

2

4

6

8

Quarterly Change (Le Axis)

12-Month Growth Rate (Right Axis)

-5

2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019

Chart 6
2 0 1 9  •  Volume 1 3 • Number 2

4 FDIC QUARTERLY

Loan Balances Drop Slightly 

From the Previous Quarter 

but Increase 4.1 Percent 

From a Year Ago

Total loan and lease balances fell by $4.8 billion (0.05 percent) compared with the previous 

quarter. More than half of all banks (57.5 percent) reported quarterly increases in loan and 

lease balances. Commercial and industrial loans increased by $37.7 billion (1.7 percent), 

while consumer loans, including credit card balances, fell by $37 billion (2.1 percent). Over 

the past 12 months, total loan and lease balances increased by $395 billion (4.1 percent), 

a slight decline from the 4.4 percent annual growth rate reported last quarter. All major 

loan categories reported year-over-year increases, led by commercial and industrial loans 

(up $155.6 billion, or 7.6 percent) and consumer loans, which includes credit card balances 

(up $71.3 billion, or 4.4 percent).

Noninterest-Bearing 

Deposits Decline 3.2 Percent 

From the Previous Quarter

Total deposits rose by $59.5 billion (0.4 percent) from the previous quarter, as interestbearing deposits increased by $172.4 billion (1.8 percent). Noninterest-bearing deposits 

declined by $100.4 billion (3.2 percent), the largest quarterly dollar decline since reporting 

the Quarterly Banking Profile, and deposits in foreign offices fell by $12.5 billion (1 percent). 

Nondeposit liabilities rose by $50.6 billion (2.5 percent) from the previous quarter, with the 

increase led by other secured borrowings (up $35.8 billion, or 18.7 percent) and other liabilities (up $28 billion, or 7.3 percent). Federal Home Loan Bank advances fell by $50.3 billion 

(8.8 percent) from the previous quarter, the largest quarterly dollar decline since first 

quarter 2010.

The Number of Banks on 

the FDIC’s “Problem Bank 

List” Declines to 59

The FDIC’s “Problem Bank List” declined from 60 at year end to 59 at the end of first 

quarter, the lowest since first quarter 2007. Total assets of problem banks declined from 

$48.5 billion to $46.7 billion. During the first quarter, one new bank was chartered, 43 institutions were absorbed by mergers, and no banks failed.

Author:

Benjamin Tikvina

Senior Financial Analyst

Division of Insurance and Research

Source: FDIC.

Number

Number and Assets of Banks on the “Problem Bank List” 

0

100

200

300

400

500

600

700

800

900

1,000

0

50

100

150

200

250

300

350

400

450

500

Assets ($ Billions)

Number of Problem Banks

Assets of Problem Banks 

2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019

Chart 7
QUARTERLY BANKING PROFILE

FDIC QUARTERLY 5

TABLE I-A. Selected Indicators, All FDIC-Insured Institutions*

2019** 2018** 2018 2017 2016 2015 2014

Return on assets (%) 1.35 1.28 1.35 0.97 1.04 1.04 1.01

Return on equity (%) 11.93 11.41 11.98 8.60 9.27 9.29 9.01

Core capital (leverage) ratio (%) 9.76 9.66 9.70 9.63 9.48 9.59 9.44

Noncurrent assets plus other real estate owned to assets (%) 0.60 0.69 0.60 0.72 0.86 0.97 1.20

Net charge-offs to loans (%) 0.50 0.50 0.48 0.50 0.47 0.44 0.49

Asset growth rate (%) 3.19 3.34 3.03 3.79 5.09 2.66 5.59

Net interest margin (%) 3.42 3.32 3.40 3.25 3.13 3.07 3.14

Net operating income growth (%) 7.79 28.02 45.45 -3.27 4.43 7.11 -0.73

Number of institutions reporting 5,362 5,607 5,406 5,670 5,913 6,182 6,509

Commercial banks 4,681 4,881 4,715 4,918 5,112 5,338 5,607

Savings institutions 681 726 691 752 801 844 902

Percentage of unprofitable institutions (%) 3.90 4.10 3.37 5.61 4.48 4.82 6.27

Number of problem institutions 59 92 60 95 123 183 291

Assets of problem institutions (in billions) $47 $56 $48 $14 $28 $47 $87

Number of failed institutions 0 0 0 8 5 8 18

* Excludes insured branches of foreign banks (IBAs).

** Through March 31, ratios annualized where appropriate. Asset growth rates are for 12 months ending March 31.

TABLE II-A. Aggregate Condition and Income Data, All FDIC-Insured Institutions

(dollar figures in millions)  1st Quarter

2019

4th Quarter

2018

1st Quarter

2018

%Change 

18Q1-19Q1

Number of institutions reporting 5,362 5,406 5,607 -4.4

Total employees (full-time equivalent) 2,065,589 2,067,089 2,076,952 -0.5

CONDITION DATA

Total assets $18,089,974 $17,942,980 $17,531,573 3.2

Loans secured by real estate 4,902,373 4,887,679 4,795,167 2.2

 1-4 Family residential mortgages 2,122,034 2,119,372 2,072,593 2.4

 Nonfarm nonresidential 1,457,670 1,445,558 1,402,661 3.9

 Construction and development 353,863 349,877 344,126 2.8

 Home equity lines 365,370 375,637 398,436 -8.3

Commercial & industrial loans 2,202,375 2,164,628 2,046,760 7.6

Loans to individuals 1,705,830 1,742,851 1,634,548 4.4

 Credit cards 859,946 903,492 820,415 4.8

Farm loans 78,531 82,339 75,612 3.9

Other loans & leases 1,260,625 1,277,064 1,202,566 4.8

Less: Unearned income 2,347 2,383 2,283 2.8

Total loans & leases 10,147,387 10,152,178 9,752,370 4.1

Less: Reserve for losses 125,180 124,748 123,745 1.2

Net loans and leases 10,022,207 10,027,430 9,628,625 4.1

Securities 3,724,357 3,723,060 3,598,925 3.5

Other real estate owned 6,556 6,692 8,131 -19.4

Goodwill and other intangibles 399,300 398,751 388,771 2.7

All other assets 3,937,554 3,787,046 3,907,121 0.8

Total liabilities and capital 18,089,974 17,942,980 17,531,573 3.2

Deposits 13,925,690 13,866,197 13,528,921 2.9

 Domestic office deposits 12,684,901 12,612,872 12,256,881 3.5

 Foreign office deposits 1,240,788 1,253,325 1,272,040 -2.5

Other borrowed funds 1,506,502 1,476,249 1,471,095 2.4

Subordinated debt 68,853 68,677 69,852 -1.4

All other liabilities 529,428 509,255 493,097 7.4

Total equity capital (includes minority interests) 2,059,501 2,022,601 1,968,609 4.6

 Bank equity capital 2,056,019 2,019,129 1,965,010 4.6

Loans and leases 30-89 days past due 64,285 65,402 63,132 1.8

Noncurrent loans and leases 100,731 100,270 112,484 -10.4

Restructured loans and leases 55,265 55,742 58,446 -5.4

Mortgage-backed securities 2,217,673 2,187,118 2,113,535 4.9

Earning assets 16,350,078 16,255,829 15,883,675 2.9

FHLB Advances 521,067 571,406 553,988 -5.9

Unused loan commitments 7,988,973 7,819,732 7,721,880 3.5

Trust assets 20,144,362 19,303,597 20,291,989 -0.7

Assets securitized and sold 571,792 604,694 657,694 -13.1

Notional amount of derivatives 203,961,454 178,089,368 206,001,576 -1.0

INCOME DATA

Full Year 

2018

Full Year

 2017 %Change

1st Quarter 

2019

1st Quarter 

2018

%Change 

18Q1-19Q1

Total interest income $660,985 $572,277 15.5 $179,354 $154,915 15.8

Total interest expense 119,800 73,254 63.5 40,092 23,569 70.1

Net interest income 541,186 499,023 8.5 139,261 131,346 6.0

Provision for loan and lease losses 50,028 51,134 -2.2 13,874 12,409 11.8

Total noninterest income 266,170 255,188 4.3 65,405 67,392 -3.0

Total noninterest expense 459,322 442,874 3.7 115,292 115,719 -0.4

Securities gains (losses) 325 2,129 -84.7 867 240 260.6

Applicable income taxes 61,006 97,816 -37.6 15,580 14,909 4.5

Extraordinary gains, net* -267 -87 -206.4 -8 -8 -3.8

Total net income (includes minority interests) 237,058 164,428 44.2 60,779 55,933 8.7

 Bank net income 236,770 164,092 44.3 60,714 55,841 8.7

Net charge-offs 47,498 46,805 1.5 12,736 12,068 5.5

Cash dividends 164,731 121,413 35.7 38,631 30,695 25.9

Retained earnings 72,040 42,679 68.8 22,083 25,145 -12.2

Net operating income 237,083 162,998 45.5 60,088 55,746 7.8

* See Notes to Users for explanation.
2 0 1 9  •  Volume 1 3 • Number 2

6 FDIC QUARTERLY

TABLE III-A. First Quarter 2019, All FDIC-Insured Institutions

Asset Concentration Groups*

FIRST QUARTER

(The way it is...)

All Insured 

Institutions

Credit 

Card 

Banks

International 

Banks

Agricultural 

Banks

Commercial 

Lenders

Mortgage 

Lenders

Consumer 

Lenders

Other 

Specialized 

<$1 Billion

All Other 

<$1 Billion

All Other 

>$1 Billion

Number of institutions reporting 5,362 12 5 1,315 2,853 395 70 235 424 53

Commercial banks 4,681 11 5 1,303 2,565 111 50 213 380 43

Savings institutions 681 1 0 12 288 284 20 22 44 10

Total assets (in billions) $18,090.0 $663.3 $4,340.2 $283.7 $6,326.3 $356.1 $220.2 $38.8 $75.7 $5,785.7

Commercial banks 16,906.6 571.0 4,340.2 278.6 5,880.2 112.4 113.0 34.4 66.0 5,510.7

Savings institutions 1,183.4 92.3 0.0 5.1 446.1 243.7 107.2 4.3 9.7 275.0

Total deposits (in billions) 13,925.7 394.0 3,127.0 235.2 4,979.3 277.3 182.0 30.9 64.0 4,636.0

Commercial banks 12,984.7 326.1 3,127.0 232.5 4,646.2 88.6 91.5 27.8 56.4 4,388.6

Savings institutions 940.9 67.9 0.0 2.7 333.0 188.8 90.5 3.1 7.6 247.3

Bank net income (in millions) 60,714 5,011 13,067 947 19,212 1,063 724 339 204 20,148

Commercial banks 56,704 4,134 13,067 915 18,192 464 504 164 180 19,084

Savings institutions 4,011 877 0 32 1,021 599 220 175 24 1,064

Performance Ratios (annualized, %)

Yield on earning assets 4.41 12.65 3.64 4.68 4.50 3.82 5.23 3.66 4.27 3.89

Cost of funding earning assets 0.98 2.29 1.01 0.90 0.96 0.91 0.97 0.58 0.66 0.86

Net interest margin 3.42 10.37 2.62 3.78 3.54 2.91 4.26 3.08 3.61 3.04

Noninterest income to assets 1.45 3.59 1.90 0.60 1.02 1.30 1.10 7.79 0.82 1.38

Noninterest expense to assets 2.56 6.29 2.47 2.53 2.54 2.57 2.82 6.65 2.89 2.20

Loan and lease loss provision to assets 0.31 3.11 0.22 0.08 0.17 0.01 0.59 0.09 0.08 0.23

Net operating income to assets 1.34 3.04 1.19 1.33 1.22 1.15 1.32 3.40 1.06 1.38

Pretax return on assets 1.70 3.87 1.54 1.53 1.54 1.55 1.81 4.05 1.24 1.73

Return on assets 1.35 3.05 1.21 1.34 1.23 1.21 1.33 3.53 1.09 1.39

Return on equity 11.93 19.98 12.29 11.61 10.21 10.96 12.54 20.91 8.80 12.47

Net charge-offs to loans and leases 0.50 4.09 0.55 0.19 0.17 0.02 0.79 0.23 0.08 0.38

Loan and lease loss provision to 

net charge-offs 108.94 94.92 106.22 58.47 143.41 119.37 105.87 141.01 180.05 116.16

Efficiency ratio 55.85 47.00 58.25 60.87 59.20 62.82 52.90 62.55 68.93 52.73

% of unprofitable institutions 3.90 0.00 0.00 2.89 3.58 9.62 1.43 5.53 3.54 3.77

% of institutions with earnings gains 62.76 83.33 20.00 60.46 65.69 51.90 58.57 61.70 60.61 69.81

Condition Ratios (%)

Earning assets to total assets 90.38 93.11 87.88 93.48 90.82 94.64 95.65 92.00 92.99 90.81

Loss allowance to:

Loans and leases 1.23 4.42 1.32 1.38 1.00 0.63 1.07 1.62 1.23 1.03

Noncurrent loans and leases 124.27 287.81 136.99 116.62 124.16 32.53 159.25 116.03 124.10 90.61

Noncurrent assets plus

other real estate owned to assets 0.60 1.20 0.39 0.92 0.64 1.21 0.47 0.46 0.71 0.60

Equity capital ratio 11.37 15.22 9.85 11.70 12.09 11.05 10.61 17.09 12.44 11.25

Core capital (leverage) ratio 9.76 13.41 8.76 11.32 10.19 10.84 10.86 16.50 12.47 9.36

Common equity tier 1 capital ratio 13.26 14.34 13.53 14.84 12.28 21.77 17.64 36.26 21.02 13.37

Tier 1 risk-based capital ratio 13.34 14.45 13.62 14.85 12.36 21.78 17.87 36.28 21.07 13.44

Total risk-based capital ratio 14.69 16.44 15.03 15.93 13.60 22.54 18.89 37.10 22.13 14.85

Net loans and leases to deposits 71.97 125.51 50.14 81.49 89.18 75.92 82.55 33.95 66.34 62.85

Net loans to total assets 55.40 74.56 36.13 67.55 70.19 59.12 68.25 27.05 56.07 50.36

Domestic deposits to total assets 70.12 58.50 47.97 82.90 78.41 77.57 82.66 79.66 84.52 77.19

Structural Changes

New reporters 1 0 0 0 1 0 0 0 0 0

Institutions absorbed by mergers 43 0 0 9 31 1 0 1 1 0

Failed institutions 0 0 0 0 0 0 0 0 0 0

PRIOR FIRST QUARTERS

(The way it was...)

Number of institutions 2018 5,607 11 6 1,355 2,935 412 61 273 496 58

 2016 6,122 14 5 1,459 3,045 502 60 336 635 66

 2014 6,730 16 4 1,480 3,324 563 54 444 783 62

Total assets (in billions) 2018 $17,531.6 $542.0 $4,368.1 $270.7 $6,054.3 $353.4 $278.1 $45.2 $85.8 $5,533.9

 2016 16,293.3 540.1 4,014.9 275.5 5,741.8 404.6 193.1 60.1 112.5 4,950.8

 2014 14,909.9 592.3 3,723.9 244.9 4,977.3 575.5 164.1 70.2 141.2 4,420.5

Return on assets (%) 2018 1.28 2.64 1.20 1.30 1.24 1.04 1.42 3.17 1.02 1.25

 2016 0.97 2.72 0.83 1.21 0.90 0.97 1.08 2.36 0.89 0.92

 2014 1.01 3.48 0.77 1.11 0.95 0.84 1.02 1.85 0.82 0.94

Net charge-offs to loans & leases (%) 2018 0.50 4.26 0.54 0.07 0.19 0.04 0.61 0.14 0.15 0.40

 2016 0.46 3.07 0.57 0.10 0.20 0.06 0.68 0.07 0.16 0.42

 2014 0.52 3.03 0.72 0.07 0.27 0.24 0.72 0.11 0.17 0.34

Noncurrent assets plus 

OREO to assets (%) 2018 0.69 1.25 0.44 0.87 0.69 1.77 0.42 0.55 0.78 0.77

 2016 0.96 0.88 0.69 0.75 0.99 1.84 0.90 0.62 1.10 1.10

 2014 1.51 0.87 0.98 0.96 1.57 1.78 1.15 0.87 1.57 1.99

Equity capital ratio (%) 2018 11.21 16.03 9.89 11.20 11.88 11.27 10.05 15.71 11.58 11.06

 2016 11.25 14.82 9.89 11.57 11.82 11.36 10.02 14.67 11.90 11.28

 2014 11.22 14.75 9.34 11.06 11.92 11.69 9.64 13.54 11.56 11.49

* See Table V-A (page 10) for explanations.
QUARTERLY BANKING PROFILE

FDIC QUARTERLY 7

TABLE III-A. First Quarter 2019, All FDIC-Insured Institutions 

Asset Size Distribution Geographic Regions*

FIRST QUARTER

(The way it is...)

All Insured 

Institutions

Less Than 

$100 

Million

$100 

Million to 

$1 Billion

$1 Billion 

to $10 

Billion

$10 Billion 

to $250 

Billion

Greater 

Than $250 

Billion

New 

York Atlanta Chicago

Kansas 

City Dallas

San 

Francisco

Number of institutions reporting 5,362 1,267 3,306 648 132 9 652 621 1,156 1,368 1,172 393

Commercial banks 4,681 1,123 2,905 528 116 9 338 568 995 1,323 1,100 357

Savings institutions 681 144 401 120 16 0 314 53 161 45 72 36

Total assets (in billions) $18,090.0 $75.5 $1,096.4 $1,710.2 $6,315.1 $8,892.9 $3,362.7 $3,704.5 $4,125.9 $3,678.0 $1,149.4 $2,069.5

Commercial banks 16,906.6 67.0 945.5 1,387.3 5,613.9 8,892.9 2,947.2 3,597.6 4,026.2 3,634.3 1,003.5 1,697.8

Savings institutions 1,183.4 8.4 150.9 322.9 701.2 0.0 415.5 106.9 99.7 43.7 146.0 371.7

Total deposits (in billions) 13,925.7 62.7 917.3 1,381.6 4,805.8 6,758.4 2,543.6 2,941.3 3,018.3 2,850.3 934.5 1,637.6

Commercial banks 12,984.7 56.4 797.7 1,133.1 4,239.1 6,758.4 2,229.2 2,857.9 2,947.3 2,816.5 818.9 1,315.0

Savings institutions 940.9 6.3 119.6 248.5 566.6 0.0 314.4 83.4 71.0 33.8 115.6 322.6

Bank net income (in millions) 60,714 189 3,344 5,243 22,553 29,387 9,736 12,838 13,495 11,917 3,762 8,966

Commercial banks 56,704 165 2,866 4,435 19,850 29,387 8,844 12,608 13,137 11,790 3,392 6,932

Savings institutions 4,011 23 477 807 2,703 0 892 230 358 127 370 2,033

Performance Ratios (annualized, %)

Yield on earning assets 4.41 4.52 4.68 4.70 4.97 3.91 4.63 4.46 3.69 4.42 4.74 5.12

Cost of funding earning assets 0.98 0.71 0.86 0.96 1.12 0.91 1.20 0.86 0.89 1.03 0.84 1.05

Net interest margin 3.42 3.81 3.82 3.74 3.85 2.99 3.43 3.60 2.80 3.40 3.90 4.07

Noninterest income to assets 1.45 1.32 1.10 1.05 1.42 1.60 1.29 1.37 1.91 1.21 1.15 1.56

Noninterest expense to assets 2.56 3.62 3.14 2.82 2.63 2.39 2.54 2.49 2.61 2.42 2.93 2.69

Loan and lease loss provision to assets 0.31 0.13 0.12 0.18 0.47 0.24 0.39 0.37 0.15 0.31 0.18 0.46

Net operating income to assets 1.34 0.98 1.21 1.20 1.43 1.31 1.14 1.39 1.31 1.27 1.33 1.73

Pretax return on assets 1.70 1.13 1.43 1.55 1.84 1.66 1.46 1.75 1.67 1.60 1.62 2.25

Return on assets 1.35 1.00 1.23 1.24 1.44 1.33 1.16 1.39 1.32 1.30 1.33 1.74

Return on equity 11.93 7.31 10.59 10.42 11.79 12.62 9.18 11.51 12.79 12.60 11.18 15.64

Net charge-offs to loans and leases 0.50 0.12 0.09 0.17 0.73 0.46 0.61 0.58 0.24 0.52 0.20 0.79

Loan and lease loss provision to 

net charge-offs 108.94 182.20 186.29 140.38 104.02 109.72 110.85 110.94 122.38 109.85 131.42 93.53

Efficiency ratio 55.85 74.40 67.01 61.97 52.60 55.59 57.53 53.73 58.70 55.94 61.21 49.53

% of unprofitable institutions 3.90 9.55 2.15 2.47 0.76 0.00 4.14 4.99 4.15 3.65 2.82 5.09

% of institutions with earnings gains 62.76 57.38 63.64 67.59 68.94 55.56 61.66 65.86 61.85 59.28 64.51 69.21

Condition Ratios (%)

Earning assets to total assets 90.38 92.81 93.30 92.39 91.00 89.18 89.69 89.60 89.44 90.51 91.33 94.02

Loss allowance to:

Loans and leases 1.23 1.40 1.24 1.09 1.32 1.19 1.28 1.21 1.11 1.29 1.04 1.42

Noncurrent loans and leases 124.27 113.26 150.05 139.82 136.36 107.88 138.39 117.74 115.40 107.02 98.68 197.78

Noncurrent assets plus

other real estate owned to assets 0.60 0.95 0.74 0.65 0.63 0.55 0.57 0.64 0.54 0.68 0.79 0.46

Equity capital ratio 11.37 13.81 11.71 11.97 12.26 10.55 12.75 12.16 10.33 10.36 11.94 11.21

Core capital (leverage) ratio 9.76 13.70 11.54 10.99 10.35 8.85 10.62 9.64 9.12 9.34 10.46 10.25

Common equity tier 1 capital ratio 13.26 21.91 15.84 14.16 13.10 12.79 13.70 12.91 13.03 12.75 13.33 14.51

Tier 1 risk-based capital ratio 13.34 21.94 15.86 14.18 13.25 12.83 13.76 13.01 13.07 12.83 13.42 14.62

Total risk-based capital ratio 14.69 23.01 16.94 15.15 14.62 14.29 15.16 14.26 14.23 14.71 14.45 15.66

Net loans and leases to deposits 71.97 70.43 81.24 87.40 80.45 61.54 75.47 71.80 66.94 68.38 80.40 77.54

Net loans to total assets 55.40 58.51 67.97 70.61 61.22 46.77 57.09 57.00 48.97 53.00 65.37 61.36

Domestic deposits to total assets 70.12 83.07 83.66 80.52 73.62 63.85 70.21 77.06 64.01 61.80 81.26 78.33

Structural Changes

New reporters 1 1 0 0 0 0 0 0 0 0 1 0

Institutions absorbed by mergers 43 6 27 8 2 0 7 6 8 10 9 3

Failed institutions 0 0 0 0 0 0 0 0 0 0 0 0

PRIOR FIRST QUARTERS

(The way it was...)

Number of institutions 2018 5,607 1,393 3,453 629 123 9 684 656 1,208 1,426 1,214 419

 2016 6,122 1,663 3,734 616 100 9 752 753 1,325 1,528 1,299 465

 2014 6,730 2,005 4,054 564 99 8 831 852 1,457 1,641 1,414 535

Total assets (in billions) 2018 $17,531.6 $83.2 $1,130.2 $1,701.8 $5,827.3 $8,789.1 $3,273.9 $3,604.2 $3,969.6 $3,674.5 $1,102.9 $1,906.6

 2016 16,293.3 97.8 1,179.8 1,723.1 5,013.9 8,278.7 3,084.7 3,417.7 3,624.0 3,543.5 962.2 1,661.2

 2014 14,909.9 118.1 1,246.8 1,493.7 4,651.8 7,399.5 2,963.3 3,032.9 3,416.9 3,247.0 883.0 1,366.9

Return on assets (%) 2018 1.28 0.93 1.18 1.27 1.37 1.24 1.15 1.31 1.27 1.17 1.35 1.63

 2016 0.97 0.92 1.03 1.04 1.01 0.92 0.81 0.88 0.93 1.03 1.05 1.32

 2014 1.01 0.80 0.90 1.01 1.17 0.92 1.02 0.88 0.80 1.14 1.08 1.42

Net charge-offs to loans & leases (%) 2018 0.50 0.19 0.08 0.18 0.74 0.46 0.62 0.56 0.24 0.53 0.21 0.74

 2016 0.46 0.12 0.10 0.19 0.62 0.49 0.49 0.54 0.26 0.55 0.30 0.52

 2014 0.52 0.19 0.18 0.25 0.77 0.49 0.75 0.47 0.38 0.61 0.21 0.50

Noncurrent assets plus 

OREO to assets (%) 2018 0.69 1.02 0.83 0.70 0.68 0.67 0.63 0.79 0.62 0.79 0.82 0.47

 2016 0.96 1.22 1.10 0.93 0.81 1.04 0.77 1.13 0.93 1.15 1.10 0.56

 2014 1.51 1.71 1.74 1.75 0.98 1.75 1.08 2.05 1.35 1.86 1.46 0.85

Equity capital ratio (%) 2018 11.21 13.10 11.24 11.77 12.19 10.43 12.36 12.04 10.37 10.04 11.48 11.51

 2016 11.25 12.86 11.34 11.72 12.04 10.65 12.00 12.35 10.32 10.14 11.10 12.12

 2014 11.22 11.85 10.90 11.89 12.64 10.23 12.04 12.32 9.78 10.43 10.95 12.61

* See Table V-A (page 11) for explanations.
2 0 1 9  •  Volume 1 3 • Number 2

8 FDIC QUARTERLY

TABLE IV-A. Full Year 2018, All FDIC-Insured Institutions

Asset Concentration Groups*

FULL YEAR

(The way it is...)

All Insured 

Institutions

Credit 

Card 

Banks

International 

Banks

Agricultural 

Banks

Commercial 

Lenders

Mortgage 

Lenders

Consumer 

Lenders

Other 

Specialized 

<$1 Billion

All Other 

<$1 Billion

All Other 

>$1 Billion

Number of institutions reporting 5,406 12 5 1,346 2,866 401 69 226 432 49

Commercial banks 4,715 11 5 1,333 2,572 109 51 203 390 41

Savings institutions 691 1 0 13 294 292 18 23 42 8

Total assets (in billions) $17,943.0 $651.7 $4,285.8 $286.7 $6,373.8 $346.0 $218.3 $36.4 $76.3 $5,667.9

Commercial banks 16,728.1 559.9 4,285.8 281.3 5,893.6 103.3 113.9 31.9 67.2 5,391.1

Savings institutions 1,214.9 91.8 0.0 5.5 480.2 242.7 104.4 4.5 9.0 276.8

Total deposits (in billions) 13,866.2 388.4 3,117.1 237.9 4,999.6 272.6 179.5 28.9 64.2 4,578.1

Commercial banks 12,898.5 321.6 3,117.1 234.8 4,639.4 84.0 92.4 25.8 57.1 4,326.3

Savings institutions 967.7 66.7 0.0 3.2 360.2 188.6 87.1 3.0 7.1 251.8

Bank net income (in millions) 236,770 18,830 49,542 3,683 77,785 3,844 2,990 1,200 849 78,047

Commercial banks 222,059 16,469 49,542 3,547 73,171 1,578 1,878 685 778 74,410

Savings institutions 14,711 2,361 0 135 4,614 2,266 1,112 514 71 3,637

Performance Ratios (%)

Yield on earning assets 4.16 12.43 3.32 4.54 4.28 3.64 5.00 2.95 4.21 3.66

Cost of funding earning assets 0.75 1.95 0.77 0.71 0.73 0.70 0.75 0.39 0.53 0.64

Net interest margin 3.40 10.48 2.55 3.83 3.55 2.94 4.26 2.56 3.68 3.02

Noninterest income to assets 1.51 3.69 1.91 0.64 1.09 1.26 1.28 8.26 0.88 1.46

Noninterest expense to assets 2.61 6.29 2.48 2.56 2.60 2.57 2.98 6.34 2.90 2.28

Loan and lease loss provision to assets 0.28 3.38 0.18 0.16 0.15 0.00 0.55 0.08 0.13 0.17

Net operating income to assets 1.35 2.98 1.17 1.32 1.26 1.12 1.42 3.52 1.13 1.40

Pretax return on assets 1.69 3.74 1.50 1.49 1.57 1.49 1.87 3.63 1.27 1.76

Return on assets 1.35 2.96 1.17 1.32 1.26 1.13 1.42 2.95 1.12 1.40

Return on equity 11.98 19.53 11.78 11.72 10.57 10.01 13.62 19.00 9.30 12.65

Net charge-offs to loans and leases 0.48 3.87 0.50 0.15 0.18 0.02 0.76 1.42 0.17 0.37

Loan and lease loss provision to 

net charge-offs 105.33 109.77 98.77 152.68 120.66 9.56 101.75 18.24 139.86 91.39

Efficiency ratio 56.27 46.36 59.03 60.45 59.55 63.06 54.20 59.65 67.03 53.35

% of unprofitable institutions 3.37 0.00 0.00 2.30 3.21 6.73 5.80 4.87 3.94 0.00

% of institutions with earnings gains 79.45 91.67 100.00 71.92 83.98 73.82 75.36 76.99 78.01 91.84

Condition Ratios (%)

Earning assets to total assets 90.60 93.55 88.24 93.00 90.94 94.63 97.11 91.69 92.98 90.99

Loss allowance to:

Loans and leases 1.23 4.32 1.28 1.40 0.99 0.65 1.05 1.62 1.26 1.04

Noncurrent loans and leases 124.41 281.31 137.93 133.67 126.15 31.57 153.88 126.82 125.23 88.29

Noncurrent assets plus

other real estate owned to assets 0.60 1.26 0.39 0.82 0.63 1.28 0.49 0.43 0.72 0.62

Equity capital ratio 11.25 15.29 9.88 11.34 11.94 11.08 10.51 16.70 12.34 11.04

Core capital (leverage) ratio 9.70 13.47 8.71 11.20 10.18 10.94 10.83 15.39 12.53 9.21

Common equity tier 1 capital ratio 13.16 13.69 13.47 14.61 12.31 22.03 17.26 35.70 21.15 13.17

Tier 1 risk-based capital ratio 13.24 13.79 13.56 14.62 12.39 22.04 17.49 35.72 21.18 13.24

Total risk-based capital ratio 14.59 15.79 14.97 15.75 13.63 22.84 18.51 36.69 22.29 14.66

Net loans and leases to deposits 72.32 132.02 51.36 81.72 89.57 74.88 84.62 34.27 67.48 61.86

Net loans to total assets 55.88 78.68 37.35 67.81 70.26 59.00 69.58 27.16 56.82 49.96

Domestic deposits to total assets 70.29 58.97 48.33 82.97 78.15 78.49 82.21 79.26 84.19 77.53

Structural Changes

New reporters 8 0 0 0 0 1 0 7 0 0

Institutions absorbed by mergers 259 1 0 40 202 6 3 0 5 2

Failed institutions 0 0 0 0 0 0 0 0 0 0

PRIOR FULL YEARS

(The way it was...)

Number of institutions 2017 5,670 11 5 1,389 2,944 420 59 272 510 60

 2015 6,182 14 4 1,479 3,089 500 65 332 632 67

 2013 6,812 16 4 1,532 3,378 588 55 405 772 62

Total assets (in billions) 2017 $17,415.4 $562.7 $4,196.0 $282.6 $6,026.0 $349.2 $270.9 $46.9 $88.8 $5,592.2

 2015 15,967.7 549.1 3,774.6 277.6 5,892.1 385.4 187.3 57.5 113.8 4,730.3

 2013 14,730.8 590.9 3,700.2 261.6 4,921.1 486.9 162.5 62.8 137.6 4,407.1

Return on assets (%) 2017 0.97 1.52 0.62 1.05 1.02 0.93 1.02 2.61 0.91 1.10

 2015 1.04 2.84 0.87 0.96 0.95 0.83 1.04 2.69 0.91 1.12

 2013 1.07 3.35 0.86 1.15 0.91 0.98 1.15 1.93 0.85 1.11

Net charge-offs to loans & leases (%) 2017 0.50 3.95 0.56 0.16 0.21 0.04 0.60 0.23 0.15 0.43

 2015 0.44 2.79 0.59 0.10 0.20 0.13 0.62 0.20 0.20 0.41

 2013 0.69 3.20 0.97 0.14 0.43 0.37 0.80 0.48 0.33 0.49

Noncurrent assets plus 

OREO to assets (%) 2017 0.72 1.25 0.48 0.77 0.70 1.70 0.36 0.59 0.81 0.82

 2015 0.97 0.90 0.71 0.68 0.93 1.92 0.97 0.61 1.19 1.16

 2013 1.63 0.93 1.07 0.95 1.65 2.14 1.23 0.84 1.44 2.18

Equity capital ratio (%) 2017 11.22 15.10 9.83 11.18 11.95 11.21 10.00 15.26 11.94 11.09

 2015 11.24 14.29 10.13 11.32 11.76 11.36 10.12 15.04 11.80 11.08

 2013 11.15 14.73 9.27 10.97 11.79 11.62 9.51 13.50 11.34 11.52

* See Table V-A (page 10) for explanations.
QUARTERLY BANKING PROFILE

FDIC QUARTERLY 9

TABLE IV-A. Full Year 2018, All FDIC-Insured Institutions 

Asset Size Distribution Geographic Regions*

FULL YEAR

(The way it is...)

All Insured 

Institutions

Less Than 

$100 

Million

$100 

Million to 

$1 Billion

$1 Billion 

to $10 

Billion

$10 Billion 

to $250 

Billion

Greater 

Than $250 

Billion

New 

York Atlanta Chicago

Kansas 

City Dallas

San 

Francisco

Number of institutions reporting 5,406 1,278 3,353 638 128 9 659 626 1,163 1,379 1,182 397

Commercial banks 4,715 1,133 2,941 518 114 9 341 572 999 1,333 1,109 361

Savings institutions 691 145 412 120 14 0 318 54 164 46 73 36

Total assets (in billions) $17,943.0 $75.8 $1,108.6 $1,734.8 $6,202.3 $8,821.4 $3,362.0 $3,677.0 $4,042.6 $3,670.8 $1,133.1 $2,057.5

Commercial banks 16,728.1 67.4 954.1 1,386.0 5,499.2 8,821.4 2,915.6 3,573.3 3,942.9 3,627.2 994.2 1,674.9

Savings institutions 1,214.9 8.5 154.5 348.8 703.1 0.0 446.4 103.7 99.7 43.5 138.9 382.6

Total deposits (in billions) 13,866.2 63.0 924.2 1,389.0 4,737.7 6,752.3 2,544.4 2,934.2 2,993.7 2,841.7 922.5 1,629.9

Commercial banks 12,898.5 56.6 802.3 1,121.2 4,166.0 6,752.3 2,205.3 2,852.2 2,923.9 2,808.2 812.4 1,296.4

Savings institutions 967.7 6.3 121.9 267.9 571.7 0.0 339.1 82.0 69.8 33.5 110.0 333.4

Bank net income (in millions) 236,770 760 13,304 22,178 87,300 113,229 39,912 52,020 50,105 45,548 15,428 33,757

Commercial banks 222,059 663 11,629 18,566 77,972 113,229 35,930 51,093 48,768 45,105 13,683 27,481

Savings institutions 14,711 96 1,675 3,612 9,328 0 3,982 927 1,337 444 1,746 6,276

Performance Ratios (%)

Yield on earning assets 4.16 4.40 4.50 4.49 4.73 3.65 4.33 4.23 3.44 4.18 4.51 4.92

Cost of funding earning assets 0.75 0.57 0.67 0.74 0.86 0.69 0.92 0.66 0.66 0.80 0.61 0.81

Net interest margin 3.40 3.83 3.83 3.75 3.87 2.95 3.41 3.57 2.78 3.38 3.89 4.11

Noninterest income to assets 1.51 1.38 1.16 1.14 1.50 1.64 1.38 1.47 1.89 1.28 1.24 1.68

Noninterest expense to assets 2.61 3.63 3.15 2.77 2.70 2.45 2.56 2.56 2.64 2.52 2.97 2.74

Loan and lease loss provision to assets 0.28 0.14 0.14 0.18 0.48 0.19 0.37 0.30 0.12 0.26 0.17 0.55

Net operating income to assets 1.35 1.02 1.25 1.33 1.46 1.29 1.22 1.44 1.27 1.24 1.39 1.74

Pretax return on assets 1.69 1.15 1.43 1.66 1.85 1.64 1.51 1.80 1.60 1.57 1.67 2.25

Return on assets 1.35 1.01 1.23 1.33 1.46 1.29 1.22 1.44 1.26 1.25 1.40 1.74

Return on equity 11.98 7.58 10.79 11.31 11.99 12.32 9.75 11.94 12.14 12.28 12.03 15.33

Net charge-offs to loans and leases 0.48 0.18 0.16 0.20 0.70 0.43 0.59 0.55 0.23 0.50 0.24 0.73

Loan and lease loss provision to 

net charge-offs 105.33 125.34 131.28 127.92 110.19 93.75 110.97 93.13 103.46 97.85 108.57 123.06

Efficiency ratio 56.27 73.58 66.21 59.51 53.14 56.58 56.90 54.39 60.00 56.90 61.09 49.02

% of unprofitable institutions 3.37 8.29 2.21 0.31 0.00 0.00 3.64 5.43 3.53 2.39 2.79 4.28

% of institutions with earnings gains 79.45 69.41 80.73 89.50 94.53 100.00 87.10 84.19 76.35 75.42 78.68 84.63

Condition Ratios (%)

Earning assets to total assets 90.60 92.49 93.13 92.37 91.25 89.45 90.01 89.83 89.59 90.64 91.64 94.27

Loss allowance to:

Loans and leases 1.23 1.38 1.24 1.08 1.34 1.17 1.28 1.20 1.10 1.27 1.05 1.45

Noncurrent loans and leases 124.41 112.70 155.14 139.58 140.01 105.36 135.56 114.08 115.82 106.42 105.09 213.47

Noncurrent assets plus

other real estate owned to assets 0.60 0.97 0.73 0.64 0.62 0.57 0.58 0.65 0.54 0.68 0.76 0.44

Equity capital ratio 11.25 13.57 11.50 11.91 12.08 10.49 12.53 12.07 10.35 10.23 11.81 11.02

Core capital (leverage) ratio 9.70 13.66 11.43 10.92 10.37 8.74 10.56 9.56 9.08 9.23 10.41 10.26

Common equity tier 1 capital ratio 13.16 21.66 15.67 14.09 13.03 12.64 13.56 12.88 12.94 12.59 13.29 14.37

Tier 1 risk-based capital ratio 13.24 21.69 15.69 14.11 13.18 12.68 13.62 12.98 12.98 12.67 13.39 14.48

Total risk-based capital ratio 14.59 22.76 16.77 15.08 14.57 14.14 15.04 14.24 14.15 14.55 14.42 15.52

Net loans and leases to deposits 72.32 71.37 82.25 88.57 80.10 62.16 75.29 71.89 68.06 69.03 80.98 77.07

Net loans to total assets 55.88 59.26 68.57 70.92 61.19 47.58 56.98 57.37 50.40 53.44 65.93 61.05

Domestic deposits to total assets 70.29 83.03 83.36 79.83 73.66 64.30 70.05 77.36 64.64 61.64 81.37 78.51

Structural Changes

New reporters 8 7 1 0 0 0 1 3 0 0 1 3

Institutions absorbed by mergers 259 74 153 31 1 0 38 37 44 58 56 26

Failed institutions 0 0 0 0 0 0 0 0 0 0 0 0

PRIOR FULL YEARS

(The way it was...)

Number of institutions 2017 5,670 1,407 3,513 627 114 9 693 668 1,214 1,438 1,235 422

 2015 6,182 1,688 3,792 595 99 8 762 762 1,337 1,543 1,307 471

 2013 6,812 2,056 4,090 559 100 7 840 869 1,470 1,659 1,431 543

Total assets (in billions) 2017 $17,415.4 $83.7 $1,154.2 $1,751.7 $5,699.2 $8,726.7 $3,248.1 $3,601.0 $3,918.0 $3,683.2 $1,090.0 $1,875.1

 2015 15,967.7 99.2 1,199.9 1,682.4 5,163.6 7,822.6 3,074.1 3,372.6 3,503.7 3,444.0 943.1 1,630.3

 2013 14,730.8 119.7 1,246.1 1,468.5 4,821.1 7,075.3 2,927.2 2,998.8 3,376.9 3,222.9 869.9 1,335.1

Return on assets (%) 2017 0.97 0.83 1.04 1.05 1.04 0.89 0.85 1.00 1.00 0.76 1.12 1.36

 2015 1.04 0.84 1.07 1.10 1.02 1.05 0.87 1.03 0.96 1.16 1.09 1.31

 2013 1.07 0.70 0.91 1.16 1.06 1.08 0.87 0.98 0.95 1.24 1.09 1.55

Net charge-offs to loans & leases (%) 2017 0.50 0.21 0.15 0.22 0.71 0.47 0.58 0.61 0.27 0.51 0.28 0.67

 2015 0.44 0.19 0.16 0.21 0.56 0.48 0.48 0.50 0.27 0.52 0.24 0.52

 2013 0.69 0.35 0.36 0.41 0.90 0.68 0.92 0.66 0.49 0.87 0.32 0.57

Noncurrent assets plus 

OREO to assets (%) 2017 0.72 1.01 0.83 0.66 0.70 0.73 0.65 0.83 0.64 0.86 0.81 0.45

 2015 0.97 1.25 1.12 0.93 0.75 1.09 0.75 1.15 0.94 1.19 1.04 0.53

 2013 1.63 1.75 1.81 1.89 0.99 1.97 1.12 2.23 1.47 1.99 1.58 0.91

Equity capital ratio (%) 2017 11.22 13.01 11.29 11.82 12.13 10.47 12.34 12.06 10.42 9.99 11.49 11.58

 2015 11.24 12.55 11.25 11.69 12.02 10.60 11.78 12.22 10.50 10.22 11.04 12.03

 2013 11.15 11.68 10.78 11.79 12.32 10.28 12.02 12.19 9.66 10.42 10.87 12.65

* See Table V-A (page 11) for explanations.
2 0 1 9  •  Volume 1 3 • Number 2

10 FDIC QUARTERLY

TABLE V-A. Loan Performance, All FDIC-Insured Institutions

Asset Concentration Groups*

March 31, 2019 All Insured 

Institutions

Credit 

Card 

Banks

International 

Banks

Agricultural 

Banks

Commercial 

Lenders

Mortgage 

Lenders

Consumer 

Lenders

Other 

Specialized 

<$1 Billion

All Other 

<$1 Billion

All Other 

>$1 Billion

Percent of Loans 30-89 Days Past Due

All loans secured by real estate 0.60 0.15 0.65 0.87 0.48 0.71 0.44 1.23 1.11 0.80

Construction and development 0.39 0.00 0.20 0.59 0.34 0.57 0.52 0.94 0.79 0.59

Nonfarm nonresidential 0.26 0.00 0.15 0.64 0.26 0.32 0.90 0.87 0.71 0.19

Multifamily residential real estate 0.10 0.00 0.06 0.31 0.11 0.17 0.11 0.52 0.71 0.05

Home equity loans 0.64 0.00 1.08 0.43 0.52 0.48 0.35 0.84 0.91 0.70

Other 1-4 family residential 0.97 0.16 0.90 1.11 0.91 0.79 0.40 1.59 1.34 1.12

Commercial and industrial loans 0.36 0.85 0.59 1.13 0.31 0.65 0.87 0.81 1.15 0.24

Loans to individuals 1.34 1.45 1.02 1.18 1.29 0.92 0.77 1.74 1.50 1.61

Credit card loans 1.31 1.46 1.13 1.44 1.33 0.79 0.71 2.89 1.59 1.17

Other loans to individuals 1.38 1.18 0.78 1.16 1.28 0.93 0.79 1.50 1.50 1.86

All other loans and leases (including farm) 0.30 0.63 0.29 1.65 0.24 0.65 0.21 0.61 0.76 0.23

Total loans and leases 0.63 1.39 0.61 1.09 0.49 0.71 0.69 1.23 1.12 0.69

Percent of Loans Noncurrent**

All real estate loans 1.27 1.88 1.60 1.11 0.83 2.07 1.38 1.62 1.06 1.99

Construction and development 0.45 0.13 0.72 0.58 0.42 0.39 1.05 0.60 0.97 0.44

Nonfarm nonresidential 0.59 50.24 0.71 0.89 0.54 0.50 1.10 1.51 1.15 0.70

Multifamily residential real estate 0.13 0.00 0.06 0.48 0.14 1.06 0.19 2.19 0.56 0.11

Home equity loans 2.14 0.00 3.94 0.35 1.18 0.96 1.71 1.57 0.42 3.22

Other 1-4 family residential 1.96 0.57 2.02 0.81 1.43 2.41 1.38 1.70 1.07 2.55

Commercial and industrial loans 0.82 0.70 0.85 1.46 0.85 1.12 0.25 1.05 0.96 0.75

Loans to individuals 1.02 1.62 0.96 0.53 0.87 0.43 0.50 1.03 0.59 0.70

Credit card loans 1.47 1.68 1.26 0.76 1.27 0.65 1.38 2.14 0.95 1.24

Other loans to individuals 0.55 0.54 0.29 0.50 0.84 0.41 0.30 0.81 0.59 0.38

All other loans and leases (including farm) 0.24 0.55 0.15 1.33 0.38 0.90 0.20 0.55 0.68 0.12

Total loans and leases 0.99 1.54 0.96 1.18 0.80 1.95 0.67 1.40 0.99 1.14

Percent of Loans Charged-Off (net, YTD)

All real estate loans 0.03 0.07 0.03 0.11 0.03 -0.02 0.03 0.02 0.03 0.01

Construction and development 0.00 0.00 0.19 -0.02 0.00 0.00 -0.01 0.02 -0.04 -0.03

Nonfarm nonresidential 0.05 0.00 0.26 0.08 0.04 -0.01 -0.03 0.02 0.03 0.04

Multifamily residential real estate 0.01 0.00 0.00 -0.02 0.01 0.00 -0.01 0.00 0.03 0.00

Home equity loans 0.05 0.00 0.04 0.03 0.05 -0.22 0.37 0.00 -0.01 0.07

Other 1-4 family residential 0.01 0.08 0.00 0.04 0.03 -0.01 -0.01 0.02 0.04 -0.01

Commercial and industrial loans 0.27 2.35 0.20 0.35 0.20 0.26 0.47 0.15 0.07 0.25

Loans to individuals 2.47 4.27 2.75 0.58 1.22 1.00 1.06 1.16 0.50 1.83

Credit card loans 3.97 4.35 3.66 3.48 4.41 1.55 2.84 5.20 1.80 3.38

Other loans to individuals 0.90 2.58 0.67 0.31 0.93 0.96 0.64 0.36 0.48 0.91

All other loans and leases (including farm) 0.10 1.05 0.05 0.27 0.10 0.18 0.03 0.44 0.18 0.11

Total loans and leases 0.50 4.09 0.55 0.19 0.17 0.02 0.79 0.23 0.08 0.38

Loans Outstanding (in billions)

All real estate loans $4,902.4 $1.0 $566.2 $122.2 $2,732.1 $190.8 $32.3 $7.1 $33.4 $1,217.2

Construction and development 353.9 0.1 16.5 7.1 268.7 5.2 0.5 0.6 2.2 53.0

Nonfarm nonresidential 1,457.7 0.0 54.6 33.6 1,078.4 16.6 2.0 2.4 7.6 262.5

Multifamily residential real estate 435.8 0.0 80.4 4.1 294.8 4.7 0.2 0.2 0.9 50.4

Home equity loans 365.4 0.0 43.3 2.4 189.7 10.5 3.3 0.2 1.2 114.8

Other 1-4 family residential 2,122.0 0.9 324.3 28.6 851.8 152.9 26.1 3.3 18.6 715.7

Commercial and industrial loans 2,202.4 46.5 356.2 22.7 1,041.9 5.3 6.5 1.4 3.7 718.2

Loans to individuals 1,705.8 469.0 274.1 6.4 364.0 4.4 109.8 1.6 3.3 473.1

Credit card loans 859.9 446.4 188.5 0.5 29.5 0.3 20.6 0.3 0.0 173.8

Other loans to individuals 845.9 22.6 85.6 5.9 334.5 4.1 89.3 1.4 3.2 299.3

All other loans and leases (including farm) 1,339.2 0.9 393.0 42.9 348.4 11.5 3.4 0.5 2.6 535.9

Total loans and leases (plus unearned income) 10,149.7 517.4 1,589.5 194.3 4,486.4 212.0 152.0 10.7 43.0 2,944.4

Memo: Other Real Estate Owned (in millions)

All other real estate owned 6,556.4 0.2 437.0 298.1 4,262.9 177.2 24.9 29.6 108.2 1,218.4

Construction and development 1,685.4 0.0 4.2 55.1 1,442.2 42.0 4.4 7.0 17.5 112.9

Nonfarm nonresidential 1,944.2 0.0 53.0 97.4 1,444.3 19.1 4.0 12.8 44.0 269.6

Multifamily residential real estate 80.4 0.0 0.0 9.4 69.5 0.9 0.0 0.0 0.5 0.1

1-4 family residential 2,611.9 0.2 347.8 54.8 1,198.0 109.8 16.4 9.1 42.1 833.6

Farmland 201.2 0.0 0.0 81.4 108.9 5.1 0.0 0.6 4.1 1.2

* Asset Concentration Group Definitions (Groups are hierarchical and mutually exclusive):

Credit-card Lenders - Institutions whose credit-card loans plus securitized receivables exceed 50 percent of total assets plus securitized receivables.

International Banks - Banks with assets greater than $10 billion and more than 25 percent of total assets in foreign offices.

Agricultural Banks - Banks whose agricultural production loans plus real estate loans secured by farmland exceed 25 percent of the total loans and leases.

Commercial Lenders - Institutions whose commercial and industrial loans, plus real estate construction and development loans, plus loans secured by commercial real estate properties 

exceed 25 percent of total assets.

Mortgage Lenders - Institutions whose residential mortgage loans, plus mortgage-backed securities, exceed 50 percent of total assets.

Consumer Lenders - Institutions whose residential mortgage loans, plus credit-card loans, plus other loans to individuals, exceed 50 percent of total assets.

Other Specialized < $1 Billion - Institutions with assets less than $1 billion, whose loans and leases are less than 40 percent of total assets.

All Other < $1 billion - Institutions with assets less than $1 billion that do not meet any of the definitions above, they have significant lending activity with no identified asset 

concentrations.

All Other > $1 billion - Institutions with assets greater than $1 billion that do not meet any of the definitions above, they have significant lending activity with no identified asset 

concentrations.

** Noncurrent loan rates represent the percentage of loans in each category that are past due 90 days or more or that are in nonaccrual status.
QUARTERLY BANKING PROFILE

FDIC QUARTERLY 11

TABLE V-A. Loan Performance, All FDIC-Insured Institutions

Asset Size Distribution Geographic Regions*

March 31, 2019 All Insured 

Institutions

Less Than 

$100 

Million

$100 

Million to 

$1 Billion

$1 Billion 

to 

$10 Billion

$10 Billion 

to $250 

Billion

Greater 

Than $250 

Billion

New 

York Atlanta Chicago

Kansas 

City Dallas

San 

Francisco

Percent of Loans 30-89 Days Past Due 

All loans secured by real estate 0.60 1.25 0.65 0.38 0.53 0.76 0.49 0.63 0.59 0.86 0.78 0.26

Construction and development 0.39 1.00 0.50 0.39 0.28 0.49 0.39 0.28 0.34 0.61 0.37 0.36

Nonfarm nonresidential 0.26 0.94 0.46 0.29 0.20 0.17 0.35 0.18 0.27 0.23 0.33 0.16

Multifamily residential real estate 0.10 1.15 0.22 0.10 0.10 0.05 0.12 0.05 0.10 0.12 0.11 0.08

Home equity loans 0.64 0.58 0.53 0.39 0.55 0.78 0.55 0.65 0.74 0.74 0.43 0.40

Other 1-4 family residential 0.97 1.55 0.89 0.58 0.96 1.10 0.77 1.03 0.84 1.33 1.79 0.35

Commercial and industrial loans 0.36 1.50 0.74 0.54 0.28 0.35 0.30 0.20 0.58 0.28 0.45 0.43

Loans to individuals 1.34 1.70 1.32 1.23 1.28 1.43 1.11 1.91 0.88 1.24 0.83 1.44

Credit card loans 1.31 3.47 1.96 2.64 1.40 1.15 1.16 1.46 1.11 1.19 0.69 1.66

Other loans to individuals 1.38 1.68 1.28 0.96 1.14 1.71 1.04 2.35 0.78 1.32 0.89 1.25

All other loans and leases (including farm) 0.30 1.13 1.06 0.57 0.17 0.29 0.14 0.31 0.32 0.36 0.30 0.29

Total loans and leases 0.63 1.29 0.72 0.46 0.61 0.69 0.54 0.72 0.58 0.69 0.69 0.58

Percent of Loans Noncurrent** 

All real estate loans 1.27 1.19 0.80 0.71 1.07 1.97 1.06 1.45 1.42 1.83 1.18 0.39

Construction and development 0.45 0.59 0.74 0.49 0.32 0.42 0.59 0.48 0.60 0.33 0.35 0.26

Nonfarm nonresidential 0.59 1.37 0.73 0.59 0.47 0.68 0.63 0.59 0.69 0.63 0.60 0.36

Multifamily residential real estate 0.13 0.63 0.31 0.15 0.13 0.08 0.14 0.25 0.12 0.12 0.22 0.05

Home equity loans 2.14 0.53 0.48 0.61 1.16 3.55 2.03 2.44 2.11 2.93 1.02 0.53

Other 1-4 family residential 1.96 1.17 0.84 1.04 1.87 2.55 1.68 2.09 1.97 2.78 2.56 0.46

Commercial and industrial loans 0.82 1.75 1.00 1.21 0.86 0.69 0.83 0.60 0.74 0.86 1.00 1.25

Loans to individuals 1.02 0.79 0.66 0.86 1.20 0.83 1.07 1.22 0.55 1.00 0.82 1.09

Credit card loans 1.47 2.08 1.86 2.93 1.61 1.24 1.38 1.54 1.21 1.32 1.34 1.87

Other loans to individuals 0.55 0.77 0.59 0.44 0.69 0.42 0.60 0.91 0.26 0.46 0.61 0.39

All other loans and leases (including farm) 0.24 1.21 1.01 0.50 0.29 0.14 0.19 0.18 0.18 0.33 0.40 0.31

Total loans and leases 0.99 1.23 0.83 0.78 0.97 1.10 0.93 1.03 0.96 1.21 1.05 0.72

Percent of Loans Charged-Off (net, YTD) 

All real estate loans 0.03 0.05 0.01 0.03 0.04 0.01 0.03 0.04 0.01 0.02 0.04 0.01

Construction and development 0.00 -0.05 0.01 -0.01 0.00 0.02 0.00 -0.01 0.08 -0.04 0.00 -0.03

Nonfarm nonresidential 0.05 0.04 0.02 0.06 0.05 0.07 0.05 0.05 0.03 0.09 0.07 0.03

Multifamily residential real estate 0.01 0.03 0.00 0.01 0.01 0.00 0.02 0.04 0.00 -0.01 0.01 0.00

Home equity loans 0.05 0.24 0.02 0.02 0.03 0.08 0.06 0.08 0.04 0.01 0.10 -0.03

Other 1-4 family residential 0.01 0.03 0.02 0.02 0.03 -0.01 0.02 0.02 0.00 0.00 0.01 -0.01

Commercial and industrial loans 0.27 0.32 0.23 0.22 0.34 0.21 0.30 0.26 0.22 0.22 0.19 0.45

Loans to individuals 2.47 0.59 1.05 1.92 2.79 2.20 2.67 2.50 1.51 2.79 1.40 2.80

Credit card loans 3.97 10.80 5.76 7.45 4.22 3.53 3.64 4.08 3.67 3.80 2.68 4.85

Other loans to individuals 0.90 0.46 0.75 0.80 1.00 0.83 1.20 0.90 0.55 1.04 0.84 0.90

All other loans and leases (including farm) 0.10 0.07 0.18 0.13 0.07 0.11 0.12 0.11 0.05 0.09 0.24 0.13

Total loans and leases 0.50 0.12 0.09 0.17 0.73 0.46 0.61 0.58 0.24 0.52 0.20 0.79

Loans Outstanding (in billions) 

All real estate loans $4,902.4 $30.9 $583.4 $896.6 $1,768.5 $1,623.0 $1,013.8 $917.8 $1,003.7 $857.9 $487.3 $621.9

Construction and development 353.9 1.8 55.6 87.5 142.4 66.5 67.1 59.1 58.9 50.8 76.9 41.1

Nonfarm nonresidential 1,457.7 7.3 221.5 368.1 574.8 286.0 335.3 285.4 222.2 196.6 204.0 214.2

Multifamily residential real estate 435.8 0.8 31.8 100.7 180.1 122.4 154.8 43.1 111.5 37.9 22.0 66.7

Home equity loans 365.4 0.7 21.2 40.1 137.5 165.8 74.4 90.1 90.2 63.4 20.2 27.1

Other 1-4 family residential 2,122.0 14.2 201.5 275.4 714.8 916.0 377.5 425.0 496.5 417.2 145.5 260.2

Commercial and industrial loans 2,202.4 5.2 94.5 192.5 853.3 1,056.8 349.1 532.8 486.9 442.5 151.4 239.6

Loans to individuals 1,705.8 2.8 30.3 68.0 877.1 727.6 376.1 408.6 232.0 307.5 66.1 315.6

Credit card loans 859.9 0.0 1.8 11.3 481.8 365.1 224.8 202.0 70.3 193.8 19.6 149.3

Other loans to individuals 845.9 2.7 28.5 56.8 395.4 362.5 151.3 206.5 161.7 113.6 46.5 166.2

All other loans and leases (including farm) 1,339.2 5.9 46.6 64.1 420.0 802.5 206.1 278.6 320.8 367.5 54.8 111.4

Total loans and leases 

(plus unearned income) 10,149.7 44.8 754.8 1,221.2 3,919.0 4,209.9 1,945.1 2,137.7 2,043.4 1,975.4 759.5 1,288.5

Memo: Other Real Estate Owned 

(in millions) 

All other real estate owned 6,556.4 166.7 1,842.2 1,438.0 1,652.0 1,457.5 1,204.2 1,493.5 1,225.9 1,159.1 1,118.1 355.5

Construction and development 1,685.4 36.2 767.7 480.1 306.9 94.5 219.9 455.5 208.3 289.2 394.0 118.5

Nonfarm nonresidential 1,944.2 49.1 600.7 541.3 458.8 294.4 325.4 439.0 357.4 306.4 436.0 80.1

Multifamily residential real estate 80.4 5.0 44.9 24.6 2.3 3.6 16.4 20.5 13.4 17.3 8.6 4.3

1-4 family residential 2,611.9 51.0 342.8 324.7 862.5 1,031.0 629.9 567.4 624.3 429.4 233.9 127.1

Farmland 201.2 25.4 86.2 67.2 21.4 1.0 12.6 11.2 21.5 84.9 45.7 25.3

* Regions:

New York - Connecticut, Delaware, District of Columbia, Maine, Maryland, Massachusetts, New Hampshire, New Jersey, New York, Pennsylvania, Puerto Rico, Rhode Island, Vermont, 

U.S. Virgin Islands

Atlanta - Alabama, Florida, Georgia, North Carolina, South Carolina, Virginia, West Virginia

Chicago - Illinois, Indiana, Kentucky, Michigan, Ohio, Wisconsin

Kansas City - Iowa, Kansas, Minnesota, Missouri, Nebraska, North Dakota, South Dakota

Dallas - Arkansas, Colorado, Louisiana, Mississippi, New Mexico, Oklahoma, Tennessee, Texas

San Francisco - Alaska, Arizona, California, Hawaii, Idaho, Montana, Nevada, Oregon, Pacific Islands, Utah, Washington, Wyoming

** Noncurrent loan rates represent the percentage of loans in each category that are past due 90 days or more or that are in nonaccrual status.
2 0 1 9  •  Volume 1 3 • Number 2

12 FDIC QUARTERLY

Table VI-A. Derivatives, All FDIC-Insured Call Report Filers

1st 

Quarter 

2019

4th 

Quarter 

2018

3rd

Quarter 

2018

2nd

Quarter 

2018

1st 

Quarter 

2018

% 

Change 

18Q1-

19Q1

Asset Size Distribution

(dollar figures in millions;

notional amounts unless otherwise indicated)

Less 

Than 

$100 

Million

$100 

Million 

to $1 

Billion

$1 

Billion 

to $10 

Billion

$10 

Billion 

to $250 

Billion

Greater 

Than 

$250 

Billion

ALL DERIVATIVE HOLDERS 

Number of institutions reporting derivatives 1,320 1,312 1,347 1,362 1,361 -3.0 38 723 426 124 9

Total assets of institutions reporting derivatives $16,498,250 $16,297,135 $16,058,176 $15,950,535 $15,950,194 3.4 $2,739 $320,995 $1,272,509 $6,009,118 $8,892,889

Total deposits of institutions reporting derivatives 12,647,141 12,556,278 12,291,565 12,206,863 12,264,978 3.1 2,278 266,841 1,025,005 4,594,615 6,758,403

Total derivatives 203,961,454 178,089,368 209,769,422 209,843,315 206,001,576 -1.0 157 21,702 135,298 57,582,338 146,221,959

Derivative Contracts by Underlying Risk Exposure 

Interest rate 149,193,412 128,175,106 156,781,236 157,435,172 155,478,401 -4.0 153 21,519 129,002 47,530,700 101,512,038

Foreign exchange* 45,570,276 40,948,207 43,473,496 43,279,998 41,064,224 11.0 0 1 4,629 9,463,612 36,102,034

Equity 3,675,244 3,374,363 3,644,559 3,420,624 3,466,899 6.0 0 0 181 159,017 3,516,046

Commodity & other (excluding credit derivatives) 1,377,390 1,314,571 1,525,680 1,525,765 1,646,020 -16.3 0 0 22 95,207 1,282,161

Credit 4,144,928 4,276,958 4,341,695 4,178,619 4,345,494 -4.6 0 6 1,439 333,802 3,809,681

Total 203,961,250 178,089,205 209,766,666 209,840,178 206,001,038 -1.0 153 21,526 135,273 57,582,338 146,221,959

Derivative Contracts by Transaction Type 

Swaps 106,836,871 97,923,416 104,801,209 107,973,543 105,355,960 1.4 16 7,581 85,888 27,803,955 78,939,431

Futures & forwards 46,165,413 36,143,829 47,051,282 46,023,905 45,250,891 2.0 16 2,099 23,571 12,508,844 33,630,884

Purchased options 21,850,850 18,707,980 25,031,776 23,883,350 23,840,759 -8.3 1 304 10,794 8,002,559 13,837,191

Written options 22,283,403 19,300,817 25,769,336 25,142,041 24,973,515 -10.8 2 1,867 13,087 8,459,676 13,808,771

Total 197,136,537 172,076,043 202,653,603 203,022,839 199,421,126 -1.1 34 11,851 133,341 56,775,035 140,216,277

Fair Value of Derivative Contracts 

Interest rate contracts 53,804 47,241 53,594 49,617 51,495 4.5 0 72 420 8,542 44,769

Foreign exchange contracts 10,800 11,282 25,827 23,843 27,846 -61.2 0 0 15 2,556 8,228

Equity contracts -272 6,407 1,975 5,003 6,582 N/M 0 0 2 238 -512

Commodity & other (excluding credit derivatives) -778 -1,873 2,948 1,181 -867 N/M 0 0 0 -126 -652

Credit derivatives as guarantor** 16,412 6,606 26,237 23,965 33,701 -51.3 0 0 0 830 15,582

Credit derivatives as beneficiary** -18,387 -6,765 -26,912 -24,348 -34,976 N/M 0 0 -2 -1,129 -17,256

Derivative Contracts by Maturity*** 

Interest rate contracts < 1 year 87,928,542 71,493,447 93,168,889 91,960,389 95,441,266 -7.9 40 4,776 24,101 23,283,999 64,615,626

 1-5 years 38,988,258 36,682,682 42,735,097 42,279,251 40,334,591 -3.3 16 2,606 34,347 9,089,869 29,861,421

 > 5 years 24,263,017 23,246,059 24,228,390 24,373,859 23,687,654 2.4 10 8,168 53,819 7,071,360 17,129,659

Foreign exchange and gold contracts < 1 year 32,626,686 28,891,823 29,674,897 31,341,537 29,696,500 9.9 0 5 2,905 7,161,624 25,462,151

 1-5 years 4,364,397 4,218,682 4,928,405 4,906,415 5,021,957 -13.1 0 0 880 849,223 3,514,294

 > 5 years 2,181,911 2,095,962 2,470,383 2,472,893 2,630,013 -17.0 0 0 21 619,257 1,562,633

Equity contracts < 1 year 2,714,590 2,448,707 2,825,222 2,679,109 2,747,190 -1.2 0 0 47 67,881 2,646,661

 1-5 years 957,790 863,793 963,096 867,817 843,259 13.6 0 0 45 50,928 906,818

 > 5 years 143,076 139,158 135,954 123,737 139,432 2.6 0 0 2 10,075 132,999

 Commodity & other contracts (including credit 

derivatives, excluding gold contracts) < 1 year 1,754,417 1,745,343 1,896,551 1,994,605 2,314,371 -24.2 0 5 36 64,842 1,689,533

 1-5 years 2,847,005 3,105,744 3,017,006 3,019,612 2,862,714 -0.5 0 6 408 211,865 2,634,726

 > 5 years 528,263 298,075 537,194 309,072 527,870 0.1 0 41 530 40,864 486,829

Risk-Based Capital: Credit Equivalent Amount 

Total current exposure to tier 1 capital (%) 22.0 22.7 23.9 24.5 24.8 0.0 0.6 1.0 12.7 33.9

Total potential future exposure to tier 1 capital (%) 37.6 36.0 40.9 39.5 41.8 0.1 0.4 0.9 19.0 60.2

Total exposure (credit equivalent amount) 

to tier 1 capital (%) 59.5 58.7 64.8 64.0 66.6 0.1 1.0 1.9 31.6 94.1

Credit losses on derivatives  9.1 11.7 11.6 2.8 -1.1 N/M 0.0 0.0 -0.5 8.5 1.0

HELD FOR TRADING 

Number of institutions reporting derivatives 187 193 197 197 199 -6.0 1 24 87 67 8

Total assets of institutions reporting derivatives 12,931,741 12,768,696 12,612,012 12,484,349 12,578,398 2.8 46 12,198 294,921 4,033,137 8,591,439

Total deposits of institutions reporting derivatives 9,864,375 9,799,266 9,613,504 9,518,156 9,638,443 2.3 32 10,152 236,197 3,116,605 6,501,389

Derivative Contracts by Underlying Risk Exposure 

Interest rate 147,070,096 126,215,235 154,523,852 155,241,947 153,262,676 -4.0 14 484 39,250 46,902,570 100,127,778

Foreign exchange 42,441,495 38,768,802 40,241,704 40,144,539 38,353,254 10.7 0 0 3,908 8,959,566 33,478,022

Equity 3,659,003 3,359,405 3,628,434 3,402,588 3,450,109 6.1 0 0 22 148,281 3,510,700

Commodity & other 1,347,235 1,285,123 1,496,650 1,496,752 1,617,648 -16.7 0 0 2 66,611 1,280,622

Total 194,517,829 169,628,565 199,890,639 200,285,826 196,683,687 -1.1 14 484 43,182 56,077,027 138,397,121

Trading Revenues: Cash & Derivative Instruments 

Interest rate**  4,080 2,306 1,998 587 2,316 76.2 0 0 10 1,038 3,032

Foreign exchange** 2,256 2,105 3,130 4,569 2,860 -21.1 0 0 6 328 1,922

Equity** 2,895 -43 1,444 1,727 1,624 78.3 0 0 4 -44 2,935

Commodity & other (including credit derivatives)** 808 -202 487 501 882 -8.4 0 0 0 -429 1,237

Total trading revenues** 10,038 4,166 7,059 7,385 7,683 30.7 0 0 19 893 9,126

Share of Revenue 

Trading revenues to gross revenues (%)** 6.2 2.6 4.5 4.8 5.2 0.0 0.0 0.5 1.8 8.3

Trading revenues to net operating revenues (%)** 24.4 10.5 16.8 17.8 20.1 0.0 0.0 2.2 7.5 32.3

HELD FOR PURPOSES OTHER THAN TRADING 

Number of institutions reporting derivatives 724 735 750 759 758 -4.5 6 202 389 118 9

Total assets of institutions reporting derivatives 16,007,564 15,816,804 15,575,002 15,481,315 15,475,623 3.4 516 99,930 1,196,995 5,817,234 8,892,889

Total deposits of institutions reporting derivatives 12,251,430 12,173,050 11,903,875 11,829,384 11,881,099 3.1 448 83,267 964,198 4,445,115 6,758,403

Derivative Contracts by Underlying Risk Exposure 

Interest rate 2,113,172 1,950,815 2,249,741 2,184,847 2,206,558 -4.2 20 11,366 89,396 628,131 1,384,260

Foreign exchange 459,140 452,256 468,068 505,117 485,719 -5.5 0 1 584 30,546 428,010

Equity 16,241 14,959 16,125 18,036 16,790 -3.3 0 0 158 10,736 5,346

Commodity & other 30,155 29,448 29,030 29,012 28,371 6.3 0 0 21 28,596 1,539

Total notional amount 2,618,708 2,447,477 2,762,964 2,737,012 2,737,439 -4.3 20 11,367 90,159 698,008 1,819,155

All line items are reported on a quarterly basis. N/M - Not Meaningful

* Includes spot foreign exchange contracts. All other references to foreign exchange contracts in which notional values or fair values are reported exclude spot foreign exchange contracts.

** Does not include banks filing the FFIEC 051 report form, which was introduced in first quarter 2017.

*** Derivative contracts subject to the risk-based capital requirements for derivatives.

**** Credit losses on derivatives is applicable to all banks filing the FFIEC 031 report form and banks filing the FFIEC 041 report form that have $300 million or more in total assets, but is 

not applicaable to banks filing the FFIEC 051 form.
QUARTERLY BANKING PROFILE

FDIC QUARTERLY 13

TABLE VII-A. Servicing, Securitization, and Asset Sales Activities (All FDIC-Insured Call Report Filers)*

Asset Size Distribution

(dollar figures in millions)

1st 

Quarter 

2019

4th 

Quarter

2018

3rd 

Quarter

2018

2nd 

Quarter

2018

1st 

Quarter

2018

% 

Change 

18Q1-

19Q1

Less 

Than 

$100 

Million

$100 

Million 

to $1 

Billion

$1 

Billion 

to $10 

Billion

$10 

Billion 

to $250 

Billion

Greater 

Than 

$250 

Billion

Assets Securitized and Sold with Servicing Retained or with 

Recourse or Other Seller-Provided Credit Enhancements 

Number of institutions reporting securitization activities 65 64 64 64 65 0.0 0 5 20 33 7

Outstanding Principal Balance by Asset Type 

1-4 family residential loans $486,472 $520,030 $542,310 $560,132 $571,205 -14.8 $0 $959 $17,621 $85,100 $382,792

Home equity loans 13 14 15 16 18 -27.8 0 0 0 13 0

Credit card receivables 0 22 24 26 4,781 -100.0 0 0 0 0 0

Auto loans 3,062 3,710 4,415 4,647 8,221 -62.8 0 0 0 3,062 0

Other consumer loans 1,668 1,738 1,806 1,887 2,914 -42.8 0 0 0 727 940

Commercial and industrial loans 550 453 360 271 381 44.4 0 0 0 0 550

All other loans, leases, and other assets 72,857 71,416 68,646 67,948 62,410 16.7 0 10 9,933 3,030 59,885

Total securitized and sold 512,764 543,560 562,500 581,566 649,931 -21.1 0 0 0 68,597 444,167

Maximum Credit Exposure by Asset Type 

1-4 family residential loans 1,050 1,102 1,228 1,327 1,527 -31.2 0 0 55 783 213

Home equity loans 0 0 0 0 0 0.0 0 0 0 0 0

Credit card receivables 0 0 0 0 392 -100.0 0 0 0 0 0

Auto loans 94 104 114 125 164 -42.7 0 0 0 94 0

Other consumer loans 89 86 85 82 88 1.1 0 0 0 0 89

Commercial and industrial loans 0 0 0 0 0 0.0 0 0 0 0 0

All other loans, leases, and other assets 1,257 1,208 1,112 1,266 1,194 5.3 0 0 167 30 1,060

Total credit exposure 2,205 2,221 2,301 2,565 3,365 -34.5 0 0 0 843 1,362

Total unused liquidity commitments provided to institution’s own 

securitizations 230 213 226 144 143 60.8 0 0 0 34 196

Securitized Loans, Leases, and Other Assets 30-89 Days Past Due (%) 

1-4 family residential loans 3.5 3.6 3.9 3.5 3.2 0.0 2.7 2.0 2.6 3.8

Home equity loans 5.7 8.0 8.9 8.4 9.5 0.0 0.0 0.0 5.7 0.0

Credit card receivables 0.0 0.0 0.0 0.0 0.3 0.0 0.0 0.0 0.0 0.0

Auto loans 2.0 2.6 1.9 1.8 1.6 0.0 0.0 0.0 2.0 0.0

Other consumer loans 4.2 4.2 4.5 4.7 4.5 0.0 0.0 0.0 2.5 5.5

Commercial and industrial loans 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0

All other loans, leases, and other assets 0.2 0.2 0.2 0.3 0.3 0.0 0.0 0.4 1.1 0.1

Total loans, leases, and other assets 3.2 3.3 3.6 3.2 2.9 0.0 0.0 0.0 2.2 3.3

Securitized Loans, Leases, and Other Assets 90 Days or More Past Due (%) 

1-4 family residential loans 1.1 1.1 1.1 1.2 1.4 0.0 1.2 0.9 1.1 1.1

Home equity loans 39.4 39.0 40.2 42.6 44.1 0.0 0.0 0.0 39.4 0.0

Credit card receivables 0.0 0.0 0.0 0.0 0.2 0.0 0.0 0.0 0.0 0.0

Auto loans 0.5 0.5 0.4 0.4 0.3 0.0 0.0 0.0 0.5 0.0

Other consumer loans 4.1 4.3 4.3 6.0 4.3 0.0 0.0 0.0 1.9 5.8

Commercial and industrial loans 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0

All other loans, leases, and other assets 0.3 0.5 0.6 0.7 1.2 0.0 0.0 1.3 0.2 0.2

Total loans, leases, and other assets 1.0 1.0 1.0 1.2 1.4 0.0 0.0 0.0 0.7 1.0

Securitized Loans, Leases, and Other Assets Charged-off 

(net, YTD, annualized, %) 

1-4 family residential loans 0.0 0.1 0.0 -0.1 -0.1 0.0 0.0 0.0 0.0 0.1

Home equity loans 0.9 18.2 13.9 11.4 4.9 0.0 0.0 0.0 0.9 0.0

Credit card receivables 0.0 9.1 4.2 3.8 0.3 0.0 0.0 0.0 0.0 0.0

Auto loans 0.3 1.4 1.0 0.6 0.4 0.0 0.0 0.0 0.3 0.0

Other consumer loans 0.2 1.0 0.8 0.6 0.3 0.0 0.0 0.0 0.2 0.2

Commercial and industrial loans 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0

All other loans, leases, and other assets 0.1 1.1 0.4 0.3 0.0 0.0 0.0 0.1 0.1 0.1

Total loans, leases, and other assets 0.1 0.2 0.1 0.0 -0.1 0.0 0.0 0.0 0.0 0.1

Seller’s Interests in Institution's Own Securitizations – Carried as Loans 

Home equity loans 0 0 0 0 0 0.0 0 0 0 0 0

Credit card receivables 0 0 0 0 1,730 -100.0 0 0 0 0 0

Commercial and industrial loans 623 427 361 306 426 46.2 0 0 0 0 623

Seller’s Interests in Institution's Own Securitizations – Carried as Securities 

Home equity loans 0 0 0 0 0 0.0 0 0 0 0 0

Credit card receivables 0 0 0 0 0 0.0 0 0 0 0 0

Commercial and industrial loans 0 0 0 0 0 0.0 0 0 0 0 0

Assets Sold with Recourse and Not Securitized 

Number of institutions reporting asset sales 444 470 476 474 463 -4.1 11 163 203 59 8

Outstanding Principal Balance by Asset Type 

1-4 family residential loans 25,584 26,298 25,828 24,727 24,532 4.3 126 4,408 12,308 7,071 1,671

All other loans, leases, and other assets 118,912 116,464 112,296 109,138 106,242 11.9 0 23 187 39,125 79,578

Total sold and not securitized 144,496 142,763 138,124 133,865 130,775 10.5 126 4,431 12,494 46,196 81,249

Maximum Credit Exposure by Asset Type 

1-4 family residential loans 7,378 7,677 7,943 7,632 7,987 -7.6 5 453 3,546 2,641 732

All other loans, leases, and other assets 33,558 32,793 31,286 30,545 29,602 13.4 0 21 43 11,385 22,109

Total credit exposure 40,936 40,470 39,229 38,178 37,589 8.9 5 474 3,590 14,026 22,842

Support for Securitization Facilities Sponsored by Other Institutions 

Number of institutions reporting securitization facilities sponsored by others 0 0 0 0 0 0.0 0 0 0 0 0

Total credit exposure 22,527 23,013 24,792 26,570 29,676 -24.1 0 0 0 1,367 21,160

Total unused liquidity commitments 492 604 1,313 1,031 1,148 -57.1 0 0 0 295 197

Other

Assets serviced for others** 6,127,486 6,060,935 5,984,007 5,919,134 6,034,954 1.5 4,257 152,692 293,819 1,587,554 4,089,164

Asset-backed commercial paper conduits 

Credit exposure to conduits sponsored by institutions and others 17,150 17,366 16,898 16,069 15,554 10.3 0 0 0 0 17,150

Unused liquidity commitments to conduits sponsored by institutions 

 and others 29,998 31,491 30,447 30,593 29,497 1.7 0 0 0 1,459 28,539

Net servicing income (for the quarter) 1,525 1,508 2,739 2,812 3,655 -58.3 8 215 132 764 405

Net securitization income (for the quarter) 79 65 64 -49 151 -47.7 0 1 14 4 59

Total credit exposure to Tier 1 capital (%)*** 3.51 3.55 3.60 3.70 4.30 0.00 0.00 0.00 2.32 5.96

* Does not include banks filing the FFIEC 051 report form, which was introduced in first quarter 2017.

** The amount of financial assets serviced for others, other than closed-end 1-4 family residential mortgages, is reported when these assets are greater than $10 million.

*** Total credit exposure includes the sum of the three line items titled “Total credit exposure” reported above.
QUARTERLY BANKING PROFILE

FDIC QUARTERLY 15

COMMUNITY BANK PERFORMANCE

Community banks are identified based on criteria defined in the FDIC’s Community Banking Study. When comparing 

community bank performance across quarters, prior-quarter dollar amounts are based on community banks designated 

as such in the current quarter, adjusted for mergers. In contrast, prior-quarter performance ratios are based on community 

banks designated during the previous quarter.

Community Bank Net Income Increases 10.1 Percent Year Over Year

Higher Net Interest Income Lifts Net Operating Revenue

Annual Loan and Lease Growth Remains Strong

Quarterly Net Charge-Off Rate Lowest Since First Quarter 2006

Most Community Banks 

Report Higher Earnings 

Year Over Year

First quarter 2019 net income of $6.5 billion increased $595.1 million (10.1 percent) from 

first quarter 2018. Higher net interest income, higher realized gains on securities, and lower 

provision expense drove the year-over-year increase in quarterly earnings. Lower noninterest 

income and higher noninterest expense partially offset the improvements. Most community banks (62 percent) reported net income growth year over year, and pretax return on 

assets rose 7 basis points to 1.40 percent. Only 3.9 percent of community banks reported net 

losses for the quarter, the lowest share of community banks reporting first quarter net losses 

since first quarter 1997. The number of community banks totaled 4,930, reflecting one new 

community bank and no community bank failures during the quarter.

Net Interest Income Rises, 

While Net Interest Margin 

Growth Slows

Higher net interest income overcame lower noninterest income to deliver a year-over-year 

increase in net operating revenue. Net interest income increased $1.1 billion (6.4 percent) 

to $19.2 billion as nearly four in five community banks (79 percent) reported an annual 

increase. Broad-based improvements in loan interest income drove the annual increase. 

Each major loan interest income category—1–4 family real estate, non 1–4 family real estate, 

agricultural production, commercial and industrial (C&I), and consumer—registered yearover-year growth of 10 percent or more.1

Contributors to the Year-Over-Year Change in Income 

FDIC-Insured Community Banks 

Source: FDIC.

$ Billions

Net

Income

Net

Interest

Income

Loan Loss

Provisions

Noninterest

Income

Noninterest

Expense

Realized

Gains on

Securities

Income

Taxes

Positive Factor Negative Factor

-0.5

0.0

0.5

1.0

1.5

$0.60 $1.15 -$0.14 -$0.08 $0.58 $0.11 $0.13

+10% +6% -17% -2% +4% +207% +11%

Chart 1

Source: FDIC.

Net Interest Margin

Percent 

Community Banks (3.67)

Industry (3.42)

2.75

3.00

3.25

3.50

3.75

4.00

4.25

2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019

Chart 2

1 Non 1–4 family real estate loans include construction and development, farmland, multifamily, and nonfarm nonresidential 

loans.
2 0 1 9  •  Volume 1 3 • Number 2

16 FDIC QUARTERLY

Change in Loan Balances and Unused Commitments 

FDIC-Insured Community Banks 

Source: FDIC.

$ Billions Change 1Q 2019 vs. 1Q 2018

Change 1Q 2019 vs. 4Q 2018

Loan Balances

Unused

Commitments

Nonfarm

Nonresidential

RE

C&I

Loans

1–4 Family

Residential

RE

C&D

Loans

Agricultural

Production

Loans

CRE &

C&D

C&I

Loans

-5

0

5

10

15

20

25

30

35

40

33.6

17.4

10.3

17.0

2.2

7.5 9.7

7.1

3.3

1.0 2.5

-1.8

0.9 2.2

Chart 3

Noncurrent Loan Rates for FDIC-Insured Community Banks

Source: FDIC.

Share of Loan Portfolio Noncurrent

Percent

0

2

4

6

8

10

12

14

16

C&D Loans

Nonfarm Nonresidential RE

1–4 Family RE

C&I Loans 

Farm Loans

Home Equity

2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019

Chart 4

Total earning assets grew $102.4 billion (5.1 percent) year over year, and the average net 

interest margin improved 3 basis points to 3.67 percent. The annual increase in net interest 

margin was smaller than reported in each of the prior six quarters, including a 10 basis point 

increase in first quarter 2018, as funding costs increased faster than asset yields. The increase 

in funding costs is partially attributable to a shift from noninterest-bearing deposits to interest-bearing deposits, as interest-bearing deposits now constitute 78.9 percent of community 

bank domestic deposits. Community bank deposits are also repricing at a faster pace than a 

year ago. The average annualized cost of deposits increased 39 basis points year over year in 

first quarter 2019, up from a year-over-year increase of 14 basis points in first quarter 2018.

More Than Half of 

Community Banks Report 

Lower Noninterest Income

More than half of community banks (53 percent) reported a decrease in noninterest income 

compared with the same quarter last year. Noninterest income totaled $4.3 billion, a 

decline of $83.8 million (1.9 percent). A reduction in servicing fees (down $53.1 million, or 

24.8 percent) and net gains on loan sales (down $20.7 million, or 3 percent) contributed most 

to the decline. Noninterest income as a share of assets fell 7 basis points to 0.76 percent.

Efficiency Ratio Improves 

Even as Noninterest Expense 

Increases

Noninterest expense of $15.1 billion was $584.4 million (4 percent) higher than a year 

earlier. Nearly three out of four (73 percent) community banks reported noninterest expense 

growth. Salary and employee benefits expense were $409.5 million (4.9 percent) higher than 

a year earlier, as the total number of full-time employees rose by 4,369 (1.1 percent). The 

growth in noninterest expense was aligned with growth in revenue and assets. The community bank efficiency ratio improved 80 basis points to 64 percent, and average assets per 

employee increased 3.9 percent to $5.6 million.

Community Bank Loan and 

Lease Growth Rate Outpaces 

Noncommunity Bank Rate

Both quarter-over-quarter and year-over-year community bank loan and lease growth 

rates outpaced the rate of loan and lease growth at noncommunity banks. Loan and lease 

balances increased $14.8 billion (0.9 percent) during the quarter to $1.6 trillion. More than 

half (58 percent) of community banks reported quarterly loan growth, which was led by 

the following categories: nonfarm nonresidential loans (up $7.1 billion, or 1.5 percent), C&I 

loans (up $3.3 billion, or 1.5 percent), and construction and development (C&D) loans (up 

$2.5 billion, or 2.2 percent). Smaller farm loan balances (down $1.2 billion, or 0.9 percent) 

and home equity balances (down $0.5 billion, or 1.1 percent) partially offset the growth.
QUARTERLY BANKING PROFILE

FDIC QUARTERLY 17

Loan and lease balances increased $99.2 billion (6.6 percent) during the past 12 months. 

Annual loan growth was broad based as every major loan category increased, and nearly 

eight out of ten (79 percent) community banks reported higher loan balances year over year. 

The following categories led annual growth: nonfarm nonresidential loans (up $33.6 billion, 

or 7.6 percent), C&I loans (up $17.4 billion, or 8.7 percent), 1–4 family residential loans (up 

$17.4 billion, or 4.1 percent), and C&D loans (up $10.3 billion, or 10 percent). Unused loan 

commitments of $313.3 billion were $21.3 billion (7.3 percent) higher than a year ago.

Noncurrent Rate Falls 

Despite Rise in Noncurrent 

Balances

Total noncurrent loan and lease balances increased $176.7 million (1.4 percent) during the 

quarter. Lower 1–4 family residential, nonfarm nonresidential, and consumer noncurrent balances were more than offset by higher noncurrent balances in farm, C&I, and 

C&D categories. The largest increase in noncurrent balances occurred in farm loans (up 

$194.6 million, or 13.7 percent).

Despite the rise in noncurrent balances, the total loan and lease noncurrent rate declined 

for the 35th time in the past 37 quarters. Strong loan growth caused the total loan noncurrent rate to fall 1 basis point quarter over quarter to 0.77 percent. The largest improvement 

occurred in consumer (down 10 basis points to 0.58 percent) and 1–4 family residential 

(down 9 basis points to 0.95 percent) categories. The noncurrent rate for farm loans increased 

16 basis points during the quarter to 1.28 percent owing to increases in the noncurrent rates 

for farmland loans (up 17 basis points to 1.51 percent) and agricultural production loans (up 

14 basis points to 0.93 percent).

Quarterly Net Charge-Off 

Rate Nears Record Low

The community bank first quarter 2019 net charge-off rate of 0.09 percent marked the 

lowest community bank net charge-off rate since first quarter 2006 and the second-lowest 

net charge-off rate on record.2 The total loan net charge-off rate fell 4 basis points from first 

quarter 2018 led by declines in C&I (down 32 basis points) and consumer (down 15 basis 

points) categories. The net charge-off rate for loans secured by commercial real estate was 

0.03 percent, while the rate for loans secured by residential real estate was 0.02 percent. The 

net charge-off rate on farm loans was 0.06 percent.

Community Bank Capital 

Ratios Increase During 

the Quarter 

Equity capital totaled $259.8 billion, up $7.4 billion (2.9 percent) compared with first quarter 2018. The increase in capital exceeded the increase in risk-weighted assets, resulting 

in a higher average community bank tier 1 risk-based capital ratio (up 8 basis points to 

14.80 percent) and a higher average community bank total risk-based capital ratio (up 7 basis 

points to 15.83 percent). The leverage capital ratio increased 2 basis points to 11.11 percent.

Author:

Nathan L. Hinton

Senior Financial Analyst

Division of Insurance and Research

2 Record consists of data from first quarter 1984 to first quarter 2019.
2 0 1 9  •  Volume 1 3 • Number 2

18 FDIC QUARTERLY

TABLE I-B. Selected Indicators, FDIC-Insured Community Banks

2019* 2018* 2018 2017 2016 2015 2014

Return on assets (%) 1.16 1.11 1.19 0.96 0.99 0.99 0.93

Return on equity (%) 10.18 9.97 10.59 8.65 8.81 8.85 8.45

Core capital (leverage) ratio (%) 11.11 10.89 11.09 10.80 10.69 10.67 10.57

Noncurrent assets plus other real estate owned to assets (%) 0.68 0.77 0.70 0.78 0.94 1.07 1.34

Net charge-offs to loans (%) 0.09 0.13 0.12 0.16 0.16 0.15 0.21

Asset growth rate (%) 2.30 -0.35 2.30 1.17 2.97 2.71 2.21

Net interest margin (%) 3.67 3.64 3.72 3.62 3.57 3.57 3.61

Net operating income growth (%) 6.09 10.29 28.25 0.14 2.42 9.53 4.81

Number of institutions reporting 4,930 5,170 4,979 5,228 5,461 5,735 6,037

Percentage of unprofitable institutions (%) 3.91 4.29 3.55 5.74 4.67 5.04 6.44

* Through March 31, ratios annualized where appropriate. Asset growth rates are for 12 months ending March 31.

TABLE II-B. Aggregate Condition and Income Data, FDIC-Insured Community Banks

(dollar figures in millions)  1st Quarter

2019

4th Quarter

2018

1st Quarter

2018

%Change 

18Q1-19Q1

Number of institutions reporting 4,930 4,979 5,170 -4.6

Total employees (full-time equivalent) 406,567 412,582 412,784 -1.5

CONDITION DATA

Total assets $2,258,243 $2,259,236 $2,207,509 2.3

Loans secured by real estate 1,234,808 1,238,904 1,199,926 2.9

 1-4 Family residential mortgages 399,227 399,799 394,737 1.1

 Nonfarm nonresidential 477,538 481,738 461,526 3.5

 Construction and development 113,477 113,146 106,233 6.8

 Home equity lines 47,539 48,273 48,596 -2.2

Commercial & industrial loans 217,008 221,357 205,329 5.7

Loans to individuals 64,036 63,624 61,525 4.1

 Credit cards 1,988 1,908 1,925 3.3

Farm loans 50,928 52,755 48,595 4.8

Other loans & leases 40,158 40,186 38,273 4.9

Less: Unearned income 642 651 702 -8.6

Total loans & leases 1,606,296 1,616,174 1,552,945 3.4

Less: Reserve for losses 18,271 18,439 18,189 0.5

Net loans and leases 1,588,024 1,597,736 1,534,757 3.5

Securities 392,214 396,521 406,458 -3.5

Other real estate owned 2,986 3,053 3,782 -21.0

Goodwill and other intangibles 16,714 17,498 14,190 17.8

All other assets 258,304 244,429 248,321 4.0

Total liabilities and capital 2,258,243 2,259,236 2,207,509 2.3

Deposits 1,860,724 1,854,520 1,817,576 2.4

 Domestic office deposits 1,858,415 1,853,812 1,816,787 2.3

 Foreign office deposits 2,310 708 789 192.6

 Brokered deposits 77,519 77,746 93,062 -16.7

Estimated insured deposits 1,355,593 1,344,668 1,339,041 1.2

Other borrowed funds 119,370 128,936 129,045 -7.5

Subordinated debt 618 791 629 -1.8

All other liabilities 17,673 17,046 15,581 13.4

Total equity capital (includes minority interests) 259,857 257,943 244,677 6.2

 Bank equity capital 259,789 257,864 244,562 6.2

Loans and leases 30-89 days past due 9,221 8,634 8,966 2.8

Noncurrent loans and leases 12,365 12,603 13,207 -6.4

Restructured loans and leases 6,042 6,381 6,616 -8.7

Mortgage-backed securities 177,051 174,438 175,102 1.1

Earning assets 2,106,932 2,104,212 2,062,773 2.1

FHLB Advances 95,973 105,149 106,697 -10.1

Unused loan commitments 313,281 310,569 298,799 4.8

Trust assets 269,944 302,177 303,564 -11.1

Assets securitized and sold 12,980 13,056 19,406 -33.1

Notional amount of derivatives 83,568 74,850 70,239 19.0

INCOME DATA

Full Year

 2018

Full Year

 2017 %Change

1st Quarter 

2019

1st Quarter 

2018

%Change 

18Q1-19Q1

Total interest income $90,342 $82,472 9.5 $23,934 $21,628 10.7

Total interest expense 14,545 10,348 40.6 4,770 3,044 56.7

Net interest income 75,796 72,123 5.1 19,165 18,584 3.1

Provision for loan and lease losses 2,928 3,157 -7.3 659 820 -19.6

Total noninterest income 18,372 18,796 -2.3 4,257 4,521 -5.8

Total noninterest expense 60,242 59,321 1.6 15,081 15,048 0.2

Securities gains (losses) 38 353 -89.2 164 55 196.3

Applicable income taxes 4,940 8,199 -39.7 1,332 1,232 8.1

Extraordinary gains, net* 3 2 22.9 -2 2 N/M

Total net income (includes minority interests) 26,098 20,598 26.7 6,512 6,063 7.4

 Bank net income 26,087 20,575 26.8 6,512 6,059 7.5

Net charge-offs 1,935 2,408 -19.6 363 500 -27.4

Cash dividends 11,497 10,016 14.8 3,278 2,462 33.2

Retained earnings 14,590 10,559 38.2 3,234 3,597 -10.1

Net operating income 26,071 20,327 28.3 6,382 6,016 6.1

* See Notes to Users for explanation. N/M - Not Meaningful
QUARTERLY BANKING PROFILE

FDIC QUARTERLY 19

TABLE II-B. Aggregate Condition and Income Data, FDIC-Insured Community Banks

Prior Periods Adjusted for Mergers

(dollar figures in millions)  1st Quarter 

2019

4th Quarter 

2018

1st Quarter

2018

%Change 

18Q1-19Q1

Number of institutions reporting 4,930 4,929 4,926 0.1

Total employees (full-time equivalent) 406,567 406,227 402,198 1.1

CONDITION DATA

Total assets $2,258,243 $2,225,009 $2,145,654 5.2

Loans secured by real estate 1,234,808 1,222,601 1,161,133 6.3

 1-4 Family residential mortgages 399,227 398,262 382,194 4.5

 Nonfarm nonresidential 477,538 470,390 443,896 7.6

 Construction and development 113,477 111,001 103,159 10.0

 Home equity lines 47,539 48,057 47,126 0.9

Commercial & industrial loans 217,008 213,744 199,584 8.7

Loans to individuals 64,036 63,599 60,294 6.2

 Credit cards 1,988 2,086 1,998 -0.5

Farm loans 50,928 52,700 48,732 4.5

Other loans & leases 40,158 39,497 38,058 5.5

Less: Unearned income 642 643 674 -4.7

Total loans & leases 1,606,296 1,591,500 1,507,127 6.6

Less: Reserve for losses 18,271 18,174 17,770 2.8

Net loans and leases 1,588,024 1,573,326 1,489,357 6.6

Securities 392,214 392,088 396,718 -1.1

Other real estate owned 2,986 3,008 3,646 -18.1

Goodwill and other intangibles 16,714 16,311 14,451 15.7

All other assets 258,304 240,277 241,481 7.0

Total liabilities and capital 2,258,243 2,225,009 2,145,654 5.2

Deposits 1,860,724 1,827,510 1,770,609 5.1

 Domestic office deposits 1,858,415 1,825,414 1,768,419 5.1

 Foreign office deposits 2,310 2,096 2,189 5.5

 Brokered deposits 77,519 75,374 90,546 -14.4

Estimated insured deposits 1,355,593 1,325,222 1,301,186 4.2

Other borrowed funds 119,370 127,711 120,967 -1.3

Subordinated debt 618 618 620 -0.3

All other liabilities 17,673 16,687 15,273 15.7

Total equity capital (includes minority interests) 259,857 252,483 238,186 9.1

 Bank equity capital 259,789 252,407 238,077 9.1

Loans and leases 30-89 days past due 9,221 8,527 8,793 4.9

Noncurrent loans and leases 12,365 12,188 12,770 -3.2

Restructured loans and leases 6,042 6,301 6,432 -6.1

Mortgage-backed securities 177,051 173,229 172,007 2.9

Earning assets 2,106,932 2,074,041 2,004,528 5.1

FHLB Advances 95,973 105,239 99,039 -3.1

Unused loan commitments 313,281 305,471 291,980 7.3

Trust assets 269,944 288,289 257,948 4.7

Assets securitized and sold 12,980 13,056 14,403 -9.9

Notional amount of derivatives 83,568 72,279 67,119 24.5

INCOME DATA

Full Year

 2018

Full Year

 2017 %Change

1st Quarter 

2019

1st Quarter 

2018

%Change 

18Q1-19Q1

Total interest income $88,678 $79,018 12.2 $23,934 $20,949 14.3

Total interest expense 14,344 9,819 46.1 4,770 2,929 62.8

Net interest income 74,334 69,199 7.4 19,165 18,020 6.4

Provision for loan and lease losses 2,851 3,056 -6.7 659 796 -17.3

Total noninterest income 17,815 17,582 1.3 4,257 4,341 -1.9

Total noninterest expense 58,776 56,228 4.5 15,081 14,496 4.0

Securities gains (losses) 15 343 -95.7 164 53 207.0

Applicable income taxes 4,873 7,870 -38.1 1,332 1,204 10.7

Extraordinary gains, net* 3 2 22.9 -2 2 N/M

Total net income (includes minority interests) 25,666 19,973 28.5 6,512 5,919 10.0

 Bank net income 25,654 19,959 28.5 6,512 5,917 10.1

Net charge-offs 1,874 2,311 -18.9 363 482 -24.8

Cash dividends 11,354 9,536 19.1 3,278 2,378 37.9

Retained earnings 14,299 10,422 37.2 3,234 3,539 -8.6

Net operating income 25,657 19,709 30.2 6,382 5,874 8.7

* See Notes to Users for explanation. N/M - Not Meaningful
2 0 1 9  •  Volume 1 3 • Number 2

20 FDIC QUARTERLY

TABLE III-B. Aggregate Condition and Income Data by Geographic Region, FDIC-Insured Community Banks

First Quarter 2019

(dollar figures in millions) All Community Banks

Geographic Regions*

New York Atlanta Chicago Kansas City Dallas San Francisco

Number of institutions reporting 4,930 561 569 1,085 1,314 1,094 307

Total employees (full-time equivalent) 406,567 83,358 45,519 83,491 71,769 87,312 35,118

CONDITION DATA

Total assets $2,258,243 $619,213 $227,433 $391,528 $373,185 $420,370 $226,514

Loans secured by real estate 1,234,808 386,500 125,524 207,962 183,536 208,414 122,872

 1-4 Family residential mortgages 399,227 139,424 39,717 68,309 54,188 66,414 31,175

 Nonfarm nonresidential 477,538 139,484 54,798 78,324 62,616 85,220 57,097

 Construction and development 113,477 26,071 14,044 16,338 16,336 29,633 11,055

 Home equity lines 47,539 15,308 6,295 9,844 5,351 4,856 5,885

Commercial & industrial loans 217,008 54,507 18,845 40,829 38,755 42,243 21,829

Loans to individuals 64,036 15,814 6,327 11,903 10,810 12,696 6,487

 Credit cards 1,988 410 146 240 550 217 424

Farm loans 50,928 626 1,256 8,315 29,107 8,886 2,739

Other loans & leases 40,158 11,971 2,924 6,943 6,825 7,078 4,416

Less: Unearned income 642 168 92 49 106 131 97

Total loans & leases 1,606,296 469,250 154,784 275,903 268,927 279,185 158,247

Less: Reserve for losses 18,271 4,434 1,758 3,173 3,529 3,407 1,970

Net loans and leases 1,588,024 464,816 153,026 272,730 265,398 275,777 156,277

Securities 392,214 94,251 41,048 70,585 65,159 83,298 37,872

Other real estate owned 2,986 530 597 540 514 654 152

Goodwill and other intangibles 16,714 4,843 1,128 2,931 2,377 2,987 2,447

All other assets 258,304 54,772 31,633 44,743 39,736 57,654 29,767

Total liabilities and capital 2,258,243 619,213 227,433 391,528 373,185 420,370 226,514

Deposits 1,860,724 491,622 191,194 323,842 310,171 355,330 188,566

 Domestic office deposits 1,858,415 490,934 191,193 323,712 310,171 355,330 187,075

 Foreign office deposits 2,310 688 1 130 0 0 1,491

 Brokered deposits 77,519 26,199 5,120 13,014 14,196 11,460 7,531

 Estimated insured deposits 1,355,593 345,467 139,512 255,755 240,273 252,609 121,976

Other borrowed funds 119,370 49,494 8,822 19,338 18,497 14,339 8,880

Subordinated debt 618 500 15 36 10 42 15

All other liabilities 17,673 6,211 1,553 2,789 2,308 2,644 2,168

Total equity capital (includes minority interests) 259,857 71,386 25,848 45,523 42,199 48,015 26,886

 Bank equity capital 259,789 71,361 25,844 45,505 42,198 47,994 26,886

Loans and leases 30-89 days past due 9,221 2,117 1,019 1,559 1,896 2,054 576

Noncurrent loans and leases 12,365 3,663 1,148 2,222 2,182 2,414 737

Restructured loans and leases 6,042 2,060 617 1,374 874 714 402

Mortgage-backed securities 177,051 53,248 18,560 28,074 23,199 32,770 21,201

Earning assets 2,106,932 580,554 210,829 365,182 349,264 390,119 210,984

FHLB Advances 95,973 42,406 7,254 14,706 14,244 11,176 6,187

Unused loan commitments 313,281 84,347 27,245 55,511 55,827 53,610 36,741

Trust assets 269,944 55,149 8,799 54,226 93,338 40,598 17,834

Assets securitized and sold 12,980 7,524 71 1,245 2,736 995 410

Notional amount of derivatives 83,568 37,164 6,947 13,245 12,046 8,543 5,622

INCOME DATA

Total interest income $23,934 $6,305 $2,443 $4,081 $3,998 $4,592 $2,516

Total interest expense 4,770 1,547 439 777 802 816 389

Net interest income 19,165 4,758 2,004 3,304 3,196 3,776 2,127

Provision for loan and lease losses 659 141 57 82 131 170 77

Total noninterest income 4,257 835 415 1,057 719 849 382

Total noninterest expense 15,081 3,668 1,653 2,801 2,495 2,984 1,479

Securities gains (losses) 164 146 9 -5 5 7 2

Applicable income taxes 1,332 422 127 243 163 167 210

Extraordinary gains, net** -2 -2 0 0 0 0 0

Total net income (includes minority interests) 6,512 1,505 591 1,229 1,131 1,311 745

 Bank net income 6,512 1,504 591 1,229 1,131 1,312 745

Net charge-offs 363 98 30 37 66 93 39

Cash dividends 3,278 587 235 636 658 798 365

Retained earnings 3,234 917 356 593 472 514 381

Net operating income 6,382 1,390 583 1,233 1,126 1,305 744

* See Table V-A for explanation.

** See Notes to Users for explanation.
QUARTERLY BANKING PROFILE

FDIC QUARTERLY 21

Table IV-B. First Quarter 2019, FDIC-Insured Community Banks

Performance ratios (annualized, %)

All Community Banks First Quarter 2019, Geographic Regions*

 1st Quarter 

2019

4th Quarter 

2018 New York Atlanta Chicago Kansas City Dallas San Francisco

Yield on earning assets 4.58 4.62 4.38 4.69 4.50 4.62 4.77 4.80

Cost of funding earning assets 0.91 0.84 1.07 0.84 0.86 0.93 0.85 0.74

Net interest margin 3.67 3.78 3.30 3.85 3.65 3.69 3.92 4.06

Noninterest income to assets 0.76 0.83 0.54 0.74 1.09 0.78 0.82 0.68

Noninterest expense to assets 2.69 2.80 2.39 2.94 2.88 2.69 2.87 2.63

Loan and lease loss provision to assets 0.12 0.14 0.09 0.10 0.08 0.14 0.16 0.14

Net operating income to assets 1.14 1.22 0.91 1.04 1.27 1.21 1.26 1.32

Pretax return on assets 1.40 1.40 1.25 1.28 1.51 1.40 1.42 1.70

Return on assets 1.16 1.21 0.98 1.05 1.26 1.22 1.26 1.33

Return on equity 10.18 10.62 8.54 9.31 10.99 10.87 11.12 11.25

Net charge-offs to loans and leases 0.09 0.15 0.08 0.08 0.05 0.10 0.13 0.10

Loan and lease loss provision to net charge-offs 181.52 134.74 143.45 190.30 222.70 199.36 182.78 198.72

Efficiency ratio 64.02 63.94 65.27 67.77 63.83 63.29 64.26 58.64

Net interest income to operating revenue 81.82 80.85 85.07 82.85 75.76 81.64 81.64 84.78

% of unprofitable institutions 3.91 7.39 4.28 5.27 4.24 3.65 2.74 4.89

% of institutions with earnings gains 62.74 72.91 62.92 66.08 61.57 58.98 64.90 68.73

Table V-B. Full Year 2018, FDIC-Insured Community Banks

Performance ratios (%)

All Community Banks Full Year 2018, Geographic Regions*

Full Year

 2018

Full Year

 2017 New York Atlanta Chicago Kansas City Dallas San Francisco

Yield on earning assets 4.43 4.14 4.23 4.53 4.34 4.46 4.65 4.63

Cost of funding earning assets 0.71 0.52 0.85 0.65 0.66 0.73 0.64 0.58

Net interest margin 3.72 3.62 3.38 3.87 3.68 3.73 4.00 4.05

Noninterest income to assets 0.84 0.88 0.64 0.78 1.21 0.83 0.88 0.69

Noninterest expense to assets 2.75 2.77 2.45 2.99 2.96 2.71 2.95 2.71

Loan and lease loss provision to assets 0.13 0.15 0.14 0.12 0.11 0.15 0.16 0.12

Net operating income to assets 1.19 0.95 0.98 1.07 1.29 1.28 1.34 1.32

Pretax return on assets 1.42 1.35 1.25 1.26 1.55 1.46 1.49 1.65

Return on assets 1.19 0.96 0.99 1.06 1.29 1.28 1.33 1.32

Return on equity 10.59 8.65 8.75 9.65 11.26 11.56 11.89 11.51

Net charge-offs to loans and leases 0.12 0.16 0.13 0.12 0.10 0.13 0.16 0.09

Loan and lease loss provision to net charge-offs 151.31 131.12 138.91 151.35 150.95 163.97 144.32 205.17

Efficiency ratio 63.63 64.86 63.80 67.90 63.63 62.34 63.88 60.13

Net interest income to operating revenue 80.49 79.33 83.15 82.06 73.87 80.70 80.79 84.61

% of unprofitable institutions 3.55 5.74 4.03 5.74 3.56 2.49 2.90 5.47

% of institutions with earnings gains 78.73 55.18 86.34 83.30 75.41 74.94 78.79 83.92

* See Table V-A for explanation.
2 0 1 9  •  Volume 1 3 • Number 2

22 FDIC QUARTERLY

Table VI-B. Loan Performance, FDIC-Insured Community Banks

March 31, 2019

Geographic Regions*

All Community Banks New York Atlanta Chicago Kansas City Dallas San Francisco

Percent of Loans 30-89 Days Past Due

All loans secured by real estate 0.52 0.43 0.63 0.57 0.60 0.67 0.28

Construction and development 0.44 0.36 0.49 0.48 0.43 0.47 0.39

Nonfarm nonresidential 0.37 0.35 0.35 0.45 0.37 0.46 0.23

Multifamily residential real estate 0.12 0.09 0.20 0.22 0.18 0.14 0.03

Home equity loans 0.44 0.53 0.52 0.45 0.29 0.46 0.27

Other 1-4 family residential 0.78 0.64 1.13 0.82 0.72 1.06 0.35

Commercial and industrial loans 0.56 0.41 0.66 0.47 0.69 0.71 0.46

Loans to individuals 1.29 1.42 1.32 0.74 0.94 1.90 1.31

Credit card loans 2.05 2.21 1.39 0.94 3.41 1.24 1.39

Other loans to individuals 1.26 1.40 1.32 0.74 0.81 1.91 1.31

All other loans and leases (including farm) 0.80 0.21 0.39 0.55 1.19 0.76 0.72

Total loans and leases 0.57 0.45 0.66 0.56 0.70 0.74 0.36

Percent of Loans Noncurrent**

All loans secured by real estate 0.75 0.79 0.75 0.84 0.75 0.77 0.39

Construction and development 0.60 0.74 0.69 0.61 0.63 0.46 0.50

Nonfarm nonresidential 0.64 0.67 0.61 0.77 0.68 0.73 0.29

Multifamily residential real estate 0.19 0.17 0.23 0.32 0.15 0.28 0.06

Home equity loans 0.49 0.63 0.49 0.46 0.24 0.41 0.47

Other 1-4 family residential 0.95 1.17 0.96 0.99 0.60 0.94 0.55

Commercial and industrial loans 0.94 0.96 0.74 0.78 1.02 1.17 0.74

Loans to individuals 0.58 0.37 0.68 0.31 0.45 1.27 0.36

Credit card loans 1.11 1.33 0.89 0.58 1.74 0.66 0.70

Other loans to individuals 0.56 0.34 0.67 0.30 0.38 1.28 0.34

All other loans and leases (including farm) 0.83 0.27 0.56 0.82 1.01 0.92 0.93

Total loans and leases 0.77 0.78 0.74 0.81 0.81 0.86 0.47

Percent of Loans Charged-Off (net, YTD)

All loans secured by real estate 0.03 0.04 0.02 0.01 0.01 0.06 0.00

Construction and development 0.00 0.01 0.00 -0.02 -0.01 0.00 0.04

Nonfarm nonresidential 0.04 0.04 0.02 0.02 0.02 0.13 0.01

Multifamily residential real estate 0.01 0.03 0.02 -0.02 -0.02 0.03 0.00

Home equity loans 0.03 0.04 0.04 0.06 0.00 0.05 -0.01

Other 1-4 family residential 0.02 0.04 0.03 0.02 0.01 0.02 -0.02

Commercial and industrial loans 0.18 0.17 0.17 0.12 0.20 0.19 0.25

Loans to individuals 0.90 0.93 0.85 0.41 1.08 1.01 1.27

Credit card loans 6.16 3.56 2.09 1.61 15.64 1.70 2.51

Other loans to individuals 0.73 0.86 0.82 0.38 0.28 1.00 1.18

All other loans and leases (including farm) 0.15 0.14 0.15 0.14 0.12 0.21 0.21

Total loans and leases 0.09 0.08 0.08 0.05 0.10 0.13 0.10

Loans Outstanding (in billions)

All loans secured by real estate $1,234.8 $386.5 $125.5 $208.0 $183.5 $208.4 $122.9

Construction and development 113.5 26.1 14.0 16.3 16.3 29.6 11.1

Nonfarm nonresidential 477.5 139.5 54.8 78.3 62.6 85.2 57.1

Multifamily residential real estate 120.9 63.7 6.3 17.6 11.2 8.4 13.7

Home equity loans 47.5 15.3 6.3 9.8 5.4 4.9 5.9

Other 1-4 family residential 399.2 139.4 39.7 68.3 54.2 66.4 31.2

Commercial and industrial loans 217.0 54.5 18.8 40.8 38.8 42.2 21.8

Loans to individuals 64.0 15.8 6.3 11.9 10.8 12.7 6.5

Credit card loans 2.0 0.4 0.1 0.2 0.6 0.2 0.4

Other loans to individuals 62.0 15.4 6.2 11.7 10.3 12.5 6.1

All other loans and leases (including farm) 91.1 12.6 4.2 15.3 35.9 16.0 7.2

Total loans and leases 1,606.9 469.4 154.9 276.0 269.0 279.3 158.3

Memo: Unfunded Commitments (in millions)

Total Unfunded Commitments 313,281 84,347 27,245 55,511 55,827 53,610 36,741

Construction and development: 1-4 family residential 24,888 5,025 3,428 2,916 3,145 7,265 3,109

Construction and development: CRE and other 65,012 20,536 6,250 10,826 8,692 12,673 6,035

Commercial and industrial 100,828 27,581 7,229 19,869 17,224 16,866 12,059

* See Table V-A for explanation.

** Noncurrent loan rates represent the percentage of loans in each category that are past due 90 days or more or that are in nonaccrual status.
QUARTERLY BANKING PROFILE

FDIC QUARTERLY 23

Insurance Fund Indicators

Deposit Insurance Fund Increases by $2.3 Billion

Insured Deposits Grow by 2.3 Percent

DIF Reserve Ratio Is Unchanged at 1.36 Percent

During the first quarter, the Deposit Insurance Fund (DIF) balance increased by $2.3 billion 

to $104.9 billion. Assessment income of $1.4 billion and interest earned on investments of 

$507 million were the largest sources of the increase. Unrealized gains on available-for-sale 

securities of $421 million and a negative provision for insurance losses of $396 million also 

added to the DIF. Operating expenses of $434 million reduced the fund. No institutions 

failed during the first quarter of 2019.

The deposit insurance assessment base—average consolidated total assets minus average tangible equity—increased by 0.8 percent in the first quarter and by 3.3 percent over 

12 months.1, 2 Total estimated insured deposits increased by 2.3 percent in the quarter and 

5.0 percent year over year.

The strong growth in insured deposits offset the increase in the fund balance, resulting in a 

DIF reserve ratio of 1.36 percent on March 31, 2019. The reserve ratio was unchanged from 

December 31, 2018, though it increased year over year by 6 basis points.

Small banks will receive credits to offset the portion of their assessments that help to raise 

the reserve ratio from 1.15 percent to 1.35 percent. The total amount of credits to be issued 

among credit-accruing institutions is $764.7 million. Following each quarter that the reserve 

ratio is at or above 1.38 percent, the FDIC will automatically apply each small bank’s credits 

to reduce its regular assessment up to the entire amount of the assessment.

Author: 

Kevin Brown

Senior Financial Analyst

Division of Insurance and Research

1 There are additional adjustments to the assessment base for banker’s banks and custodial banks.

2 Figures for estimated insured deposits and the assessment base include insured branches of foreign banks, in addition to insured 

commercial banks and savings institutions.
2 0 1 9  •  Volume 1 3 • Number 2

24 FDIC QUARTERLY

DIF Reserve Ratios

Percent of Insured Deposits

1.20 1.24 1.27 1.30 1.30 1.33 1.36

1.13

1.17 1.18 1.20

1.36 1.36

3/16 6/16 9/16 12/16 3/17 6/17 9/17 12/17 3/18 6/18 9/18 12/18 3/19

Table I-C. Insurance Fund Balances and Selected Indicators

(dollar figures in millions)

Deposit Insurance Fund*

1st 

Quarter 

2019

4th 

Quarter 

2018

3rd 

Quarter 

2018

2nd 

Quarter 

2018

1st 

Quarter 

2018

4th 

Quarter 

2017

3rd 

Quarter 

2017

2nd 

Quarter 

2017

1st 

Quarter 

2017

4th 

Quarter 

2016

3rd 

Quarter 

2016

2nd 

Quarter 

2016

1st 

Quarter 

2016

Beginning Fund Balance $102,609 $100,204 $97,588 $95,072 $92,747 $90,506 $87,588 $84,928 $83,162 $80,704 $77,910 $75,120 $72,600

Changes in Fund Balance:

Assessments earned 1,369 1,351 2,728 2,598 2,850 2,656 2,568 2,634 2,737 2,688 2,643 2,328 2,328

Interest earned on 

investment securities 507 481 433 381 338 305 274 251 227 189 171 164 147

Realized gain on sale of

investments 0 0 0 0 0 0 0 0 0 0 0 0 0

Operating expenses 434 453 434 445 433 443 404 450 442 437 422 441 415

Provision for insurance 

losses -396 -236 -121 -141 -65 -203 -512 -233 765 -332 -566 -627 -43

All other income, 

net of expenses 2 2 2 3 1 3 1 4 2 3 3 2 5

Unrealized gain/(loss) on 

available-for-sale 

securities** 421 788 -234 -162 -496 -481 -33 -12 7 -317 -167 110 412

Total fund balance change 2,261 2,405 2,616 2,516 2,325 2,242 2,918 2,660 1,766 2,457 2,794 2,790 2,520

Ending Fund Balance 104,870 102,609 100,204 97,588 95,072 92,747 90,506 87,588 84,928 83,162 80,704 77,910 75,120

Percent change from 

 four quarters earlier 10.31 10.63 10.72 11.42 11.95 11.53 12.14 12.42 13.06 14.55 15.10 15.27 15.05

Reserve Ratio (%) 1.36 1.36 1.36 1.33 1.30 1.30 1.27 1.24 1.20 1.20 1.18 1.17 1.13

Estimated Insured 

Deposits 7,699,687 7,525,387 7,377,158 7,355,373 7,334,658 7,156,067 7,101,090 7,049,332 7,081,095 6,917,200 6,817,375 6,674,365 6,661,815

Percent change from 

 four quarters earlier 4.98 5.16 3.89 4.34 3.58 3.45 4.16 5.62 6.29 6.11 6.41 5.38 5.18

Domestic Deposits 12,725,354 12,659,392 12,367,954 12,280,904 12,305,817 12,129,503 11,966,478 11,827,933 11,856,691 11,693,371 11,506,877 11,242,960 11,156,523

Percent change from 

 four quarters earlier 3.41 4.37 3.36 3.83 3.79 3.73 3.99 5.20 6.28 6.76 7.56 5.74 5.06

Assessment Base*** 15,566,656 15,450,368 15,227,710 15,112,192 15,068,149 15,000,660 14,833,620 14,702,421 14,620,355 14,562,629 14,382,434 14,191,462 13,994,116

Percent change from 

 four quarters earlier 3.31 3.00 2.66 2.79 3.06 3.01 3.14 3.60 4.48 5.28 5.27 4.43 3.40

Number of Institutions 

Reporting 5,371 5,415 5,486 5,551 5,616 5,679 5,747 5,796 5,865 5,922 5,989 6,067 6,131

Deposit Insurance Fund Balance 

and Insured Deposits

($ Millions)

DIF 

Balance

DIF-Insured 

Deposits

3/16 $75,120 $6,661,815

6/16 77,910 6,674,365

9/16 80,704 6,817,375

12/16 83,162 6,917,200

3/17 84,928 7,081,095

6/17 87,588 7,049,332

9/17 90,506 7,101,090

12/17 92,747 7,156,067

3/18 95,072 7,334,658

6/18 97,588 7,355,373

9/18 100,204 7,377,158

12/18 102,609 7,525,387

3/19 104,870 7,699,687

Table II-C. Problem Institutions and Failed Institutions

(dollar figures in millions) 2019  2018** ** 2018 2017 2016 2015 2014 2013

Problem Institutions

Number of institutions 59 92 60 95 123 183 291 467

Total assets $46,665 $56,445 $48,489 $13,939 $27,624 $46,780 $86,712 $152,687

Failed Institutions

Number of institutions 0 0 0 8 5 8 18 24

Total assets***** $0 $0 $0 $5,082 $277 $6,706 $2,914 $6,044

* Quarterly financial statement results are unaudited.

** Includes unrealized postretirement benefit gain (loss).

*** Average consolidated total assets minus tangible equity, with adjustments for banker’s banks and custodial banks.

  Through March 31.

** *** Total assets are based on final Call Reports submitted by failed institutions.
QUARTERLY BANKING PROFILE

FDIC QUARTERLY 25

Table III-C. Estimated FDIC-Insured Deposits by Type of Institution

(dollar figures in millions)

March 31, 2019

Number of 

Institutions

Total 

Assets

Domestic 

Deposits*

Est. Insured 

Deposits

Commercial Banks and Savings Institutions

FDIC-Insured Commercial Banks 4,681 $16,906,570 $11,743,977 $6,899,353

 FDIC-Supervised 3,122 2,630,086 2,097,094 1,438,888

 OCC-Supervised 810 11,450,974 7,657,172 4,359,848

 Federal Reserve-Supervised 749 2,825,510 1,989,711 1,100,616

FDIC-Insured Savings Institutions 681 1,183,404 940,924 764,786

 OCC-Supervised 305 773,087 631,487 522,092

 FDIC-Supervised 337 378,585 284,014 222,312

 Federal Reserve-Supervised 39 31,731 25,423 20,382

Total Commercial Banks and Savings Institutions 5,362 18,089,974 12,684,901 7,664,139

Other FDIC-Insured Institutions

U.S. Branches of Foreign Banks 9 82,984 40,453 35,548

Total FDIC-Insured Institutions 5,371 18,172,958 12,725,354 7,699,687

* Excludes $1.2 trillion in foreign office deposits, which are not FDIC insured.

Table IV-C. Distribution of Institutions and Assessment Base by Assessment Rate Range

Quarter Ending December 31, 2018 (dollar figures in billions)

Annual Rate in Basis Points*

Number of 

Institutions

Percent of Total 

Institutions

Amount of 

Assessment Base**

Percent of Total 

Assessment Base

1.50 - 3.00 3,371 62.25 $6,034.2 39.06

3.01 - 6.00 1,423 26.28 8,455.1 54.72

6.01 - 10.00 486 8.98 831.8 5.38

10.01 - 15.00 64 1.18 101.0 0.65

15.01 - 20.00 57 1.05 14.3 0.09

20.01 - 25.00 6 0.11 1.4 0.01

> 25.00 8 0.15 12.6 0.08

* Assessment rates do not incorporate temporary surcharges on large banks.

** Beginning in the second quarter of 2011, the assessment base was changed to average consolidated total assets minus tangible equity, as required by the Dodd-Frank Act.
2 0 1 9  •  Volume 1 3 • Number 2

26 FDIC QUARTERLY

Notes to Users

This publication contains financial data and other information for 

depository institutions insured by the Federal Deposit Insurance 

Corporation (FDIC). These notes are an integral part of this publication and provide information regarding the comparability of source 

data and reporting differences over time.

Tables I-A through VIII-A.

The information presented in Tables I-A through VIII-A of the 

FDIC Quarterly Banking Profile is aggregated for all FDIC-insured 

Call Report filers, both commercial banks and savings institutions. 

Some tables are arrayed by groups of FDIC-insured institutions 

based on predominant types of asset concentration, while other tables 

aggregate institutions by asset size and geographic region. Quarterly 

and full-year data are provided for selected indicators, including 

aggregate condition and income data, performance ratios, condition 

ratios, and structural changes, as well as past due, noncurrent, and 

charge-off information for loans outstanding and other assets.

Tables I-B through VI-B.

The information presented in Tables I-B through VI-B is aggregated 

for all FDIC-insured commercial banks and savings institutions 

meeting the criteria for community banks that were developed for 

the FDIC’s Community Banking Study, published in December, 2012: 

http://www.fdic.gov/regulations/resources/cbi/report/cbi-full.pdf.

The determination of which insured institutions are considered 

community banks is based on five steps.

The first step in defining a community bank is to aggregate all 

charter-level data reported under each holding company into 

a single banking organization. This aggregation applies both to 

balance-sheet measures and the number and location of banking 

offices. Under the FDIC definition, if the banking organization is 

designated as a community bank, every charter reporting under that 

organization is also considered a community bank when working 

with data at the charter level.

The second step is to exclude any banking organization where more 

than 50 percent of total assets are held in certain specialty banking 

charters, including: credit card specialists, consumer nonbank banks, 

industrial loan companies, trust companies, bankers’ banks, and banks 

holding 10 percent or more of total assets in foreign offices.

Once the specialty organizations are removed, the third step involves 

including organizations that engage in basic banking activities as 

measured by the total loans-to-assets ratio (greater than 33 percent) 

and the ratio of core deposits to assets (greater than 50 percent). Core 

deposits are defined as non-brokered deposits in domestic offices. 

Analysis of the underlying data shows that these thresholds establish 

meaningful levels of basic lending and deposit gathering and still 

allow for a degree of diversity in how individual banks construct their 

balance sheets.

The fourth step includes organizations that operate within a limited geographic scope. This limitation of scope is used as a proxy 

measure for a bank’s relationship approach to banking. Banks that 

operate within a limited market area have more ease in managing 

relationships at a personal level. Under this step, four criteria are 

applied to each banking organization. They include both a minimum and maximum number of total banking offices, a maximum 

level of deposits for any one office, and location-based criteria. 

The limits on the number of and deposits per office are adjusted 

upward quarterly. For banking offices, banks must have more than 

one office, and the maximum number of offices is 40 in 1985 and 

reached 87 in 2016. The maximum level of deposits for any one 

office is $1.25 billion in deposits in 1985 and reached $6.97 billion 

in deposits in 2016. The remaining geographic limitations are also 

based on maximums for the number of states (fixed at 3) and large 

metropolitan areas (fixed at 2) in which the organization maintains 

offices. Branch office data are based on the most recent data from 

the annual June 30 Summary of Deposits Survey that are available at 

the time of publication. 

Finally, the definition establishes an asset-size limit, also adjusted 

upward quarterly and below which the limits on banking activities 

and geographic scope are waived. The asset-size limit is $250 million 

in 1985 and reached $1.39 billion in 2016. This final step acknowledges the fact that most of those small banks that are not excluded 

as specialty banks meet the requirements for banking activities and 

geographic limits in any event.

Summary of FDIC Research Definition of Community 

Banking Organizations

Community banks are designated at the level of the banking 

organization.

(All charters under designated holding companies are considered 

community banking charters.)

Exclude: Any organization with:

— No loans or no core deposits

— Foreign Assets ≥ 10% of total assets

— More than 50% of assets in certain specialty banks, including:

• credit card specialists

• consumer nonbank banks1

• industrial loan companies

• trust companies

• bankers’ banks

Include: All remaining banking organizations with:

— Total assets < indexed size threshold 

2

— Total assets ≥ indexed size threshold, where:

• Loan to assets > 33%

• Core deposits to assets > 50%

• More than 1 office but no more than the indexed maximum 

number of offices.3

• Number of large MSAs with offices ≤ 2

• Number of states with offices ≤ 3

• No single office with deposits > indexed maximum branch 

deposit size.4

Tables I-C through IV-C.

A separate set of tables (Tables I-C through IV-C) provides comparative quarterly data related to the Deposit Insurance Fund (DIF), 

problem institutions, failed institutions, estimated FDIC-insured 

deposits, as well as assessment rate information. Depository insti1 Consumer nonbank banks are financial institutions with limited charters that can 

make commercial loans or take deposits, but not both.

2 Asset size threshold indexed to equal $250 million in 1985 and $1.39 billion in 2016.

3 Maximum number of offices indexed to equal 40 in 1985 and 87 in 2016.

4 Maximum branch deposit size indexed to equal $1.25 billion in 1985 and $6.97 billion 

in 2016.
QUARTERLY BANKING PROFILE

FDIC QUARTERLY 27

tutions that are not insured by the FDIC through the DIF are not 

included in the FDIC Quarterly Banking Profile. U.S. branches of 

institutions headquartered in foreign countries and non-deposit trust 

companies are not included unless otherwise indicated. Efforts are 

made to obtain financial reports for all active institutions. However, 

in some cases, final financial reports are not available for institutions 

that have closed or converted their charters.

DATA SOURCES

The financial information appearing in this publication is obtained 

primarily from the Federal Financial Institutions Examination 

Council (FFIEC) Consolidated Reports of Condition and Income 

(Call Reports) and the OTS Thrift Financial Reports (TFR) submitted 

by all FDIC-insured depository institutions. (TFR filers began filing 

Call Reports effective with the quarter ending March 31, 2012.) This 

information is stored on and retrieved from the FDIC’s Research 

Information System (RIS) database.

COMPUTATION METHODOLOGY

Parent institutions are required to file consolidated reports, while 

their subsidiary financial institutions are still required to file separate reports. Data from subsidiary institution reports are included 

in the Quarterly Banking Profile tables, which can lead to doublecounting. No adjustments are made for any double-counting of subsidiary data. Additionally, certain adjustments are made to the OTS 

Thrift Financial Reports to provide closer conformance with the 

reporting and accounting requirements of the FFIEC Call Reports.

(TFR filers began filing Call Reports effective with the quarter 

ending March 31, 2012.)

All condition and performance ratios represent weighted averages, 

which is the sum of the individual numerator values divided by the 

sum of individual denominator values. All asset and liability figures 

used in calculating performance ratios represent average amounts for 

the period (beginning-of-period amount plus end-of-period amount 

plus any interim periods, divided by the total number of periods). For 

“pooling-of-interest” mergers, the assets of the acquired institution(s) 

are included in average assets, since the year-to-date income includes 

the results of all merged institutions. No adjustments are made for 

“purchase accounting” mergers. Growth rates represent the percentage change over a 12-month period in totals for institutions in the 

base period to totals for institutions in the current period. For the 

community bank subgroup, growth rates will reflect changes over 

time in the number and identities of institutions designated as community banks, as well as changes in the assets and liabilities, and 

income and expenses of group members. Unless indicated otherwise, 

growth rates are not adjusted for mergers or other changes in the 

composition of the community bank subgroup. When community 

bank growth rates are adjusted for mergers, prior period balances 

used in the calculations represent totals for the current group of community bank reporters, plus prior period amounts for any institutions 

that were subsequently merged into current community banks.

All data are collected and presented based on the location of each 

reporting institution’s main office. Reported data may include assets 

and liabilities located outside of the reporting institution’s home 

state. In addition, institutions may relocate across state lines or 

change their charters, resulting in an inter-regional or inter-industry 

migration; institutions can move their home offices between regions, 

savings institutions can convert to commercial banks, or commercial 

banks may convert to savings institutions.

ACCOUNTING CHANGES

Financial accounting pronouncements by the Financial Accounting 

Standards Board (FASB) can result in changes in an individual 

bank’s accounting policies and in the Call Reports they submit. Such 

accounting changes can affect the aggregate amounts presented in the 

QBP for the current period and the period-to-period comparability of 

such financial data. 

The current quarter’s Financial Institution Letter (FIL) and related 

Call Report supplemental instructions can provide additional explanation to the QBP reader beyond any material accounting changes 

discussed in the QBP analysis.

https://www.fdic.gov/news/news/financial/2019/fil19021.html

https://www.fdic.gov/news/news/financial/2019/fil19021.pdf

https://www.fdic.gov/regulations/resources/call/call.html

Further information on changes in financial statement presentation, 

income recognition and disclosure is available from the FASB. http://

www.fasb.org/jsp/FASB/Page/LandingPage&cid=1175805317350.

DEFINITIONS (in alphabetical order)

All other assets – total cash, balances due from depository institutions, premises, fixed assets, direct investments in real estate, 

investment in unconsolidated subsidiaries, customers’ liability on 

acceptances outstanding, assets held in trading accounts, federal 

funds sold, securities purchased with agreements to resell, fair market value of derivatives, prepaid deposit insurance assessments, and 

other assets.

All other liabilities – bank’s liability on acceptances, limited-life preferred stock, allowance for estimated off-balance-sheet credit losses, 

fair market value of derivatives, and other liabilities.

Assessment base – effective April 1, 2011, the deposit insurance 

assessment base changed to “average consolidated total assets minus 

average tangible equity” with an additional adjustment to the assessment base for banker’s banks and custodial banks, as permitted under 

Dodd-Frank. Previously the assessment base was “assessable deposits” and consisted of deposits in banks’ domestic offices with certain 

adjustments.

Assessment rate schedule – Initial base assessment rates for small 

institutions are based on a combination of financial ratios and 

CAMELS component ratings. Initial rates for large institutions—

generally those with at least $10 billion in assets—are also based 

on CAMELS component ratings and certain financial measures 

combined into two scorecards—one for most large institutions and 

another for the remaining very large institutions that are structurally 

and operationally complex or that pose unique challenges and risks 

in case of failure (highly complex institutions). The FDIC may take 

additional information into account to make a limited adjustment to 

a large institution’s scorecard results, which are used to determine a 

large institution’s initial base assessment rate.

While risk categories for small institutions (except new institutions) were eliminated effective July 1, 2016, initial rates for small 

institutions are subject to minimums and maximums based on an 

institution’s CAMELS composite rating. (Risk categories for large 

institutions were eliminated in 2011.)

The current assessment rate schedule became effective July 1, 2016. 

Under the current schedule, initial base assessment rates range 

from 3 to 30 basis points. An institution’s total base assessment rate 
2 0 1 9  •  Volume 1 3 • Number 2

28 FDIC QUARTERLY

may differ from its initial rate due to three possible adjustments: 

(1) Unsecured Debt Adjustment: An institution’s rate may decrease 

by up to 5 basis points for unsecured debt. The unsecured debt 

adjustment cannot exceed the lesser of 5 basis points or 50 percent 

of an institution’s initial base assessment rate (IBAR). Thus, for 

example, an institution with an IBAR of 3 basis points would have a 

maximum unsecured debt adjustment of 1.5 basis points and could 

not have a total base assessment rate lower than 1.5 basis points. 

(2) Depository Institution Debt Adjustment: For institutions that 

hold long-term unsecured debt issued by another insured depository institution, a 50 basis point charge is applied to the amount of 

such debt held in excess of 3 percent of an institution’s Tier 1 capital. 

(3) Brokered Deposit Adjustment: Rates for large institutions that are 

not well capitalized or do not have a composite CAMELS rating of 

1 or 2 may increase (not to exceed 10 basis points) if their brokered 

deposits exceed 10 percent of domestic deposits.

The assessment rate schedule effective July 1, 2016, is shown in the 

following table:

Total Base Assessment Rates*

Established Small Banks Large and 

Highly 

Complex 

Institutions**

CAMELS Composite

1 or 2 3 4 or 5

Initial Base 

Assessment Rate 3 to 16 6 to 30 16 to 30 3 to 30

Unsecured Debt 

Adjustment -5 to 0 -5 to 0 -5 to 0 -5 to 0

Brokered Deposit 

Adjustment N/A N/A N/A 0 to 10

Total Base 

Assessment Rate 1.5 to 16 3 to 30 11 to 30 1.5 to 40

* All amounts for all categories are in basis points annually. Total base rates that 

are not the minimum or maximum rate will vary between these rates. Total base 

assessment rates do not include the depository institution debt adjustment.

 ** Effective July 1, 2016, large institutions are also subject to temporary 

assessment surcharges in order to raise the reserve ratio from 1.15 percent to 

1.35  percent. The surcharges amount to 4.5 basis points of a large institution’s 

assessment base (after making certain adjustments).

Each institution is assigned a risk-based rate for a quarterly assessment period near the end of the quarter following the assessment 

period. Payment is generally due on the 30th day of the last month 

of the quarter following the assessment period. Supervisory rating 

changes are effective for assessment purposes as of the examination 

transmittal date.

Assets securitized and sold – total outstanding principal balance 

of assets securitized and sold with servicing retained or other sellerprovided credit enhancements.

Capital Purchase Program (CPP) – as announced in October 2008 

under the TARP, the Treasury Department purchase of noncumulative perpetual preferred stock and related warrants that is treated as 

Tier 1 capital for regulatory capital purposes is included in “Total 

equity capital.” Such warrants to purchase common stock or noncumulative preferred stock issued by publicly-traded banks are 

reflected as well in “Surplus.” Warrants to purchase common stock or 

noncumulative preferred stock of not-publicly-traded bank stock are 

classified in a bank’s balance sheet as “Other liabilities.”

Common equity Tier 1 capital ratio – ratio of common equity 

Tier 1 capital to risk-weighted assets. Common equity Tier 1 capital 

includes common stock instruments and related surplus, retained 

earnings, accumulated other comprehensive income (AOCI), and 

limited amounts of common equity Tier 1 minority interest, minus 

applicable regulatory adjustments and deductions. Items that are fully 

deducted from common equity Tier 1 capital include goodwill, other 

intangible assets (excluding mortgage servicing assets) and certain 

deferred tax assets; items that are subject to limits in common equity 

Tier 1 capital include mortgage servicing assets, eligible deferred tax 

assets, and certain significant investments.

Construction and development loans – includes loans for all 

property types under construction, as well as loans for land acquisition and development.

Core capital – common equity capital plus noncumulative perpetual 

preferred stock plus minority interest in consolidated subsidiaries, 

less goodwill and other ineligible intangible assets. The amount of 

eligible intangibles (including servicing rights) included in core capital is limited in accordance with supervisory capital regulations.

Cost of funding earning assets – total interest expense paid on 

deposits and other borrowed money as a percentage of average 

earning assets.

Credit enhancements – techniques whereby a company attempts to 

reduce the credit risk of its obligations. Credit enhancement may be 

provided by a third party (external credit enhancement) or by the 

originator (internal credit enhancement), and more than one type of 

enhancement may be associated with a given issuance.

Deposit Insurance Fund (DIF) – the Bank (BIF) and Savings 

Association (SAIF) Insurance Funds were merged in 2006 by the 

Federal Deposit Insurance Reform Act to form the DIF.

Derivatives notional amount – the notional, or contractual, amounts 

of derivatives represent the level of involvement in the types of 

derivatives transactions and are not a quantification of market risk or 

credit risk. Notional amounts represent the amounts used to calculate 

contractual cash flows to be exchanged.

Derivatives credit equivalent amount – the fair value of the derivative plus an additional amount for potential future credit exposure 

based on the notional amount, the remaining maturity and type of 

the contract.

Derivatives transaction types:

Futures and forward contracts – contracts in which the buyer 

agrees to purchase and the seller agrees to sell, at a specified future 

date, a specific quantity of an underlying variable or index at a 

specified price or yield. These contracts exist for a variety of variables or indices, (traditional agricultural or physical commodities, 

as well as currencies and interest rates). Futures contracts are 

standardized and are traded on organized exchanges which set 

limits on counterparty credit exposure. Forward contracts do not 

have standardized terms and are traded over the counter.

Option contracts – contracts in which the buyer acquires the right 

to buy from or sell to another party some specified amount of an 

underlying variable or index at a stated price (strike price) during 

a period or on a specified future date, in return for compensation 

(such as a fee or premium). The seller is obligated to purchase or 

sell the variable or index at the discretion of the buyer of the 

contract.

Swaps – obligations between two parties to exchange a series of 

cash flows at periodic intervals (settlement dates), for a specified 

period. The cash flows of a swap are either fixed, or determined 

for each settlement date by multiplying the quantity (notional 

principal) of the underlying variable or index by specified reference rates or prices. Except for currency swaps, the notional principal is used to calculate each payment but is not exchanged.
QUARTERLY BANKING PROFILE

FDIC QUARTERLY 29

Derivatives underlying risk exposure – the potential exposure characterized by the level of banks’ concentration in particular underlying 

instruments, in general. Exposure can result from market risk, credit 

risk, and operational risk, as well as, interest rate risk.

Domestic deposits to total assets – total domestic office deposits as 

a percent of total assets on a consolidated basis.

Earning assets – all loans and other investments that earn interest or 

dividend income.

Efficiency ratio – Noninterest expense less amortization of intangible 

assets as a percent of net interest income plus noninterest income. 

This ratio measures the proportion of net operating revenues that 

are absorbed by overhead expenses, so that a lower value indicates 

greater efficiency.

Estimated insured deposits – in general, insured deposits are total 

domestic deposits minus estimated uninsured deposits. Beginning 

March 31, 2008, for institutions that file Call Reports, insured deposits are total assessable deposits minus estimated uninsured deposits. 

Beginning September 30, 2009, insured deposits include deposits in 

accounts of $100,000 to $250,000 that are covered by a temporary 

increase in the FDIC’s standard maximum deposit insurance amount 

(SMDIA). The Dodd-Frank Wall Street Reform and Consumer 

Protection Act enacted on July 21, 2010, made permanent the standard maximum deposit insurance amount (SMDIA) of $250,000. 

Also, the Dodd-Frank Act amended the Federal Deposit Insurance 

Act to include noninterest-bearing transaction accounts as a new 

temporary deposit insurance account category. All funds held in 

noninterest-bearing transaction accounts were fully insured, without 

limit, from December 31, 2010, through December 31, 2012.

Failed/assisted institutions – an institution fails when regulators 

take control of the institution, placing the assets and liabilities into a 

bridge bank, conservatorship, receivership, or another healthy institution. This action may require the FDIC to provide funds to cover 

losses. An institution is defined as “assisted” when the institution 

remains open and receives assistance in order to continue operating.

Fair Value – the valuation of various assets and liabilities on the 

balance sheet—including trading assets and liabilities, available-forsale securities, loans held for sale, assets and liabilities accounted for 

under the fair value option, and foreclosed assets—involves the use 

of fair values. During periods of market stress, the fair values of some 

financial instruments and nonfinancial assets may decline.

FHLB advances – all borrowings by FDIC-insured institutions from 

the Federal Home Loan Bank System (FHLB), as reported by Call 

Report filers, and by TFR filers prior to March 31, 2012.

Goodwill and other intangibles – intangible assets include servicing 

rights, purchased credit card relationships, and other identifiable 

intangible assets. Goodwill is the excess of the purchase price over the 

fair market value of the net assets acquired, less subsequent impairment adjustments. Other intangible assets are recorded at fair value, 

less subsequent quarterly amortization and impairment adjustments.

Loans secured by real estate – includes home equity loans, junior 

liens secured by 1-4 family residential properties, and all other loans 

secured by real estate.

Loans to individuals – includes outstanding credit card balances and 

other secured and unsecured consumer loans.

Long-term assets (5+ years) – loans and debt securities with remaining maturities or repricing intervals of over five years.

Maximum credit exposure – the maximum contractual credit 

exposure remaining under recourse arrangements and other sellerprovided credit enhancements provided by the reporting bank to 

securitizations.

Mortgage-backed securities – certificates of participation in pools 

of residential mortgages and collateralized mortgage obligations 

issued or guaranteed by government-sponsored or private enterprises. Also, see “Securities,” below.

Net charge-offs – total loans and leases charged off (removed from 

balance sheet because of uncollectability), less amounts recovered on 

loans and leases previously charged off.

Net interest margin – the difference between interest and dividends 

earned on interest-bearing assets and interest paid to depositors and 

other creditors, expressed as a percentage of average earning assets. 

No adjustments are made for interest income that is tax exempt.

Net loans to total assets – loans and lease financing receivables, net 

of unearned income, allowance and reserves, as a percent of total 

assets on a consolidated basis.

Net operating income – income excluding discretionary transactions such as gains (or losses) on the sale of investment securities and 

extraordinary items. Income taxes subtracted from operating income 

have been adjusted to exclude the portion applicable to securities 

gains (or losses).

Noncurrent assets – the sum of loans, leases, debt securities, and 

other assets that are 90 days or more past due, or in nonaccrual status.

Noncurrent loans & leases – the sum of loans and leases 90 days or 

more past due, and loans and leases in nonaccrual status.

Number of institutions reporting – the number of institutions that 

actually filed a financial report.

New reporters – insured institutions filing quarterly financial reports 

for the first time.

Other borrowed funds – federal funds purchased, securities sold with 

agreements to repurchase, demand notes issued to the U.S. Treasury, 

FHLB advances, other borrowed money, mortgage indebtedness, 

obligations under capitalized leases and trading liabilities, less revaluation losses on assets held in trading accounts.

Other real estate owned – primarily foreclosed property. Direct and 

indirect investments in real estate ventures are excluded. The amount 

is reflected net of valuation allowances. For institutions that filed a 

Thrift Financial Report (TFR), the valuation allowance subtracted also 

includes allowances for other repossessed assets. Also, for TFR filers 

the components of other real estate owned are reported gross of valuation allowances. (TFR filers began filing Call Reports effective with 

the quarter ending March 31, 2012.)

Percent of institutions with earnings gains – the percent of institutions that increased their net income (or decreased their losses) compared to the same period a year earlier.

“Problem” institutions – federal regulators assign a composite rating 

to each financial institution, based upon an evaluation of financial 

and operational criteria. The rating is based on a scale of 1 to 5 in 

ascending order of supervisory concern. “Problem” institutions are 

those institutions with financial, operational, or managerial weaknesses that threaten their continued financial viability. Depending 

upon the degree of risk and supervisory concern, they are rated 

either a “4” or “5.” The number and assets of “problem” institutions 

are based on FDIC composite ratings. Prior to March 31, 2008, for 

institutions whose primary federal regulator was the OTS, the OTS 

composite rating was used.
2 0 1 9  •  Volume 1 3 • Number 2

30 FDIC QUARTERLY

Recourse – an arrangement in which a bank retains, in form or in 

substance, any credit risk directly or indirectly associated with an 

asset it has sold (in accordance with generally accepted accounting 

principles) that exceeds a pro rata share of the bank’s claim on the 

asset. If a bank has no claim on an asset it has sold, then the retention 

of any credit risk is recourse.

Reserves for losses – the allowance for loan and lease losses on a 

consolidated basis.

Restructured loans and leases – loan and lease financing receivables with terms restructured from the original contract. Excludes 

restructured loans and leases that are not in compliance with the 

modified terms.

Retained earnings – net income less cash dividends on common and 

preferred stock for the reporting period.

Return on assets – bank net income (including gains or losses on 

securities and extraordinary items) as a percentage of average total 

(consolidated) assets. The basic yardstick of bank profitability.

Return on equity – bank net income (including gains or losses on 

securities and extraordinary items) as a percentage of average total 

equity capital.

Risk-weighted assets – assets adjusted for risk-based capital definitions which include on-balance-sheet as well as off-balance-sheet 

items multiplied by risk-weights that range from zero to 200 percent. 

A conversion factor is used to assign a balance sheet equivalent 

amount for selected off-balance-sheet accounts.

Securities – excludes securities held in trading accounts. Banks’ securities portfolios consist of securities designated as “held-to-maturity” 

(reported at amortized cost (book value)), securities designated as 

“available-for-sale” (reported at fair (market) value), and equity 

securities with readily determinable fair values not held for trading.

Securities gains (losses) – realized gains (losses) on held-tomaturity and available-for-sale securities, before adjustments for 

income taxes. Thrift Financial Report (TFR) filers also include gains 

(losses) on the sales of assets held for sale. (TFR filers began filing 

Call Reports effective with the quarter ending March 31, 2012.)

Seller’s interest in institution’s own securitizations – the reporting 

bank’s ownership interest in loans and other assets that have been 

securitized, except an interest that is a form of recourse or other 

seller-provided credit enhancement. Seller’s interests differ from 

the securities issued to investors by the securitization structure. The 

principal amount of a seller’s interest is generally equal to the total 

principal amount of the pool of assets included in the securitization 

structure less the principal amount of those assets attributable to 

investors, i.e., in the form of securities issued to investors.

Small Business Lending Fund – The Small Business Lending Fund 

(SBLF) was enacted into law in September 2010 as part of the Small 

Business Jobs Act of 2010 to encourage lending to small businesses 

by providing capital to qualified community institutions with assets 

of less than $10 billion. The SBLF Program is administered by the 

U.S. Treasury Department (http://www.treasury.gov/resource-center/

sb-programs/Pages/Small-Business-Lending-Fund.aspx).

Under the SBLF Program, the Treasury Department purchased 

noncumulative perpetual preferred stock from qualifying depository 

institutions and holding companies (other than Subchapter S and 

mutual institutions). When this stock has been issued by a depository 

institution, it is reported as “Perpetual preferred stock and related 

surplus.” For regulatory capital purposes, this noncumulative 

perpetual preferred stock qualifies as a component of Tier 1 capital. 

Qualifying Subchapter S corporations and mutual institutions issue 

unsecured subordinated debentures to the Treasury Department 

through the SBLF. Depository institutions that issued these 

debentures report them as “Subordinated notes and debentures.” 

For regulatory capital purposes, the debentures are eligible for 

inclusion in an institution’s Tier 2 capital in accordance with their 

primary federal regulator’s capital standards. To participate in the 

SBLF Program, an institution with outstanding securities issued 

to the Treasury Department under the Capital Purchase Program 

(CPP) was required to refinance or repay in full the CPP securities 

at the time of the SBLF funding. Any outstanding warrants that an 

institution issued to the Treasury Department under the CPP remain 

outstanding after the refinancing of the CPP stock through the SBLF 

Program unless the institution chooses to repurchase them.

Subchapter S corporation – a Subchapter S corporation is treated 

as a pass-through entity, similar to a partnership, for federal income 

tax purposes. It is generally not subject to any federal income taxes at 

the corporate level. This can have the effect of reducing institutions’ 

reported taxes and increasing their after-tax earnings.

Trust assets – market value, or other reasonably available value of 

fiduciary and related assets, to include marketable securities, and 

other financial and physical assets. Common physical assets held in 

fiduciary accounts include real estate, equipment, collectibles, and 

household goods. Such fiduciary assets are not included in the assets 

of the financial institution.

Unearned income and contra accounts – unearned income for Call 

Report filers only.

Unused loan commitments – includes credit card lines, home equity 

lines, commitments to make loans for construction, loans secured 

by commercial real estate, and unused commitments to originate 

or purchase loans. (Excluded are commitments after June 2003 for 

originated mortgage loans held for sale, which are accounted for as 

derivatives on the balance sheet.)

Yield on earning assets – total interest, dividend, and fee income 

earned on loans and investments as a percentage of average 

earning assets.