FDIC Quarterly 1 2015, Volume 9, No. 2

Quarterly Banking Profile First Quarter 2015

Earnings Growth Is Broad-Based

Rising revenues helped lift the quarterly net income of 

FDIC-insured institutions to $39.8 billion in first quarter 2015. This is $2.6 billion (6.9 percent) more than 

the industry earned in first quarter 2014. The improvement in net income was attributable to a $4.3 billion 

(2.6 percent) increase in net operating revenue 

(the sum of net interest income and total noninterest income). Almost two out of every three banks 

(62.7 percent) reported higher profits than the year 

before, while only 5.6 percent were unprofitable. This 

is the lowest percentage of unprofitable institutions 

since second quarter 2005. The average return on assets 

(ROA) rose slightly to 1.02 percent from 1.01 percent 

in first quarter 2014.

Trading Income Registers Strong Growth

Noninterest income totaled $62.7 billion, an increase 

of $2.8 billion (4.6 percent) compared with first quarter 

2014. Trading revenue was $1.5 billion (23.9 percent) 

higher, while noninterest income from the sale, securitization, and servicing of 1-to-4 family residential 

real estate loans was up $545 million (15.6 percent) 

from the year-earlier quarter. A majority of banks—

57.3 percent—reported year-over-year growth in noninterest income.

Margins Remain Under Pressure

Net interest income rose to $105.7 billion in the 

first quarter, up $1.5 billion (1.5 percent) from the 

year before. Total interest income was $1.2 billion 

(1 percent) higher, while total interest expense was 

$343 million (2.9 percent) lower. The average net 

interest margin (NIM) fell to 3.02 percent, from 

3.16 percent a year earlier, as higher-yielding assets 

matured and were replaced by lower-yielding investments in a low-interest-rate environment. Fewer than 

half of all banks—43.2 percent—reported year-overyear improvement in their quarterly NIMs.

■ Industry Net Income Rises 6.9 Percent to $39.8 Billion

■ Net Operating Revenue Is Up 2.6 Percent Year Over Year

■ Average Net Interest Margin Falls to 3.02 Percent

■ Community Bank Earnings Growth Outpaces Industry (see page 15)

■ “Problem List” Shrinks From 291 Banks to 253

INSURED INSTITUTION PERFORMANCE

Quarterly Net Income

All FDIC-Insured Institutions Billions of Dollars

Source: FDIC.

-$20

-$10

$0

$10

$20

$30

$40

$50

1234123412 3 4 1 2 341234 1 2 3 4 1

-6.1

-12.6

2009 2010

2.1

-1.7

17.4

20.9

23.8 21.4

28.7

2011

28.5

35.2

25.3

34.8

2012

34.4

37.5

34.5

2013

40.4 38.236.1

39.837.3

2014

40.138.436.5

2015

39.8

Securities and Other Gains/Losses, Net

Net Operating Income

Chart 1 Chart 2

Unprotable Institutions and Institutions

With Increased Earnings

Percentage of All FDIC-Insured Institutions

Source: FDIC.

0

10

20

30

40

50

60

70

80

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015

Percentage of Institutions With Year-Over-Year

Quarterly Income Growth

Percentage of Institutions With Quarterly Losses
FDIC Quarterly 2 2015, Volume 9, No. 2

Loan Losses Improve Across All Major 

Loan Categories

For a third consecutive quarter, loan-loss provisions posted a year-over-year increase. Banks set 

aside $8.4 billion in loss provisions, an increase of 

$756 million (9.9 percent) from first quarter 2014. 

This is the largest quarterly total for loss provisions 

since second quarter 2013. Net charge-offs fell, year 

over year, for the 19th quarter in a row. Banks charged 

off $9 billion in uncollectible loans, a decline of 

$1.4 billion (13.2 percent) compared with first quarter 2014. The annualized net charge-off rate fell to 

0.43 percent from 0.52 percent the year before. This 

is the lowest quarterly charge-off rate since third quarter 2006. Charge-offs were lower across all major loan 

categories. The largest year-over-year declines occurred 

in home equity lines of credit (down $352 million, 

38.8 percent) and credit cards (down $293 million, 

5.3 percent).

Noncurrent Loan Rate Continues to Fall

Noncurrent loan balances declined for a 20th consecutive quarter. The amount of loans that were noncurrent 

(90 days or more past due, or in nonaccrual status) fell 

by $9.7 billion (6 percent) in the first three months 

of 2015. The average noncurrent loan rate declined 

from 1.96 percent to 1.83 percent, a seven-year low. 

Noncurrent balances fell in all major loan categories 

except loans to commercial and industrial (C&I) 

borrowers. Noncurrent C&I loans rose by $998 million 

(11.7 percent), and the noncurrent rate on C&I loans 

rose from 0.50 percent to 0.54 percent. These are 

the two lowest noncurrent rates for C&I loans in the 

31 years for which data are available. At the end of the 

quarter, $54.5 billion (36.6 percent) of total noncurrent loan balances carried U.S. government guarantees or were covered by loss-sharing agreements with 

the FDIC.

Reserve Reductions Diminish

Banks reduced their reserves for loan losses by 

$1.6 billion (1.3 percent) during the quarter. This is the 

20th consecutive quarter that the industry’s loss reserves 

have declined, but it is the smallest quarterly decline 

during this period. Reserves totaled $121 billion at the 

end of the quarter, down $142.1 billion (54 percent) 

from the peak level of five years ago. The average 

ratio of reserves-to-total loans and leases fell from 

1.48 percent to 1.45 percent, the lowest level since 

fourth quarter 2007. The “coverage ratio” of reserves-tononcurrent loans improved for a 10th consecutive quarter, rising from 75.4 percent to 79.1 percent as a result 

of the decline in noncurrent loan balances.

Chart 4

Quarterly Noninterest Income From Sale, Securitization,

and Servicing of 1-to-4 Family Residential Mortgage Loans*

Billions of Dollars

Source: FDIC.

*Insured institutions with assets greater than $1 billion, and institutions with more than 

$10 million in originations, purchases, or mortgages held for sale.

8.0

7.3 7.4 7.5

8.6

4.7

5.3

3.5

5.0 4.8

3.7

8.8

4.0

$0

$1

$2

$3

$4

$5

$6

$7

$8

$9

$10

1 2 3412 341234 1

2012 2013 2014 2015

Chart 3

Quarterly Net Operating Revenue

All FDIC-Insured Institutions

Billions of Dollars

Source: FDIC.

$0

$20

$40

$60

$80

$100

$120

$140

$160

$180

$200

1 2 3 4 1234 1 2 3 4 123412341234123412 3 4 1

2007 2008 2009 2010 2011 2012 2013 2014 2015

Quarterly Noninterest Income

Quarterly Net Interest Income
FDIC Quarterly 3 2015, Volume 9, No. 2

Quarterly Banking Profile

New Capital Rules Take Effect

Equity capital increased by $30.7 billion (1.8 percent) 

during the quarter, and the average equity-to-assets 

ratio rose from 11.15 percent to 11.18 percent. 

Retained earnings added $17.5 billion to equity, 

$266 million (1.5 percent) more than the year before. 

New regulatory capital rules that took effect in the 

first quarter added a new regulatory capital element, 

the Common Equity Tier 1 (CET1) capital ratio, to 

the Prompt Corrective Action (PCA) capital requirements. For 96.8 percent of all institutions, the CET1 

capital ratio was identical to their Tier 1 risk-based 

capital ratio. The average CET1 ratio for the industry 

at the end of the quarter was 12.65 percent, compared 

with an average of 12.75 percent for the Tier 1 riskbased capital ratio. The new rules also added elements 

of accumulated other comprehensive income (AOCI) 

to the calculation of Tier 1 capital, unless institutions elected to opt out of the inclusion. More than 

99 percent of banks eligible for the election chose to 

opt out.

Loans Post a $52.5 Billion Increase

Total assets of insured institutions increased by 

$224.3 billion (1.4 percent) to $15.8 trillion during 

the first three months of 2015. Total loan and lease 

balances rose by $52.5 billion (0.6 percent), as 

C&I loans increased by $32.4 billion (1.9 percent), 

real estate loans secured by nonfarm nonresidential real estate properties increased by $13.4 billion 

(1.2 percent), and residential mortgage loans rose 

by $13.2 billion (0.7 percent). Credit card balances 

and agricultural production loans posted seasonal 

declines of $38.5 billion (5.4 percent) and $6.5 billion 

(8.3 percent), respectively, and home equity lines of 

credit (HELOCs) fell by $8.4 billion (1.7 percent). This 

is the 24th consecutive quarterly decline for HELOC 

balances. Banks’ securities holdings increased by 

$48.4 billion (1.5 percent), as mortgage-backed securities rose by $45.2 billion (2.6 percent). Securities designated as held to maturity increased by $42.4 billion 

(6.6 percent), and the amount of securities maturing 

or repricing in 15 years or more rose by $46.8 billion 

(6.5 percent). Banks increased their balances at Federal 

Reserve institutions by $65.1 billion (4.7 percent) 

during the quarter, to $1.4 trillion, or 9.2 percent of 

total industry assets.

Chart 5

Year-Over-Year Change in Quarterly Loan-Loss Provisions

All FDIC-Insured Institutions

Billions of Dollars

Source: FDIC.

-$35

-$30

-$25

-$20

-$15

-$10

-$5

$0

$5

1234123412341234 1

-30.7

0.8

2011 2012 2013 2014 2015

Chart 6

Noncurrent Loan Rate and Quarterly Net Charge-Off Rate

All FDIC-Insured Institutions

Percent

Source: FDIC.

0

1

2

3

4

5

6

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015

Noncurrent Loan Rate

Quarterly Net Charge-Off Rate
FDIC Quarterly 4 2015, Volume 9, No. 2

Large Denomination Deposits Post Strong Growth

Total deposits increased by $194.4 billion (1.7 percent), 

as deposits in foreign offices declined by $15.8 billion 

(1.1 percent), and domestic office deposits rose by 

$210.2 billion (2 percent). Deposits in accounts of 

less than $250,000, which typically experience strong 

growth in first quarters, increased by $110.4 billion 

(2.1 percent). Balances in larger-denomination 

accounts, which usually have little or no growth in first 

quarters, rose by $104.1 billion (2 percent). Nondeposit 

liabilities declined by $688 million (0.03 percent), as 

banks reduced their Federal Home Loan Bank advances 

by $31.2 billion (6.7 percent).

Problem List Is at a Six-Year Low

The number of insured commercial banks and savings 

institutions filing quarterly financial reports declined 

from 6,509 to 6,419 in the first quarter. Mergers 

absorbed 86 institutions, while four insured institutions failed. For a fifth consecutive quarter, no new 

charters were added. The number of full-time equivalent employees declined by 5,349 to 2,042,596. The 

number of institutions on the FDIC’s “Problem List” 

declined for the 16th consecutive quarter, falling from 

291 to 253. Total assets of problem institutions fell from 

$86.7 billion to $60.3 billion.

Author: Ross Waldrop, Senior Banking Analyst

Division of Insurance and Research

(202) 898-3951

Chart 7

Quarterly Change in Loan Balances

All FDIC-Insured Institutions Billions of Dollars

Source: FDIC.

*FASB Statements 166 and 167 resulted in the consolidation of large amounts of securitized 

loan balances back onto banks’ balance sheets in the first quarter of 2010. Although the 

total amount consolidated cannot be precisely quantified, the industry would have reported 

a decline in loan balances for the quarter absent this change in accounting standards.

43

189

237

203

61

28

-6

-116-140

-109

-210

-133 -107

-7 -14

-126

67

24

-63

102

65

118

-37

74 70 91

38

178

51

149

53

134

-$250

-$200

-$150

-$100

-$50

$0

$50

$100

$150

$200

$250

$300

12341234123412341234 1 2 3412341 2 341

2007 2008 2009 2010 2011 2012 2013 2014 2015

221*

Chart 8

Number and Assets of Banks on the “Problem List”

Assets (Billions of Dollars)

Source: FDIC.

Number 

60

253

$0

$50

$100

$150

$200

$250

$300

$350

$400

$450

$500

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015

0

100

200

300

400

500

600

700

800

900

1,000

Number of Problem Banks

Problem Bank Assets
FDIC Quarterly 5 2015, Volume 9, No. 2

Quarterly Banking Profile

TABLE I-A. Selected Indicators, All FDIC-Insured Institutions* 2015** 2014** 2014 2013 2012 2011 2010

Return on assets (%)������������������������������������������������������������������������������������������������������ 1.02 1.01 1.01 1.07 1.00 0.

Return on equity (%)������������������������������������������������������������������������������������������������������� 9.12 8.99 9.01 9.54 8.91 7.

Core capital (leverage) ratio (%) ������������������������������������������������������������������������������������ 9.48 9.53 9.45 9.40 9.15 9.

Noncurrent assets plus other real estate owned to assets (%) ������������������������������������ 1.10 1.51 1.20 1.63 2.20 2.

Net charge-offs to loans (%) ������������������������������������������������������������������������������������������ 0.43 0.52 0.49 0.69 1.10 1.

Asset growth rate (%) ����������������������������������������������������������������������������������������������������� 5.82 3.37 5.59 1.94 4.03 4.

Net interest margin (%)��������������������������������������������������������������������������������������������������� 3.02 3.16 3.14 3.26 3.42 3.

Net operating income growth (%)����������������������������������������������������������������������������������� 6.12 -5.92 -0.70 12.83 17.78 43.58 1

Number of institutions reporting������������������������������������������������������������������������������������� 6,419 6,730 6,509 6,812 7,083 7,357 7,658

Commercial banks��������������������������������������������������������������������������������������������������� 5,570 5,810 5,643 5,877 6,097 6,292 6,531

Savings institutions ������������������������������������������������������������������������������������������������� 849 920 866 935 986 1,065 1,127

Percentage of unprofitable institutions (%)�������������������������������������������������������������������� 5.59 7.40 6.16 8.15 11.00 16.2

Number of problem institutions �������������������������������������������������������������������������������������� 253 411 291 467 651 813 884

Assets of problem institutions (in billions) ��������������������������������������������������������������������� $60 $126 $87 $153 $233 $319 $390

Number of failed institutions������������������������������������������������������������������������������������������� 4 5 18 24 51 92 157

Number of assisted institutions�������������������������������������������������������������������������������������� 0 0 0 0 0 0 0

* Excludes insured branches of foreign banks (IBAs)

** Through March 31, ratios annualized where appropriate. Asset growth rates are for 12 months ending March 3

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

(dollar figures in millions)  1st Quarter

2015

4th Quarter

2014

1st Quarter

2014

%Change 

14Q1-15Q1

Number of institutions reporting������������������������������������������������������������������������������������� 6,419 6,509 6,730 -4.

Total employees (full-time equivalent)��������������������������������������������������������������������������� 2,042,596 2,047,945 2,058,878 -0.

CONDITION DATA

Total assets��������������������������������������������������������������������������������������������������������������������� $15,778,062 $15,553,765 $14,910,049 5.

Loans secured by real estate���������������������������������������������������������������������������������� 4,204,281 4,170,826 4,075,728 3.

 1-4 Family residential mortgages �������������������������������������������������������������������� 1,855,339 1,842,134 1,823,672 1.

 Nonfarm nonresidential������������������������������������������������������������������������������������ 1,163,396 1,150,046 1,117,178 4.

 Construction and development 246,121 238,583 214,832 14.

 Home equity lines��������������������������������������������������������������������������������������������� 483,902 492,326 502,163 -3.

Commercial & industrial loans �������������������������������������������������������������������������������� 1,749,144 1,716,785 1,611,828 8.

Loans to individuals������������������������������������������������������������������������������������������������� 1,383,938 1,418,253 1,326,450 4.

 Credit cards ������������������������������������������������������������������������������������������������������ 679,967 718,469 658,359 3.

Farm loans��������������������������������������������������������������������������������������������������������������� 71,545 78,029 64,911 10.

Other loans & leases����������������������������������������������������������������������������������������������� 955,106 927,666 853,805 11.

Less: Unearned income ������������������������������������������������������������������������������������������ 1,940 1,993 1,902 2.

Total loans & leases ������������������������������������������������������������������������������������������������ 8,362,075 8,309,566 7,930,843 5.

Less: Reserve for losses����������������������������������������������������������������������������������������� 121,049 122,616 132,324 -8.

Net loans and leases����������������������������������������������������������������������������������������������� 8,241,025 8,186,950 7,798,519 5.

Securities����������������������������������������������������������������������������������������������������������������� 3,267,460 3,219,064 3,054,515 7.

Other real estate owned������������������������������������������������������������������������������������������ 19,339 21,987 27,872 -30.

Goodwill and other intangibles ������������������������������������������������������������������������������� 355,868 360,190 365,489 -2.

All other assets�������������������������������������������������������������������������������������������������������� 3,894,371 3,765,574 3,663,653 6.

Total liabilities and capital ���������������������������������������������������������������������������������������������� 15,778,062 15,553,765 14,910,049 5.

Deposits������������������������������������������������������������������������������������������������������������������� 11,958,325 11,763,878 11,317,824 5.

 Domestic office deposits���������������������������������������������������������������������������������� 10,578,146 10,367,932 9,922,075 6.

 Foreign office deposits������������������������������������������������������������������������������������� 1,380,179 1,395,946 1,395,749 -1.

Other borrowed funds ��������������������������������������������������������������������������������������������� 1,362,926 1,387,914 1,346,659 1.

Subordinated debt��������������������������������������������������������������������������������������������������� 94,842 98,083 95,451 -0.

All other liabilities ���������������������������������������������������������������������������������������������������� 590,329 562,793 468,793 25.

Total equity capital (includes minority interests)���������������������������������������������������� 1,771,632 1,741,094 1,681,321 5.

 Bank equity capital������������������������������������������������������������������������������������������� 1,764,384 1,733,718 1,672,584 5.

Loans and leases 30-89 days past due������������������������������������������������������������������������� 61,386 69,984 69,536 -11.

Noncurrent loans and leases ����������������������������������������������������������������������������������������� 152,981 162,664 195,242 -21.

Restructured loans and leases �������������������������������������������������������������������������������������� 79,503 84,055 96,898 -18.

Mortgage-backed securities ������������������������������������������������������������������������������������������ 1,773,834 1,728,586 1,690,541 4.

Earning assets���������������������������������������������������������������������������������������������������������������� 14,102,858 13,882,597 13,276,200 6.

FHLB Advances�������������������������������������������������������������������������������������������������������������� 433,044 464,279 392,000 10.

Unused loan commitments��������������������������������������������������������������������������������������������� 6,575,698 6,478,520 6,218,980 5.

Trust assets��������������������������������������������������������������������������������������������������������������������� 18,087,298 18,355,578 20,181,237 -10.

Assets securitized and sold ������������������������������������������������������������������������������������������� 943,850 972,452 720,668 31.

Notional amount of derivatives��������������������������������������������������������������������������������������� 205,900,437 221,924,279 231,756,607 -11.

INCOME DATA

Full Year

 2014

Full Year

 2013 %Change

1st Quarter 

2015

1st Quarter 

2014

%Change 

14Q1-15Q1

Total interest income ������������������������������������������������������������������� $469,780 $470,432 -0.1 $117,303 $116,129 1

Total interest expense ����������������������������������������������������������������� 47,128 53,286 -11.6 11,595 11,938 -2

Net interest income �������������������������������������������������������������� 422,653 417,146 1.3 105,708 104,191 1

Provision for loan and lease losses �������������������������������������������� 29,767 32,442 -8.3 8,368 7,612 9

Total noninterest income������������������������������������������������������������� 247,899 252,518 -1.8 62,656 59,893 4

Total noninterest expense����������������������������������������������������������� 422,770 416,748 1.4 103,499 102,288 1

Securities gains (losses)������������������������������������������������������������� 3,202 4,473 -28.4 1,311 827 58

Applicable income taxes ������������������������������������������������������������� 68,197 70,018 -2.6 17,837 17,629 1

Extraordinary gains, net�������������������������������������������������������������� -117 240 N/M 22 75 -70.

Total net income (includes minority interests)��������������������� 152,903 155,170 -1.5 39,994 37,457 6

Bank net income������������������������������������������������������������ 152,273 154,385 -1.4 39,841 37,264 6

Net charge-offs���������������������������������������������������������������������������� 39,530 53,561 -26.2 9,010 10,377 -13

Cash dividends ���������������������������������������������������������������������������� 90,227 93,162 -3.2 22,307 19,996 11

Retained earnings ����������������������������������������������������������������������� 62,045 61,223 1.3 17,534 17,268 1

Net operating income����������������������������������������������������������� 150,739 151,804 -0.7 39,044 36,792 6

N/M - Not Meaningful
FDIC Quarterly 6 2015, Volume 9, No. 2

TABLE III-A. First Quarter 2015, 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����������������������� 6,419 15 4 1,464 3,151 556 58 387 713 71

Commercial banks������������������������������������� 5,570 12 4 1,447 2,854 169 42 351 628 63

Savings institutions ����������������������������������� 849 3 0 17 297 387 16 36 85 8

Total assets (in billions)������������������������������������ $15,778.1 $489.9 $3,855.3 $254.9 $4,927.0 $461.7 $181.7 $63.6 $132.

Commercial banks������������������������������������� 14,736.6 391.8 3,855.3 249.9 4,574.9 170.6 89.1 58.9 113

Savings institutions ����������������������������������� 1,041.4 98.1 0.0 5.0 352.0 291.0 92.6 4.7 

Total deposits (in billions)��������������������������������� 11,958.3 272.4 2,724.2 212.9 3,855.4 341.9 154.1 51.8 111

Commercial banks������������������������������������� 11,155.5 200.7 2,724.2 209.9 3,597.0 129.6 75.6 48.5 95

Savings institutions ����������������������������������� 802.8 71.7 0.0 3.0 258.5 212.4 78.6 3.3 

Bank net income (in millions) ��������������������������� 39,841 3,703 8,637 746 11,115 858 459 342 295 13,687

Commercial banks������������������������������������� 36,961 2,791 8,637 721 10,350 444 257 190 271 13,301

Savings institutions ����������������������������������� 2,880 912 0 24 764 414 202 152 25 386

Performance Ratios (annualized, %)

Yield on earning assets������������������������������������ 3.36 10.47 2.58 3.99 3.66 3.26 3.98 2.97

Cost of funding earning assets ������������������������ 0.33 0.88 0.32 0.46 0.39 0.66 0.45 0.33

Net interest margin������������������������������������ 3.02 9.59 2.26 3.53 3.27 2.60 3.53 2.64

Noninterest income to assets��������������������������� 1.60 4.49 1.83 0.63 1.18 0.83 1.27 5.63

Noninterest expense to assets������������������������� 2.65 6.29 2.39 2.49 2.74 2.12 2.59 5.11

Loan and lease loss provision to assets���������� 0.21 2.34 0.16 0.08 0.11 0.05 0.45 0.04

Net operating income to assets ����������������������� 1.00 3.04 0.88 1.14 0.90 0.72 1.01 2.12

Pretax return on assets ������������������������������������ 1.47 4.71 1.28 1.37 1.30 1.16 1.64 2.96

Return on assets����������������������������������������������� 1.02 3.04 0.90 1.17 0.91 0.76 1.02 2.18

Return on equity ����������������������������������������������� 9.12 19.98 9.50 10.34 7.60 6.49 10.31 14.84

Net charge-offs to loans and leases���������������� 0.43 2.80 0.63 0.02 0.15 0.15 0.60 0.13

Loan and lease loss provision to 

net charge-offs���������������������������������������������� 92.88 107.07 73.40 516.88 108.52 53.40 105.14 123.36 9

Efficiency ratio �������������������������������������������������� 60.62 46.43 62.23 63.43 65.69 64.24 54.34 63.33 7

% of unprofitable institutions���������������������������� 5.59 0.00 0.00 2.46 5.97 8.27 8.62 9.56

% of institutions with earnings gains���������������� 62.70 66.67 100.00 61.07 68.04 51.26 68.97 50.65 5

Condition Ratios (%)

Earning assets to total assets �������������������������� 89.38 92.57 87.27 93.02 90.35 94.48 95.53 91.49 9

Loss allowance to:

Loans and leases �������������������������������������� 1.45 3.28 1.77 1.47 1.24 1.10 1.15 1.80

Noncurrent loans and leases �������������������� 79.13 301.94 82.83 153.51 103.79 39.47 78.66 109.74 8

Noncurrent assets plus

other real estate owned to assets ���������������� 1.10 0.83 0.78 0.80 1.06 1.95 1.11 0.70

Equity capital ratio�������������������������������������������� 11.18 15.30 9.52 11.45 11.98 11.34 9.93 14.68 1

Core capital (leverage) ratio ���������������������������� 9.48 12.59 8.32 10.60 10.22 11.22 9.96 13.79 

Common equity tier 1 capital ratio ������������������� 12.65 12.86 12.40 14.82 12.41 21.44 13.19 31.02 1

Tier 1 risk-based capital ratio��������������������������� 12.75 12.98 12.42 14.83 12.56 21.47 13.84 31.06 1

Total risk-based capital ratio ���������������������������� 14.26 15.51 13.75 15.93 13.99 22.47 14.65 32.19 2

Net loans and leases to deposits��������������������� 68.91 133.00 47.51 74.24 86.31 81.08 82.80 33.12 6

Net loans to total assets ���������������������������������� 52.23 73.97 33.57 62.02 67.53 60.05 70.25 27.00 5

Domestic deposits to total assets �������������������� 67.04 54.49 45.51 83.54 77.77 74.05 84.82 80.58 8

Structural Changes

New reporters�������������������������������������������� 0 0 0 0 0 0 0 0 0 0

Institutions absorbed by mergers ������������� 86 0 0 9 64 1 0 1 9 2

Failed institutions �������������������������������������� 4 0 0 0 3 0 0 0 1 0

PRIOR FIRST QUARTERS

(The way it was...)

Number of institutions ������������������������������2014 6,730 16 4 1,480 3,324 563 54 444 783 62

��������������������������������������2012 7,308 18 5 1,492 3,679 717 52 427 851 67

��������������������������������������2010 7,934 21 4 1,553 4,358 745 75 303 813 62

Total assets (in billions)����������������������������2014 $14,910.1 $592.3 $3,723.9 $244.9 $4,977.4 $575.5 $164.1 $70.2 $141.

��������������������������������������2012 13,925.4 559.2 3,660.4 212.6 4,068.3 825.1 98.5 67.6 152

��������������������������������������2010 13,336.0 725.0 3,157.3 181.1 4,497.8 776.9 95.0 40.7 126

Return on assets (%)��������������������������������2014 1.01 3.48 0.77 1.11 0.95 0.84 1.02 1.85

��������������������������������������2012 1.00 3.33 0.80 1.27 0.84 0.82 1.78 1.71

��������������������������������������2010 0.53 0.70 0.75 0.95 0.16 0.78 1.41 1.20

Net charge-offs to loans & leases (%) �����2014 0.52 3.03 0.72 0.07 0.27 0.24 0.72 0.11

��������������������������������������2012 1.16 4.04 1.48 0.17 0.77 0.96 1.55 0.26

��������������������������������������2010 2.88 14.26 2.75 0.45 1.89 1.20 2.69 0.54

Noncurrent assets plus 

OREO to assets (%)������������������������������2014 1.51 0.87 0.98 0.96 1.57 1.78 1.15 0.87

��������������������������������������2012 2.53 1.29 1.55 1.40 2.89 2.38 1.17 1.16

��������������������������������������2010 3.45 2.77 2.64 1.66 4.02 3.14 1.29 0.70

Equity capital ratio (%)������������������������������2014 11.22 14.75 9.34 11.06 11.92 11.69 9.64 13.54 1

��������������������������������������2012 11.26 15.16 9.13 11.28 11.66 10.65 9.56 13.79 1

��������������������������������������2010 10.79 13.47 8.77 11.23 10.76 9.76 10.52 16.99 1

* See Table V-A (page 10) for explanations

Note: Blue font identifies data that are also presented in the prior quarters’ data at the bottom of the table
FDIC Quarterly 7 2015, Volume 9, No. 2

Quarterly Banking Profile

TABLE III-A. First Quarter 2015, 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

Greater 

Than 

$10 Billion New York Atlanta Chicago

Kansas 

City Dallas

San 

Francisco

Number of institutions reporting����������������������������� 6,419 1,830 3,895 582 112 796 797 1,386 1,585 1,351 504

Commercial banks������������������������������������������� 5,570 1,607 3,389 480 94 445 722 1,156 1,518 1,267 462

Savings institutions ����������������������������������������� 849 223 506 102 18 351 75 230 67 84 42

Total assets (in billions)������������������������������������������ $15,778.1 $107.6 $1,219.7 $1,573.0 $12,877.8 $3,020.2 $3,273.1 $3,633.2 $3,424.8 $923

Commercial banks������������������������������������������� 14,736.6 94.7 1,038.2 1,319.4 12,284.3 2,597.4 3,185.5 3,524.4 3,366.2 81

Savings institutions ����������������������������������������� 1,041.4 12.9 181.4 253.6 593.5 422.8 87.5 108.8 58.7 

Total deposits (in billions)��������������������������������������� 11,958.3 90.9 1,017.7 1,244.7 9,605.0 2,242.3 2,532.5 2,632.4 2,604.7 76

Commercial banks������������������������������������������� 11,155.5 80.8 873.9 1,052.2 9,148.6 1,934.4 2,466.1 2,551.3 2,559.7 

Savings institutions ����������������������������������������� 802.8 10.0 143.9 192.5 456.4 308.0 66.3 81.1 45.0

Bank net income (in millions) ��������������������������������� 39,841 231 3,045 4,115 32,450 6,186 7,916 8,449 9,877 2,404 5,010

Commercial banks������������������������������������������� 36,961 202 2,643 3,523 30,593 5,472 7,777 8,142 9,742 2,064 3,765

Savings institutions ����������������������������������������� 2,880 29 402 591 1,858 714 139 306 135 340 1,245

Performance Ratios (annualized, %)

Yield on earning assets������������������������������������������ 3.36 4.02 4.08 4.12 3.18 3.39 3.52 2.59 3.5

Cost of funding earning assets ������������������������������ 0.33 0.44 0.46 0.39 0.31 0.41 0.28 0.26 0.3

Net interest margin������������������������������������������ 3.02 3.58 3.62 3.72 2.87 2.98 3.24 2.33 3.2

Noninterest income to assets��������������������������������� 1.60 1.16 1.12 1.20 1.70 1.38 1.53 1.88 1.4

Noninterest expense to assets������������������������������� 2.65 3.38 3.13 2.97 2.55 2.59 2.75 2.56 2.4

Loan and lease loss provision to assets���������������� 0.21 0.08 0.10 0.18 0.23 0.27 0.25 0.10 0.2

Net operating income to assets ����������������������������� 1.00 0.84 0.97 1.04 1.00 0.81 0.95 0.93 1.1

Pretax return on assets ������������������������������������������ 1.47 1.01 1.29 1.51 1.49 1.21 1.44 1.30 1.6

Return on assets����������������������������������������������������� 1.02 0.86 1.01 1.06 1.02 0.83 0.98 0.94 1.1

Return on equity ����������������������������������������������������� 9.12 6.96 8.96 8.95 9.18 7.04 7.83 9.50 11.32

Net charge-offs to loans and leases���������������������� 0.43 0.14 0.11 0.20 0.51 0.46 0.52 0.27 0.5

Loan and lease loss provision to 

net charge-offs���������������������������������������������������� 92.88 100.69 135.26 131.22 89.33 108.71 83.32 82.18 80.96 15

Efficiency ratio �������������������������������������������������������� 60.62 75.92 69.70 63.56 59.19 63.18 61.67 64.33 55.96 

% of unprofitable institutions���������������������������������� 5.59 11.09 3.70 1.89 0.89 6.16 9.41 6.13 3.6

% of institutions with earnings gains���������������������� 62.70 54.70 65.16 71.99 59.82 60.43 61.86 63.56 64.98 

Condition Ratios (%)

Earning assets to total assets ��������������������������������� 89.38 91.96 92.69 91.90 88.74 89.08 88.51 88.68 89.10 

Loss allowance to:

Loans and leases ��������������������������������������������� 1.45 1.54 1.43 1.33 1.47 1.35 1.47 1.53 1.5

Noncurrent loans and leases ��������������������������� 79.13 102.98 109.24 103.33 73.94 96.67 70.63 73.68 64.86 9

Noncurrent assets plus

other real estate owned to assets ����������������������� 1.10 1.39 1.33 1.15 1.07 0.82 1.37 1.04 1.3

Equity capital ratio��������������������������������������������������� 11.18 12.45 11.28 11.87 11.08 11.76 12.47 9.89 10.25 

Core capital (leverage) ratio ����������������������������������� 9.48 12.07 10.88 10.62 9.18 9.62 9.78 8.70 8.93

Common equity tier 1 capital ratio �������������������������� 12.65 19.87 15.56 13.96 12.18 12.71 12.71 12.28 11.75 

Tier 1 risk-based capital ratio���������������������������������� 12.75 19.94 15.64 14.02 12.28 12.89 12.82 12.34 11.76 

Total risk-based capital ratio ����������������������������������� 14.26 21.08 16.76 15.09 13.88 14.52 14.40 13.47 13.73 

Net loans and leases to deposits���������������������������� 68.91 66.26 76.37 84.14 66.18 69.93 73.89 60.84 66.29 

Net loans to total assets ����������������������������������������� 52.23 55.95 63.73 66.58 49.36 51.92 57.17 44.08 50.41 

Domestic deposits to total assets ��������������������������� 67.04 84.44 83.39 78.75 63.92 65.78 74.76 61.71 57.56 

Structural Changes

New reporters�������������������������������������������������� 0 0 0 0 0 0 0 0 0 0 0

Institutions absorbed by mergers ������������������� 86 24 56 6 0 8 12 20 13 24 9

Failed institutions �������������������������������������������� 4 2 1 1 0 1 2 1 0 0 0

PRIOR FIRST QUARTERS

(The way it was...)

Number of institutions ������������������������������������2014 6,730 2,005 4,054 564 107 831 852 1,457 1,641 1,414 535

��������������������������������������������2012 7,308 2,368 4,276 557 107 906 945 1,544 1,767 1,533 613

��������������������������������������������2010 7,934 2,779 4,475 575 105 977 1,103 1,637 1,868 1,654 695

Total assets (in billions)����������������������������������2014 $14,910.1 $118.1 $1,246.8 $1,493.8 $12,051.3 $2,963.4 $3,032.9 $3,416.9 $3,247.0 $883

��������������������������������������������2012 13,925.4 137.4 1,283.6 1,419.8 11,084.7 2,823.3 2,918.0 3,207.9 2,967.7 83

��������������������������������������������2010 13,336.0 155.4 1,339.9 1,477.9 10,362.8 2,671.7 2,989.0 2,978.4 1,664.4 78

Return on assets (%)��������������������������������������2014 1.01 0.80 0.90 1.02 1.02 1.02 0.88 0.80 1.1

��������������������������������������������2012 1.00 0.74 0.83 1.06 1.02 0.97 0.83 0.87 1.0

��������������������������������������������2010 0.53 0.46 0.38 0.19 0.60 0.56 0.27 0.48 0.6

Net charge-offs to loans & leases (%) �����������2014 0.52 0.19 0.18 0.25 0.62 0.75 0.47 0.38 0.6

��������������������������������������������2012 1.16 0.38 0.58 0.78 1.32 1.32 1.28 0.90 1.4

��������������������������������������������2010 2.88 0.65 0.88 1.77 3.46 4.10 2.73 2.35 3.2

Noncurrent assets plus 

OREO to assets (%)������������������������������������2014 1.51 1.71 1.74 1.75 1.45 1.08 2.05 1.35 1.8

��������������������������������������������2012 2.53 2.26 2.88 3.06 2.43 1.70 3.74 2.28 2.7

��������������������������������������������2010 3.45 2.32 3.39 3.70 3.43 2.46 4.18 3.23 4.7

Equity capital ratio (%)������������������������������������2014 11.22 11.85 10.90 11.90 11.16 12.04 12.32 9.78 10.43 

��������������������������������������������2012 11.26 11.74 10.67 11.74 11.27 12.57 12.01 8.80 11.14 

��������������������������������������������2010 10.79 11.96 10.04 10.86 10.86 11.92 11.29 8.55 11.51 

* See Table V-A (page 11) for explanations

Note: Blue font identifies data that are also presented in the prior quarters’ data at the bottom of the table
FDIC Quarterly 8 2015, Volume 9, No. 2

TABLE IV-A. Full Year 2014, 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����������������������� 6,509 15 3 1,515 3,222 553 52 374 708 67

Commercial banks������������������������������������� 5,643 12 3 1,496 2,913 166 41 335 618 59

Savings institutions ����������������������������������� 866 3 0 19 309 387 11 39 90 8

Total assets (in billions)������������������������������������ $15,553.8 $484.2 $3,735.6 $273.5 $4,878.5 $439.6 $175.9 $61.9 $129.

Commercial banks������������������������������������� 14,493.8 389.4 3,735.6 268.6 4,487.0 156.6 89.9 56.9 107

Savings institutions ����������������������������������� 1,059.9 94.7 0.0 4.8 391.5 282.9 86.0 5.0 

Total deposits (in billions)��������������������������������� 11,763.9 259.7 2,633.3 226.8 3,795.3 328.0 148.1 49.9 108

Commercial banks������������������������������������� 10,953.3 192.4 2,633.3 223.6 3,508.9 122.4 76.0 46.4 91

Savings institutions ����������������������������������� 810.5 67.3 0.0 3.2 286.4 205.5 72.1 3.5 

Bank net income (in millions) ��������������������������� 152,273 14,694 26,520 3,098 44,181 4,309 1,787 1,334 1,103 55,248

Commercial banks������������������������������������� 140,318 10,627 26,520 2,997 41,076 2,518 968 718 1,003 53,891

Savings institutions ����������������������������������� 11,955 4,067 0 101 3,105 1,791 818 615 100 1,356

Performance Ratios (%)

Yield on earning assets������������������������������������ 3.49 10.68 2.77 4.14 3.84 3.45 3.96 3.13

Cost of funding earning assets ������������������������ 0.35 0.83 0.37 0.48 0.41 0.67 0.47 0.38

Net interest margin������������������������������������ 3.14 9.85 2.41 3.65 3.43 2.78 3.49 2.74

Noninterest income to assets��������������������������� 1.64 5.01 1.71 0.62 1.18 1.00 1.37 5.67

Noninterest expense to assets������������������������� 2.80 6.63 2.60 2.52 2.85 2.17 2.61 5.12

Loan and lease loss provision to assets���������� 0.20 2.39 0.13 0.11 0.12 0.05 0.47 0.07

Net operating income to assets ����������������������� 1.00 3.22 0.72 1.15 0.94 0.95 1.05 2.16

Pretax return on assets ������������������������������������ 1.46 5.02 1.07 1.38 1.31 1.43 1.65 3.03

Return on assets����������������������������������������������� 1.01 3.22 0.72 1.17 0.94 0.96 1.05 2.20

Return on equity ����������������������������������������������� 9.01 20.88 7.66 10.29 7.84 8.09 10.78 15.30

Net charge-offs to loans and leases���������������� 0.49 2.81 0.73 0.13 0.24 0.21 0.62 0.34

Loan and lease loss provision to 

net charge-offs���������������������������������������������� 75.30 107.55 52.28 134.98 71.36 35.52 107.82 69.44 8

Efficiency ratio �������������������������������������������������� 61.90 46.31 67.62 62.67 65.43 59.52 54.47 62.41 7

% of unprofitable institutions���������������������������� 6.16 0.00 0.00 2.64 6.73 9.95 3.85 9.09

% of institutions with earnings gains���������������� 63.48 66.67 33.33 63.83 67.82 51.18 57.69 54.28 5

Condition Ratios (%)

Earning assets to total assets �������������������������� 89.26 92.17 86.96 92.40 90.19 94.12 96.70 91.04 9

Loss allowance to:

Loans and leases �������������������������������������� 1.48 3.13 1.85 1.39 1.28 1.14 1.15 1.85

Noncurrent loans and leases �������������������� 75.38 284.22 80.12 146.31 96.90 38.24 73.83 112.67 8

Noncurrent assets plus

other real estate owned to assets ���������������� 1.20 0.88 0.85 0.83 1.17 2.19 1.19 0.73

Equity capital ratio�������������������������������������������� 11.15 15.14 9.45 11.42 11.97 12.07 9.88 14.77 1

Core capital (leverage) ratio ���������������������������� 9.45 12.34 8.28 10.49 10.20 11.53 9.82 13.97 

Tier 1 risk-based capital ratio��������������������������� 12.95 12.33 12.56 14.52 12.83 21.43 13.83 31.52 2

Total risk-based capital ratio ���������������������������� 14.41 14.71 13.42 15.62 14.29 22.46 14.65 32.55 2

Net loans and leases to deposits��������������������� 69.59 144.30 47.81 76.51 86.99 82.50 83.73 33.76 6

Net loans to total assets ���������������������������������� 52.64 77.41 33.70 63.46 67.68 61.56 70.49 27.22 5

Domestic deposits to total assets �������������������� 66.66 51.66 45.71 82.94 77.27 74.59 84.18 79.78 8

Structural Changes

New reporters�������������������������������������������� 0 0 0 0 0 0 0 0 0 0

Institutions absorbed by mergers ������������� 273 0 0 45 192 9 0 3 12 12

Failed institutions �������������������������������������� 18 0 0 1 13 2 0 0 2 0

PRIOR FULL YEARS

(The way it was...)

Number of institutions ������������������������������2013 6,812 16 4 1,532 3,378 588 55 405 772 62

��������������������������������������2011 7,357 18 4 1,545 3,769 732 59 377 790 63

������������������������������������� 2009 8,012 23 4 1,568 4,453 766 83 289 770 56

Total assets (in billions)����������������������������2013 $14,730.9 $590.9 $3,700.2 $261.6 $4,921.3 $486.9 $162.5 $62.8 $137.

��������������������������������������2011 13,891.3 538.7 3,456.4 215.7 4,086.1 825.4 97.2 56.1 138

������������������������������������� 2009 13,086.8 501.6 3,107.1 182.0 4,546.7 810.1 96.5 38.1 116

Return on assets (%)��������������������������������2013 1.07 3.35 0.86 1.15 0.91 0.98 1.15 1.93

��������������������������������������2011 0.88 3.49 0.74 1.11 0.63 0.56 1.68 1.92

������������������������������������� 2009 -0.08 -4.51 0.08 0.81 -0.43 0.65 0.33 0.74

Net charge-offs to loans & leases (%) �����2013 0.69 3.20 0.97 0.14 0.43 0.37 0.80 0.48

��������������������������������������2011 1.55 5.26 1.97 0.40 1.18 0.90 1.87 0.56

������������������������������������� 2009 2.52 9.77 3.07 0.65 2.02 1.24 2.74 0.78

Noncurrent assets plus 

OREO to assets (%)������������������������������2013 1.63 0.93 1.07 0.95 1.65 2.14 1.23 0.84

��������������������������������������2011 2.61 1.41 1.61 1.46 3.05 2.61 1.28 1.11

������������������������������������� 2009 3.37 2.40 2.75 1.55 3.87 3.17 1.45 0.69

Equity capital ratio (%)������������������������������2013 11.15 14.73 9.27 10.97 11.79 11.62 9.51 13.50 1

��������������������������������������2011 11.16 15.11 8.89 11.22 11.69 10.39 9.82 14.51 1

������������������������������������� 2009 10.88 21.49 8.75 10.95 10.48 9.48 11.15 17.74 1

* See Table V-A (page 10) for explanations

Note: Blue font identifies data that are also presented in the prior years’ data at the bottom of the table
FDIC Quarterly 9 2015, Volume 9, No. 2

Quarterly Banking Profile

TABLE IV-A. Full Year 2014, 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

Greater 

Than 

$10 Billion New York Atlanta Chicago

Kansas 

City Dallas

San 

Francisco

Number of institutions reporting����������������������������� 6,509 1,872 3,956 574 107 807 812 1,406 1,599 1,372 513

Commercial banks������������������������������������������� 5,643 1,645 3,439 468 91 450 735 1,176 1,530 1,282 470

Savings institutions ����������������������������������������� 866 227 517 106 16 357 77 230 69 90 43

Total assets (in billions)������������������������������������������ $15,553.8 $109.8 $1,232.0 $1,576.5 $12,635.4 $2,956.5 $3,217.9 $3,595.8 $3,404.0 $904

Commercial banks������������������������������������������� 14,493.8 96.8 1,045.3 1,297.7 12,054.1 2,498.9 3,131.1 3,489.8 3,344.4 79

Savings institutions ����������������������������������������� 1,059.9 13.1 186.7 278.8 581.4 457.6 86.8 106.1 59.6 

Total deposits (in billions)��������������������������������������� 11,763.9 92.5 1,024.3 1,227.9 9,419.3 2,180.6 2,477.2 2,634.6 2,567.0 75

Commercial banks������������������������������������������� 10,953.3 82.3 876.7 1,020.8 8,973.5 1,849.3 2,412.5 2,555.0 2,520.3 

Savings institutions ����������������������������������������� 810.5 10.2 147.5 207.1 445.8 331.2 64.6 79.5 46.8

Bank net income (in millions) ��������������������������������� 152,273 858 12,007 16,522 122,886 23,702 32,080 30,430 35,358 10,039 20,662

Commercial banks������������������������������������������� 140,318 751 10,345 14,239 114,983 20,725 31,368 29,347 34,869 8,720 15,289

Savings institutions ����������������������������������������� 11,955 106 1,662 2,284 7,903 2,977 712 1,083 489 1,319 5,374

Performance Ratios (%)

Yield on earning assets������������������������������������������ 3.49 4.13 4.19 4.19 3.33 3.51 3.65 2.76 3.7

Cost of funding earning assets ������������������������������ 0.35 0.47 0.50 0.43 0.32 0.42 0.28 0.28 0.3

Net interest margin������������������������������������������ 3.14 3.66 3.69 3.76 3.00 3.09 3.37 2.47 3.3

Noninterest income to assets��������������������������������� 1.64 1.13 1.10 1.21 1.75 1.49 1.62 1.84 1.4

Noninterest expense to assets������������������������������� 2.80 3.45 3.16 3.00 2.73 2.77 2.97 2.68 2.6

Loan and lease loss provision to assets���������������� 0.20 0.11 0.12 0.17 0.21 0.27 0.23 0.10 0.1

Net operating income to assets ����������������������������� 1.00 0.78 0.98 1.08 0.99 0.82 0.97 0.88 1.0

Pretax return on assets ������������������������������������������ 1.46 0.93 1.25 1.49 1.48 1.20 1.44 1.25 1.5

Return on assets����������������������������������������������������� 1.01 0.79 1.00 1.08 1.00 0.83 1.00 0.88 1.0

Return on equity ����������������������������������������������������� 9.01 6.49 9.06 9.11 9.02 6.93 8.15 8.96 10.32 

Net charge-offs to loans and leases���������������������� 0.49 0.23 0.23 0.27 0.56 0.55 0.53 0.36 0.6

Loan and lease loss provision to 

net charge-offs���������������������������������������������������� 75.30 86.52 85.75 92.23 73.40 94.24 72.62 64.57 52.68 9

Efficiency ratio �������������������������������������������������������� 61.90 76.93 69.74 63.55 60.77 63.23 63.75 65.96 59.24 

% of unprofitable institutions���������������������������������� 6.16 11.38 4.40 2.26 0.93 7.93 9.73 7.61 3.7

% of institutions with earnings gains���������������������� 63.48 57.48 65.82 66.90 63.55 58.98 64.90 59.74 65.23 

Condition Ratios (%)

Earning assets to total assets ��������������������������������� 89.26 91.66 92.49 91.71 88.61 89.26 88.27 88.67 88.63 

Loss allowance to:

Loans and leases ��������������������������������������������� 1.48 1.54 1.44 1.37 1.50 1.36 1.52 1.57 1.5

Noncurrent loans and leases ��������������������������� 75.38 101.97 106.55 84.82 71.46 92.40 65.90 71.64 62.16 9

Noncurrent assets plus

other real estate owned to assets ����������������������� 1.20 1.45 1.38 1.41 1.15 0.89 1.55 1.11 1.4

Equity capital ratio��������������������������������������������������� 11.15 12.29 11.20 11.90 11.04 11.82 12.45 9.80 10.20 

Core capital (leverage) ratio ����������������������������������� 9.45 11.99 10.79 10.63 9.14 9.52 9.70 8.72 8.91 

Tier 1 risk-based capital ratio���������������������������������� 12.95 19.56 15.75 14.35 12.46 13.36 12.94 12.20 12.22 

Total risk-based capital ratio ����������������������������������� 14.41 20.65 16.89 15.45 13.99 15.06 14.60 13.33 13.82 

Net loans and leases to deposits���������������������������� 69.59 67.40 77.13 85.74 66.69 71.33 75.24 60.01 67.37 

Net loans to total assets ����������������������������������������� 52.64 56.74 64.12 66.78 49.72 52.61 57.92 43.97 50.81 

Domestic deposits to total assets ��������������������������� 66.66 84.17 83.08 77.52 63.55 65.39 74.28 61.90 56.85 

Structural Changes

New reporters�������������������������������������������������� 0 0 0 0 0 0 0 0 0 0 0

Institutions absorbed by mergers ������������������� 273 86 162 22 3 26 46 60 58 57 26

Failed institutions �������������������������������������������� 18 10 8 0 0 3 4 6 1 2 2

PRIOR FULL YEARS

(The way it was...)

Number of institutions ������������������������������������2013 6,812 2,056 4,090 559 107 840 869 1,470 1,659 1,431 543

��������������������������������������������2011 7,357 2,415 4,284 551 107 915 957 1,552 1,773 1,542 618

������������������������������������������� 2009 8,012 2,848 4,492 565 107 986 1,121 1,647 1,879 1,660 719

Total assets (in billions)����������������������������������2013 $14,730.9 $119.7 $1,246.1 $1,468.6 $11,896.5 $2,927.3 $2,998.8 $3,376.9 $3,222.9 $870

��������������������������������������������2011 13,891.3 138.7 1,279.9 1,410.9 11,061.8 2,864.6 2,942.8 3,184.5 2,918.2 81

������������������������������������������� 2009 13,086.8 158.9 1,354.4 1,461.4 10,112.1 2,567.2 3,427.3 2,934.4 1,145.6 78

Return on assets (%)��������������������������������������2013 1.07 0.70 0.91 1.16 1.07 0.88 0.98 0.95 1.2

��������������������������������������������2011 0.88 0.52 0.56 0.79 0.93 1.01 0.52 0.78 0.9

������������������������������������������� 2009 -0.08 -0.05 -0.10 -0.37 -0.03 -0.83 0.01 0.18 0.76

Net charge-offs to loans & leases (%) �����������2013 0.69 0.35 0.36 0.41 0.78 0.93 0.66 0.49 0.8

��������������������������������������������2011 1.55 0.62 0.90 1.18 1.72 1.86 1.66 1.19 1.8

������������������������������������������� 2009 2.52 0.88 1.25 1.91 2.87 2.76 2.29 2.36 2.4

Noncurrent assets plus 

OREO to assets (%)������������������������������������2013 1.63 1.75 1.81 1.89 1.57 1.12 2.23 1.47 1.9

��������������������������������������������2011 2.61 2.34 3.01 3.13 2.50 1.78 3.84 2.31 2.7

������������������������������������������� 2009 3.37 2.24 3.29 3.58 3.36 2.33 4.16 3.20 4.2

Equity capital ratio (%)������������������������������������2013 11.15 11.68 10.78 11.80 11.11 12.02 12.19 9.66 10.42 

��������������������������������������������2011 11.16 11.83 10.65 11.73 11.14 12.26 11.98 8.68 11.12 

������������������������������������������� 2009 10.88 11.96 9.86 10.72 11.02 12.53 11.66 8.59 10.70 

* See Table V-A (page 11) for explanations

Note: Blue font identifies data that are also presented in the prior years’ data at the bottom of the table
FDIC Quarterly 10 2015, Volume 9, No. 2

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

Asset Concentration Groups*

March 31, 2015 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 ��������������������������������������� 0.92 0.11 1.25 0.83 0.58 0.94 0.63 1.67

Construction and development��������������������������������� 0.49 0.00 0.91 0.75 0.46 0.66 0.28 2.39

Nonfarm nonresidential��������������������������������������������� 0.36 0.00 0.28 0.59 0.35 0.52 1.72 1.23

Multifamily residential real estate ����������������������������� 0.18 0.00 0.09 0.23 0.18 0.18 0.11 0.84

Home equity loans����������������������������������������������������� 0.65 0.00 0.91 0.43 0.52 0.74 0.40 0.63

Other 1-4 family residential��������������������������������������� 1.56 0.12 1.98 1.26 1.02 1.03 0.58 2.08

Commercial and industrial loans ������������������������������������� 0.24 0.87 0.24 1.03 0.24 0.48 0.17 1.09

Loans to individuals���������������������������������������������������������� 1.15 1.08 1.23 1.37 1.00 0.95 0.66 1.67

Credit card loans ������������������������������������������������������� 1.06 1.08 1.10 0.95 1.00 1.24 0.58 1.29

Other loans to individuals ����������������������������������������� 1.24 1.02 1.44 1.40 1.00 0.91 0.68 1.70

All other loans and leases (including farm) ��������������������� 0.26 0.00 0.32 0.98 0.18 0.11 0.22 0.87

Total loans and leases������������������������������������������������������ 0.73 1.06 0.81 0.91 0.50 0.88 0.61 1.55

Percent of Loans Noncurrent**

All real estate loans ���������������������������������������������������������� 3.09 0.49 4.89 1.13 1.57 3.10 3.77 1.97

Construction and development.................................. 1.81 0

Nonfarm nonresidential��������������������������������������������� 1.20 0.00 0.81 1.53 1.12 1.53 8.05 2.21

Multifamily residential real estate ����������������������������� 0.41 0.00 0.27 0.90 0.44 0.65 3.38 1.01

Home equity loans����������������������������������������������������� 2.72 0.00 4.40 0.89 1.44 2.05 2.90 0.64

Other 1-4 family residential��������������������������������������� 5.15 0.50 7.77 1.12 2.45 3.44 3.17 1.78

Commercial and industrial loans ������������������������������������� 0.54 0.71 0.48 1.24 0.65 1.05 0.51 1.43

Loans to individuals���������������������������������������������������������� 0.83 1.13 1.07 0.55 0.68 0.56 0.58 0.54

Credit card loans ������������������������������������������������������� 1.12 1.16 1.10 0.27 1.07 1.02 1.20 0.67

Other loans to individuals ����������������������������������������� 0.55 0.55 1.02 0.57 0.65 0.51 0.42 0.53

All other loans and leases (including farm) ��������������������� 0.22 0.00 0.15 0.44 0.27 0.11 5.11 0.35

Total loans and leases������������������������������������������������������ 1.83 1.09 2.14 0.96 1.20 2.80 1.46 1.64

Percent of Loans Charged-Off (net, YTD)

All real estate loans ���������������������������������������������������������� 0.16 0.25 0.39 -0.02 0.09 0.14 0.23 0.02

Construction and development��������������������������������� -0.13 0.00 0.00 -0.62 -0.09 0.00 -0.13 -0.27 -

Nonfarm nonresidential��������������������������������������������� 0.06 0.00 0.00 -0.05 0.07 0.03 0.06 0.02

Multifamily residential real estate ����������������������������� 0.00 0.00 0.00 0.10 0.00 0.01 -0.06 -0.02 

Home equity loans����������������������������������������������������� 0.46 0.00 0.50 0.03 0.31 0.32 0.55 0.04

Other 1-4 family residential��������������������������������������� 0.21 0.26 0.50 0.07 0.12 0.15 0.16 0.07

Commercial and industrial loans ������������������������������������� 0.18 2.19 0.16 0.13 0.15 0.00 0.07 0.13

Loans to individuals���������������������������������������������������������� 1.83 2.87 2.34 0.33 0.70 0.93 0.79 0.49

Credit card loans ������������������������������������������������������� 2.98 2.94 3.14 1.27 3.35 4.39 2.21 1.36

Other loans to individuals ����������������������������������������� 0.68 1.38 0.98 0.26 0.48 0.52 0.39 0.41

All other loans and leases (including farm) ��������������������� 0.07 0.00 0.04 0.00 0.14 0.08 0.02 0.60

Total loans and leases������������������������������������������������������ 0.43 2.80 0.63 0.02 0.15 0.15 0.60 0.13

Loans Outstanding (in billions)

All real estate loans ���������������������������������������������������������� $4,204.3 $0.3 $486.8 $97.2 $2,078.2 $249.0 $30.1 $12.2 $55.

Construction and development��������������������������������� 246.1 0.0 7.6 5.2 171.9 5.0 0.5 0.

Nonfarm nonresidential��������������������������������������������� 1,163.4 0.0 37.2 25.6 811.8 20.7 2.4 4.2 

Multifamily residential real estate ����������������������������� 305.3 0.0 55.8 2.9 198.7 6.1 0.2 0.

Home equity loans����������������������������������������������������� 483.9 0.0 77.3 1.8 194.6 14.0 6.5 0.4

Other 1-4 family residential��������������������������������������� 1,855.3 0.3 252.4 25.3 666.3 202.2 20.4 5.7 

Commercial and industrial loans ������������������������������������� 1,749.1 32.4 279.3 19.4 806.1 7.8 7.1 2.3

Loans to individuals���������������������������������������������������������� 1,383.9 339.8 241.7 6.0 240.1 5.8 88.1 2.0

Credit card loans ������������������������������������������������������� 680.0 323.8 149.6 0.4 17.8 0.6 19.0 0.1

Other loans to individuals ����������������������������������������� 704.0 16.0 92.1 5.6 222.3 5.2 69.1 1.8

All other loans and leases (including farm) ��������������������� 1,026.7 2.2 310.3 37.9 245.9 17.9 3.8 1.0

Total loans and leases (plus unearned income)�������������� 8,364.0 374.6 1,318.1 160.5 3,370.3 280.4 129.2 17.5 72

Memo: Other Real Estate Owned (in millions)

All other real estate owned����������������������������������������������� 19,338.7 0.1 1,093.7 488.3 11,512.6 1,085.5 129.5 155.2 537

Construction and development��������������������������������� 6,045.2 0.0 16.6 176.9 4,588.2 157.4 24.4 59.5 1

Nonfarm nonresidential��������������������������������������������� 4,981.0 0.0 62.4 170.3 3,551.1 86.4 36.5 49.3 1

Multifamily residential real estate ����������������������������� 427.0 0.0 2.0 17.4 336.5 8.5 1.1 6.1

1-4 family residential ������������������������������������������������� 5,718.0 0.1 515.7 85.5 2,688.4 391.9 59.5 38.7 168

Farmland�������������������������������������������������������������������� 252.6 0.0 0.0 38.1 181.3 1.6 0.0 1.6

GNMA properties������������������������������������������������������� 1,884.6 0.0 469.0 0.1 166.8 439.6 8.0 0.0

* 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
FDIC Quarterly 11 2015, Volume 9, No. 2

Quarterly Banking Profile

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

Asset Size Distribution Geographic Regions*

March 31, 2015 All Insured 

Institutions

Less Than 

$100 

Million

$100 

Million to 

$1 Billion

$1 Billion 

to 

$10 Billion

Greater 

Than 

$10 Billion New York Atlanta Chicago

Kansas 

City Dallas

San 

Francisco

Percent of Loans 30-89 Days Past Due 

All loans secured by real estate ������������������������������ 0.92 1.38 0.79 0.53 1.05 0.63 1.10 0.96 1.2

Construction and development������������������������ 0.49 1.25 0.65 0.51 0.39 0.72 0.49 0.43 0.2

Nonfarm nonresidential������������������������������������ 0.36 1.19 0.57 0.33 0.27 0.42 0.31 0.42 0.3

Multifamily residential real estate �������������������� 0.18 0.53 0.45 0.15 0.15 0.16 0.25 0.17 0.2

Home equity loans�������������������������������������������� 0.65 0.83 0.53 0.46 0.68 0.49 0.80 0.73 0.6

Other 1-4 family residential������������������������������ 1.56 1.75 1.16 0.88 1.74 0.97 1.78 1.56 2.1

Commercial and industrial loans ���������������������������� 0.24 1.18 0.74 0.41 0.18 0.25 0.18 0.29 0.1

Loans to individuals������������������������������������������������� 1.15 1.76 1.42 1.27 1.13 1.00 1.49 1.05 1.1

Credit card loans ���������������������������������������������� 1.06 3.16 1.35 1.64 1.04 0.85 1.18 0.88 1.1

Other loans to individuals �������������������������������� 1.24 1.74 1.42 1.09 1.24 1.26 1.81 1.10 1.1

All other loans and leases (including farm) ������������ 0.26 0.85 0.71 0.35 0.22 0.14 0.18 0.42 0.2

Total loans and leases��������������������������������������������� 0.73 1.31 0.81 0.55 0.75 0.58 0.86 0.75 0.8

Percent of Loans Noncurrent** 

All real estate loans ������������������������������������������������� 3.09 1.65 1.41 1.45 3.91 2.01 3.83 3.62 4.4

Construction and development������������������������ 1.81 2.32 2.50 1.94 1.46 2.15 2.54 1.75 1.3

Nonfarm nonresidential������������������������������������ 1.20 2.10 1.39 1.20 1.11 1.42 1.13 1.32 1.2

Multifamily residential real estate �������������������� 0.41 1.23 0.88 0.46 0.31 0.31 0.37 0.52 0.4

Home equity loans�������������������������������������������� 2.72 0.85 0.76 0.87 3.07 2.07 3.32 2.83 3.1

Other 1-4 family residential������������������������������ 5.15 1.68 1.42 2.06 6.35 2.95 5.94 6.01 7.5

Commercial and industrial loans ���������������������������� 0.54 1.86 1.27 0.88 0.45 0.62 0.48 0.53 0.5

Loans to individuals������������������������������������������������� 0.83 0.80 0.85 0.77 0.84 0.90 0.85 0.81 0.8

Credit card loans ���������������������������������������������� 1.12 1.17 1.39 1.59 1.10 0.97 1.16 1.03 1.1

Other loans to individuals �������������������������������� 0.55 0.80 0.81 0.39 0.55 0.76 0.53 0.74 0.4

All other loans and leases (including farm) ������������ 0.22 0.65 0.42 1.04 0.15 0.37 0.12 0.15 0.2

Total loans and leases��������������������������������������������� 1.83 1.50 1.31 1.29 1.99 1.39 2.09 2.08 2.3

Percent of Loans Charged-Off (net, YTD) 

All real estate loans ������������������������������������������������� 0.16 0.08 0.06 0.07 0.21 0.09 0.25 0.15 0.2

Construction and development������������������������ -0.13 -0.20 -0.01 -0.11 -0.19 -0.13 0.13 -0.23 -0.34 

Nonfarm nonresidential������������������������������������ 0.06 0.15 0.05 0.10 0.04 0.07 0.08 0.04 0.0

Multifamily residential real estate �������������������� 0.00 0.15 0.05 0.02 -0.02 0.00 0.04 0.02 -0.08 

Home equity loans�������������������������������������������� 0.46 0.06 0.11 0.17 0.51 0.31 0.60 0.41 0.5

Other 1-4 family residential������������������������������ 0.21 0.10 0.10 0.08 0.25 0.10 0.27 0.19 0.3

Commercial and industrial loans ���������������������������� 0.18 0.40 0.19 0.15 0.18 0.14 0.15 0.20 0.1

Loans to individuals������������������������������������������������� 1.83 0.56 0.66 1.61 1.88 2.02 1.92 1.09 2.3

Credit card loans ���������������������������������������������� 2.98 6.91 4.08 3.68 2.95 2.73 3.03 2.86 3.2

Other loans to individuals �������������������������������� 0.68 0.48 0.40 0.62 0.70 0.76 0.73 0.51 1.0

All other loans and leases (including farm) ������������ 0.07 0.00 0.14 0.08 0.06 0.08 0.07 0.07 0.0

Total loans and leases��������������������������������������������� 0.43 0.14 0.11 0.20 0.51 0.46 0.52 0.27 0.5

Loans Outstanding (in billions) 

All real estate loans ������������������������������������������������� $4,204.3 $42.5 $606.0 $757.3 $2,798.5 $858.7 $895.3 $824.6 $826.2 $3

Construction and development������������������������ 246.1 2.5 52.3 63.2 128.2 45.5 52.4 39.2 37.

Nonfarm nonresidential������������������������������������ 1,163.4 11.1 234.9 308.6 608.8 269.3 235.0 186.3 167.1 

Multifamily residential real estate �������������������� 305.3 1.3 31.6 71.2 201.2 108.4 38.1 81.1 25.

Home equity loans�������������������������������������������� 483.9 1.1 26.7 46.8 409.3 90.3 126.1 120.7 98.

Other 1-4 family residential������������������������������ 1,855.3 19.5 217.3 248.8 1,369.8 340.9 433.2 376.6 407.7 

Commercial and industrial loans ���������������������������� 1,749.1 7.3 103.1 172.3 1,466.5 268.0 430.0 359.3 358.8 

Loans to individuals������������������������������������������������� 1,383.9 3.8 33.0 77.7 1,269.4 292.9 351.4 202.3 286.8

Credit card loans ���������������������������������������������� 680.0 0.0 2.3 24.6 653.1 185.6 179.3 48.3 160.

Other loans to individuals �������������������������������� 704.0 3.7 30.7 53.1 616.4 107.4 172.2 154.1 126.7

All other loans and leases (including farm) ������������ 1,026.7 7.6 46.8 54.7 917.5 170.5 222.8 240.6 282.

Total loans and leases (plus unearned income)����� 8,364.0 61.2 788.9 1,062.0 6,452.0 1,590.1 1,899.5 1,626.7 1,754.2 

Memo: Other Real Estate Owned (in millions) 

All other real estate owned�������������������������������������� 19,338.7 573.0 5,790.2 4,198.6 8,776.9 2,625.3 5,007.8 3,815.4 4,046.4 2,53

Construction and development������������������������ 6,045.2 194.6 2,631.2 1,692.6 1,526.9 636.2 1,722.9 839.0 1,287.5 1,

Nonfarm nonresidential������������������������������������ 4,981.0 178.1 1,867.2 1,345.6 1,590.1 670.4 1,202.1 1,019.5 881.5 

Multifamily residential real estate �������������������� 427.0 21.8 150.7 99.9 154.6 164.1 40.0 71.3 72.

1-4 family residential ���������������������������������������� 5,718.0 166.6 1,014.7 951.3 3,585.4 1,100.5 1,488.4 1,290.6 962.0 

Farmland����������������������������������������������������������� 252.6 11.7 124.4 88.3 28.2 21.5 58.6 49.9 36.

GNMA properties���������������������������������������������� 1,884.6 0.3 2.0 21.0 1,861.4 32.6 495.9 545.1 777.

* 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 Islan

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
FDIC Quarterly 12 2015, Volume 9, No. 2

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

Asset Size Distribution

(dollar figures in millions;

notional amounts unless otherwise indicated)

1st 

Quarter 

2015

4th

Quarter 

2014

3rd

Quarter 

2014

2nd 

Quarter 

2014

1st 

Quarter 

2014

% Change 

14Q1-

15Q1

Less 

Than $100 

Million

$100 

Million to 

$1 Billion

$1 Billion 

to $10 

Billion

Greater 

Than 

$10 Billion

ALL DERIVATIVE HOLDERS 

Number of institutions reporting derivatives����������������� 1,430 1,400 1,392 1,405 1,399 2.2 69 856 402 10

Total assets of institutions reporting derivatives ���������� $14,160,514 $13,921,852 $13,713,850 $13,522,371 $13,250,315 6.9 $5,004 $357,197 $1,190,250 $12,608,06

Total deposits of institutions reporting derivatives������� 10,664,252 10,461,458 10,291,809 10,169,199 9,980,762 6.8 4,190 295,028 953,698 9,411,33

Total derivatives������������������������������������������������������������� 205,900,437 221,924,279 242,942,949 239,127,057 231,756,607 -11.2 291 26,423 96,573 205,777,15

Derivative Contracts by Underlying Risk Exposure 

Interest rate�������������������������������������������������������������������� 157,727,650 173,941,388 190,897,013 191,555,638 184,420,491 -14.5 291 23,356 90,548 157,613,45

Foreign exchange*��������������������������������������������������������� 35,563,105 34,745,833 37,993,284 33,394,779 32,803,408 8.4 0 2,875 5,139 35,555,09

Equity ����������������������������������������������������������������������������� 2,359,532 2,577,118 2,317,271 2,135,462 2,105,011 12.1 0 57 309 2,359,16

Commodity & other (excluding credit derivatives)�������� 1,233,520 1,210,879 1,327,011 1,214,397 1,263,060 -2.3 0 9 96 1,233,41

Credit������������������������������������������������������������������������������ 9,016,631 9,449,062 10,408,370 10,826,781 11,164,636 -19.2 0 127 482 9,016,02

Total�������������������������������������������������������������������������������� 205,900,437 221,924,279 242,942,949 239,127,057 231,756,607 -11.2 291 26,423 96,573 205,777,15

Derivative Contracts by Transaction Type 

Swaps ���������������������������������������������������������������������������� 117,710,832 135,169,546 148,331,152 146,514,058 141,284,830 -16.7 44 7,223 53,061 117,650,50

Futures & forwards �������������������������������������������������������� 44,537,354 43,368,429 45,058,920 45,263,688 42,478,734 4.8 127 10,731 21,596 44,504,90

Purchased options��������������������������������������������������������� 16,070,746 16,370,106 17,990,979 17,268,335 17,177,576 -6.4 18 807 4,871 16,065,05

Written options��������������������������������������������������������������� 15,784,509 16,004,454 17,560,552 16,842,990 16,905,444 -6.6 102 7,525 16,430 15,760,45

Total�������������������������������������������������������������������������������� 194,103,441 210,912,535 228,941,604 225,889,071 217,846,584 -10.9 291 26,287 95,957 193,980,90

Fair Value of Derivative Contracts 

Interest rate contracts���������������������������������������������������� 68,527 60,023 65,131 72,248 72,732 -5.8 1 61 -201 68,66

Foreign exchange contracts������������������������������������������ -10,042 -4,845 13,334 4,729 5,563 N/M 0 0 -3 -10,039

Equity contracts������������������������������������������������������������� 335 3,769 -657 412 1,548 -78.4 0 1 0 33

Commodity & other (excluding credit derivatives)�������� -5,755 -3,376 219 965 -893 N/M 0 0 2 -5,758

Credit derivatives as guarantor������������������������������������� 54,676 47,533 67,082 95,094 80,869 -32.4 0 -1 0 54,67

Credit derivatives as beneficiary����������������������������������� -53,208 -36,633 -62,731 -90,465 -77,438 N/M 0 0 -24 -53,183

Derivative Contracts by Maturity** 

Interest rate contracts ����������������������������� < 1 year 74,822,165 71,808,688 79,984,774 81,212,211 77,787,406 -3.8 87 9,764 21,113 74,791,20

 ������������������������������������������ 1-5 years 50,596,553 33,727,025 40,334,338 38,531,826 37,365,369 35.4 28 3,260 24,846 50,568,41

 ������������������������������������������ > 5 years 32,885,173 22,213,586 22,393,371 24,203,418 24,025,868 36.9 35 4,257 26,113 32,854,76

Foreign exchange and gold contracts ���� < 1 year 25,506,809 22,145,398 22,877,893 20,823,569 20,107,028 26.9 0 1,996 3,644 25,501,16

 ������������������������������������������ 1-5 years 3,917,108 2,586,643 2,459,545 2,435,601 2,312,567 69.4 0 0 194 3,916,91

 ������������������������������������������ > 5 years 1,612,457 969,047 1,021,332 1,016,489 974,355 65.5 0 0 0 1,612,45

Equity contracts��������������������������������������� < 1 year 1,471,235 996,137 763,470 698,674 673,720 118.4 0 9 46 1,471,18

 ������������������������������������������ 1-5 years 518,475 351,854 323,010 292,130 305,141 69.9 0 10 91 518,37

 ������������������������������������������ > 5 years 167,735 100,903 77,484 81,116 89,804 86.8 0 1 25 167,70

 Commodity & other contracts (including credit 

derivatives, excluding gold contracts) ���� < 1 year 5,553,836 1,298,825 1,407,104 1,454,791 1,303,887 325.9 0 7 50 5,553,77

 ������������������������������������������ 1-5 years 5,891,761 3,623,142 4,045,843 4,091,545 4,310,725 36.7 0 5 6 5,891,75

 ������������������������������������������ > 5 years 600,199 289,055 321,390 332,178 422,604 42.0 0 0 15 600,18

Risk-Based Capital: Credit Equivalent Amount 

Total current exposure to tier 1 capital (%)������������������� 39.8 28.8 26.0 23.5 23.5 0.2 0.4

Total potential future exposure to tier 1 capital (%)������ 49.8 48.6 53.2 55.1 56.2 1.7 1.2

Total exposure (credit equivalent amount) 

to tier 1 capital (%) ����������������������������������������������������� 89.6 77.4 79.2 78.7 79.7 1.8 1.6 

Credit losses on derivatives***���������������������������������� 69.8 91.1 83.2 68.7 12.8 445.3 0.0 0.

HELD FOR TRADING 

Number of institutions reporting derivatives����������������� 249 248 244 247 243 2.5 8 86 91 6

Total assets of institutions reporting derivatives ���������� 11,441,159 11,274,526 11,015,085 10,889,256 10,638,252 7.5 575 40,444 320,862 11,079,27

Total deposits of institutions reporting derivatives������� 8,585,063 8,457,138 8,262,859 8,185,855 7,997,380 7.3 464 33,768 254,422 8,296,40

Derivative Contracts by Underlying Risk Exposure 

Interest rate�������������������������������������������������������������������� 154,706,789 170,693,032 187,912,026 188,495,603 181,284,535 -14.7 135 2,100 20,355 154,684,19

Foreign exchange���������������������������������������������������������� 32,197,482 32,536,107 33,675,874 30,164,255 29,208,486 10.2 0 0 3,835 32,193,64

Equity ����������������������������������������������������������������������������� 2,340,858 2,559,758 2,300,741 2,119,239 2,089,047 12.1 0 0 0 2,340,85

Commodity & other�������������������������������������������������������� 1,227,079 1,205,276 1,320,794 1,206,811 1,256,235 -2.3 0 1 14 1,227,06

Total�������������������������������������������������������������������������������� 190,472,207 206,994,173 225,209,435 221,985,908 213,838,301 -10.9 135 2,101 24,204 190,445,76

Trading Revenues: Cash & Derivative Instruments 

Interest rate�������������������������������������������������������������������� 959 658 -826 2,878 2,010 -52.3 0 0 18 94

Foreign exchange���������������������������������������������������������� 4,702 2,902 4,830 2,026 2,137 120.0 0 0 3 4,70

Equity ����������������������������������������������������������������������������� 791 643 652 722 608 30.1 0 0 0 79

Commodity & other (including credit derivatives) �������� 1,211 255 946 795 1,427 -15.1 0 0 0 1,21

Total trading revenues��������������������������������������������������� 7,663 4,458 5,602 6,421 6,183 23.9 0 0 21 7,64

Share of Revenue 

Trading revenues to gross revenues (%) ���������������������� 6.4 3.8 4.7 5.4 5.4 0.0 0.

Trading revenues to net operating revenues (%)���������� 29.4 19.6 23.6 24.6 26.9 0.0 0.2

HELD FOR PURPOSES OTHER THAN TRADING 

Number of institutions reporting derivatives����������������� 1,305 1,276 1,272 1,287 1,282 1.8 62 783 363 9

Total assets of institutions reporting derivatives ���������� 13,844,132 13,613,609 13,421,606 13,229,480 12,944,593 6.9 4,511 326,299 1,072,212 12,441,11

Total deposits of institutions reporting derivatives������� 10,410,936 10,218,446 10,062,067 9,938,934 9,738,920 6.9 3,797 269,165 860,209 9,277,76

Derivative Contracts by Underlying 

Risk Exposure 

Interest rate�������������������������������������������������������������������� 3,020,861 3,248,355 2,984,988 3,060,035 3,135,956 -3.7 156 21,256 70,192 2,929,25

Foreign exchange���������������������������������������������������������� 585,258 647,043 724,435 819,319 849,536 -31.1 0 2,865 1,170 581,22

Equity ����������������������������������������������������������������������������� 18,674 17,361 16,530 16,223 15,965 17.0 0 57 309 18,30

Commodity & other�������������������������������������������������������� 6,441 5,602 6,216 7,586 6,825 -5.6 0 8 81 6,35

Total notional amount ���������������������������������������������������� 3,631,233 3,918,361 3,732,169 3,903,163 4,008,282 -9.4 156 24,186 71,753 3,535,13

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

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

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

*** The reporting of credit losses on derivatives is applicable to all banks filing the FFIEC 031 report form and to those banks filing the FFIEC 041 report form that have $300 million or more 

in total assets
FDIC Quarterly 13 2015, Volume 9, No. 2

Quarterly Banking Profile

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

Asset Size Distribution

(dollar figures in millions)

1st 

Quarter 

2015

4th 

Quarter

2014

3rd 

Quarter

2014

2nd 

Quarter

2014

1st 

Quarter

2014

% Change 

14Q1-

15Q1

Less Than 

$100 

Million

$100 

Million to 

$1 Billion

$1 Billion 

to $10 

Billion

Greater 

Than $10 

Billion

Assets Securitized and Sold with Servicing Retained or with 

Recourse or Other Seller-Provided Credit Enhancements 

Number of institutions reporting securitization activities ����������������������������������������� 75 78 74 73 76 -1.3 0 23 17 3

Outstanding Principal Balance by Asset Type 

1-4 family residential loans�������������������������������������������������������������������������������� $821,872 $847,508 $845,279 $844,190 $598,465 37.3 $0 $2,489 $12,477 $806,90

Home equity loans��������������������������������������������������������������������������������������������� 35 36 38 39 41 -14.6 0 0 0 3

Credit card receivables�������������������������������������������������������������������������������������� 17,817 18,499 16,782 16,692 16,349 9.0 0 0 1 17,81

Auto loans ���������������������������������������������������������������������������������������������������������� 3,740 3,951 4,198 4,312 4,735 -21.0 0 0 1,496 2,24

Other consumer loans ��������������������������������������������������������������������������������������� 5,966 6,191 6,425 4,945 4,462 33.7 0 2 0 5,96

Commercial and industrial loans����������������������������������������������������������������������� 19 11 10 17 545 -96.5 0 14 3 

All other loans, leases, and other assets���������������������������������������������������������� 94,401 96,257 95,099 94,757 96,071 -1.7 0 118 8,309 85,97

Total securitized and sold������������������������������������������������������������������������������������������ 943,850 972,452 967,831 964,951 720,668 31.0 0 2,622 22,286 918,94

Maximum Credit Exposure by Asset Type 

1-4 family residential loans�������������������������������������������������������������������������������� 3,120 2,918 2,806 2,908 2,912 7.1 0 11 3 3,10

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

Credit card receivables�������������������������������������������������������������������������������������� 1,531 1,529 1,418 1,450 1,455 5.2 0 0 0 1,53

Auto loans ���������������������������������������������������������������������������������������������������������� 0 0 0 0 5 -100.0 0 0 0 

Other consumer loans ��������������������������������������������������������������������������������������� 211 194 188 192 174 21.3 0 0 0 21

Commercial and industrial loans����������������������������������������������������������������������� 0 0 0 0 15 -100.0 0 0 0 

All other loans, leases, and other assets���������������������������������������������������������� 1,405 1,369 1,129 1,416 1,308 7.4 0 0 0 1,40

Total credit exposure ������������������������������������������������������������������������������������������������� 6,267 6,011 5,541 5,966 5,869 6.8 0 11 3 6,25

Total unused liquidity commitments provided to institution's own securitizations ��� 0 17 17 17 120 -100.0 0 0 0 

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

1-4 family residential loans�������������������������������������������������������������������������������� 3.1 3.9 3.9 3.5 3.3 0.0 0.

Home equity loans��������������������������������������������������������������������������������������������� 5.2 7.5 8.0 9.1 8.8 0.0 0.

Credit card receivables�������������������������������������������������������������������������������������� 0.4 0.7 0.8 0.8 0.9 0.0 0.

Auto loans ���������������������������������������������������������������������������������������������������������� 1.0 0.9 0.7 0.7 0.6 0.0 0.

Other consumer loans ��������������������������������������������������������������������������������������� 4.6 4.9 4.8 5.5 5.2 0.0 0.

Commercial and industrial loans����������������������������������������������������������������������� 0.0 0.0 0.0 0.0 0.0 0.0 0.

All other loans, leases, and other assets���������������������������������������������������������� 0.4 0.3 0.4 0.4 0.3 0.0 3.

Total loans, leases, and other assets ����������������������������������������������������������������������� 2.8 3.5 3.5 3.2 2.9 0.0 0.

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

1-4 family residential loans�������������������������������������������������������������������������������� 2.0 2.2 2.2 2.3 3.3 0.0 1.

Home equity loans��������������������������������������������������������������������������������������������� 44.7 43.3 42.0 40.3 37.8 0.0 0.0

Credit card receivables�������������������������������������������������������������������������������������� 0.3 0.5 0.5 0.6 0.7 0.0 0.

Auto loans ���������������������������������������������������������������������������������������������������������� 0.1 0.1 0.1 0.1 0.1 0.0 0.

Other consumer loans ��������������������������������������������������������������������������������������� 5.1 5.3 5.2 6.3 6.7 0.0 0.

Commercial and industrial loans����������������������������������������������������������������������� 1.3 2.4 3.0 2.9 0.1 0.0 1.

All other loans, leases, and other assets���������������������������������������������������������� 1.4 3.3 6.5 9.2 8.7 0.0 9.

Total loans, leases, and other assets ����������������������������������������������������������������������� 2.0 2.3 2.6 2.9 3.9 0.0 1.

Securitized Loans, Leases, and Other Assets Charged-off 

(net, YTD, annualized, %) 

1-4 family residential loans�������������������������������������������������������������������������������� 0.1 0.4 0.3 0.2 0.2 0.0 0.

Home equity loans��������������������������������������������������������������������������������������������� 0.7 1.0 0.2 0.1 -0.1 0.0 0.

Credit card receivables�������������������������������������������������������������������������������������� 0.4 1.7 1.5 1.2 0.6 0.0 0.

Auto loans ���������������������������������������������������������������������������������������������������������� 0.1 0.2 0.1 0.1 0.0 0.0 0.

Other consumer loans ��������������������������������������������������������������������������������������� 0.2 0.8 0.6 0.3 0.2 0.0 0.

Commercial and industrial loans����������������������������������������������������������������������� 0.0 0.0 0.0 0.0 0.0 0.0 0.

All other loans, leases, and other assets���������������������������������������������������������� 0.1 0.9 0.6 0.9 0.7 0.0 0.

Total loans, leases, and other assets ����������������������������������������������������������������������� 0.1 0.4 0.3 0.3 0.2 0.0 0.

Seller's Interests in Institution's Own Securitizations - Carried as Loans 

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

Credit card receivables�������������������������������������������������������������������������������������� 9,983 12,247 12,198 12,905 13,116 -23.9 0 0 0 9,98

Commercial and industrial loans����������������������������������������������������������������������� 0 0 0 2 2 -100.0 0 0 0 

Seller's Interests in Institution's Own Securitizations - Carried as Securities 

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

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

Commercial and industrial loans����������������������������������������������������������������������� 0 0 0 0 48 -100.0 0 0 0 

Assets Sold with Recourse and Not Securitized 

Number of institutions reporting asset sales������������������������������������������������������������ 1,097 1,103 1,105 1,101 1,088 0.8 129 740 177 5

Outstanding Principal Balance by Asset Type 

1-4 family residential loans�������������������������������������������������������������������������������� 38,900 40,547 40,838 41,944 43,405 -10.4 1,109 15,376 8,987 13,42

Home equity, credit card receivables, auto, and other consumer loans ��������� 694 712 709 727 755 -8.1 0 3 28 66

Commercial and industrial loans����������������������������������������������������������������������� 83 91 52 53 69 20.3 1 11 71 

All other loans, leases, and other assets���������������������������������������������������������� 71,382 69,560 66,271 65,112 65,974 8.2 0 94 1,193 70,09

Total sold and not securitized������������������������������������������������������������������������������������ 111,059 110,909 107,869 107,835 110,203 0.8 1,110 15,483 10,278 84,18

Maximum Credit Exposure by Asset Type 

1-4 family residential loans�������������������������������������������������������������������������������� 10,073 9,737 9,850 9,646 9,573 5.2 80 2,444 3,390 4,15

Home equity, credit card receivables, auto, and other consumer loans ��������� 137 137 140 141 155 -11.6 0 3 4 13

Commercial and industrial loans����������������������������������������������������������������������� 19 27 23 24 33 -42.4 1 11 8 

All other loans, leases, and other assets���������������������������������������������������������� 18,624 17,954 17,233 16,849 16,970 9.7 0 11 71 18,54

Total credit exposure ������������������������������������������������������������������������������������������������� 28,853 27,855 27,246 26,660 26,732 7.9 81 2,468 3,473 22,83

Support for Securitization Facilities Sponsored by Other Institutions 

Number of institutions reporting securitization facilities sponsored by others ������� 116 125 132 134 138 -15.9 9 64 24 1

Total credit exposure ������������������������������������������������������������������������������������������������� 44,982 44,248 41,590 42,400 42,081 6.9 10 155 334 44,48

Total unused liquidity commitments ������������������������������������������������������������������������� 887 1,150 918 1,122 1,017 -12.8 0 0 0 88

Other

Assets serviced for others*��������������������������������������������������������������������������������������� 0 4,361,980 4,412,785 4,461,369 4,556,212 -100.0 0 0 0 

Asset-backed commercial paper conduits 

Credit exposure to conduits sponsored by institutions and others������������������ 11,736 11,981 10,189 12,129 12,110 -3.1 5 1 5 11,72

Unused liquidity commitments to conduits sponsored by institutions 

 and others������������������������������������������������������������������������������������������������������� 28,878 28,924 27,948 28,274 30,515 -5.4 0 0 579 28,30

Net servicing income (for the quarter)���������������������������������������������������������������������� 1,599 1,197 2,886 2,773 2,142 -25.4 7 180 91 1,32

Net securitization income (for the quarter)��������������������������������������������������������������� 298 340 385 318 285 4.6 0 6 16 27

Total credit exposure to Tier 1 capital (%)** ������������������������������������������������������������� 5.5 5.5 5.3 5.4 5.5 0.7 2.

* 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

FDIC Quarterly 15 2015, Volume 9, No. 2

Quarterly Banking Profile

COMMUNITY BANK PERFORMANCE

Contributors to the Year-Over-Year Change in Income

FDIC-Insured Community Banks

Billions of Dollars Positive Factor

Negative Factor

Net

Income

Net

Interest

Income

Loan Loss

Provisions

Noninterest

Income

Noninterest

Expense

Realized

Gains on

Securities

Income

Taxes

Source: FDIC. 

-$0.5

$0.0

$0.5

$1.0

$1.5

$0.69 $1.02 -$0.02 $0.70 $0.82 $0.10 $0.33

+16% +6% -3% +18% +6% +75% +28%

Chart 1 Chart 2

Net Interest Margin

Percent

Source: FDIC.

3.57 3.55

3.16

3.02

2.5

3.0

3.5

4.0

2007 2008 2009 2010 2011 2012 2013 2014 2015

Community Banks

All Insured Institutions

Close to 63 Percent of Community Banks Increased 

Earnings From First Quarter 2014

Improved revenue from net interest income and 

noninterest income, coupled with lower loan-loss 

provisions, increased aggregate first quarter 2015 earnings at the 5,946 community banks to $4.9 billion, up 

$690.9 million (16.4 percent) from the year before. 

Earnings for community banks grew at almost three 

times the rate of noncommunity banks (6.1 percent).1

Almost two out of every three community banks 

(63 percent) reported higher year-over-year earnings, while 5.8 percent were unprofitable during the 

quarter, the lowest level since second quarter 2005. 

The pretax return on assets (ROA) was 1.25 percent, 

1

 In first quarter 2015, there were 472 noncommunity banks with a 

total of $13.7 trillion in assets, $10.2 trillion in deposits, and $1.5 trillion in equity capital.

up 13 basis points from the year-ago quarter, but 

26 basis points below noncommunity banks’ rate 

(1.51 percent).

Net Interest Margin Continued to Fall Despite 

Net Interest Income Rising 6.5 Percent

The average net interest margin (NIM) of 3.55 percent 

for the quarter was down 2 basis points from the year 

before, as average asset yields fell more rapidly than 

average funding costs. Community banks posted NIM 

61 basis points above the average of noncommunity 

banks (2.94 percent) and 53 basis points above the 

industry average (3.02 percent). Net interest income, 

which accounted for 78 percent of net operating 

revenue at community banks, totaled $16.8 billion in 

first quarter 2015, up $1 billion (6.5 percent) from first 

quarter 2014. With nearly 70 percent of community 

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 

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

designated during the prior quarter.

■ Earnings of $4.9 Billion Grew 16 Percent From First Quarter 2014

■ Net Interest Income and Noninterest Income Increased From the 

Year-Ago Period

■ Loan Balances Increased From the Previous Quarter and the Year Before

■ Net Charge-Off Rate Declined to a Nine-Year Low

■ Community Banks Continued to Hold 44 Percent of Small Loans to Businesses
FDIC Quarterly 16 2015, Volume 9, No. 2

banks increasing net interest income from the yearago quarter, the annual increase at community banks 

outperformed noncommunity banks (1.6 percent). 

Yearly increase in net interest income for community banks was led by higher interest income from 

non 1-to-4 family residential mortgage real estate 

loans (up $509.1 million, or 7.3 percent) and 1-to-4 

family residential mortgages (up $238.5 million, or 

5.3 percent).

Higher Loan Sale Revenue Increased 

Noninterest Income

Noninterest income of $4.7 billion, which accounted 

for 22 percent of net operating revenue at community 

banks in first quarter 2015, increased $704 million 

(17.7 percent) from the same 2014 quarter. More 

than half (57 percent) of community banks reported 

higher noninterest income than a year earlier. Close 

to 90 percent of the annual increase in noninterest income was the result of rising loan sales 

revenue (up $404 million, or 68.4 percent) and all 

other noninterest income (up $224.2 million, or 

14.2 percent).2 Noninterest income from the sale, 

2

 All other noninterest income includes items that are greater than 

$25,000 and exceed 3 percent of all other noninterest income 

reported. They include income and fees from the printing and sale of 

checks, earnings on the increase in value of cash surrender value of 

life insurance, income and fees from automated teller machines, rent 

and other income from other real estate owned, safe deposit box rent, 

net change in the fair values of financial instruments accounted for 

under a fair value option, bank card and credit card interchange fees, 

and gains on bargain purchases.

securitization, and servicing of residential mortgage 

loans totaled $743.6 million for the current quarter, up 

$313.1 million (72.7 percent) from first quarter 2014.

Noninterest Expense Grew 5.9 Percent From 

First Quarter 2014

Noninterest expense totaled $14.8 billion in first quarter 2015, an increase of $821.1 million (5.9 percent) 

from the year before. Close to 77 percent of the 

increase in noninterest expense was led by higher 

salary employee benefits (up $627.4 million, or 

8.2 percent). Almost two out of every three community banks (65 percent) reported higher noninterest 

expense from first quarter 2014. Full-time employees 

at community banks totaled 439,114 in first quarter 

2015, up 8,789 (2 percent) from a year earlier, while 

noncommunity banks reduced full-time employees by 

3,794 (0.2 percent). The average asset per employee 

was $4.7 million for the first quarter of 2015, up from 

$4.5 million in the same 2014 quarter.

Change in Loan Balances and Unused Commitments

FDIC-Insured Community Banks

Source: FDIC. 

Billions of Dollars

Loan Balances

Unused

Commitments

Nonfarm

Nonresidential RE

C&I

Loans

1-to-4

Family

Residential RE

C&D

Loans

Agricultural

Production

Loans

Loans to

Individuals

Home

Equity

CRE & C&D C&I Loans

25.8

17.3

11.0

25.1

5.7

3.1 3.8

11.7

7.6 6.5

2.1

5.7

1.8

-3.5

-1.1

0.1

1.3 2.6

Change 1Q 2015 vs. 1Q 2014

Change 1Q 2015 vs. 4Q 2014

Chart 3 Chart 4

Noncurrent Loan Rates for FDIC-Insured Community Banks

Percent of Loan Portfolio Noncurrent

Source: FDIC.

0

2

4

6

8

10

12

14

16

2007 2008 2009 2010 2011 2012 2013 2014 2015

C&D Loans

Nonfarm Nonresidential RE

1-to-4 Family RE

C&I Loans

Home Equity

Credit Cards
FDIC Quarterly 17 2015, Volume 9, No. 2

Quarterly Banking Profile

All Major Loan Balances Increased From the 

Year Before

Total assets at community banks grew by $33 billion 

(1.6 percent) from the previous quarter, as loan 

balances increased by $17.4 billion (1.3 percent). 

With more than half of community banks (53 percent) 

increasing loan balances from the previous quarter, the 

quarterly growth rate for community banks outpaced 

noncommunity banks (0.5 percent). Almost 83 percent 

of the increase was led by nonfarm nonresidential 

real estate loans (up $6.5 billion, or 1.6 percent), 

1-to-4 family residential mortgages (up $5.7 billion, 

or 1.6 percent), and commercial and industrial loans 

(up $2.1 billion, or 1.1 percent). Agricultural production loans posted a seasonal decline of $3.5 billion 

(7.2 percent), and loans to individuals fell $1.1 billion 

(1.8 percent). All major loan categories increased 

from first quarter 2014, led by nonfarm nonresidential 

real estate loans (up $25.8 billion, or 6.9 percent), 

1-to-4 family residential mortgages (up $25.1 billion, 

or 7.4 percent), commercial and industrial loans (up 

$17.3 billion, or 10 percent), and construction and 

development loans (up $11 billion, or 14.8 percent). 

Small loans to businesses of $295.3 billion increased 

$9.8 billion (3.4 percent) from first quarter 2014, with 

42 percent of the growth being driven by commercial 

and industrial loans (up $4.1 billion, or 4.7 percent).3

Total unused loan commitments increased $26.2 billion 

(11.2 percent) from the year before, with total unused 

commercial real estate (CRE) loan commitments—

including construction and development—growing 

$11.7 billion (21.1 percent).

3

 Small loans to businesses include loans to commercial borrowers up 

to $1 million, and farm loans up to $500,000.

Asset Quality Indicators Showed Continuing 

Improvement

Noncurrent loan balances totaled $18.1 billion in first 

quarter 2015, down $3.7 billion (16.9 percent) from 

first quarter 2014. Close to 60 percent of community 

banks lowered their noncurrent loan balances from the 

year before. The noncurrent rate for community banks 

was 1.32 percent, down from 1.36 percent in the previous quarter, and 1.68 percent in first quarter 2014. The 

noncurrent rate was 61 basis points below noncommunity banks’ rate (1.93 percent), and 51 basis points 

below industry’s rate (1.83 percent). All major loan 

categories had lower noncurrent rates from the 2014 

quarter. Construction and development’s noncurrent 

rate declined 155 basis points from first quarter 2014; 

however, it continued to have the highest noncurrent 

rate (2.39 percent). The quarterly net charge-off rate for 

community banks declined 7 basis points to 0.1 percent, 

and it remained below noncommunity banks’ rate of 

0.5 percent. All major loan categories had a decline in 

net charge-off rate from the year before.

Common Equity Tier 1 Capital Ratio Stood at 

14.89 Percent

Equity capital totaled $230.9 billion in first quarter 

2015, an increase of $18.5 billion (8.7 percent) from 

first quarter 2014. Retained earnings of $2.8 billion 

increased $456.6 million (19.8) percent from first quarter 2014, while declining $233.2 million (1.6 percent) 

for noncommunity banks. The common equity Tier 1 

capital ratio was 14.89 percent for community banks 

and 12.33 percent for noncommunity banks.

Four Community Banks Failed in the First Quarter

The number of FDIC-insured community banks totaled 

5,946 at the end of first quarter 2015, down 91 banks 

from the previous quarter. Four community banks failed 

during the quarter.

Author: Benjamin Tikvina, Financial Analyst

Division of Insurance and Research

(202) 898-6578
FDIC Quarterly 18 2015, Volume 9, No. 2

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

2015* 2014* 2014 2013 2012 2011 2010

Return on assets (%)������������������������������������������������������������������������������������������������������ 0.96 0.87 0.93 0.90 0.83 0.

Return on equity (%)������������������������������������������������������������������������������������������������������� 8.61 8.04 8.47 8.28 7.68 5.

Core capital (leverage) ratio (%) ������������������������������������������������������������������������������������ 10.66 10.49 10.58 10.44 10.18 9.

Noncurrent assets plus other real estate owned to assets (%) ������������������������������������ 1.29 1.62 1.34 1.73 2.26 2.

Net charge-offs to loans (%) ������������������������������������������������������������������������������������������ 0.10 0.17 0.21 0.32 0.58 0.

Asset growth rate (%) ����������������������������������������������������������������������������������������������������� 1.83 1.28 2.31 0.33 2.25 1.6

Net interest margin (%)��������������������������������������������������������������������������������������������������� 3.55 3.57 3.61 3.59 3.67 3.

Net operating income growth (%)����������������������������������������������������������������������������������� 10.61 0.76 5.13 14.63 56.26 206.68

Number of institutions reporting������������������������������������������������������������������������������������� 5,946 6,233 6,037 6,306 6,541 6,798 7,014

Percentage of unprofitable institutions (%)�������������������������������������������������������������������� 5.82 7.64 6.31 8.40 11.16 16.3

* Through March 31, ratios annualized where appropriate. Asset growth rates are for 12 months ending March 3

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

(dollar figures in millions)  1st Quarter

2015

4th Quarter

2014

1st Quarter

2014

%Change 

1Q14-1Q15

Number of institutions reporting������������������������������������������������������������������������������������� 5,946 6,037 6,233 -4.

Total employees (full-time equivalent)��������������������������������������������������������������������������� 439,114 442,277 449,424 -2.

CONDITION DATA

Total assets��������������������������������������������������������������������������������������������������������������������� $2,070,611 $2,064,097 $2,033,321 1.

Loans secured by real estate���������������������������������������������������������������������������������� 1,040,157 1,039,743 998,000 4.

 1-4 Family residential mortgages �������������������������������������������������������������������� 361,804 364,964 349,563 3.

 Nonfarm nonresidential������������������������������������������������������������������������������������ 402,158 400,389 394,021 2.

 Construction and development������������������������������������������������������������������������ 85,303 85,100 77,720 9.

 Home equity lines��������������������������������������������������������������������������������������������� 49,365 50,059 47,267 4.

Commercial & industrial loans �������������������������������������������������������������������������������� 190,419 190,491 181,973 4.

Loans to individuals������������������������������������������������������������������������������������������������� 58,876 59,003 55,411 6.

 Credit cards ������������������������������������������������������������������������������������������������������ 1,982 1,828 1,766 12.

Farm loans��������������������������������������������������������������������������������������������������������������� 45,274 48,598 39,666 14.

Other loans & leases����������������������������������������������������������������������������������������������� 33,205 31,147 27,937 18.

Less: Unearned income ������������������������������������������������������������������������������������������ 554 590 553 0.

Total loans & leases ������������������������������������������������������������������������������������������������ 1,367,378 1,368,392 1,302,456 5.

Less: Reserve for losses����������������������������������������������������������������������������������������� 18,923 18,989 19,993 -5.

Net loans and leases����������������������������������������������������������������������������������������������� 1,348,455 1,349,403 1,282,463 5.

Securities����������������������������������������������������������������������������������������������������������������� 445,535 448,768 463,601 -3.

Other real estate owned������������������������������������������������������������������������������������������ 8,383 8,750 10,813 -22.

Goodwill and other intangibles ������������������������������������������������������������������������������� 12,805 12,589 12,674 1.

All other assets�������������������������������������������������������������������������������������������������������� 255,434 244,586 263,770 -3.

Total liabilities and capital ���������������������������������������������������������������������������������������������� 2,070,611 2,064,097 2,033,321 1.

Deposits������������������������������������������������������������������������������������������������������������������� 1,708,695 1,693,604 1,686,535 1.

 Domestic office deposits���������������������������������������������������������������������������������� 1,708,215 1,693,374 1,686,304 1.

 Foreign office deposits������������������������������������������������������������������������������������� 480 230 231 108.

 Brokered deposits �������������������������������������������������������������������������������������������� 65,739 60,814 56,255 16.

Estimated insured deposits������������������������������������������������������������������������������������� 1,313,668 1,305,407 1,325,674 -0.

Other borrowed funds ��������������������������������������������������������������������������������������������� 114,749 125,415 111,521 2.

Subordinated debt��������������������������������������������������������������������������������������������������� 458 497 432 6.

All other liabilities ���������������������������������������������������������������������������������������������������� 15,643 15,696 14,199 10.

Total equity capital (includes minority interests)���������������������������������������������������� 231,066 228,886 220,634 4.

 Bank equity capital������������������������������������������������������������������������������������������� 230,948 228,755 220,489 4.

Loans and leases 30-89 days past due������������������������������������������������������������������������� 9,853 9,506 10,803 -8.

Noncurrent loans and leases ����������������������������������������������������������������������������������������� 18,096 18,638 21,954 -17.

Restructured loans and leases �������������������������������������������������������������������������������������� 10,064 10,812 11,458 -12.

Mortgage-backed securities ������������������������������������������������������������������������������������������ 190,941 195,080 204,549 -6.

Earning assets���������������������������������������������������������������������������������������������������������������� 1,920,671 1,911,267 1,875,129 2.

FHLB Advances�������������������������������������������������������������������������������������������������������������� 85,200 92,924 80,207 6.

Unused loan commitments��������������������������������������������������������������������������������������������� 259,622 250,174 244,532 6.

Trust assets��������������������������������������������������������������������������������������������������������������������� 247,346 286,129 237,593 4.

Assets securitized and sold ������������������������������������������������������������������������������������������� 14,139 15,959 15,082 -6.

Notional amount of derivatives��������������������������������������������������������������������������������������� 57,557 43,736 44,395 29.

INCOME DATA

Full Year

 2014

Full Year

 2013 %Change

1st Quarter 

2015

1st Quarter 

2014

%Change 

1Q14-1Q15

Total interest income ������������������������������������������������������������������� $75,693 $75,694 0.0 $19,002 $18,911 0

Total interest expense ����������������������������������������������������������������� 9,101 10,338 -12.0 2,167 2,328 -6

Net interest income �������������������������������������������������������������� 66,592 65,356 1.9 16,835 16,582 1

Provision for loan and lease losses �������������������������������������������� 2,536 3,182 -20.3 541 549 -1

Total noninterest income������������������������������������������������������������� 17,693 18,550 -4.6 4,683 4,165 12

Total noninterest expense����������������������������������������������������������� 58,524 59,081 -0.9 14,799 14,700 0

Securities gains (losses)������������������������������������������������������������� 561 564 -0.6 245 144 70

Applicable income taxes ������������������������������������������������������������� 5,191 4,504 15.2 1,513 1,265 19

Extraordinary gains, net�������������������������������������������������������������� 2 40 -94.3 0 4 -88

Total net income (includes minority interests)��������������������� 18,598 17,743 4.8 4,910 4,381 12

Bank net income������������������������������������������������������������ 18,574 17,720 4.8 4,900 4,377 11

Net charge-offs���������������������������������������������������������������������������� 2,730 3,972 -31.3 354 545 -34

Cash dividends ���������������������������������������������������������������������������� 9,181 8,711 5.4 2,139 2,120 0

Retained earnings ����������������������������������������������������������������������� 9,393 9,009 4.3 2,762 2,258 22

Net operating income����������������������������������������������������������� 18,150 17,265 5.1 4,720 4,268 10

N/M - Not Meaningful
FDIC Quarterly 19 2015, Volume 9, No. 2

Quarterly Banking Profile

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

Prior Periods Adjusted for Mergers

(dollar figures in millions)  1st Quarter

2015

4th Quarter

2014

1st Quarter

2014

%Change 

1Q14-1Q15

Number of institutions reporting������������������������������������������������������������������������������������� 5,946 5,946 5,946 0.

Total employees (full-time equivalent)��������������������������������������������������������������������������� 439,114 438,536 436,570 0.

CONDITION DATA

Total assets��������������������������������������������������������������������������������������������������������������������� $2,070,611 $2,037,595 $1,961,140 5.

Loans secured by real estate���������������������������������������������������������������������������������� 1,040,157 1,022,049 957,891 8.

 1-4 Family residential mortgages �������������������������������������������������������������������� 361,804 356,077 336,749 7.

 Nonfarm nonresidential������������������������������������������������������������������������������������ 402,158 395,697 376,309 6.

 Construction and development������������������������������������������������������������������������ 85,303 83,500 74,291 14.

 Home equity lines��������������������������������������������������������������������������������������������� 49,365 49,269 45,557 8.

Commercial & industrial loans �������������������������������������������������������������������������������� 190,419 188,285 173,130 10.

Loans to individuals������������������������������������������������������������������������������������������������� 58,876 59,939 55,727 5.

 Credit cards ������������������������������������������������������������������������������������������������������ 1,982 2,090 1,985 -0.

Farm loans��������������������������������������������������������������������������������������������������������������� 45,274 48,783 39,542 14.

Other loans & leases����������������������������������������������������������������������������������������������� 33,205 31,523 28,032 18.

Less: Unearned income ������������������������������������������������������������������������������������������ 554 580 534 3.

Total loans & leases ������������������������������������������������������������������������������������������������ 1,367,378 1,349,999 1,253,810 9.

Less: Reserve for losses����������������������������������������������������������������������������������������� 18,923 18,839 19,414 -2.

Net loans and leases����������������������������������������������������������������������������������������������� 1,348,455 1,331,160 1,234,397 9.

Securities����������������������������������������������������������������������������������������������������������������� 445,535 443,328 449,258 -0.

Other real estate owned������������������������������������������������������������������������������������������ 8,383 8,732 10,674 -21.

Goodwill and other intangibles ������������������������������������������������������������������������������� 12,805 12,302 11,400 12.

All other assets�������������������������������������������������������������������������������������������������������� 255,434 242,072 255,412 0.

Total liabilities and capital ���������������������������������������������������������������������������������������������� 2,070,611 2,037,595 1,961,140 5.

Deposits������������������������������������������������������������������������������������������������������������������� 1,708,695 1,674,879 1,629,624 4.

 Domestic office deposits���������������������������������������������������������������������������������� 1,708,215 1,674,437 1,629,186 4.

 Foreign office deposits������������������������������������������������������������������������������������� 480 442 439 9.

 Brokered deposits �������������������������������������������������������������������������������������������� 65,739 62,521 56,238 16.

Estimated insured deposits������������������������������������������������������������������������������������� 1,313,668 1,289,512 1,281,981 2.

Other borrowed funds ��������������������������������������������������������������������������������������������� 114,749 121,275 104,908 9.

Subordinated debt��������������������������������������������������������������������������������������������������� 458 457 371 23.

All other liabilities ���������������������������������������������������������������������������������������������������� 15,643 15,219 13,711 14.

Total equity capital (includes minority interests)���������������������������������������������������� 231,066 225,765 212,526 8.

 Bank equity capital������������������������������������������������������������������������������������������� 230,948 225,645 212,409 8.

Loans and leases 30-89 days past due������������������������������������������������������������������������� 9,853 9,494 10,836 -9.

Noncurrent loans and leases ����������������������������������������������������������������������������������������� 18,096 18,397 21,769 -16.

Restructured loans and leases �������������������������������������������������������������������������������������� 10,064 10,949 11,477 -12.

Mortgage-backed securities ������������������������������������������������������������������������������������������ 190,941 192,176 196,865 -3.

Earning assets���������������������������������������������������������������������������������������������������������������� 1,920,671 1,886,695 1,809,325 6.

FHLB Advances�������������������������������������������������������������������������������������������������������������� 85,200 88,982 74,838 13.

Unused loan commitments��������������������������������������������������������������������������������������������� 259,622 247,776 233,384 11.

Trust assets��������������������������������������������������������������������������������������������������������������������� 247,346 283,093 227,952 8.

Assets securitized and sold ������������������������������������������������������������������������������������������� 14,139 13,950 12,668 11.

Notional amount of derivatives��������������������������������������������������������������������������������������� 57,557 42,845 40,439 42.

INCOME DATA

Full Year

 2014

Full Year

 2013 %Change

1st Quarter 

2015

1st Quarter 

2014

%Change 

1Q14-1Q15

Total interest income ������������������������������������������������������������������� $74,480 $71,486 4.2 $19,002 $18,034 5

Total interest expense ����������������������������������������������������������������� 8,863 9,752 -9.1 2,167 2,222 -2

Net interest income �������������������������������������������������������������� 65,617 61,733 6.3 16,835 15,812 6

Provision for loan and lease losses �������������������������������������������� 2,406 3,220 -25.3 541 559 -3

Total noninterest income������������������������������������������������������������� 17,350 17,500 -0.9 4,683 3,979 17

Total noninterest expense ����������������������������������������������������������� 57,507 55,856 3.0 14,799 13,978 5

Securities gains (losses)������������������������������������������������������������� 558 551 1.2 245 140 75

Applicable income taxes ������������������������������������������������������������� 4,735 4,066 16.5 1,513 1,185 27

Extraordinary gains, net�������������������������������������������������������������� 2 40 -94.3 0 4 -88

Total net income (includes minority interests)��������������������� 18,879 16,683 13.2 4,910 4,213 16

Bank net income������������������������������������������������������������ 18,855 16,661 13.2 4,900 4,210 16

Net charge-offs���������������������������������������������������������������������������� 2,648 4,071 -35.0 354 569 -37

Cash dividends ���������������������������������������������������������������������������� 8,892 8,074 10.1 2,139 1,904 12

Retained earnings ����������������������������������������������������������������������� 9,963 8,587 16.0 2,762 2,305 19

Net operating income����������������������������������������������������������� 18,437 16,206 13.8 4,720 4,102 15

N/M - Not Meaningful
FDIC Quarterly 20 2015, Volume 9, No. 2

TABLE III-B. Aggregate Condition and Income Data by Geographic Region, FDIC-Insured Community Banks

First Quarter 2015

(dollar figures in millions)

Geographic Regions*

All Community Banks New York Atlanta Chicago Kansas City Dallas San Francisco

Number of institutions reporting����������������������������������� 5,946 698 734 1,317 1,528 1,275 394

Total employees (full-time equivalent)������������������������� 439,114 87,039 58,469 92,733 70,890 96,031 33,952

CONDITION DATA

Total assets������������������������������������������������������������������� $2,070,611 $528,904 $256,125 $388,074 $317,286 $409,540 $170,683

Loans secured by real estate�������������������������������� 1,040,157 305,536 136,878 193,421 137,100 181,004 86,218

 1-4 Family residential mortgages ������������������ 361,804 123,670 44,443 71,410 41,223 60,235 20,823

 Nonfarm nonresidential���������������������������������� 402,158 107,005 59,226 70,562 47,949 74,107 43,309

 Construction and development���������������������� 85,303 15,734 15,122 11,578 10,880 24,931 7,058

 Home equity lines������������������������������������������� 49,365 16,270 7,890 11,738 4,295 4,527 4,644

Commercial & industrial loans ������������������������������ 190,419 44,483 20,740 35,151 31,127 41,705 17,213

Loans to individuals����������������������������������������������� 58,876 12,822 7,568 11,714 9,534 13,555 3,683

 Credit cards ���������������������������������������������������� 1,982 464 138 437 431 314 198

Farm loans������������������������������������������������������������� 45,274 493 1,048 7,039 25,998 8,491 2,206

Other loans & leases��������������������������������������������� 33,205 10,024 2,207 5,786 5,327 7,018 2,842

Less: Unearned income ���������������������������������������� 554 151 92 63 27 116 104

Total loans & leases ���������������������������������������������� 1,367,378 373,207 168,349 253,049 209,059 251,656 112,058

Less: Reserve for losses��������������������������������������� 18,923 4,443 2,444 3,746 3,072 3,464 1,755

Net loans and leases��������������������������������������������� 1,348,455 368,764 165,905 249,303 205,987 248,192 110,303

Securities��������������������������������������������������������������� 445,535 102,149 50,704 87,462 70,863 100,398 33,959

Other real estate owned���������������������������������������� 8,383 1,157 2,164 1,722 1,296 1,549 494

Goodwill and other intangibles ����������������������������� 12,805 4,019 1,358 2,156 1,660 2,632 980

All other assets������������������������������������������������������ 255,434 52,814 35,993 47,431 37,480 56,769 24,947

Total liabilities and capital �������������������������������������������� 2,070,611 528,904 256,125 388,074 317,286 409,540 170,683

Deposits����������������������������������������������������������������� 1,708,695 419,190 213,542 322,548 265,013 346,217 142,186

 Domestic office deposits�������������������������������� 1,708,215 418,827 213,501 322,522 265,013 346,217 142,135

 Foreign office deposits����������������������������������� 480 362 41 26 0 0 51

 Brokered deposits ������������������������������������������ 65,739 22,599 7,184 11,580 9,495 9,405 5,477

 Estimated insured deposits ��������������������������� 1,313,668 314,786 164,569 263,174 212,059 255,799 103,282

Other borrowed funds ������������������������������������������� 114,749 44,687 12,209 19,003 15,854 16,252 6,744

Subordinated debt������������������������������������������������� 458 283 34 67 4 7 63

All other liabilities �������������������������������������������������� 15,643 5,264 1,734 2,911 1,816 2,450 1,468

Total equity capital (includes minority interests)�� 231,066 59,480 28,606 43,544 34,600 44,613 20,222

 Bank equity capital����������������������������������������� 230,948 59,430 28,589 43,523 34,598 44,588 20,221

Loans and leases 30-89 days past due����������������������� 9,853 2,729 1,378 1,817 1,444 2,032 452

Noncurrent loans and leases ��������������������������������������� 18,096 6,254 2,764 3,623 1,762 2,654 1,039

Restructured loans and leases ������������������������������������ 10,064 2,543 1,678 2,710 1,148 1,133 851

Mortgage-backed securities ���������������������������������������� 190,941 57,170 21,756 34,598 22,657 38,476 16,285

Earning assets�������������������������������������������������������������� 1,920,671 493,383 234,999 359,563 295,385 378,373 158,969

FHLB Advances������������������������������������������������������������ 85,200 35,726 9,327 13,222 10,737 12,021 4,168

Unused loan commitments������������������������������������������� 259,622 63,456 31,234 48,107 44,308 47,937 24,581

Trust assets������������������������������������������������������������������� 247,346 54,534 9,688 67,196 68,616 39,890 7,421

Assets securitized and sold ����������������������������������������� 14,139 3,650 531 6,031 803 583 2,541

Notional amount of derivatives������������������������������������� 57,557 16,986 8,693 9,617 7,943 9,079 5,239

INCOME DATA

Total interest income ���������������������������������������������������� $19,002 $4,715 $2,418 $3,493 $2,937 $3,861 $1,578

Total interest expense �������������������������������������������������� 2,167 688 277 393 325 361 123

Net interest income ����������������������������������������������� 16,835 4,026 2,141 3,100 2,612 3,500 1,455

Provision for loan and lease losses ����������������������������� 541 201 68 74 68 127 5

Total noninterest income ���������������������������������������������� 4,683 901 590 1,224 697 889 381

Total noninterest expense �������������������������������������������� 14,799 3,407 2,014 2,931 2,217 2,969 1,260

Securities gains (losses)���������������������������������������������� 245 111 33 29 36 27 8

Applicable income taxes ���������������������������������������������� 1,513 455 183 331 169 202 172

Extraordinary gains, net����������������������������������������������� 0 1 -1 1 1 0 0

Total net income (includes minority interests)������ 4,910 976 499 1,017 892 1,117 408

 Bank net income��������������������������������������������� 4,900 970 498 1,016 892 1,116 408

Net charge-offs������������������������������������������������������������� 354 118 66 83 19 70 -2

Cash dividends ������������������������������������������������������������� 2,139 274 158 582 507 492 124

Retained earnings �������������������������������������������������������� 2,762 696 340 434 385 624 284

Net operating income�������������������������������������������� 4,720 896 475 992 861 1,095 402

* See Table V-A (page 11) for explanations
FDIC Quarterly 21 2015, Volume 9, No. 2

Quarterly Banking Profile

Table IV-B. First Quarter 2015, FDIC-Insured Community Banks

All Community Banks First Quarter 2015, Geographic Regions*

 1st Quarter 

2015

4th Quarter 

2014 New York Atlanta Chicago Kansas City Dallas San Francisco

Performance ratios (annualized, %)

Yield on earning assets�������������������������������������������������� 4.00 4.11 3.86 4.17 3.92 4.00 4

Cost of funding earning assets �������������������������������������� 0.46 0.48 0.56 0.48 0.44 0.44 0

Net interest margin�������������������������������������������������� 3.55 3.63 3.30 3.70 3.48 3.56 3

Noninterest income to assets����������������������������������������� 0.91 0.91 0.69 0.93 1.27 0.88 0

Noninterest expense to assets��������������������������������������� 2.89 3.00 2.60 3.19 3.04 2.81 2

Loan and lease loss provision to assets������������������������ 0.11 0.13 0.15 0.11 0.08 0.09 0

Net operating income to assets ������������������������������������� 0.92 0.91 0.68 0.75 1.03 1.09 1

Pretax return on assets �������������������������������������������������� 1.25 1.17 1.09 1.08 1.40 1.34 1

Return on assets������������������������������������������������������������� 0.96 0.93 0.74 0.79 1.05 1.13 1

Return on equity ������������������������������������������������������������� 8.61 8.42 6.62 7.08 9.44 10.43 10

Net charge-offs to loans and leases������������������������������ 0.10 0.25 0.13 0.16 0.13 0.04 0.

Loan and lease loss provision to net charge-offs���������� 152.80 78.73 169.70 102.69 88.53 350.16 182.13

Efficiency ratio ���������������������������������������������������������������� 68.39 69.84 68.81 73.32 67.49 66.30 67.

Net interest income to operating revenue���������������������� 78.24 78.77 81.71 78.39 71.70 78.94 79.

% of unprofitable institutions������������������������������������������ 5.82 10.12 6.59 9.81 6.30 3.66 3.

% of institutions with earnings gains������������������������������ 62.76 61.01 61.32 61.99 63.48 64.73 60.

Table V-B. Full Year 2014, FDIC-Insured Community Banks

All Community Banks Full Year 2014, Geographic Regions*

Full Year

 2014

Full Year

 2013 New York Atlanta Chicago Kansas City Dallas San Francisco

Performance ratios (%)

Yield on earning assets�������������������������������������������������� 4.10 4.16 3.93 4.32 4.02 4.09 4

Cost of funding earning assets �������������������������������������� 0.49 0.57 0.60 0.53 0.47 0.50 0

Net interest margin�������������������������������������������������� 3.61 3.59 3.34 3.79 3.55 3.59 3

Noninterest income to assets����������������������������������������� 0.89 0.94 0.64 0.86 1.20 0.89 0

Noninterest expense to assets��������������������������������������� 2.93 2.99 2.66 3.21 3.08 2.79 3

Loan and lease loss provision to assets������������������������ 0.13 0.16 0.17 0.12 0.12 0.10 0

Net operating income to assets ������������������������������������� 0.91 0.87 0.61 0.77 0.99 1.13 1

Pretax return on assets �������������������������������������������������� 1.19 1.12 0.96 1.01 1.29 1.36 1

Return on assets������������������������������������������������������������� 0.93 0.90 0.64 0.79 1.00 1.15 1

Return on equity ������������������������������������������������������������� 8.47 8.28 5.88 7.21 9.13 10.53 10

Net charge-offs to loans and leases������������������������������ 0.21 0.32 0.21 0.28 0.29 0.16 0

Loan and lease loss provision to net charge-offs���������� 92.89 80.10 117.72 65.70 66.82 98.17 116.

Efficiency ratio ���������������������������������������������������������������� 69.10 69.87 70.61 73.94 68.46 65.69 67.

Net interest income to operating revenue���������������������� 79.01 77.89 82.84 80.15 73.17 78.87 79.

% of unprofitable institutions������������������������������������������ 6.31 8.40 8.16 10.15 7.85 3.76 3

% of institutions with earnings gains������������������������������ 63.72 53.50 59.07 65.15 59.49 65.87 66.

* See Table V-A (page 11) for explanations
FDIC Quarterly 22 2015, Volume 9, No. 2

Table VI-B. Loan Performance, FDIC-Insured Community Banks

March 31, 2015

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 ������������������������������������������� 0.70 0.68 0.82 0.75 0.65 0.

Construction and development������������������������������������� 0.63 0.77 0.79 0.57 0.48 0.

Nonfarm nonresidential������������������������������������������������� 0.49 0.54 0.54 0.54 0.47 0.

Multifamily residential real estate ��������������������������������� 0.24 0.19 0.24 0.41 0.28 0.

Home equity loans��������������������������������������������������������� 0.50 0.60 0.47 0.48 0.32 0.

Other 1-4 family residential������������������������������������������� 1.08 0.96 1.34 1.15 0.92 1.

Commercial and industrial loans ����������������������������������������� 0.59 0.52 0.66 0.60 0.66 0.

Loans to individuals�������������������������������������������������������������� 1.61 2.99 1.32 0.97 0.96 1.

Credit card loans ����������������������������������������������������������� 1.56 2.11 1.15 1.09 2.34 0.

Other loans to individuals ��������������������������������������������� 1.62 3.02 1.32 0.97 0.90 1.

All other loans and leases (including farm) ������������������������� 0.61 0.35 0.49 0.30 0.83 0.

Total loans and leases���������������������������������������������������������� 0.72 0.73 0.82 0.72 0.69 0.

Percent of Loans Noncurrent**

All loans secured by real estate ������������������������������������������� 1.43 1.68 1.78 1.61 0.93 1.

Construction and development������������������������������������� 2.39 2.82 3.90 2.81 1.94 1.

Nonfarm nonresidential������������������������������������������������� 1.33 1.55 1.58 1.51 1.10 1.

Multifamily residential real estate ��������������������������������� 0.54 0.27 1.03 1.11 0.40 1.

Home equity loans��������������������������������������������������������� 0.80 0.92 0.77 0.96 0.44 0.

Other 1-4 family residential������������������������������������������� 1.67 2.17 1.57 1.83 0.93 1.

Commercial and industrial loans ����������������������������������������� 1.11 1.27 1.15 1.17 1.04 0.

Loans to individuals�������������������������������������������������������������� 0.71 0.97 0.82 0.45 0.48 0.

Credit card loans ����������������������������������������������������������� 0.95 1.34 0.55 0.86 1.11 0.

Other loans to individuals ��������������������������������������������� 0.70 0.95 0.83 0.44 0.45 0.

All other loans and leases (including farm) ������������������������� 0.91 4.00 0.75 0.40 0.36 0.

Total loans and leases���������������������������������������������������������� 1.32 1.68 1.64 1.43 0.84 1.

Percent of Loans Charged-Off (net, YTD)

All loans secured by real estate ������������������������������������������� 0.06 0.08 0.11 0.10 -0.02 0.0

Construction and development������������������������������������� -0.02 0.11 0.16 0.09 -0.53 0.0

Nonfarm nonresidential������������������������������������������������� 0.05 0.08 0.12 0.06 0.03 0.0

Multifamily residential real estate ��������������������������������� 0.04 0.03 0.18 0.07 -0.02 0.

Home equity loans��������������������������������������������������������� 0.11 0.17 0.10 0.18 0.03 0.0

Other 1-4 family residential������������������������������������������� 0.09 0.09 0.09 0.14 0.06 0.0

Commercial and industrial loans ����������������������������������������� 0.16 0.16 0.25 0.20 0.06 0.

Loans to individuals�������������������������������������������������������������� 0.72 0.98 0.64 0.53 0.70 0.

Credit card loans ����������������������������������������������������������� 4.85 4.60 1.19 4.27 10.61 1.

Other loans to individuals ��������������������������������������������� 0.57 0.84 0.63 0.39 0.22 0.

All other loans and leases (including farm) ������������������������� 0.12 0.21 0.27 0.09 0.04 0.

Total loans and leases���������������������������������������������������������� 0.10 0.13 0.16 0.13 0.04 0.1

Loans Outstanding (in billions)

All loans secured by real estate ������������������������������������������� $1,040.2 $305.5 $136.9 $193.4 $137.1 $181.

Construction and development������������������������������������� 85.3 15.7 15.1 11.6 10.9 2

Nonfarm nonresidential������������������������������������������������� 402.2 107.0 59.2 70.6 47.9 74

Multifamily residential real estate ��������������������������������� 82.0 41.1 6.0 14.0 7.2 

Home equity loans��������������������������������������������������������� 49.4 16.3 7.9 11.7 4.3 

Other 1-4 family residential������������������������������������������� 361.8 123.7 44.4 71.4 41.2 60

Commercial and industrial loans ����������������������������������������� 190.4 44.5 20.7 35.2 31.1 41

Loans to individuals�������������������������������������������������������������� 58.9 12.8 7.6 11.7 9.5 1

Credit card loans ����������������������������������������������������������� 2.0 0.5 0.1 0.4 0.4 

Other loans to individuals ��������������������������������������������� 56.9 12.4 7.4 11.3 9.1 1

All other loans and leases (including farm) ������������������������� 78.5 10.5 3.3 12.8 31.3 1

Total loans and leases���������������������������������������������������������� 1,367.9 373.4 168.4 253.1 209.1 251.

Memo: Unfunded Commitments (in millions)

Total Unfunded Commitments ��������������������������������������������� 259,622 63,456 31,234 48,107 44,308 47,937 24,581

Construction and development: 1-4 family residential �� 19,504 4,099 3,747 2,018 2,146 5,714 1,779

Construction and development: CRE and other ����������� 46,100 13,704 6,646 6,458 5,305 10,576 3,411

Commercial and industrial �������������������������������������������� 87,943 20,067 9,275 18,068 14,586 16,807 9,140

* See Table V-A (page 11) for explanations

** 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
FDIC Quarterly 23 2015, Volume 9, No. 2

Quarterly Banking Profile

During the first quarter of 2015, total assets of the 

nation’s 6,419 FDIC-insured commercial banks 

and savings institutions increased by $224.3 billion 

(1.4 percent). Domestic office deposits increased 

by $210.2 billion (2.0 percent). Domestic savings 

and interest-bearing checking accounts increased 

by $146.5 billion (2.5 percent), noninterest-bearing 

deposits increased by $84.2 billion (3.0 percent), and 

time deposits decreased by $20.5 billion (1.2 percent). 

Deposits held in foreign offices decreased by 

$15.8 billion (1.1 percent). Asset growth was also 

supported by a $30.7 billion increase in equity capital 

and a $10.7 billion increase in securities sold under 

agreements to repurchase. Federal Home Loan Bank 

advances decreased by $31.2 billion during the quarter.

Estimated insured deposits (including U.S. branches of 

foreign banks) increased by 2.3 percent ($139.7 billion) 

during the first quarter of 2015 to $6.3 trillion. Over the 

past four quarters, estimated insured deposits increased 

by 3.6 percent ($222.5 billion). For institutions existing 

as of December 31, 2014, and March 31, 2015, insured 

deposits increased during the first quarter at 4,679 institutions (73 percent), decreased at 1,716 institutions 

(27 percent), and remained unchanged at 33 institutions.

The Deposit Insurance Fund (DIF) increased by 

4.0 percent ($2.5 billion) during the first quarter to 

$65,296 million (unaudited). Assessment income of 

$2.2 billion and a negative provision for insurance 

losses of $426 million were the largest sources of the 

increase to the DIF during the quarter. Interest earned 

and unrealized gains on securities added $291 million to 

the DIF, while operating expenses net of other revenue 

reduced the fund by $390 million. The DIF’s reserve 

ratio rose to 1.03 percent on March 31, 2015, from 

1.01 percent at December 31, 2014, and 0.80 percent 

four quarters ago. The March 31, 2015, reserve ratio 

is the highest for the DIF since March 31, 2008, when 

the reserve ratio was 1.19 percent. Four FDIC-insured 

institutions, with combined assets of $6.3 billion, failed 

during the first quarter of 2015, at an estimated cost to 

the DIF of $848 million.

Effective April 1, 2011, the deposit insurance assessment base changed to average consolidated total assets 

minus average tangible equity.1

 Revisions to insurance 

assessment rates and risk-based pricing rules for large 

banks (banks with assets greater than $10 billion) also 

became effective on that date.2 Table 1 shows the distribution of the assessment base by institution asset size 

category as of the first quarter.

1

 There is an additional adjustment to the assessment base for banker’s banks and custodial banks, as permitted under Dodd-Frank.

2

 The Fourth Quarter 2010 Quarterly Banking Profile includes a more 

detailed explanation of these changes.

■ Insured Deposits Grow by 2.3 Percent

■ DIF Reserve Ratio Rises 2 Basis Points to 1.03 Percent

■ Four Institutions Fail During First Quarter

■ Changes to Risk-Based Assessments Go Into Effect

INSURANCE FUND INDICATORS

Table 1

Distribution of the Assessment Base for FDIC-Insured Institutions* 

by Asset Size

Data as of March 31, 2015

Asset Size

Number of 

Institutions

Percent of 

Total Institutions

Assessment Base** 

($ Bil.)

Percent of 

Base

Less Than $1 Billion 5,725 89.2 $1,166.7 8.7

$1 - $10 Billion 582 9.1 1,386.8 10.3

$10 - $50 Billion 75 1.2 1,449.4 10.7

$50 - $100 Billion 14 0.2 917.2 6.8

Over $100 Billion 23 0.4 8,567.1 63.5

Total 6,419 100.0 13,487.3 100.0

* Excludes insured U.S. branches of foreign banks.

** Average consolidated total assets minus average tangible equity, with adjustments for banker’s banks and custodial banks.
FDIC Quarterly 24 2015, Volume 9, No. 2

Dodd-Frank requires that, for at least five years, the 

FDIC must make available to the public the reserve 

ratio and the Designated Reserve Ratio (DRR) using 

both estimated insured deposits and the new assessment 

base. As of March 31, 2015, the FDIC reserve ratio 

would have been 0.48 percent using the new assessment 

base (compared to 1.03 percent using estimated insured 

deposits), and the 2 percent DRR using estimated 

insured deposits would have been 0.94 percent using 

the new assessment base.

Changes to Risk-Based Assessments

On November 18, 2014, the FDIC Board of Directors 

adopted a Final Rule on assessments that revises the 

FDIC’s risk-based deposit insurance assessment system 

to reflect recent changes in regulatory capital rules. 

Specifically, the Final Rule (1) revises the ratios and 

thresholds for capital evaluations used to determine 

assessments, (2) revises the calculation of the deduction to the assessment base for custodial banks, and 

(3) requires that highly complex institutions measure 

counterparty exposure for assessment purposes using the 

Basel III standardized approach.

Capital Evaluations for Assessments

Changes to regulatory capital rules that became effective at the start of this year include a new common 

equity Tier 1 capital ratio and new prompt corrective 

action thresholds for the existing Tier 1 risk-based 

capital ratio. Therefore, effective January 1, 2015, to 

conform capital evaluations for assessment purposes to 

the new capital rules, the ratios and ratio thresholds for 

determining capital evaluations for deposit insurance 

assessment purposes will be as shown in Table 2.

The recent changes to regulatory capital rules also 

introduced a supplementary leverage ratio that applies 

to some institutions and prompt corrective action 

thresholds for that ratio, to take effect at the start of 

2018. Therefore, effective January 1, 2018, to conform 

capital evaluations for assessment purposes to regulatory 

capital rules, the ratios and ratio thresholds for determining capital evaluations for deposit insurance assessment purposes will be as shown in Table 3.

Custodial Banks

Effective January 1, 2015, the Final Rule conforms the 

calculation of the deduction to the assessment base for 

custodial banks to the new asset risk weights under the 

standardized approach in the new regulatory capital 

rules. The revision applies to all custodial banks. The 

assessment base deduction for custodial banks will 

continue to be defined as the daily or weekly average 

of a certain amount of specified low-risk, liquid assets, 

subject to the limitation that the daily or weekly average value of these assets cannot exceed the daily or 

weekly average value of deposits that are classified as 

transaction accounts and are identified by the bank as 

being directly linked to a fiduciary or custodial and safekeeping account asset. (See the Final Rule for a detailed 

explanation of the changes to the deduction for custodial banks.3

)

Highly Complex Institutions

The Final Rule requires that all highly complex institutions measure counterparty exposure for assessment 

purposes using the Basel III standardized approach 

credit equivalent amount for derivatives and the Basel 

III standardized approach exposure amount for securities 

financing transactions in the regulatory capital rules. 

The amount of derivatives exposures will be reduced 

by qualifying cash collateral.4 (See the Final Rule for a 

detailed explanation of the changes to the measurement 

of counterparty exposure for assessment purposes.5)

Author: Kevin Brown, Senior Financial Analyst

Division of Insurance and Research

(202) 898-6817

3 https://www.fdic.gov/news/news/financial/2014/fil14057a.pdf. 4

 In general, a highly complex bank is a bank with at least $50 billion 

in total assets, controlled by a U.S. parent with at least $500 billion in 

assets; or a bank that is a processing bank or trust company with fiduciary assets of at least $500 billion.

5 https://www.fdic.gov/news/news/financial/2014/fil14057a.pdf.
FDIC Quarterly 25 2015, Volume 9, No. 2

Quarterly Banking Profile

Table 2

 Capital Ratios Used to Determine Capital Evaluations for Assessment Purposes

Effective January 1, 2015

Capital Evaluations

Total Risk-Based 

Capital Ratio

Tier 1 Risk-Based 

Capital Ratio

Common Equity Tier 1 

Capital Ratio Leverage Ratio

Well Capitalized ≥10% ≥8% ≥6.5% ≥5%

Adequately Capitalized* ≥8% ≥6% ≥4.5% ≥4%

Undercapitalized Does not qualify as either Well Capitalized or Adequately Capitalized

* An institution is Adequately Capitalized if it is not Well Capitalized, but it satisfies each of the listed capital ratio standards for Adequately Capitalized.

Table 3

 Capital Ratios Used to Determine Capital Evaluations for Assessment Purposes

Effective January 1, 2018*

Capital Evaluations

Total RiskBased 

Capital 

Ratio

Tier 1 

Risk-Based 

Capital 

Ratio

Common 

Equity Tier 1 

Capital 

Ratio

Leverage 

Ratio

Supplementary 

Leverage Ratio 

(Advanced Approaches 

Banking Organizations)

Supplementary 

Leverage Ratio 

(Subsidiary IDIs of 

Covered BHCs)

Well Capitalized ≥10% ≥8% ≥6.5% ≥5% Not applicable ≥6%

Adequately Capitalized** ≥8% ≥6% ≥4.5% ≥4% ≥3% ≥3%

Undercapitalized Does not qualify as either Well Capitalized or Adequately Capitalized

* In general, an insured depository institution (IDI) is an advanced approaches bank if it has total consolidated assets of $250 billion or more, has total consolidated on-balance sheet foreign 

exposures of $10 billion or more, or is a subsidiary of an IDI, bank holding company (BHC), or savings and loan holding company that uses the advanced approaches to calculate risk-weighted 

assets. A covered BHC is any top-tier U.S. BHC with more than $700 billion in total consolidated assets or more than $10 trillion in assets under custody.

** An institution is Adequately Capitalized if it is not Well Capitalized, but it satisfies each of the listed capital ratio standards for Adequately Capitalized.
FDIC Quarterly 26 2015, Volume 9, No. 2

DIF Reserve Ratios

Percent of Insured Deposits

0.60 0.64

0.68

0.79 0.80 0.84

1.01

0.22

0.32 0.35

0.45

0.89

1.03

3/12 6/12 9/12 12/12 3/13 6/13 9/13 12/13 3/14 6/14 9/14 12/14 3/15

Table I-C. Insurance Fund Balances and Selected Indicators

(dollar figures in millions)

Deposit Insurance Fund*

1st 

Quarter 

2015

4th 

Quarter 

2014

3rd 

Quarter 

2014

2nd 

Quarter 

2014

1st 

Quarter 

2014

4th 

Quarter 

2013

3rd 

Quarter 

2013

2nd 

Quarter 

2013

1st 

Quarter 

2013

4th 

Quarter 

2012

3rd 

Quarter 

2012

2nd 

Quarter 

2012

1st 

Quarter 

2012

Beginning Fund Balance ... $62,780 $54,320 $51,059 $48,893 $47,191 $40,758 $37,871 $35,742 $32,958 $25,224 $22,693 $15,292 $11,827

Changes in Fund Balance:

Assessments earned .......... 2,189 2,030 2,009 2,224 2,393 2,224 2,339 2,526 2,645 2,937 2,833 2,933 3,694

Interest earned on 

investment securities ...... 60 70 80 87 45 23 34 54 -9 66 -8 81 20

Realized gain on sale of

investments...................... 0 0 0 0 0 302 156 0 0 0 0 0 0

Operating expenses ........... 396 408 406 428 422 436 298 439 436 469 442 407 460

Provision for insurance 

losses .............................. -426 -6,787 -1,663 -204 348 -4,588 -539 -33 -499 -3,344 -84 -807 12

All other income, 

net of expenses ............... 6 -43 6 6 9 9 46 51 55 1,878 57 4,095 63

Unrealized gain/(loss) on 

available-for-sale 

securities ......................... 231 24 -91 73 25 -277 71 -96 30 -22 7 -108 160

Total fund balance change ... 2,516 8,460 3,261 2,166 1,702 6,433 2,887 2,129 2,784 7,734 2,531 7,401 3,465

Ending Fund Balance ....... 65,296 62,780 54,320 51,059 48,893 47,191 40,758 37,871 35,742 32,958 25,224 22,693 15,292

Percent change from 

 four quarters earlier ....... 33.55 33.03 33.27 34.82 36.79 43.19 61.58 66.88 133.73 178.67 222.

Reserve Ratio (%) ............. 1.03 1.01 0.89 0.84 0.80 0.79 0.68 0.64 0.60 0.45 0

Estimated Insured 

Deposits** .......................... 6,343,288 6,203,596 6,134,428 6,102,158 6,120,778 6,010,853 5,967,558 5,951,124 5,999,614 7,405,043 7,248,466 7,081,206 7,031,331

Percent change from 

 four quarters earlier ....... 3.64 3.21 2.80 2.54 2.02 -18.83 -17.67 -15.96 -14.67 6.19 7.

Domestic Deposits ........... 10,616,373 10,408,062 10,213,072 10,099,337 9,962,453 9,825,398 9,631,580 9,424,503 9,454,658 9,474,585 9,084,803 8,937,725 8,848,706

Percent change from 

 four quarters earlier ....... 6.56 5.93 6.04 7.16 5.37 3.70 6.02 5.45 6.85 7.88 6.

Number of Institutions 

Reporting ....................... 6,428 6,518 6,598 6,665 6,739 6,821 6,900 6,949 7,028 7,092 7,190 7,254 7,317

Deposit Insurance Fund Balance 

and Insured Deposits

($ Millions)

DIF 

Balance

DIF-Insured 

Deposits

3/12 $15,292 $7,031,331

6/12 22,693 7,081,206

9/12 25,224 7,248,466

12/12 32,958 7,405,043

3/13 35,742 5,999,614

6/13 37,871 5,951,124

9/13 40,758 5,967,558

12/13 47,191 6,010,853

3/14 48,893 6,120,778

6/14 51,059 6,102,158

9/14 54,320 6,134,428

12/14 62,780 6,203,596

3/15 65,296 6,343,288

Table II-C. Problem Institutions and Failed/Assisted Institutions

(dollar figures in millions) 2015*** 2014*** 2014 2013 2012 2011 2010

Problem Institutions

Number of institutions ���������������������������������������������������������������������� 253 411 291 467 651 813 884

Total assets��������������������������������������������������������������������������������������� $60,276 $126,106 $86,712 $152,687 $232,701 $319,432 $390,017

Failed Institutions

Number of institutions ���������������������������������������������������������������������� 4 5 18 24 51 92 157

Total assets****��������������������������������������������������������������������������������� $6,299 $718 $2,914 $6,044 $11,617 $34,923 $92,085

Assisted Institutions

Number of institutions ���������������������������������������������������������������������� 0 0 0 0 0 0 0

Total assets��������������������������������������������������������������������������������������� $0 $0 $0 $0 $0 $0 $0

* Quarterly financial statement results are unaudited. NM - Not meaningf

** Beginning in the third quarter of 2009, estimates of insured deposits are based on a $250,000 general coverage limit. The Dodd-Frank Wall Street Reform and Consumer Protection Act

(Dodd-Frank) temporarily provided unlimited coverage for noninterest-bearing transaction accounts for two years beginning December 31, 2010, and ending December 31, 2012

*** Through March 31

**** Total assets are based on final Call Reports submitted by failed institutions
FDIC Quarterly 27 2015, Volume 9, No. 2

Quarterly Banking Profile

Table III-C. Estimated FDIC-Insured Deposits by Type of Institution

(dollar figures in millions) 

March 31, 2015

Number of 

Institutions

Total 

Assets

Domestic 

Deposits*

Est. Insured 

Deposits

Commercial Banks and Savings Institutions

FDIC-Insured Commercial Banks ����������������������������������������������� 5,570 $14,736,631 $9,775,364 $5,655,476

 FDIC-Supervised ������������������������������������������������������������������� 3,671 2,326,461 1,821,262 1,333,868

 OCC-Supervised�������������������������������������������������������������������� 1,050 10,116,115 6,409,659 3,538,023

 Federal Reserve-Supervised������������������������������������������������� 849 2,294,055 1,544,443 783,585

FDIC-Insured Savings Institutions ���������������������������������������������� 849 1,041,431 802,782 659,289

 OCC-Supervised Savings Institutions ����������������������������������� 436 684,087 533,765 442,319

 FDIC-Supervised Savings Institutions����������������������������������� 413 357,343 269,017 216,970

Total Commercial Banks and Savings Institutions ���������������������� 6,419 15,778,062 10,578,146 6,314,765

Other FDIC-Insured Institutions

U.S. Branches of Foreign Banks ������������������������������������������������� 9 114,229 38,226 28,5

Total FDIC-Insured Institutions���������������������������������������������������� . 6,428 15,892,292 10,616,373 6,343,2

* Excludes $1.4 trillion in foreign office deposits, which are not FDIC insure

Table IV-C. Distribution of Institutions and Assessment Base by Assessment Rate Range

Quarter Ending December 31, 2014 (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

2.50-5.00 1,517 23.27 $3,350.0 

5.01-7.50 3,088 47.38 8,048.5 

7.51-10.00 1,091 16.74 1,311.3

10.01-15.00 509 7.81 473.4

15.01-20.00 25 0.38 71.8

 20.01-25.00 242 3.71 68.3

 25.01-30.00 3 0.05 0.4

 30.01-35.00 42 0.64 8.9

greater than 35.00 1 0.02 6.0 

* 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

FDIC Quarterly 29 2015, Volume 9, No. 2

Quarterly Banking Profile

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 gradually adjusted upward over 

time. For banking offices, banks must have more than one 

office, and the maximum number of offices starts at 40 in 1985 

and reaches 75 in 2010. The maximum level of deposits for 

any one office is $1.25 billion in deposits in 1985 and $5 billion in deposits in 2010. 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 over time from $250 million in 1985 to 

$1 billion in 2010, below which the limits on banking activities and geographic scope are waived. 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.

(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

1

 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 billion in 2010.

3

 Maximum number of offices indexed to equal 40 in 1985 and 75 

in 2010.

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 V-A of 

the FDIC Quarterly Banking Profile is aggregated for all FDICinsured institutions, both commercial banks and savings institutions. Tables VI-A (Derivatives) and VII-A (Servicing, 

Securitization, and Asset Sales Activities) aggregate information only for insured commercial banks and state-chartered 

savings banks that file quarterly Call Reports. Table VIII-A 

(Trust Services) aggregates Trust asset and income information collected annually from all FDIC-insured 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://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 nonbrokered 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.
FDIC Quarterly 30 2015, Volume 9, No. 2

• 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/assisted institutions, 

estimated FDIC-insured deposits, as well as assessment rate 

information. Depository institutions 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 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 double-counting. 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 asset and liability figures used in calculating performance 

ratios represent average amounts for the period (beginning-ofperiod amount plus end-of-period amount plus any interim 

periods, divided by the total number of periods). For “poolingof-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.

4

 Maximum branch deposit size indexed to equal $1.25 billion in 1985 

and $5 billion in 2010.

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, e.g., institutions 

can move their home offices between regions, and savings 

institutions can convert to commercial banks or commercial 

banks may convert to savings institutions.

ACCOUNTING CHANGES

Accounting by Private Companies for Identifiable Intangible Assets 

in a Business Combination

In December 2014, the FASB issued ASU No. 2014-18, 

“Accounting for Identifiable Intangible Assets in a Business 

Combination,” which is a consensus of the Private Company 

Council (PCC). This ASU provides an accounting alternative that permits a private company, as defined in U.S. 

GAAP (and discussed in a later section of these Supplemental Instructions), to simplify the accounting for certain 

intangible assets. The accounting alternative applies when a 

private company is required to recognize or otherwise consider the fair value of intangible assets as a result of certain 

transactions, including when applying the acquisition method 

to a business combination under ASC Topic 805, Business 

Combinations (formerly FASB Statement No. 141 (revised 

2007), “Business Combinations”).

Under ASU 2014-18, a private company that elects the 

accounting alternative should no longer recognize separately 

from goodwill:

•Customer-related intangible assets unless they are capabl

of being sold or licensed independently from the other 

assets of a business, and

• Noncompetition agreements.

However, because mortgage servicing rights and core deposit 

intangibles are regarded as capable of being sold or licensed 

independently, a private company that elects this accounting 

alternative must recognize these intangible assets separately 

from goodwill, initially measure them at fair value, and subsequently measure them in accordance with ASC Topic 350, 

Intangibles–Goodwill and Other (formerly FASB Statement 

No. 142, “Goodwill and Other Intangible Assets”).

A private company that elects the accounting alternative in 

ASU 2014-18 also must adopt the private company goodwill 

accounting alternative described in ASU 2014-02, 

“Accounting for Goodwill.” However, a private company that 

elects the goodwill accounting alternative in ASU 2014-02 is 

not required to adopt the accounting alternative for identifiable intangible assets in ASU 2014-18.

A private company’s decision to adopt ASU 2014-18 must be 

made upon the occurrence of the first business combination 

(or other transaction within the scope of the ASU) in fiscal 

years beginning after December 15, 2015. The effective date 

of the private company’s decision to adopt the accounting 

alternative for identifiable intangible assets depends on the 

timing of that first transaction.

If the first transaction occurs in the private company’s first 

fiscal year beginning after December 15, 2015, the adoption 

will be effective for that fiscal year’s annual financial reporting period and all interim and annual periods thereafter. If 
FDIC Quarterly 31 2015, Volume 9, No. 2

Quarterly Banking Profile

years (or less than ten years if more appropriate) and apply a 

simplified impairment model to goodwill. In addition, if a private company chooses to adopt the ASU’s goodwill accounting alternative, the ASU requires the private company to 

make an accounting policy election to test goodwill for 

impairment at either the entity level or the reporting unit 

level. Goodwill must be tested for impairment when a triggering event occurs that indicates that the fair value of an entity 

(or a reporting unit) may be below its carrying amount. In 

contrast, U.S. GAAP does not otherwise permit goodwill to 

be amortized, instead requiring goodwill to be tested for 

impairment at the reporting unit level annually and between 

annual tests in certain circumstances. The ASU’s goodwill 

accounting alternative, if elected by a private company, is 

effective prospectively for new goodwill recognized in annual 

periods beginning after December 15, 2014, and in interim 

periods within annual periods beginning after December 15, 

2015. Goodwill existing as of the beginning of the period of 

adoption is to be amortized prospectively over ten years (or 

less than ten years if more appropriate). The ASU states that 

early application of the goodwill accounting alternative is permitted for any annual or interim period for which a private 

company’s financial statements have not yet been made available for issuance.

A bank or savings association that meets the private company 

definition in ASU 2014-02, as discussed in the following section of these Supplemental Instructions (i.e., a private institution), is permitted, but not required, to adopt this ASU for 

Call Report purposes and may choose to early adopt the ASU. 

If a private institution issues U.S. GAAP financial statements 

and adopts the ASU, it should apply the ASU’s goodwill 

accounting alternative in its Call Report in a manner consistent with its reporting of goodwill in its financial statements. 

Thus, for example, a private institution with a calendar year 

fiscal year that chooses to adopt ASU 2014-02 must apply the 

ASU’s provisions in its December 31, 2015, and subsequent 

quarterly Call Reports unless early application of the ASU is 

elected. If a private institution with a calendar year fiscal year 

chooses to early adopt ASU 2014-02 for first quarter 2015 

financial reporting purposes, the institution may implement 

the provisions of the ASU in its Call Report for March 31, 

2015. This would require the private institution to report in 

its first quarter 2015 Call Report three months’ amortization 

of goodwill existing as of January 1, 2015, and the amortization of any new goodwill recognized in the first three months 

of 2015. Goodwill amortization expense should be reported 

unless the amortization is associated with a discontinued operation, in which case the goodwill amortization should be 

included within the results of discontinued operations and 

reported as “Extraordinary items and other adjustments, net of 

income taxes.”

For additional information on the private company accounting alternative for goodwill, institutions should refer to ASU 

2014-02, which is available at http://www.fasb.org/jsp/FASB/

Page/SectionPage&cid=1176156316498.

Definitions of Private Company and Public Business Entity

According to ASU No. 2014-02, “Accounting for Goodwill,” 

a private company is a business entity that is not a public 

business entity. ASU No. 2013-12, “Definition of a Public 

Business Entity,” which was issued in December 2013, added 

this term to the Master Glossary in the Accounting Standards 

Codification. This ASU states that a business entity, such as 

the first transaction occurs in a fiscal year beginning after 

December 15, 2016, the adoption will be effective in the 

interim period that includes the date of the transaction and 

subsequent interim and annual periods thereafter.

Early application of the intangibles accounting alternative is 

permitted for any annual or interim period for which a private 

company’s financial statements have not yet been made available for issuance. Customer-related intangible assets and noncompetition agreements that exist as of the beginning of the 

period of adoption should continue to be accounted for separately from goodwill, i.e., such existing intangible assets 

should not be combined with goodwill.

A bank or savings association that meets the private company 

definition in U.S. GAAP is permitted, but not required, to 

adopt ASU 2014-18 for Call Report purposes and may choose 

to early adopt the ASU, provided it also adopts the private 

company goodwill accounting alternative. If a private institution issues U.S. GAAP financial statements and adopts ASU 

2014-18, it should apply the ASU’s intangible asset accounting alternative in its Call Report in a manner consistent with 

its reporting of intangible assets in its financial statements.

For additional information on the private company 

accounting alternative for identifiable intangible assets, 

institutions should refer to ASU 2014-18, which is available 

at http://www.fasb.org/jsp/FASB/Page/SectionPage&cid=

1176156316498.

Private Company Accounting Alternatives, Including Accounting 

for Goodwill

In May 2012, the Financial Accounting Foundation, the independent private sector organization responsible for the oversight of the FASB, approved the establishment of the PCC to 

improve the process of setting accounting standards for private 

companies. The PCC is charged with working jointly with the 

FASB to determine whether and in what circumstances to 

provide alternative recognition, measurement, disclosure, display, effective date, and transition guidance for private companies reporting under U.S. GAAP. Alternative guidance for 

private companies may include modifications or exceptions to 

otherwise applicable existing U.S. GAAP standards. The 

banking agencies have concluded that a bank or savings association that is a private company, as defined in U.S. GAAP 

(as discussed in the next section of these Supplemental 

Instructions), is permitted to use private company accounting 

alternatives issued by the FASB when preparing its Call 

Reports, except as provided in 12 U.S.C. 1831n(a) as 

described in the following sentence. If the agencies determine 

that a particular accounting principle within U.S. GAAP, 

including a private company accounting alternative, is inconsistent with the statutorily specified supervisory objectives, the 

agencies may prescribe an accounting principle for regulatory 

reporting purposes that is no less stringent than U.S. GAAP. 

In such a situation, an institution would not be permitted to 

use that particular private company accounting alternative or 

other accounting principle within U.S. GAAP for Call Report 

purposes. The agencies would provide appropriate notice if 

they were to disallow any accounting alternative under the 

statutory process.

On January 16, 2014, the FASB issued ASU No. 2014-02, 

“Accounting for Goodwill,” which is a consensus of the PCC. 

This ASU generally permits a private company to elect to 

amortize goodwill on a straight-line basis over a period of ten 
FDIC Quarterly 32 2015, Volume 9, No. 2

Real Estate Collateralized Consumer Mortgage Loans upon 

Foreclosure,” to address diversity in practice for when certain 

loan receivables should be derecognized and the real estate 

collateral recognized. The ASU updated guidance contained 

in Accounting Standards Codification Subtopic 310-40, 

Receivables–Troubled Debt Restructurings by Creditors (formerly FASB Statement No.15, “Accounting by Debtors and 

Creditors for Troubled Debt Restructurings,” as amended).

Under prior accounting guidance, all loan receivables were 

reclassified to other real estate owned (OREO) when the 

institution, as creditor, obtained physical possession of the 

property, regardless of whether formal foreclosure proceedings 

had taken place. The new ASU clarifies when a creditor is 

considered to have received physical possession (resulting 

from an in-substance repossession or foreclosure) of residential 

real estate collateralizing a consumer mortgage loan. Under 

the new guidance, physical possession for these residential real 

estate properties is considered to have occurred and a loan 

receivable would be reclassified to OREO only upon:

•The institution obtaining legal title upon completion of 

foreclosure even if the borrower has redemption rights that 

provide the borrower with a legal right for a period of time 

after foreclosure to reclaim the property by paying certain 

amounts specified by law, or

•The completion of a deed in lieu of foreclosure or simila

legal agreement under which the borrower conveys all 

interest in the residential real estate property to the institution to satisfy the loan.

Loans secured by real estate other than consumer mortgage 

loans collateralized by residential real estate should continue 

to be reclassified to OREO when the institution has received 

physical possession of a borrower’s real estate, regardless of 

whether formal foreclosure proceedings take place.

For institutions that are public business entities, as defined 

under U.S. generally accepted accounting principles, ASU 

2014-04 is effective for fiscal years, and interim periods within 

those fiscal years, beginning after December 15, 2014. For 

example, institutions with a calendar year fiscal year that are 

public business entities must apply the ASU in their Call 

Reports beginning March 31, 2015. However, institutions 

that are not public business entities are not required to apply 

the guidance in ASU 2014-04 until annual periods beginning 

after December 15, 2014, and interim periods within annual 

periods beginning after December 15, 2015. Thus, institutions 

with a calendar year fiscal year that are not public business 

entities must apply the ASU in their December 31, 2015, and 

subsequent quarterly Call Reports. Earlier adoption of the 

guidance in ASU 2014-04 is permitted. Entities can elect to 

apply the ASU on either a modified retrospective transition 

basis or a prospective transition basis. Applying the ASU on a 

prospective transition basis should be less complex for institutions than applying the ASU on a modified retrospective transition basis. Under the prospective transition method, an 

institution should apply the new guidance to all instances 

where it receives physical possession of residential real estate 

property collateralizing consumer mortgage loans that occur 

after the date of adoption of the ASU. Under the modified 

retrospective transition method, an institution should apply a 

cumulative-effect adjustment to residential consumer mortgage 

loans and OREO existing as of the beginning of the annual 

period for which the ASU is effective. As a result of adopting 

a bank or savings association, that meets any one of five criteria set forth in the ASU is a public business entity for reporting purposes under U.S. GAAP, including for Call Report 

purposes. An institution that is a public business entity is not 

permitted to apply the private company goodwill accounting 

alternative discussed in the preceding section when preparing 

its Call Report.

For additional information on the definition of a public 

business entity, institutions should refer to ASU 2013-12, 

which is available at http://www.fasb.org/jsp/FASB/Page/

SectionPage&cid=1176156316498.

Reporting Certain Government-Guaranteed Mortgage Loans 

Upon Foreclosure

In August 2014, the FASB issued Accounting Standards 

Update (ASU) No. 2014-14, “Classification of Certain 

Government-Guaranteed Mortgage Loans Upon Foreclosure,” 

to address diversity in practice for how government-guaranteed mortgage loans are recorded upon foreclosure. The ASU 

updates guidance contained in ASC Subtopic 310-40, 

Receivables—Troubled Debt Restructurings by Creditors (formerly FASB Statement No. 15, “Accounting by Debtors and 

Creditors for Troubled Debt Restructurings,” as amended), 

because U.S. GAAP previously did not provide specific guidance on how to categorize or measure foreclosed mortgage 

loans that are government guaranteed.

This guidance is applicable to fully and partially governmentguaranteed mortgage loans. Upon foreclosure, the separate 

other receivable should be measured based on the amount of 

the loan balance (principal and interest) expected to be 

recovered from the guarantor. This other receivable should be 

reported in “All other assets.” Any interest income earned on 

the other receivable would be reported in “Other interest 

income.” Other real estate owned would not be recognized by 

the institution.

For institutions that are public business entities, as defined 

under U.S. GAAP, ASU 2014-14 is effective for fiscal years, 

and interim periods within those fiscal years, beginning after 

December 15, 2014. For example, institutions with a calendar 

year fiscal year that are public business entities must apply 

the ASU in their Call Reports beginning March 31, 2015. 

However, institutions that are not public business entities 

(i.e., that are private companies) are not required to apply 

the guidance in ASU 2014-14 until annual periods ending 

after December 15, 2015, and interim periods beginning 

after December 15, 2015. Thus, institutions with a calendar 

year fiscal year that are private companies must apply the 

ASU in their December 31, 2015, and subsequent quarterly 

Call Reports. Earlier adoption of the guidance in ASU 2014-

14 is permitted if the institution has already adopted the 

amendments in ASU No. 2014-04, “Reclassification of 

Residential Real Estate Collateralized Consumer Mortgage 

Loans Upon Foreclosure.” Entities can elect to apply ASU 

2014-14 on either a modified retrospective transition basis or 

a prospective transition basis. For additional information, 

institutions should refer to ASU 2014-14, which is available 

at http://www.fasb.org/jsp/FASB/Page/SectionPage&cid=

1176156316498.

Reclassification of Residential Real Estate Collateralized Consumer 

Mortgage Loans Upon Foreclosure

In January 2014, the FASB issued Accounting Standards 

Update (ASU) No. 2014-04, “Reclassification of Residential 
FDIC Quarterly 33 2015, Volume 9, No. 2

Quarterly Banking Profile

This ASU amends ASC Topic 805, Business Combinations 

(formerly FASB Statement No. 141 (revised 2007), “Business 

Combinations”), which includes guidance applicable to FDICassisted acquisitions of failed institutions.

Under the ASU, when an institution experiences a change in 

the cash flows expected to be collected on an FDIC losssharing indemnification asset because of a change in the cash 

flows expected to be collected on the assets covered by the 

loss-sharing agreement, the institution should account for the 

change in the measurement of the indemnification asset on 

the same basis as the change in the assets subject to indemnification. Any amortization of changes in the value of the 

indemnification asset should be limited to the lesser of the 

term of the indemnification agreement and the remaining life 

of the indemnified assets.

The ASU is effective for fiscal years, and interim periods within those fiscal years, beginning on or after December 15, 2012. 

For institutions with a calendar year fiscal year, the ASU takes 

effect January 1, 2013. Early adoption of the ASU is permitted. 

The ASU’s provisions should be applied prospectively to any 

new indemnification assets acquired after the date of adoption 

and to indemnification assets existing as of the date of adoption arising from an FDIC-assisted acquisition of a financial 

institution. Institutions with indemnification assets arising 

from FDIC loss-sharing agreements are expected to adopt ASU 

2012-06 for Call Report purposes in accordance with the effective date of this standard. For additional information, refer to 

ASU 2012-06, available at http://www.fasb.org/jsp/FASB/

Page/SectionPage&cid=1176156316498.

Goodwill Impairment Testing – In September 2011, the FASB 

issued Accounting Standards Update (ASU) No. 2011-08, 

“Testing Goodwill for Impairment,” to address concerns about 

the cost and complexity of the existing goodwill impairment 

test in ASC Topic 350, Intangibles-Goodwill and Other 

(formerly FASB Statement No. 142, “Goodwill and Other 

Intangible Assets”). The ASU’s amendments to ASC 

Topic 350 are effective for annual and interim goodwill 

impairment tests performed for fiscal years beginning after 

December 15, 2011 (i.e., for annual or interim tests performed 

on or after January 1, 2012, for institutions with a calendar 

year fiscal year). Early adoption of the ASU was permitted. 

Under ASU 2011-08, an institution has the option of first 

assessing qualitative factors to determine whether it is necessary to perform the two-step quantitative goodwill impairment test described in ASC Topic 350. If, after considering 

all relevant events and circumstances, an institution determines it is unlikely (that is, a likelihood of 50 percent or less) 

that the fair value of a reporting unit is less than its carrying 

amount (including goodwill), then the institution does not 

need to perform the two-step goodwill impairment test. If the 

institution instead concludes that the opposite is true (that is, 

it is likely that the fair value of a reporting unit is less than its 

carrying amount), then it is required to perform the first step 

and, if necessary, the second step of the two-step goodwill 

impairment test. Under ASU 2011-08, an institution may 

choose to bypass the qualitative assessment for any reporting 

unit in any period and proceed directly to performing the first 

step of the two-step goodwill impairment test.

Troubled Debt Restructurings and Current Market Interest Rates – 

Many institutions are restructuring or modifying the terms of 

loans to provide payment relief for those borrowers who have 

suffered deterioration in their financial condition. Such loan 

the ASU on a modified retrospective basis, assets reclassified 

from OREO to loans should be measured at the carrying value 

of the real estate at the date of adoption while assets reclassified from loans to OREO should be measured at the lower of 

the net amount of the loan receivable or the OREO property’s 

fair value less costs to sell at the time of adoption.

For additional information, institutions should refer to ASU 

2014-04, which is available at http://www.fasb.org/jsp/FASB/

Page/SectionPage&cid=1176156316498.

True-Up Liability Under an FDIC Loss-Sharing Agreement

An insured depository institution that acquires a failed 

insured institution may enter into a loss-sharing agreement 

with the FDIC under which the FDIC agrees to absorb a portion of the losses on a specified pool of the failed institution’s 

assets during a specified time period. The acquiring institution 

typically records an indemnification asset representing its 

right to receive payments from the FDIC for losses during the 

specified time period on assets covered under the loss-sharing 

agreement.

Since 2009, most loss-sharing agreements have included a 

true-up provision that may require the acquiring institution 

to reimburse the FDIC if cumulative losses in the acquired 

loss-share portfolio are less than the amount of losses claimed 

by the institution throughout the loss-sharing period. 

Typically, a true-up liability may result because the recovery 

period on the loss-share assets (e.g., eight years) is longer 

than the period during which the FDIC agrees to reimburse 

the acquiring institution for losses on the loss-share portfolio 

(e.g., five years).

Consistent with U.S. GAAP and bank guidance for 

“Offsetting,” institutions are permitted to offset assets and 

liabilities recognized in the Report of Condition when a 

“right of setoff” exists. Under ASC Subtopic 210-20, Balance 

Sheet—Offsetting (formerly FASB Interpretation No. 39, 

“Offsetting of Amounts Related to Certain Contracts”), in 

general, a right of setoff exists when a reporting institution 

and another party each owes the other determinable amounts, 

the reporting institution has the right to set off the amounts 

each party owes and also intends to set off, and the right of 

setoff is enforceable at law. Because the conditions for the 

existence of a right of offset in ASC Subtopic 210-20 normally would not be met with respect to an indemnification asset 

and a true-up liability under a loss-sharing agreement with 

the FDIC, this asset and liability should not be netted for 

Call Report purposes. Therefore, institutions should report 

the indemnification asset gross (i.e., without regard to any 

true-up liability) in Other Assets, and any true-up liability in 

Other Liabilities.

In addition, an institution should not continue to report 

assets covered by loss-sharing agreements after the expiration 

of the loss-sharing period even if the terms of the loss-sharing 

agreement require reimbursements from the institution to the 

FDIC for certain amounts during the recovery period.

Indemnification Assets and Accounting Standards Update No. 2012-

06 – In October 2012, the FASB issued Accounting Standards 

Update (ASU) No. 2012-06, “Subsequent Accounting for an 

Indemnification Asset Recognized at the Acquisition Date as 

a Result of a Government-Assisted Acquisition of a Financial 

Institution,” to address the subsequent measurement of an 

indemnification asset recognized in an acquisition of a financial institution that includes an FDIC loss-sharing agreement. 
FDIC Quarterly 34 2015, Volume 9, No. 2

in practice in identifying and reporting TDRs. This ASU was 

effective for public companies for interim and annual periods 

beginning on or after June 15, 2011, and should have been 

applied retrospectively to the beginning of the annual period 

of adoption for purposes of identifying TDRs. The measurement of impairment for any newly identified TDRs resulting 

from retrospective application should have been applied prospectively in the first interim or annual period beginning on 

or after June 15, 2011. (For most public institutions, the 

ASU takes effect July 1, 2011, but retrospective application 

begins as of January 1, 2011.) Nonpublic companies should 

apply the new guidance for annual periods ending after 

December 15, 2012, including interim periods within those 

annual periods. (For most nonpublic institutions, the ASU 

took effect January 1, 2012.) Early adoption of the ASU was 

permitted for both public and nonpublic entities. Nonpublic 

entities that adopt early are subject to a retrospective identification requirement. For additional information, refer to 

ASU 2011-02, available at http://www.fasb.org/jsp/FASB/

Page/SectionPage&cid=1176156316498.

Accounting for Loan Participations – Amended ASC Topic 860 

(formerly FAS 166) modified the criteria that must be met 

in order for a transfer of a portion of a financial asset, such 

as a loan participation, to qualify for sale accounting – refer 

to previously published Quarterly Banking Profile notes: 

http://www2.fdic.gov/qbp/2011mar/qbpnot.html.

Other-Than-Temporary Impairment – When the fair value of an 

investment in an individual available-for-sale or held-tomaturity security is less than its cost basis, the impairment is 

either temporary or other-than-temporary. The amount of the 

total other-than-temporary impairment related to credit loss 

must be recognized in earnings, but the amount of total 

impairment related to other factors must be recognized in 

other comprehensive income, net of applicable taxes. To 

determine whether the impairment is other-than-temporary, 

an institution must apply the applicable accounting guidance 

– refer to previously published Quarterly Banking Profile notes: 

http://www2.fdic.gov/qbp/2011mar/qbpnot.html.

ASC Topics 860 & 810 (formerly FASB Statements 166 & 167) – 

In June 2009, the FASB issued Statement No. 166, 

Accounting for Transfers of Financial Assets (FAS 166), 

and Statement No. 167, Amendments to FASB Interpretation No. 46(R) (FAS 167), which change the way entities 

account for securitizations and special purpose entities—refer 

to previously published Quarterly Banking Profile notes: 

https://www2.fdic.gov/qbp/2014dec/qbpnot.html.

Accounting Standards Codification – refer to previously published Quarterly Banking Profile notes: http://www2.fdic.

gov/qbp/2011sep/qbpnot.html.

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.

restructurings may include, but are not limited to, reductions 

in principal or accrued interest, reductions in interest rates, 

and extensions of the maturity date. Modifications may be 

executed at the original contractual interest rate on the loan, 

a current market interest rate, or a below-market interest rate. 

Many of these loan modifications meet the definition of a 

troubled debt restructuring (TDR).

The TDR accounting and reporting standards are set forth 

in ASC Subtopic 310-40, Receivables – Troubled Debt 

Restructurings by Creditors (formerly FASB Statement 

No. 15, “Accounting by Debtors and Creditors for Troubled 

Debt Restructurings,” as amended). This guidance specifies 

that a restructuring of a debt constitutes a TDR if, at the date 

of restructuring, the creditor for economic or legal reasons 

related to a debtor’s financial difficulties grants a concession 

to the debtor that it would not otherwise consider.

In the Call Report, until a loan that is a TDR is paid in full or 

otherwise settled, sold, or charged off, it must be reported in 

the appropriate loan category, as well as identified as a performing TDR loan, if it is in compliance with its modified 

terms. If a TDR is not in compliance with its modified terms, 

it is reported as a past-due and nonaccrual loan in the appropriate loan category, as well as distinguished from other past 

due and nonaccrual loans. To be considered in compliance 

with its modified terms, a loan that is a TDR must not be in 

nonaccrual status and must be current or less than 30 days past 

due on its contractual principal and interest payments under 

the modified repayment terms. A loan restructured in a TDR 

is an impaired loan. Thus, all TDRs must be measured for 

impairment in accordance with ASC Subtopic 310-10, 

Receivables – Overall (formerly FASB Statement No. 114, 

“Accounting by Creditors for Impairment of a Loan,” as 

amended), and the Call Report Glossary entry for “Loan 

Impairment.” Consistent with ASC Subtopic 310-10, TDRs 

may be aggregated and measured for impairment with other 

impaired loans that share common risk characteristics by using 

historical statistics, such as average recovery period and 

average amount recovered, along with a composite effective 

interest rate. The outcome of such an aggregation approach 

must be consistent with the impairment measurement methods prescribed in ASC Subtopic 310-10 and Call Report 

instructions for loans that are “individually” considered 

impaired instead of the measurement method prescribed in 

ASC Subtopic 450-20, Contingencies – Loss Contingencies 

(formerly FASB Statement No. 5, “Accounting for Contingencies”) for loans not individually considered impaired that 

are collectively evaluated for impairment. When a loan not 

previously considered individually impaired is restructured and 

determined to be a TDR, absent a partial charge-off, it generally is not appropriate for the impairment estimate on the loan 

to decline as a result of the change from the impairment measurement method prescribed in ASC Subtopic 450-20 to the 

methods prescribed in ASC Subtopic 310-10.

Troubled Debt Restructurings and Accounting Standards Update 

No. 2011-02 – In April 2011, the FASB issued Accounting 

Standards Update (ASU) No. 2011-02, “A Creditor’s 

Determination of Whether a Restructuring Is a Troubled 

Debt Restructuring,” to provide additional guidance to help 

creditors determine whether a concession has been granted to 

a borrower and whether a borrower is experiencing financial 

difficulties. The guidance is also intended to reduce diversity 
FDIC Quarterly 35 2015, Volume 9, No. 2

Quarterly Banking Profile

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.

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 noninterestbearing transaction accounts as a new temporary deposit 

insurance account category. All funds held in noninterestbearing transaction accounts were fully insured, without limit, 

from December 31, 2010, through December 31, 2012.

Assessment base – effective April 1, 2011, the deposit insurance assessment base has 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 DIF 

deposits (deposits insured by the FDIC Deposit Insurance 

Fund) in banks’ domestic offices with certain adjustments.

Assets securitized and sold – total outstanding principal balance 

of assets securitized and sold with servicing retained or other 

seller-provided 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.
FDIC Quarterly 36 2015, Volume 9, No. 2

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 file 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.

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.

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-for-sale 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 

seller-provided 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 uncollectibility), 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.
FDIC Quarterly 37 2015, Volume 9, No. 2

Quarterly Banking Profile

adjustment of 2.5 basis points and could not have a total base 

assessment rate lower than 2.5 basis points. (2) Depository 

Institution Debt Adjustment: For institutions that hold longterm 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 

small institutions that are not in Risk Category I and 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. After applying all possible 

adjustments (excluding the Depository Institution Debt 

Adjustment), minimum and maximum total base assessment 

rates for each risk category are as follows:

Total Base Assessment Rates*

Risk 

Category 

I

Risk 

Category 

II

Risk 

Category 

III

Risk 

Category 

IV

Large and 

Highly 

Complex 

Institutions

Initial base 

assessment rate 5–9 14 23 35 5–35

Unsecured debt 

adjustment -4.5–0 -5–0 -5–0 -5–0 -5–0

Brokered deposit 

adjustment — 0–10 0–10 0–10 0–10

Total Base 

Assessment rate 2.5–9 9–24 18–33 30–45 2.5–45

* 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.

Beginning in 2007, 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.

Special Assessment – On May 22, 2009, the FDIC board 

approved a final rule that imposed a 5 basis point special 

assessment as of June 30, 2009. The special assessment was 

levied on each insured depository institution’s assets minus 

its Tier 1 capital as reported in its report of condition as of 

June 30, 2009. The special assessment was collected 

September 30, 2009, at the same time that the risk-based 

assessment for the second quarter of 2009 was collected. 

The special assessment for any institution was capped at 

10 basis points of the institution’s assessment base for the 

second quarter of 2009 risk-based assessment.

Prepaid Deposit Insurance Assessments – In November 2009, 

the FDIC Board of Directors adopted a final rule requiring 

insured depository institutions (except those that are 

exempted) to prepay their quarterly risk-based deposit 

insurance assessments for the fourth quarter of 2009, and 

for all of 2010, 2011, and 2012, on December 30, 2009. 

For regulatory capital purposes, an institution may assign a 

zero-percent risk weight to the amount of its prepaid 

deposit assessment asset. As required by the FDIC’s regulation establishing the prepaid deposit insurance assessment 

program, this program ended with the final application of 

Risk Categories and Assessment Rate Schedule – The current risk 

categories became effective January 1, 2007. Capital ratios and 

supervisory ratings distinguish one risk category from another. 

Effective April 1, 2011, risk categories for large institutions 

(generally those with at least $10 billion in assets) were eliminated. The following table shows the relationship of risk categories (I, II, III, IV) for small institutions to capital and 

supervisory groups as well as the initial base assessment rates 

(in basis points) for each risk category. Supervisory Group A 

generally includes institutions with CAMELS composite ratings of 1 or 2; Supervisory Group B generally includes institutions with a CAMELS composite rating of 3; and Supervisory 

Group C generally includes institutions with CAMELS composite ratings of 4 or 5. For purposes of risk-based assessment 

capital groups, undercapitalized includes institutions that are 

significantly or critically undercapitalized.

Capital Category

Supervisory Group

A B C

1. Well Capitalized I

5–9 bps II

14 bps

III

23 bps 2. Adequately Capitalized II

14 bps

3. Undercapitalized III

23 bps

IV

35 bps

Effective April 1, 2011, the initial base assessment rates are 5 

to 35 basis points. An institution’s total assessment rate may 

be less than or greater than its initial base assessment rate as a 

result of additional risk adjustments.

The base assessment rates for small institutions in Risk 

Category I are based on a combination of financial ratios and 

CAMELS component ratings (the financial ratios method).

As required by Dodd-Frank, the calculation of risk-based 

assessment rates for large institutions no longer relies on longterm debt issuer ratings. Rates for large institutions are based 

on CAMELS ratings and certain forward-looking 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). In general, a highly complex institution is an institution (other than a credit card bank) with 

more than $500 billion in total assets that is controlled by a 

parent or intermediate parent company with more than 

$500 billion in total assets or a processing bank or trust company with total fiduciary assets of $500 billion or more. The 

FDIC retains its ability to take additional information into 

account to make a limited adjustment to an institution’s total 

score (the large bank adjustment), which will be used to 

determine an institution’s initial base assessment rate.

Effective April 1, 2011, the three possible adjustments to 

an institution’s initial base assessment rate are as follows: 

(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 5 basis points would have a maximum unsecured debt 
FDIC Quarterly 38 2015, Volume 9, No. 2

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 & 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.

prepaid assessments to the quarterly deposit insurance 

assessments payable March 29, 2013. The FDIC issued 

refunds of any unused prepaid deposit insurance assessments on June 28, 2013.

Risk-weighted assets – assets adjusted for risk-based capital 

definitions which include on-balance-sheet as well as offbalance-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-balancesheet accounts.

Securities – excludes securities held in trading accounts. 

Banks’ securities portfolios consist of securities designated as 

“held-to-maturity,” which are reported at amortized cost 

(book value), and securities designated as “available-for-sale,” 

reported at fair (market) value.

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