FDIC QUARTERLY A

Quarterly

2020

Volume 14, Number 2

Federal Deposit 

Insurance Corporation

Quarterly Banking Profile:

First Quarter 2020

Highlights:

■ Deteriorating Economic Activity Affects Profitability, but 

Banks Continue to Support Individuals and Businesses 

■ Loan and Lease Balances and Deposits Register 

Strong Growth

■ Community Bank Net Income Drops 20.9 Percent 

Primarily Because of Higher Provisions in Response to 

Economic Conditions 

■ Community Bank Loan Growth Holds Steady at 

5.8 Percent Year Over Year

■ Insured Deposits Grow by 4.5 Percent in the First Quarter

■ DIF Reserve Ratio Declines 2 Basis Points to 1.39 Percent
FDIC QUARTERLY

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

Federal Deposit Insurance Corporation and contains a comprehensive summary of the 

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

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

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

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

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

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should be sent to publicinfo@fdic.gov. Change of address information also should be 

submitted to the Public Information Center. 

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

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

Chairman

Jelena McWilliams

Director, Division of Insurance and Research

Diane Ellis

Executive Editor

George French

Managing Editors

Rosalind Bennett

Alan Deaton

Patrick Mitchell

Shayna M. Olesiuk

Philip A. Shively

Editors

Clayton Boyce

Kathy Zeidler

Publication Manager

Lynne Montgomery

Media Inquiries

(202) 898-6993
FDIC QUARTERLY i

2020 FDIC QUARTERLY

Volume 14 • Number 2

The views expressed are those of the authors and do not necessarily reflect official positions of the Federal Deposit Insurance Corporation. Some of the information used in the 

preparation of this publication was obtained from publicly available sources that are considered reliable. However, the use of this information does not constitute an endorsement of 

its accuracy by the Federal Deposit Insurance Corporation. Articles may be reprinted or abstracted if the publication and author(s) are credited. Please provide the FDIC’s Division 

of Insurance and Research with a copy of any publications containing reprinted material.

Quarterly Banking Profile: First Quarter 2020

FDIC-insured institutions reported aggregate net income of $18.5 billion in first quarter 

2020, a decline of $42.2 billion (69.6 percent) from a year ago. The decline in net income is 

a reflection of deteriorating economic activity, which resulted in an increase in provision 

expenses and goodwill impairment charges. Slightly more than half (55.9 percent) of all 

institutions reported annual declines in net income. The share of unprofitable institutions 

increased from a year ago to 7.3 percent. The average return on assets ratio declined from 

1.35 percent in first quarter 2019 to 0.38 percent in first quarter 2020. See page 1.

Community Bank Performance Community banks—which represent 91 percent of insured institutions—reported quarterly 

net income of $4.8 billion in first quarter 2020, representing a decline of $1.3 billion, or 

20.9 percent. Provision expenses grew to $1.8 billion—three times the amount reported 

in first quarter 2019—hampering community bank profitability despite an increase in 

net operating revenue. Loan growth held steady at 5.8 percent year over year in spite of 

weakening economic conditions. The decline in average yield on earning assets surpassed 

the decline in average funding costs, causing the average community bank net interest 

margin to decline by 12 basis points to 3.55 percent. See page 15.

Insurance Fund Indicators The Deposit Insurance Fund (DIF) balance totaled $113.2 billion in the first quarter, 

an increase of $2.9 billion from the previous quarter. The quarterly increase was led by 

unrealized gains on available-for-sale securities, assessment income, and interest earned on 

investments. Due to growth in estimated insured deposits, the DIF reserve ratio declined 

2 basis points to 1.39 percent at March 31, 2020, from 1.41 percent at December 31, 2019, 

but was up from 1.36 percent at March 31, 2019. See page 23.

2020 FDIC QUARTERLY

QUARTERLY BANKING PROFILE First Quarter 2020

FDIC QUARTERLY 1

INSURED INSTITUTION PERFORMANCE

Deteriorating Economic Activity Negatively Affects Banking Industry Profitability

Quarterly Net Income Falls 69.6 Percent From First Quarter 2019

Loan and Lease Balances and Deposits Register Strong Growth

Asset Quality Metrics Remain Relatively Stable

The Number of Banks on the “Problem Bank List” Remains Low

Quarterly Net Income 

Falls by 69.6 Percent 

From First Quarter 2019

Aggregate net income for the 5,116 FDIC-insured commercial banks and savings institutions totaled $18.5 billion during first quarter 2020, a decline of $42.2 billion (69.6 percent) 

from a year ago.1 The decline in net income is a reflection of deteriorating economic activity, which resulted in an increase in provision expenses and goodwill impairment charges. 

The decline was broad-based, as slightly more than half (55.9 percent) of all banks reported 

annual declines in net income.2 The share of unprofitable banks increased from a year ago 

to 7.3 percent. The average return on assets ratio declined from 1.35 percent in first quarter 

2019 to 0.38 percent in the current quarter.

Net Interest Income 

Declines 1.4 Percent 

From 12 Months Ago

On an annual basis, net interest income declined for the second consecutive quarter, falling 

by $2 billion (1.4 percent) from a year ago. Less than half (44.6 percent) of all banks reported 

annual declines in net interest income. The average net interest margin (NIM) for the banking industry was down 29 basis points from a year ago to 3.13 percent, as the decline in average earning asset yields outpaced the decline in average funding costs. The year-over-year 

compression of the NIM was broad-based, as it declined for all five asset size groups featured 

in the Quarterly Banking Profile.

Securities and Other Gains/Losses, Net

Net Operating Income

Quarterly Net Income

All FDIC-Insured Institutions

$ Billions

Source: FDIC.

80

-60

-40

-20

0

20

40

60

2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

Chart 1

Quarterly Noninterest Income 

Quarterly Net Interest Income 

Quarterly Net Operating Revenue 

All FDIC-Insured Institutions

$ Billions

Source: FDIC.

0

20

40

60

80

100

120

140

160

180

200

220

2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

Chart 2

1 Three insured institutions had not filed a March 31 Call Report at the time this report was prepared.

2 Industry participation counts consist of institutions existing in both reporting periods.
2 0 2 0  •  Volume 1 4 • Number 2

2 FDIC QUARTERLY

Noninterest Income 

Increases 2.3 Percent 

From a Year Ago

Noninterest income of $66.9 billion increased by $1.5 billion (2.3 percent) from 12 months ago. 

The annual increase was broad-based, as almost two-thirds (64.7 percent) of all banks reported 

higher noninterest income. The year-over-year increase in noninterest income was led by 

the all other noninterest income category, which includes merchant credit card fees, annual 

credit card fees, and credit card interchange fees.3 This category of income rose by $6.6 billion 

(22.7 percent), but was partially offset by declines in trading revenue on equity contracts (down 

$3.9 billion, or 136 percent) and servicing fee income (down $3.3 billion, or 215.3 percent).

Noninterest Expense 

Increases Almost 12 Percent 

From First Quarter 2019

Noninterest expense increased by $13.6 billion (11.8 percent) from a year ago. Goodwill 

impairment charges, driven by a few institutions, rose by $8.4 billion. Approximately three 

out of every four banks (72.2 percent) reported annual increases in noninterest expense. 

All other noninterest expense rose by $3.4 billion (7.3 percent), and salary and employee 

benefits grew by $1.4 billion (2.5 percent). The average assets per employee increased from 

$8.8 million in first quarter 2019 to $9.8 million in first quarter 2020.

Provisions for Credit Losses 

Increase From a Year Ago

Due to deteriorating economic conditions and the implementation of the current expected 

credit losses (CECL) accounting methodology, which requires banks to allocate for expected 

losses over the life of the loan, provisions for credit losses increased by $38.8 billion 

(279.9 percent) from a year ago to $52.7 billion. Two hundred forty-three banks adopted the 

CECL accounting standards in the first quarter. These institutions reported an aggregate 

$47.6 billion in provisions for credit losses. Almost half (49.9 percent) of all banks reported 

year-over-year increases in provisions for credit losses.

Net Charge-Offs Rise 

Almost 15 Percent 

From a Year Ago

Net charge-offs totaled $14.6 billion in the first quarter, an increase of $1.9 billion 

(14.9 percent) from a year ago. Slightly more than two-thirds (68 percent) of the increase in 

total net charge-offs was in the commercial and industrial (C&I) loan portfolio. C&I loan 

portfolio net charge-offs increased by $1.3 billion (86.9 percent). Credit card portfolio net 

charge-offs increased by $387.3 million (4.4 percent). The average net charge-off rate rose by 

5 basis points from a year ago to 0.55 percent. The C&I net charge-off rate rose by 20 basis 

points from a year ago to 0.47 percent but remains below a recent high of 0.50 percent.

Source: FDIC.

Percent

Noncurrent Loan Rate and Quarterly Net Charge-O
 Rate

All FDIC-Insured Institutions

0

1

2

3

4

5

6

Quarterly Net Charge-O Rate

Noncurrent Rate

2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

Chart 3

Source: FDIC.

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

$ Billions Coverage Ratio (Percent)

Reserve Coverage Ratio

All FDIC-Insured Institutions

0

50

100

150

200

250

300

350

400

450

 Loan-Loss Reserves ($) 

 Noncurrent Loans ($)

 Noncurrents Adjusted for GNMA Guaranteed Loans ($)

 Coverage Ratio (%) 

 Coverage Adjusted for GNMA Guaranteed Loans (%)

0

50

100

150

200

250

2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

Chart 4

3 Other noninterest income includes service charges, commissions, and fees for services such as the rental of safe deposit boxes, 

notarization of forms and documents, and the use of automated teller machines. The category also includes interchange fees 

earned from bank card and credit card transactions and credits resulting from litigation or other claims.
QUARTERLY BANKING PROFILE

FDIC QUARTERLY 3

Noncurrent Loan Rate 

Remains Stable at 

0.93 Percent

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

by $7 billion (7.3 percent) from the previous quarter, the highest quarterly dollar increase 

since first quarter 2010. Slightly less than half (46 percent) of all banks reported quarterly 

increases in noncurrent loan balances. Noncurrent loan balances in all major loan categories 

increased from the previous quarter. C&I noncurrent loan balances increased by $3.6 billion 

(20.7 percent) and nonfarm nonresidential noncurrent loan balances increased by $2 billion 

(25.3 percent). The average noncurrent loan rate rose just 2 basis points from the previous 

quarter to 0.93 percent, because of an increase in total loans and leases that also occurred in 

the quarter. The C&I noncurrent rate increased by 4 basis points from the previous quarter 

to 0.83 percent.

Total Assets Rise 8.6 Percent 

From Fourth Quarter 2019

Total assets rose by $1.6 trillion (8.6 percent) from the previous quarter, driven by increases 

in cash and balances due from depository institutions (up $740.4 billion, or 44.4 percent) 

and loan and lease balances (up $442.9 billion, or 4.2 percent). Banks increased their securities holdings by $226.9 billion (5.7 percent) during the first quarter, with most of the growth 

led by mortgage-backed securities (up $152.6 billion, or 6.4 percent). With recent short-term 

rate reductions in the first quarter, unrealized gains on available-for-sale securities rose by 

$41.8 billion (151.7 percent) and unrealized gains on held-to-maturity securities grew by 

$18.4 billion (110.2 percent).

Loan Balances Register 

Strong Growth From the 

Previous Quarter and a 

Year Ago

Total loan and lease balances expanded by $442.9 billion (4.2 percent) from the previous 

quarter. Slightly more than half (58.7 percent) of all banks increased their loan and lease 

balances from fourth quarter 2019. Almost all of the major loan categories reported quarterly 

increases. The C&I loan portfolio increased by $339.4 billion (15.4 percent), with most of 

the growth concentrated at the largest banks. Unfunded C&I loan commitments declined 

by $269 billion (12.7 percent), the largest quarterly dollar decrease in the ten years for which 

data are available. Loans to nondepository institutions grew by $87.0 billion (17.8 percent), 

while credit card balances declined by $68.6 billion (7.3 percent). Over the past 12 months, 

total loan and lease balances rose by $813.7 billion (8 percent), the highest annual growth 

rate since first quarter 2008.

Held-to-Maturity Securities

Available-for-Sale Securities

Unrealized Gains (Losses) on Investment Securities

All FDIC-Insured Institutions

$ Billions

Source: FDIC.

-100

-80

-60

-40

-20

 0

20

40

60

80

100

2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

Chart 5

-8

-4

0

4

8

12

Quarterly Change in Loan Balances

All FDIC-Insured Institutions

Source: FDIC.

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

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

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

balances for the quarter absent this change in accounting standards. 

$ Billions Percent

-300

-200

-100

0

100

200

300

400

500

2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

Quarterly Change (Le Axis)

12-Month Growth Rate (Right Axis)

Chart 6
2 0 2 0  •  Volume 1 4 • Number 2

4 FDIC QUARTERLY

Deposits Increase 

$1.2 Trillion From the 

Previous Quarter

Total deposit balances grew by $1.2 trillion (8.5 percent) from fourth quarter 2019. Interestbearing accounts increased by $639.6 billion (6.4 percent) and noninterest-bearing accounts 

expanded by $446.3 billion (14.1 percent). Domestic deposits in accounts larger than 

$250,000 increased by $761.4 billion (10.8 percent) from fourth quarter 2019. Deposits held in 

foreign offices rose by $155.9 billion (11.8 percent). Nondeposit liabilities, which include fed 

funds purchased, repurchase agreements, Federal Home Loan Bank (FHLB) advances, and 

secured and unsecured borrowings, increased by $147.1 billion (11.3 percent) from the previous quarter. The rise in nondeposit liabilities was primarily attributable to FHLB advances, 

which increased by $130.2 billion (27 percent). On an annual basis, total deposits increased 

by $1.9 trillion (13.3 percent), the largest year-over-year growth rate ever reported by the 

Quarterly Banking Profile.

Equity Capital Increases 

From the Previous Quarter

Equity capital increased by $4.2 billion (0.2 percent) from the previous quarter. Declared 

dividends of $32.7 billion exceeded the quarterly net income of $18.5 billion, resulting in 

a $14.2 billion reduction of retained earnings. Twelve insured institutions with $2 billion 

in total assets were below the requirements for the well-capitalized category as defined for 

Prompt Corrective Action purposes.

Two New Banks Open in 

First Quarter 2020

The number of FDIC-insured commercial banks and savings institutions declined from 

5,177 to 5,116 during first quarter 2020. Two new banks were added, 57 institutions were 

absorbed by mergers, and one bank failed. The number of institutions on the FDIC’s 

“Problem Bank List” increased from 51 in fourth quarter 2019 to 54. Total assets of problem 

banks declined from $46.2 billion to $44.5 billion.

Author:

Benjamin Tikvina

Senior Financial Analyst

Division of Insurance and Research

Source: FDIC.

Number

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

0

100

200

300

400

500

600

700

800

900

1,000

0

50

100

150

200

250

300

350

400

450

500

Assets ($ Billions)

Number of Problem Banks

Assets of Problem Banks 

2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

Chart 8

Quarterly Change in Deposits

All FDIC-Insured Institutions

$ Billions

Source: FDIC.

-200

0

200

400

600

800

1,000

1,200

1,400

2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

Chart 7
QUARTERLY BANKING PROFILE

FDIC QUARTERLY 5

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

2020** 2019** 2019 2018 2017 2016 2015

Return on assets (%) 0.38 1.35 1.29 1.35 0.97 1.04 1.04

Return on equity (%) 3.50 11.93 11.39 11.98 8.60 9.27 9.29

Core capital (leverage) ratio (%) 9.40 9.76 9.66 9.70 9.63 9.48 9.59

Noncurrent assets plus other real estate owned to assets (%) 0.54 0.60 0.55 0.60 0.73 0.86 0.97

Net charge-offs to loans (%) 0.55 0.50 0.52 0.48 0.50 0.47 0.44

Asset growth rate (%) 11.96 3.19 3.91 3.03 3.79 5.09 2.66

Net interest margin (%) 3.13 3.42 3.36 3.40 3.25 3.13 3.08

Net operating income growth (%) -71.64 7.79 -3.12 45.45 -3.27 4.43 7.11

Number of institutions reporting 5,116 5,362 5,177 5,406 5,670 5,913 6,182

Commercial banks 4,464 4,681 4,518 4,715 4,918 5,112 5,338

Savings institutions 652 681 659 691 752 801 844

Percentage of unprofitable institutions (%) 7.31 3.99 3.71 3.44 5.61 4.48 4.82

Number of problem institutions 54 59 51 60 95 123 183

Assets of problem institutions (in billions) $45 $47 $46 $48 $14 $28 $47

Number of failed institutions 1 0 4 0 8 5 8

* Excludes insured branches of foreign banks (IBAs).

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

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

(dollar figures in millions)  1st Quarter

2020

4th Quarter

2019

1st Quarter

2019

%Change 

19Q1-20Q1

Number of institutions reporting 5,116 5,177 5,362 -4.6

Total employees (full-time equivalent) 2,069,356 2,063,280 2,065,597 0.2

CONDITION DATA

Total assets $20,253,556 $18,645,337 $18,089,970 12.0

Loans secured by real estate 5,084,317 5,048,736 4,902,390 3.7

 1-4 Family residential mortgages 2,206,898 2,201,681 2,122,049 4.0

 Nonfarm nonresidential 1,535,004 1,516,404 1,457,414 5.3

 Construction and development 369,873 361,617 354,032 4.5

 Home equity lines 338,272 342,067 365,382 -7.4

Commercial & industrial loans 2,542,605 2,203,164 2,203,501 15.4

Loans to individuals 1,771,337 1,837,436 1,705,657 3.9

 Credit cards 872,985 941,557 859,946 1.5

Farm loans 75,224 78,733 78,544 -4.2

Other loans & leases 1,489,917 1,352,438 1,259,639 18.3

Less: Unearned income 2,300 2,337 2,347 -2.0

Total loans & leases 10,961,102 10,518,169 10,147,385 8.0

Less: Reserve for losses* 196,810 123,929 125,180 57.2

Net loans and leases 10,764,292 10,394,240 10,022,205 7.4

Securities** 4,208,523 3,981,634 3,724,355 13.0

Other real estate owned 5,588 5,710 6,555 -14.7

Goodwill and other intangibles 391,785 408,834 399,310 -1.9

All other assets 4,883,367 3,854,920 3,937,546 24.0

Total liabilities and capital 20,253,556 18,645,337 18,089,970 12.0

Deposits 15,777,037 14,535,278 13,925,698 13.3

 Domestic office deposits 14,305,862 13,219,964 12,684,910 12.8

 Foreign office deposits 1,471,174 1,315,315 1,240,788 18.6

Other borrowed funds 1,560,253 1,373,969 1,504,693 3.7

Subordinated debt 69,459 69,952 68,853 0.9

All other liabilities 729,216 552,438 531,229 37.3

Total equity capital (includes minority interests) 2,117,589 2,113,701 2,059,497 2.8

 Bank equity capital 2,115,025 2,110,820 2,056,015 2.9

Loans and leases 30-89 days past due 72,342 67,544 64,212 12.7

Noncurrent loans and leases 102,382 95,416 100,554 1.8

Restructured loans and leases 46,835 48,283 55,261 -15.2

Mortgage-backed securities 2,546,464 2,393,831 2,217,641 14.8

Earning assets 18,236,093 16,871,055 16,350,347 11.5

FHLB Advances 612,677 482,459 521,066 17.6

Unused loan commitments 8,033,032 8,226,225 7,989,400 0.5

Trust assets 20,005,021 21,562,523 20,137,510 -0.7

Assets securitized and sold 550,223 568,015 571,777 -3.8

Notional amount of derivatives 199,743,266 173,052,321 203,961,775 -2.1

INCOME DATA Full Year 2019 Full Year 2018 %Change 1st Quarter 2020 1st Quarter 2019 %Change 19Q1-20 Q1

Total interest income $705,403 $661,060 6.7 $169,538 $179,351 -5.5

Total interest expense 158,732 119,799 32.5 32,240 40,090 -19.6

Net interest income 546,671 541,261 1.0 137,298 139,261 -1.4

Provision for credit losses*** 55,092 50,034 10.1 52,726 13,879 279.9

Total noninterest income 264,380 266,084 -0.6 66,934 65,407 2.3

Total noninterest expense 466,128 459,315 1.5 128,918 115,293 11.8

Securities gains (losses) 3,975 328 1,112.1 1,757 870 102.1

Applicable income taxes 60,929 61,003 -0.1 5,808 15,582 -62.7

Extraordinary gains, net**** 165 -267 N/M -26 -8 N/M

Total net income (includes minority interests) 233,043 237,054 -1.7 18,511 60,775 -69.5

 Bank net income 232,807 236,766 -1.7 18,467 60,711 -69.6

Net charge-offs 52,155 47,504 9.8 14,636 12,735 14.9

Cash dividends 182,399 164,800 10.7 32,652 38,644 -15.5

Retained earnings 50,408 71,966 -30.0 -14,185 22,067 N/M

Net operating income 229,669 237,076 -3.1 17,038 60,082 -71.6

* For institutions that have adopted ASU 2016-13, this item represents the allowance for credit losses on loans and leases held for investment and allocated transfer risk.

** For institutions that have adopted ASU 2016-13, securities are reported net of allowances for credit losses.

*** For institutions that have adopted ASU 2016-13, this item represents provisions for credit losses on a consolidated basis; for institutions that have not adopted ASU 2016-13, 

this item represents the provision for loan and lease losses.

**** See Notes to Users for explanation. N/M - Not Meaningful
2 0 2 0  •  Volume 1 4 • Number 2

6 FDIC QUARTERLY

TABLE III-A. First Quarter 2020, All FDIC-Insured Institutions

Asset Concentration Groups*

FIRST QUARTER

(The way it is...)

All Insured 

Institutions

Credit 

Card 

Banks

International 

Banks

Agricultural 

Banks

Commercial 

Lenders

Mortgage 

Lenders

Consumer 

Lenders

Other 

Specialized 

<$1 Billion

All Other 

<$1 Billion

All Other 

>$1 Billion

Number of institutions reporting 5,116 11 6 1,260 2,707 384 50 214 428 56

Commercial banks 4,464 10 6 1,247 2,439 112 37 196 372 45

Savings institutions 652 1 0 13 268 272 13 18 56 11

Total assets (in billions) $20,253.6 $503.8 $5,249.6 $278.8 $7,549.0 $388.1 $154.6 $37.0 $78.8 $6,013.9

Commercial banks 19,018.9 418.0 5,249.6 273.3 7,142.3 116.8 135.0 34.5 66.3 5,583.3

Savings institutions 1,234.6 85.8 0.0 5.6 406.8 271.2 19.6 2.5 12.5 430.6

Total deposits (in billions) 15,777.0 349.9 3,864.0 231.3 5,867.4 303.3 128.6 29.0 66.4 4,937.1

Commercial banks 14,789.8 282.8 3,864.0 228.2 5,566.9 91.6 114.4 27.6 56.4 4,557.9

Savings institutions 987.3 67.1 0.0 3.1 300.5 211.8 14.3 1.4 10.0 379.2

Bank net income (in millions) 18,467 137 5,417 888 4,092 122 663 240 181 6,726

Commercial banks 16,647 -196 5,417 854 3,565 265 675 112 181 5,775

Savings institutions 1,819 333 0 35 528 -143 -13 129 -1 951

Performance Ratios (annualized, %)

Yield on earning assets 3.87 12.65 3.20 4.56 4.08 3.48 4.51 3.30 4.24 3.30

Cost of funding earning assets 0.74 1.99 0.65 0.87 0.79 0.87 1.21 0.50 0.67 0.59

Net interest margin 3.13 10.66 2.54 3.69 3.29 2.61 3.30 2.80 3.57 2.71

Noninterest income to assets 1.38 4.47 1.76 0.66 1.05 1.41 0.98 5.17 0.90 1.23

Noninterest expense to assets 2.65 6.89 2.38 2.55 2.86 3.26 1.01 4.32 3.03 2.24

Credit loss provision to assets** 1.09 7.76 1.10 0.16 0.83 0.23 0.79 0.10 0.12 0.93

Net operating income to assets 0.35 0.11 0.41 1.23 0.20 0.23 1.77 2.72 0.95 0.42

Pretax return on assets 0.50 0.03 0.55 1.44 0.35 0.28 2.42 3.20 1.04 0.58

Return on assets 0.38 0.11 0.44 1.28 0.22 0.13 1.79 2.64 0.93 0.47

Return on equity 3.50 0.89 4.71 10.80 1.87 1.30 17.39 14.65 7.27 4.39

Net charge-offs to loans and leases 0.55 4.32 0.75 0.10 0.26 0.04 0.54 0.27 0.09 0.46

Loan and lease loss provision to 

net charge-offs 357.99 217.72 405.20 238.34 457.03 977.79 205.58 140.46 246.02 409.11

Efficiency ratio 58.50 46.49 59.31 61.73 60.71 68.91 24.12 55.67 71.45 58.83

% of unprofitable institutions 7.31 27.27 0.00 3.10 7.65 16.67 10.00 10.75 6.07 12.50

% of institutions with earnings gains 43.88 9.09 50.00 48.65 43.18 35.42 50.00 40.19 46.03 26.79

Condition Ratios (%)

Earning assets to total assets 90.04 95.51 87.06 93.47 90.43 95.06 97.17 91.02 92.94 90.98

Loss allowance to:

Loans and leases 1.80 8.30 2.32 1.45 1.37 0.63 2.15 1.53 1.26 1.42

Noncurrent loans and leases 192.23 483.65 290.91 116.63 162.94 32.61 357.09 122.41 134.10 144.41

Noncurrent assets plus

other real estate owned to assets 0.54 1.39 0.30 0.93 0.64 1.18 0.41 0.40 0.65 0.50

Equity capital ratio 10.44 11.51 8.77 11.85 11.63 9.66 9.61 17.77 12.66 10.25

Core capital (leverage) ratio 9.40 12.30 8.44 11.40 9.89 10.04 10.61 17.16 12.39 9.06

Common equity tier 1 capital ratio*** 12.78 15.02 13.35 14.25 11.65 18.28 20.26 39.36 20.06 13.23

Tier 1 risk-based capital ratio*** 12.86 15.17 13.43 14.25 11.73 18.28 20.35 39.36 20.07 13.30

Total risk-based capital ratio*** 14.31 17.05 14.96 15.38 13.15 19.02 21.21 40.09 21.15 14.74

Net loans and leases to deposits 68.23 107.10 46.17 79.50 87.86 75.04 79.37 32.84 67.42 58.39

Net loans to total assets 53.15 74.38 33.98 65.94 68.29 58.66 66.05 25.76 56.78 47.93

Domestic deposits to total assets 70.63 66.74 49.83 82.94 77.02 77.90 83.20 78.45 84.22 79.51

Structural Changes

New reporters 2 0 0 0 0 0 0 2 0 0

Institutions absorbed by mergers 57 0 0 10 44 1 0 0 2 0

Failed institutions 1 0 0 1 0 0 0 0 0 0

PRIOR FIRST QUARTERS

(The way it was...)

Number of institutions 2019 5,362 12 5 1,316 2,854 395 70 234 423 53

 2017 5,856 13 4 1,399 2,987 454 61 309 563 66

 2015 6,419 15 4 1,464 3,150 557 58 387 713 71

Total assets (in billions) 2019 $18,090.0 $663.3 $4,340.2 $283.8 $6,327.0 $356.1 $220.2 $38.5 $75.1 $5,785.7

 2017 16,965.6 506.1 4,001.0 271.2 5,730.6 339.0 258.2 52.2 102.7 5,704.5

 2015 15,778.0 489.9 3,855.3 254.9 4,926.8 461.8 181.7 63.6 132.4 5,411.8

Return on assets (%) 2019 1.35 3.05 1.21 1.33 1.23 1.21 1.32 3.55 1.09 1.39

 2017 1.04 2.07 0.94 1.18 0.98 0.90 1.08 2.53 0.91 1.06

 2015 1.02 3.04 0.90 1.17 0.91 0.76 1.02 2.19 0.90 1.02

Net charge-offs to loans & leases (%) 2019 0.50 4.09 0.55 0.19 0.17 0.02 0.79 0.24 0.08 0.38

 2017 0.50 3.93 0.66 0.10 0.20 0.09 0.65 0.12 0.13 0.38

 2015 0.43 2.80 0.63 0.02 0.15 0.15 0.60 0.13 0.14 0.41

Noncurrent assets plus 

OREO to assets (%) 2019 0.60 1.20 0.38 0.92 0.64 1.21 0.47 0.46 0.70 0.60

 2017 0.81 1.14 0.56 0.84 0.82 1.92 0.68 0.56 0.90 0.86

 2015 1.10 0.83 0.78 0.80 1.06 1.94 1.11 0.70 1.31 1.33

Equity capital ratio (%) 2019 11.37 15.22 9.85 11.70 12.09 11.05 10.61 17.16 12.47 11.25

 2017 11.15 15.52 10.03 11.30 11.91 10.88 10.14 14.80 11.52 10.80

 2015 11.18 15.30 9.52 11.44 11.98 11.34 9.93 14.71 11.69 11.23

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

** For institutions that have adopted ASU 2016-13, the numerator represents provisions for credit losses on a consolidated basis; for institutions that have not adopted ASU 2016-13, the 

numerator represents the provision for loan and lease losses.

*** Beginning March 2020, does not include institutions that have a Community Bank Leverage Ratio election in effect at the report date.
QUARTERLY BANKING PROFILE

FDIC QUARTERLY 7

TABLE III-A. First Quarter 2020, All FDIC-Insured Institutions 

Asset Size Distribution Geographic Regions*

FIRST QUARTER

(The way it is...)

All Insured 

Institutions

Less Than 

$100 

Million

$100 

Million to 

$1 Billion

$1 Billion 

to $10 

Billion

$10 Billion 

to $250 

Billion

Greater 

Than $250 

Billion

New 

York Atlanta Chicago

Kansas 

City Dallas

San 

Francisco

Number of institutions reporting 5,116 1,124 3,168 680 131 13 617 582 1,099 1,317 1,126 375

Commercial banks 4,464 996 2,782 559 115 12 323 529 942 1,274 1,055 341

Savings institutions 652 128 386 121 16 1 294 53 157 43 71 34

Total assets (in billions) $20,253.6 $66.6 $1,066.7 $1,802.6 $5,770.5 $11,547.1 $3,787.5 $4,128.7 $4,719.6 $4,026.8 $1,547.4 $2,043.5

Commercial banks 19,018.9 59.3 921.5 1,494.4 5,266.9 11,276.9 3,407.6 4,019.7 4,612.5 3,986.0 1,090.7 1,902.4

Savings institutions 1,234.6 7.3 145.2 308.3 503.6 270.2 380.0 109.0 107.1 40.7 456.7 141.1

Total deposits (in billions) 15,777.0 55.2 886.1 1,448.4 4,473.0 8,914.3 2,949.0 3,279.3 3,489.5 3,171.7 1,271.2 1,616.4

Commercial banks 14,789.8 49.7 771.8 1,212.8 4,088.7 8,666.8 2,662.2 3,194.7 3,415.2 3,140.5 874.2 1,503.0

Savings institutions 987.3 5.5 114.3 235.6 384.3 247.5 286.8 84.6 74.3 31.2 397.0 113.4

Bank net income (in millions) 18,467 140 2,867 3,353 -2,229 14,336 4,964 360 5,430 4,807 2,886 20

Commercial banks 16,647 132 2,554 3,084 -2,773 13,649 4,706 687 5,129 4,702 1,905 -483

Savings institutions 1,819 8 312 269 544 687 258 -328 301 105 981 503

Performance Ratios (annualized, %)

Yield on earning assets 3.87 4.40 4.53 4.42 4.57 3.33 3.74 3.93 3.42 3.85 3.93 4.91

Cost of funding earning assets 0.74 0.75 0.84 0.85 0.89 0.62 0.86 0.65 0.62 0.78 0.61 0.95

Net interest margin 3.13 3.65 3.69 3.58 3.68 2.71 2.88 3.29 2.80 3.08 3.32 3.96

Noninterest income to assets 1.38 1.20 1.22 1.08 1.31 1.48 1.29 1.27 1.64 1.27 1.00 1.66

Noninterest expense to assets 2.65 3.56 3.18 2.81 3.19 2.30 2.26 2.84 2.59 2.48 2.52 3.58

Credit loss provision to assets** 1.09 0.11 0.22 0.59 1.59 1.00 0.93 1.30 0.98 1.02 0.74 1.57

Net operating income to assets 0.35 0.82 1.08 0.80 -0.20 0.49 0.57 0.01 0.46 0.44 0.68 -0.03

Pretax return on assets 0.50 0.94 1.26 0.93 -0.05 0.64 0.67 0.10 0.58 0.61 0.93 0.25

Return on assets 0.38 0.85 1.09 0.76 -0.16 0.52 0.55 0.04 0.49 0.49 0.77 0.00

Return on equity 3.50 6.00 9.04 6.40 -1.37 5.15 4.91 0.31 4.70 4.93 6.96 0.04

Net charge-offs to loans and leases 0.55 0.12 0.11 0.22 0.76 0.54 0.50 0.62 0.43 0.54 0.31 0.81

Loan and lease loss provision to 

net charge-offs 357.99 156.74 294.65 380.11 315.02 402.89 336.90 365.23 449.75 350.06 418.75 280.17

Efficiency ratio 58.50 77.50 67.95 62.94 54.93 58.65 57.45 57.44 62.41 58.91 61.15 52.61

% of unprofitable institutions 7.31 12.01 4.99 8.68 16.03 7.69 16.05 9.11 6.82 3.42 5.42 10.93

% of institutions with earnings gains 43.88 40.04 48.64 34.56 12.21 23.08 28.85 41.07 47.68 52.01 43.87 33.33

Condition Ratios (%)

Earning assets to total assets 90.04 92.68 93.20 92.30 91.67 88.56 90.03 89.60 88.25 89.85 92.61 93.50

Loss allowance to:

Loans and leases 1.80 1.41 1.28 1.28 2.10 1.78 1.67 1.84 1.82 1.69 1.32 2.32

Noncurrent loans and leases 192.23 104.79 145.37 147.31 208.37 197.13 191.67 198.92 212.38 152.10 112.89 306.40

Noncurrent assets plus

other real estate owned to assets 0.54 0.97 0.74 0.68 0.68 0.43 0.49 0.55 0.47 0.61 0.70 0.52

Equity capital ratio 10.44 14.05 11.98 11.69 11.27 9.67 10.71 11.24 9.83 9.74 10.94 10.76

Core capital (leverage) ratio 9.40 13.74 11.68 10.90 10.01 8.59 9.74 9.27 8.99 9.08 9.73 10.40

Common equity tier 1 capital ratio*** 12.78 21.47 15.44 13.70 12.73 12.44 13.04 12.34 12.51 12.65 13.36 13.69

Tier 1 risk-based capital ratio*** 12.86 21.49 15.46 13.73 12.91 12.48 13.09 12.43 12.57 12.73 13.46 13.82

Total risk-based capital ratio*** 14.31 22.55 16.53 14.77 14.27 14.06 14.49 13.76 13.94 14.65 14.55 15.07

Net loans and leases to deposits 68.23 69.74 80.85 86.65 82.20 56.96 67.08 69.90 64.63 65.46 64.97 82.68

Net loans to total assets 53.15 57.82 67.16 69.63 63.72 43.97 52.23 55.52 47.78 51.56 53.37 65.40

Domestic deposits to total assets 70.63 82.90 83.06 80.04 75.45 65.54 71.75 76.96 63.79 63.02 82.12 77.91

Structural Changes

New reporters 2 2 0 0 0 0 1 1 0 0 0 0

Institutions absorbed by mergers 57 12 41 4 0 0 8 6 13 8 17 5

Failed institutions 1 0 1 0 0 0 0 0 0 1 0 0

PRIOR FIRST QUARTERS

(The way it was...)

Number of institutions 2019 5,362 1,267 3,306 648 132 9 652 621 1,156 1,368 1,172 393

 2017 5,856 1,501 3,605 632 109 9 719 708 1,253 1,471 1,264 441

 2015 6,419 1,830 3,895 582 103 9 796 797 1,386 1,585 1,351 504

Total assets (in billions) 2019 $18,090.0 $75.5 $1,096.4 $1,710.1 $6,315.1 $8,892.9 $3,362.7 $3,704.5 $4,125.9 $3,678.0 $1,149.5 $2,069.5

 2017 16,965.6 88.9 1,166.2 1,763.5 5,363.5 8,583.4 3,114.5 3,539.0 3,839.3 3,679.1 1,032.1 1,761.6

 2015 15,778.0 107.6 1,219.7 1,572.9 4,684.3 8,193.5 3,020.2 3,273.1 3,633.2 3,424.9 923.6 1,503.1

Return on assets (%) 2019 1.35 0.99 1.23 1.24 1.44 1.33 1.16 1.39 1.32 1.30 1.33 1.74

 2017 1.04 0.90 1.04 1.09 1.06 1.02 0.92 0.99 0.98 1.07 1.15 1.35

 2015 1.02 0.86 1.01 1.05 1.03 1.01 0.83 0.98 0.94 1.16 1.03 1.35

Net charge-offs to loans & leases (%) 2019 0.50 0.13 0.09 0.17 0.73 0.46 0.61 0.58 0.24 0.52 0.20 0.79

 2017 0.50 0.14 0.12 0.20 0.71 0.49 0.52 0.58 0.34 0.51 0.28 0.67

 2015 0.43 0.15 0.11 0.20 0.53 0.50 0.46 0.52 0.27 0.54 0.16 0.46

Noncurrent assets plus 

OREO to assets (%) 2019 0.60 0.96 0.74 0.64 0.63 0.55 0.57 0.64 0.54 0.68 0.80 0.46

 2017 0.81 1.09 0.93 0.81 0.75 0.82 0.69 0.97 0.73 0.92 0.99 0.51

 2015 1.10 1.39 1.33 1.15 0.84 1.20 0.82 1.37 1.04 1.36 1.12 0.61

Equity capital ratio (%) 2019 11.37 13.81 11.71 11.97 12.26 10.55 12.75 12.16 10.33 10.36 11.94 11.21

 2017 11.15 12.86 11.19 11.58 12.08 10.45 12.29 12.04 10.30 9.89 10.93 11.94

 2015 11.18 12.45 11.28 11.87 12.47 10.28 11.76 12.47 9.89 10.25 11.08 12.53

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

** For institutions that have adopted ASU 2016-13, the numerator represents provisions for credit losses on a consolidated basis; for institutions that have not adopted ASU 2016-13, the 

numerator represents the provision for loan and lease losses.

*** Beginning March 2020, does not include institutions that have a Community Bank Leverage Ratio election in effect at the report date.
2 0 2 0  •  Volume 1 4 • Number 2

8 FDIC QUARTERLY

TABLE IV-A. Full Year 2019, All FDIC-Insured Institutions

Asset Concentration Groups*

FULL YEAR

(The way it is...)

All Insured 

Institutions

Credit 

Card 

Banks

International 

Banks

Agricultural 

Banks

Commercial 

Lenders

Mortgage 

Lenders

Consumer 

Lenders

Other 

Specialized 

<$1 Billion

All Other 

<$1 Billion

All Other 

>$1 Billion

Number of institutions reporting 5,177 12 5 1,291 2,733 393 58 210 428 47

Commercial banks 4,518 11 5 1,278 2,460 114 38 193 377 42

Savings institutions 659 1 0 13 273 279 20 17 51 5

Total assets (in billions) $18,645.3 $530.8 $4,481.1 $283.5 $6,735.9 $392.7 $230.7 $38.3 $76.3 $5,876.2

Commercial banks 17,491.4 439.5 4,481.1 278.2 6,325.6 116.0 121.3 34.9 64.8 5,630.1

Savings institutions 1,153.9 91.3 0.0 5.4 410.2 276.7 109.3 3.4 11.5 246.1

Total deposits (in billions) 14,535.3 358.6 3,294.0 236.3 5,302.5 306.3 191.8 29.9 64.2 4,751.8

Commercial banks 13,614.3 290.0 3,294.0 233.1 4,995.1 90.5 99.4 27.7 55.1 4,529.3

Savings institutions 921.0 68.6 0.0 3.2 307.4 215.8 92.4 2.2 9.1 222.4

Bank net income (in millions) 232,807 17,099 55,022 3,675 74,644 4,616 2,647 1,305 874 72,925

Commercial banks 217,611 13,871 55,022 3,522 70,895 1,917 1,949 587 763 69,084

Savings institutions 15,195 3,228 0 153 3,749 2,700 698 717 111 3,841

Performance Ratios (%)

Yield on earning assets 4.33 12.96 3.76 4.78 4.43 3.76 5.19 3.48 4.34 3.80

Cost of funding earning assets 0.97 2.26 0.99 0.96 0.97 0.94 1.00 0.60 0.68 0.85

Net interest margin 3.36 10.70 2.78 3.82 3.46 2.83 4.19 2.88 3.66 2.95

Noninterest income to assets 1.47 4.49 1.82 0.66 1.06 1.39 1.31 7.02 1.02 1.38

Noninterest expense to assets 2.59 7.11 2.45 2.58 2.56 2.52 3.17 5.41 3.06 2.27

Loan and lease loss provision to assets 0.31 3.40 0.28 0.17 0.17 0.02 0.62 0.05 0.10 0.21

Net operating income to assets 1.27 3.26 1.20 1.31 1.17 1.19 1.15 3.43 1.13 1.26

Pretax return on assets 1.63 4.21 1.56 1.51 1.49 1.56 1.61 4.36 1.32 1.60

Return on assets 1.29 3.27 1.23 1.33 1.18 1.21 1.21 3.56 1.17 1.27

Return on equity 11.39 26.21 11.92 11.39 9.74 11.02 11.30 19.53 9.26 11.44

Net charge-offs to loans and leases 0.52 4.15 0.72 0.18 0.20 0.03 0.82 0.17 0.13 0.39

Loan and lease loss provision to 

net charge-offs 105.63 100.35 101.66 139.42 121.71 100.73 109.78 108.07 125.52 103.85

Efficiency ratio 56.67 47.85 57.11 60.62 59.43 61.40 58.32 55.87 68.91 55.31

% of unprofitable institutions 3.71 0.00 0.00 2.63 3.33 7.89 3.45 10.48 2.80 0.00

% of institutions with earnings gains 64.07 58.33 40.00 61.66 68.06 51.91 68.97 55.24 62.15 55.32

Condition Ratios (%)

Earning assets to total assets 90.48 95.86 87.86 93.17 90.68 95.04 96.97 92.99 93.14 91.04

Loss allowance to:

Loans and leases 1.18 4.46 1.43 1.40 0.92 0.61 1.07 1.51 1.24 1.00

Noncurrent loans and leases 129.88 267.58 178.96 134.54 117.97 30.80 154.90 106.06 144.24 101.42

Noncurrent assets plus

other real estate owned to assets 0.55 1.39 0.33 0.81 0.60 1.18 0.48 0.45 0.62 0.52

Equity capital ratio 11.32 12.81 10.20 11.85 12.27 10.95 10.41 18.48 12.79 10.93

Core capital (leverage) ratio 9.66 12.51 8.68 11.29 10.34 10.63 10.58 17.93 12.48 9.11

Common equity tier 1 capital ratio 13.21 14.43 13.77 14.96 12.24 21.43 17.51 40.87 21.03 13.15

Tier 1 risk-based capital ratio 13.29 14.57 13.85 14.97 12.32 21.43 17.77 40.88 21.06 13.21

Total risk-based capital ratio 14.64 16.47 15.44 16.08 13.52 22.14 18.79 41.69 22.12 14.59

Net loans and leases to deposits 71.51 117.49 51.26 80.05 88.61 73.89 80.56 33.10 67.94 62.34

Net loans to total assets 55.75 79.37 37.68 66.71 69.76 57.63 66.99 25.82 57.16 50.41

Domestic deposits to total assets 70.90 66.56 49.09 83.34 78.38 77.72 83.15 78.01 84.13 77.61

Structural Changes

New reporters 13 0 0 0 1 0 0 11 1 0

Institutions absorbed by mergers 226 0 1 45 165 2 1 2 7 3

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

PRIOR FULL YEARS

(The way it was...)

Number of institutions 2018 5,406 12 5 1,346 2,866 401 69 227 431 49

 2016 5,913 13 5 1,429 3,025 462 65 300 549 65

 2014 6,509 15 3 1,515 3,222 553 52 374 708 67

Total assets (in billions) 2018 $17,943.0 $651.7 $4,285.8 $286.8 $6,373.8 $346.0 $218.3 $36.7 $75.9 $5,667.9

 2016 16,779.7 519.0 4,052.7 284.9 5,628.2 331.5 256.0 51.0 97.5 5,558.8

 2014 15,553.7 484.2 3,735.6 273.5 4,878.5 439.6 175.9 61.9 129.1 5,375.5

Return on assets (%) 2018 1.35 2.96 1.17 1.32 1.26 1.13 1.42 2.94 1.12 1.40

 2016 1.04 2.27 0.93 1.21 0.97 0.98 0.96 2.85 0.92 1.06

 2014 1.01 3.22 0.72 1.17 0.94 0.96 1.05 2.20 0.86 1.06

Net charge-offs to loans & leases (%) 2018 0.48 3.87 0.50 0.15 0.18 0.02 0.76 1.41 0.17 0.37

 2016 0.47 3.34 0.55 0.15 0.22 0.07 0.56 0.22 0.17 0.41

 2014 0.49 2.81 0.73 0.13 0.24 0.21 0.62 0.34 0.25 0.41

Noncurrent assets plus 

OREO to assets (%) 2018 0.60 1.26 0.39 0.83 0.63 1.28 0.49 0.43 0.73 0.62

 2016 0.86 1.14 0.61 0.77 0.87 1.97 0.70 0.63 0.94 0.96

 2014 1.20 0.88 0.85 0.83 1.17 2.19 1.19 0.73 1.39 1.43

Equity capital ratio (%) 2018 11.25 15.29 9.88 11.34 11.94 11.08 10.51 16.74 12.31 11.04

 2016 11.10 14.84 9.97 11.30 11.81 11.26 10.04 15.23 11.41 10.85

 2014 11.15 15.13 9.45 11.42 11.97 12.07 9.88 14.78 11.81 11.11

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

FDIC QUARTERLY 9

TABLE IV-A. Full Year 2019, All FDIC-Insured Institutions 

Asset Size Distribution Geographic Regions*

FULL YEAR

(The way it is...)

All Insured 

Institutions

Less Than 

$100 

Million

$100 

Million to 

$1 Billion

$1 Billion 

to $10 

Billion

$10 Billion 

to $250 

Billion

Greater 

Than $250 

Billion

New 

York Atlanta Chicago

Kansas 

City Dallas

San 

Francisco

Number of institutions reporting 5,177 1,156 3,225 656 130 10 625 587 1,118 1,330 1,138 379

Commercial banks 4,518 1,022 2,832 539 115 10 328 534 959 1,286 1,068 343

Savings institutions 659 134 393 117 15 0 297 53 159 44 70 36

Total assets (in billions) $18,645.3 $68.6 $1,087.9 $1,753.9 $6,071.6 $9,663.4 $3,407.7 $3,847.5 $4,235.2 $3,796.7 $1,204.6 $2,153.7

Commercial banks 17,491.4 60.7 937.5 1,437.3 5,392.6 9,663.4 3,034.3 3,745.8 4,129.4 3,750.4 1,049.7 1,781.8

Savings institutions 1,153.9 7.8 150.4 316.6 679.0 0.0 373.4 101.7 105.9 46.2 154.8 371.9

Total deposits (in billions) 14,535.3 56.7 907.3 1,415.8 4,732.6 7,422.9 2,662.0 3,048.9 3,149.2 2,978.7 974.1 1,722.5

Commercial banks 13,614.3 50.9 788.0 1,171.0 4,181.4 7,422.9 2,379.1 2,970.5 3,073.5 2,942.7 851.5 1,397.1

Savings institutions 921.0 5.8 119.3 244.8 551.2 0.0 282.9 78.4 75.7 36.0 122.6 325.4

Bank net income (in millions) 232,807 684 13,638 21,823 79,045 117,616 35,934 46,007 56,264 44,729 15,303 34,570

Commercial banks 217,611 592 11,685 18,711 69,008 117,616 32,727 45,188 54,576 44,242 14,001 26,877

Savings institutions 15,195 92 1,953 3,112 10,037 0 3,207 819 1,688 487 1,302 7,693

Performance Ratios (%)

Yield on earning assets 4.33 4.58 4.72 4.70 4.82 3.89 4.28 4.35 3.87 4.31 4.72 5.09

Cost of funding earning assets 0.97 0.76 0.91 0.98 1.11 0.89 1.16 0.86 0.87 1.02 0.86 1.05

Net interest margin 3.36 3.83 3.81 3.72 3.71 3.00 3.12 3.49 2.99 3.29 3.86 4.03

Noninterest income to assets 1.47 1.42 1.27 1.15 1.44 1.56 1.30 1.35 1.84 1.25 1.28 1.66

Noninterest expense to assets 2.59 3.69 3.21 2.81 2.66 2.42 2.46 2.51 2.62 2.48 3.03 2.79

Loan and lease loss provision to assets 0.31 0.16 0.15 0.19 0.45 0.25 0.30 0.34 0.22 0.30 0.19 0.51

Net operating income to assets 1.27 0.97 1.26 1.27 1.34 1.24 1.08 1.28 1.33 1.17 1.31 1.64

Pretax return on assets 1.63 1.16 1.50 1.63 1.74 1.58 1.37 1.63 1.68 1.49 1.61 2.18

Return on assets 1.29 1.01 1.29 1.30 1.35 1.26 1.09 1.29 1.34 1.20 1.32 1.66

Return on equity 11.39 7.13 10.90 10.87 11.32 11.63 9.13 10.58 12.23 11.67 11.01 14.80

Net charge-offs to loans and leases 0.52 0.21 0.14 0.21 0.70 0.51 0.48 0.58 0.42 0.53 0.24 0.78

Loan and lease loss provision to 

net charge-offs 105.63 128.19 151.81 126.97 104.83 102.08 110.73 102.49 103.32 104.98 119.59 105.03

Efficiency ratio 56.67 74.11 66.36 60.58 53.38 56.86 59.08 55.18 57.73 58.14 62.18 49.36

% of unprofitable institutions 3.71 9.60 2.36 0.61 0.77 0.00 4.48 5.45 3.94 2.86 2.64 5.28

% of institutions with earnings gains 64.07 55.19 65.71 71.04 68.46 50.00 59.84 65.08 66.46 61.43 65.11 68.60

Condition Ratios (%)

Earning assets to total assets 90.48 92.58 93.32 92.56 91.55 89.10 90.45 89.50 89.19 90.62 91.49 94.04

Loss allowance to:

Loans and leases 1.18 1.39 1.23 1.06 1.23 1.15 1.13 1.08 1.19 1.25 1.00 1.39

Noncurrent loans and leases 129.88 109.53 151.50 151.60 127.55 124.72 132.67 116.78 140.90 114.33 88.48 215.00

Noncurrent assets plus

other real estate owned to assets 0.55 0.95 0.70 0.57 0.62 0.48 0.51 0.57 0.49 0.61 0.84 0.42

Equity capital ratio 11.32 14.28 12.01 12.03 11.86 10.76 11.83 12.23 10.89 10.24 12.16 11.15

Core capital (leverage) ratio 9.66 13.93 11.63 10.97 10.11 8.87 10.01 9.92 9.18 9.08 10.41 10.22

Common equity tier 1 capital ratio 13.21 22.47 16.07 14.17 13.07 12.71 13.49 12.81 13.11 12.81 13.31 14.34

Tier 1 risk-based capital ratio 13.29 22.49 16.10 14.19 13.23 12.74 13.54 12.91 13.15 12.89 13.42 14.47

Total risk-based capital ratio 14.64 23.55 17.16 15.13 14.50 14.27 14.85 14.06 14.46 14.79 14.44 15.55

Net loans and leases to deposits 71.51 70.86 81.31 87.30 78.12 63.09 71.34 72.20 68.35 67.86 81.35 77.09

Net loans to total assets 55.75 58.58 67.81 70.47 60.89 48.47 55.73 57.22 50.82 53.24 65.78 61.65

Domestic deposits to total assets 70.90 82.67 83.40 80.47 75.16 65.00 72.19 76.64 65.00 62.67 80.82 79.18

Structural Changes

New reporters 13 12 1 0 0 0 4 4 2 0 2 1

Institutions absorbed by mergers 226 59 130 29 8 0 34 32 46 51 47 16

Failed institutions 4 3 1 0 0 0 1 0 2 0 1 0

PRIOR FULL YEARS

(The way it was...)

Number of institutions 2018 5,406 1,278 3,353 638 128 9 659 626 1,163 1,379 1,182 397

 2016 5,913 1,541 3,637 621 105 9 724 720 1,271 1,485 1,268 445

 2014 6,509 1,871 3,957 574 98 9 807 812 1,406 1,599 1,372 513

Total assets (in billions) 2018 $17,943.0 $75.8 $1,108.6 $1,734.8 $6,202.3 $8,821.4 $3,362.0 $3,677.0 $4,042.6 $3,670.8 $1,133.1 $2,057.5

 2016 16,779.7 91.5 1,173.9 1,761.8 5,305.7 8,446.9 3,096.4 3,507.3 3,784.3 3,633.9 1,010.7 1,747.0

 2014 15,553.7 109.7 1,232.1 1,576.4 4,534.2 8,101.3 2,956.4 3,217.9 3,595.8 3,404.0 904.4 1,475.2

Return on assets (%) 2018 1.35 1.01 1.23 1.33 1.46 1.29 1.22 1.44 1.26 1.25 1.40 1.74

 2016 1.04 0.89 1.08 1.01 1.07 1.03 0.87 1.02 1.00 1.09 1.02 1.40

 2014 1.01 0.79 1.00 1.09 1.09 0.95 0.83 1.00 0.88 1.07 1.14 1.49

Net charge-offs to loans & leases (%) 2018 0.48 0.18 0.16 0.20 0.70 0.43 0.59 0.55 0.23 0.50 0.24 0.73

 2016 0.47 0.21 0.14 0.25 0.64 0.47 0.52 0.54 0.27 0.53 0.31 0.58

 2014 0.49 0.23 0.23 0.27 0.60 0.54 0.55 0.54 0.36 0.60 0.23 0.47

Noncurrent assets plus 

OREO to assets (%) 2018 0.60 0.97 0.73 0.64 0.62 0.57 0.58 0.65 0.54 0.68 0.76 0.44

 2016 0.86 1.10 0.96 0.84 0.78 0.90 0.70 1.03 0.79 1.00 1.06 0.53

 2014 1.20 1.45 1.38 1.41 0.83 1.32 0.89 1.55 1.11 1.46 1.18 0.65

Equity capital ratio (%) 2018 11.25 13.57 11.50 11.91 12.08 10.49 12.53 12.07 10.35 10.23 11.81 11.02

 2016 11.10 12.70 11.14 11.55 11.87 10.50 12.11 12.05 10.32 9.87 10.92 11.79

 2014 11.15 12.28 11.20 11.90 12.39 10.28 11.81 12.45 9.80 10.20 11.06 12.47

* See Table V-A (page 11) for explanations.
2 0 2 0  •  Volume 1 4 • Number 2

10 FDIC QUARTERLY

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

Asset Concentration Groups*

March 31, 2020 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 0.64 0.35 0.59 1.07 0.55 0.79 0.35 1.13 1.16 0.80

Construction and development 0.54 0.35 0.13 0.95 0.52 1.17 0.33 0.90 0.88 0.69

Nonfarm nonresidential 0.37 0.00 0.61 0.86 0.37 0.37 0.79 0.73 0.91 0.23

Multifamily residential real estate 0.20 0.00 0.28 0.32 0.18 0.34 0.05 0.37 0.70 0.08

Home equity loans 0.62 0.00 0.87 0.47 0.56 0.49 0.42 0.53 0.71 0.67

Other 1-4 family residential 0.93 0.36 0.70 1.28 0.89 0.86 0.31 1.60 1.35 1.10

Commercial and industrial loans 0.34 0.93 0.34 1.11 0.36 0.79 0.29 0.90 1.42 0.23

Loans to individuals 1.43 1.59 1.03 1.24 1.44 1.22 1.14 1.58 1.45 1.64

Credit card loans 1.35 1.63 1.08 1.38 1.37 1.03 1.21 5.53 1.68 1.23

Other loans to individuals 1.51 1.03 0.88 1.22 1.45 1.24 1.13 1.36 1.44 1.90

All other loans and leases (including farm) 0.39 0.47 0.43 1.61 0.37 0.45 0.04 1.00 0.88 0.27

Total loans and leases 0.66 1.52 0.58 1.20 0.57 0.77 0.85 1.16 1.19 0.69

Percent of Loans Noncurrent**

All real estate loans 1.16 0.57 1.15 1.21 0.90 2.12 0.50 1.30 1.02 1.73

Construction and development 0.46 1.25 0.62 0.49 0.44 0.42 1.46 1.14 0.86 0.48

Nonfarm nonresidential 0.63 0.00 0.36 0.97 0.60 0.45 1.22 1.16 1.09 0.83

Multifamily residential real estate 0.12 0.00 0.04 0.42 0.13 1.18 0.12 0.38 0.75 0.08

Home equity loans 1.73 0.00 3.97 0.27 1.10 0.93 1.28 0.43 0.42 2.36

Other 1-4 family residential 1.76 0.55 1.40 0.89 1.55 2.50 0.42 1.48 0.99 2.18

Commercial and industrial loans 0.83 0.75 0.79 1.39 0.89 0.70 3.75 1.47 0.91 0.69

Loans to individuals 1.05 1.82 1.00 0.55 0.85 0.48 0.38 1.00 0.55 0.80

Credit card loans 1.54 1.91 1.21 0.65 1.33 0.64 1.47 1.80 1.07 1.43

Other loans to individuals 0.57 0.51 0.30 0.54 0.79 0.47 0.35 0.96 0.54 0.39

All other loans and leases (including farm) 0.24 0.39 0.22 1.37 0.30 0.45 0.08 0.59 0.61 0.13

Total loans and leases 0.93 1.72 0.80 1.24 0.84 1.93 0.60 1.25 0.94 0.99

Percent of Loans Charged-Off (net, YTD)

All real estate loans 0.00 0.09 -0.09 0.04 0.02 -0.01 -0.02 0.14 0.03 -0.01

Construction and development 0.00 0.00 -0.04 -0.01 0.03 -0.01 0.10 -0.03 0.00 -0.16

Nonfarm nonresidential 0.03 0.00 -0.01 0.05 0.03 0.00 -0.06 0.45 0.01 0.00

Multifamily residential real estate 0.00 0.00 0.00 -0.05 0.00 -0.02 -0.01 0.06 0.00 0.00

Home equity loans -0.01 0.00 -0.07 0.02 0.03 -0.10 -0.49 -0.20 0.03 -0.06

Other 1-4 family residential -0.02 0.10 -0.14 0.04 0.01 -0.01 -0.01 0.00 0.01 0.00

Commercial and industrial loans 0.47 2.52 0.44 0.19 0.47 0.20 0.17 0.28 0.03 0.37

Loans to individuals 2.51 4.52 2.96 0.62 1.38 1.39 0.82 0.98 0.53 1.95

Credit card loans 4.03 4.66 3.64 3.50 4.24 2.95 4.61 2.12 4.39 3.43

Other loans to individuals 0.97 2.45 0.61 0.33 1.03 1.24 0.71 0.91 0.45 0.97

All other loans and leases (including farm) 0.14 0.01 0.13 0.14 0.14 0.24 0.02 0.07 0.23 0.14

Total loans and leases 0.55 4.32 0.75 0.10 0.26 0.04 0.54 0.27 0.09 0.46

Loans Outstanding (in billions)

All real estate loans $5,084.3 $1.6 $558.4 $117.3 $3,042.0 $201.6 $27.4 $6.8 $34.7 $1,094.5

Construction and development 369.9 0.1 16.5 7.4 294.3 5.6 0.3 0.6 2.1 43.1

Nonfarm nonresidential 1,535.0 0.0 58.2 31.2 1,176.7 18.9 1.6 2.3 8.0 238.1

Multifamily residential real estate 468.7 0.0 84.4 4.1 324.4 6.1 0.4 0.2 0.9 48.2

Home equity loans 338.3 0.0 36.7 2.2 196.9 10.8 0.6 0.2 1.2 89.6

Other 1-4 family residential 2,206.9 1.5 314.8 27.5 998.8 159.2 24.4 3.2 19.4 658.1

Commercial and industrial loans 2,542.6 39.1 427.6 22.1 1,279.5 6.5 6.2 1.2 3.9 756.5

Loans to individuals 1,771.3 367.8 372.6 6.5 452.6 4.7 67.4 1.3 4.0 494.5

Credit card loans 873.0 345.2 285.5 0.6 47.3 0.4 1.7 0.1 0.1 192.2

Other loans to individuals 898.4 22.6 87.1 5.9 405.3 4.3 65.7 1.2 3.9 302.3

All other loans and leases (including farm) 1,565.1 0.3 468.4 40.6 454.1 16.3 3.5 0.4 2.7 578.9

Total loans and leases (plus unearned income) 10,963.4 408.7 1,827.0 186.6 5,228.2 229.2 104.5 9.7 45.3 2,924.4

Memo: Other Real Estate Owned (in millions)

All other real estate owned 5,588.0 1.0 398.6 278.5 3,774.7 147.6 12.0 24.1 87.9 863.6

Construction and development 1,261.9 0.9 4.0 49.5 1,095.4 19.8 3.3 9.6 16.9 62.4

Nonfarm nonresidential 1,874.6 0.0 42.0 86.8 1,463.1 28.0 2.5 7.8 32.7 211.8

Multifamily residential real estate 87.5 0.0 0.0 7.4 79.1 0.8 0.0 0.0 0.2 0.0

1-4 family residential 2,159.2 0.2 318.6 46.7 1,061.4 96.7 6.2 6.5 33.5 589.4

Farmland 170.8 0.0 0.0 88.0 75.8 2.3 0.0 0.2 4.6 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.
QUARTERLY BANKING PROFILE

FDIC QUARTERLY 11

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

Asset Size Distribution Geographic Regions*

March 31, 2020 All Insured 

Institutions

Less Than 

$100 

Million

$100 

Million to 

$1 Billion

$1 Billion 

to 

$10 Billion

$10 Billion 

to $250 

Billion

Greater 

Than $250 

Billion

New 

York Atlanta Chicago

Kansas 

City Dallas

San 

Francisco

Percent of Loans 30-89 Days Past Due 

All loans secured by real estate 0.64 1.41 0.81 0.52 0.57 0.69 0.57 0.67 0.56 0.87 0.81 0.35

Construction and development 0.54 0.96 0.72 0.60 0.55 0.35 0.90 0.38 0.29 0.61 0.54 0.51

Nonfarm nonresidential 0.37 1.35 0.64 0.40 0.30 0.27 0.39 0.28 0.47 0.40 0.43 0.27

Multifamily residential real estate 0.20 0.70 0.31 0.21 0.17 0.20 0.20 0.13 0.16 0.42 0.24 0.14

Home equity loans 0.62 0.85 0.59 0.52 0.56 0.69 0.57 0.58 0.70 0.74 0.56 0.41

Other 1-4 family residential 0.93 1.67 1.03 0.74 0.93 0.95 0.82 1.03 0.70 1.24 1.51 0.44

Commercial and industrial loans 0.34 1.48 0.93 0.63 0.33 0.26 0.29 0.30 0.29 0.35 0.56 0.44

Loans to individuals 1.43 1.70 1.61 1.47 1.41 1.44 1.31 1.92 0.94 1.28 0.88 1.69

Credit card loans 1.35 1.45 2.20 3.17 1.53 1.15 1.45 1.53 1.00 1.22 0.69 1.62

Other loans to individuals 1.51 1.71 1.57 1.10 1.28 1.75 1.20 2.30 0.87 1.36 0.94 1.75

All other loans and leases (including farm) 0.39 1.11 1.12 0.71 0.36 0.34 0.28 0.30 0.28 0.57 0.49 0.47

Total loans and leases 0.66 1.39 0.88 0.60 0.66 0.64 0.59 0.75 0.50 0.75 0.74 0.69

Percent of Loans Noncurrent** 

All real estate loans 1.16 1.31 0.84 0.76 1.13 1.49 1.01 1.21 1.23 1.65 1.30 0.44

Construction and development 0.46 1.00 0.71 0.49 0.34 0.44 0.67 0.41 0.56 0.28 0.33 0.47

Nonfarm nonresidential 0.63 1.32 0.78 0.76 0.52 0.59 0.67 0.56 0.70 0.70 0.61 0.57

Multifamily residential real estate 0.12 0.49 0.34 0.19 0.10 0.06 0.12 0.22 0.12 0.11 0.17 0.07

Home equity loans 1.73 0.58 0.57 0.55 1.12 2.61 1.82 1.18 1.98 2.84 1.01 0.63

Other 1-4 family residential 1.76 1.21 0.86 0.96 2.07 1.94 1.59 1.84 1.67 2.37 2.80 0.38

Commercial and industrial loans 0.83 1.74 1.01 1.43 0.97 0.63 0.72 0.66 0.73 0.86 1.24 1.32

Loans to individuals 1.05 0.81 0.79 0.95 1.17 0.96 1.12 1.27 0.68 1.01 0.75 1.18

Credit card loans 1.54 0.74 2.04 3.38 1.81 1.27 1.79 1.74 1.10 1.38 1.34 1.78

Other loans to individuals 0.57 0.81 0.71 0.42 0.51 0.63 0.60 0.81 0.27 0.39 0.53 0.66

All other loans and leases (including farm) 0.24 1.38 1.10 0.54 0.24 0.18 0.21 0.13 0.24 0.34 0.40 0.20

Total loans and leases 0.93 1.34 0.88 0.87 1.01 0.90 0.87 0.93 0.86 1.11 1.17 0.76

Percent of Loans Charged-Off (net, YTD) 

All real estate loans 0.00 0.03 0.02 0.04 0.01 -0.03 0.03 0.01 -0.04 0.00 0.02 0.00

Construction and development 0.00 -0.03 0.02 0.08 -0.01 -0.09 0.00 0.02 0.00 -0.14 0.03 0.10

Nonfarm nonresidential 0.03 0.02 0.04 0.05 0.03 0.00 0.06 0.02 0.03 0.03 0.03 -0.02

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

Home equity loans -0.01 0.17 0.02 0.01 0.03 -0.05 0.03 -0.04 0.03 -0.05 -0.01 -0.04

Other 1-4 family residential -0.02 0.01 0.01 0.02 0.00 -0.04 0.02 0.00 -0.10 0.00 0.02 0.00

Commercial and industrial loans 0.47 0.26 0.26 0.37 0.69 0.36 0.32 0.45 0.51 0.29 0.81 0.74

Loans to individuals 2.51 0.41 1.26 2.15 2.86 2.29 2.59 2.54 2.00 2.87 1.52 2.80

Credit card loans 4.03 3.40 6.53 8.14 4.50 3.53 4.16 4.11 3.43 3.99 3.29 4.62

Other loans to individuals 0.97 0.38 0.88 0.83 1.10 0.89 1.32 0.95 0.51 0.93 0.86 1.18

All other loans and leases (including farm) 0.14 0.30 0.13 0.22 0.10 0.15 0.14 0.16 0.11 0.18 0.13 0.06

Total loans and leases 0.55 0.12 0.11 0.22 0.76 0.54 0.50 0.62 0.43 0.54 0.31 0.81

Loans Outstanding (in billions) 

All real estate loans $5,084.3 $26.6 $559.4 $928.0 $1,747.7 $1,822.6 $1,052.2 $965.3 $994.6 $884.3 $534.9 $653.1

Construction and development 369.9 1.5 53.3 93.6 142.6 78.8 70.7 62.4 61.4 52.3 81.1 42.0

Nonfarm nonresidential 1,535.0 6.1 211.3 384.4 588.1 345.2 352.6 302.4 228.2 205.7 218.5 227.7

Multifamily residential real estate 468.7 0.7 30.3 102.6 197.0 138.0 163.0 46.8 117.1 40.9 24.5 76.5

Home equity loans 338.3 0.6 19.3 38.7 118.2 161.5 70.3 81.6 83.0 56.5 20.5 26.4

Other 1-4 family residential 2,206.9 12.4 193.3 281.3 685.9 1,034.0 390.8 458.8 480.7 435.4 171.1 270.1

Commercial and industrial loans 2,542.6 4.7 90.9 205.7 849.7 1,391.5 409.2 632.6 583.0 496.8 161.2 259.7

Loans to individuals 1,771.3 2.4 29.4 69.8 757.1 912.6 306.8 423.6 338.1 311.8 71.5 319.6

Credit card loans 873.0 0.0 1.9 12.3 384.1 474.6 134.3 208.9 167.1 194.9 18.9 149.0

Other loans to individuals 898.4 2.4 27.5 57.4 373.0 438.0 172.5 214.7 171.0 116.9 52.7 170.6

All other loans and leases (including farm) 1,565.1 5.3 46.1 68.2 402.0 1,043.5 244.2 314.0 381.6 419.6 69.6 136.2

Total loans and leases 

(plus unearned income) 10,963.4 39.0 725.9 1,271.7 3,756.5 5,170.2 2,012.4 2,335.5 2,297.3 2,112.5 837.2 1,368.6

Memo: Other Real Estate Owned 

(in millions) 

All other real estate owned 5,588.0 121.2 1,459.9 1,175.3 1,553.6 1,278.1 983.8 1,252.1 1,195.6 823.9 1,045.4 287.3

Construction and development 1,261.9 19.0 561.2 370.1 240.5 71.1 161.0 347.3 158.2 192.1 321.3 82.0

Nonfarm nonresidential 1,874.6 41.3 480.6 494.0 591.6 267.2 287.6 368.3 418.3 260.8 446.8 92.8

Multifamily residential real estate 87.5 5.1 43.7 24.7 12.5 1.5 9.7 24.7 13.6 14.4 13.0 12.0

1-4 family residential 2,159.2 42.1 278.1 240.5 694.3 904.3 519.7 494.4 558.2 284.6 215.6 86.8

Farmland 170.8 13.8 96.3 46.0 14.7 0.1 5.8 17.3 22.3 63.0 48.7 13.7

* Regions:

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

U.S. Virgin Islands

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

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

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

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

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

** Noncurrent loan rates represent the percentage of loans in each category that are past due 90 days or more or that are in nonaccrual status.
2 0 2 0  •  Volume 1 4 • Number 2

12 FDIC QUARTERLY

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

1st 

Quarter 

2020

4th 

Quarter 

2019

3rd

Quarter 

2019

2nd

Quarter 

2019

1st 

Quarter 

2019

% 

Change 

19Q1-

20 Q1

Asset Size Distribution

(dollar figures in millions;

notional amounts unless otherwise indicated)

Less 

Than 

$100 

Million

$100 

Million 

to $1 

Billion

$1 

Billion 

to $10 

Billion

$10 

Billion 

to $250 

Billion

Greater 

Than 

$250 

Billion

ALL DERIVATIVE HOLDERS 

Number of institutions reporting derivatives 1,363 1,327 1,339 1,343 1,322 3.1 38 732 460 120 13

Total assets of institutions reporting derivatives $18,648,342 $17,062,252 $16,899,171 $16,695,184 $16,499,237 13.0 $2,618 $325,293 $1,362,542 $5,410,749 $11,547,140

Total deposits of institutions reporting derivatives 14,474,174 13,260,052 13,005,735 12,778,822 12,647,947 14.4 2,137 267,347 1,089,406 4,201,015 8,914,270

Total derivatives 199,743,266 173,052,321 203,562,336 207,258,169 203,961,775 -2.1 509 35,876 220,667 6,940,384 192,545,831

Derivative Contracts by Underlying Risk Exposure 

Interest rate 146,069,101 125,078,747 147,186,832 151,863,618 149,195,436 -2.1 509 35,057 213,746 4,754,121 141,065,668

Foreign exchange* 44,381,157 38,736,894 46,694,639 46,115,633 45,568,406 -2.6 0 0 4,320 1,861,105 42,515,732

Equity 3,661,579 3,796,106 3,835,456 3,722,531 3,675,244 -0.4 0 19 45 98,877 3,562,638

Commodity & other (excluding credit derivatives) 1,643,731 1,495,227 1,662,059 1,482,094 1,377,390 19.3 0 0 82 84,647 1,559,001

Credit 3,986,479 3,944,681 4,182,691 4,073,984 4,145,034 -3.8 0 29 2,027 141,633 3,842,790

Total 199,742,047 173,051,655 203,561,677 207,257,860 203,961,510 -2.1 509 35,105 220,220 6,940,383 192,545,829

Derivative Contracts by Transaction Type 

Swaps 110,598,852 96,614,183 108,935,550 110,905,216 106,833,011 3.5 2 2,297 113,938 4,119,306 106,363,309

Futures & forwards 46,803,942 34,786,557 47,061,041 46,208,801 46,165,354 1.4 4 6,075 43,173 2,018,532 44,736,158

Purchased options 18,151,997 18,118,533 20,733,104 21,891,612 21,854,802 -16.9 1 316 14,066 300,271 17,837,344

Written options 17,958,979 17,998,521 20,343,914 21,794,090 22,283,518 -19.4 4 4,570 27,239 290,797 17,636,369

Total 193,513,770 167,517,794 197,073,609 200,799,718 197,136,684 -1.8 11 13,257 198,416 6,728,905 186,573,180

Fair Value of Derivative Contracts 

Interest rate contracts 48,160 49,831 54,195 55,924 44,000 -10.5 0 3 -972 16,343 32,786

Foreign exchange contracts -16,009 -7,869 2,817 -2,565 10,824 NM 0 0 22 2,272 -18,303

Equity contracts 9,837 -1,203 1,597 -1,110 -272 NM 0 -2 0 911 8,929

Commodity & other (excluding credit derivatives) 9,802 -1,310 -4,100 -2,161 -778 NM 0 0 0 135 9,667

Credit derivatives as guarantor** -24,127 25,920 20,454 18,529 16,412 NM 0 0 21 -2,006 -22,142

Credit derivatives as beneficiary** 26,454 -26,965 -22,966 -21,734 -18,387 NM 0 0 -24 1,623 24,855

Derivative Contracts by Maturity*** 

Interest rate contracts < 1 year 92,837,736 79,167,545 88,724,441 90,569,958 87,928,668 5.6 0 3,874 34,673 2,009,177 90,790,012

 1-5 years 43,088,392 35,824,359 37,506,842 39,191,526 38,990,311 10.5 0 730 43,509 1,550,302 41,493,851

 > 5 years 20,987,281 24,264,361 24,491,078 24,215,323 24,263,087 -13.5 7 1,423 71,970 895,685 20,018,196

Foreign exchange and gold contracts < 1 year 31,570,063 28,241,089 33,602,158 32,804,737 31,828,630 -0.8 0 0 2,954 1,624,955 29,942,154

 1-5 years 4,127,647 4,052,351 4,279,836 4,340,277 4,363,606 -5.4 0 0 894 158,381 3,968,372

 > 5 years 2,152,437 2,146,242 2,148,934 2,170,971 2,181,911 -1.4 0 0 10 50,099 2,102,329

Equity contracts < 1 year 2,959,453 3,083,994 2,687,265 2,725,454 2,714,590 9.0 0 6 21 56,308 2,903,118

 1-5 years 779,791 844,052 994,632 972,497 957,790 -18.6 0 12 4 30,964 748,812

 > 5 years 124,492 136,149 147,521 149,222 143,076 -13.0 0 0 4 10,585 113,903

 Commodity & other contracts (including credit 

derivatives, excluding gold contracts) < 1 year 2,040,847 2,102,100 1,960,750 2,008,663 1,754,422 16.3 0 0 14 39,923 2,000,910

 1-5 years 2,612,164 2,778,297 2,819,249 2,803,027 2,847,105 -8.3 0 1 405 63,993 2,547,765

 > 5 years 449,866 260,718 430,569 260,548 528,263 -14.8 0 26 828 10,013 438,999

Risk-Based Capital: Credit Equivalent Amount 

Total current exposure to tier 1 capital (%) 37.9 23.7 27.4 23.9 22.0 0.1 0.3 3.2 10.4 60.2

Total potential future exposure to tier 1 capital (%) 29.6 34.5 35.0 36.6 37.6 0.0 0.1 1.1 6.2 48.3

Total exposure (credit equivalent amount) 

to tier 1 capital (%) 67.6 58.2 62.4 60.5 59.5 0.1 0.4 4.3 16.6 108.5

Credit losses on derivatives  82.7 20.0 21.6 26.3 9.1 808.8 0.0 0.0 0.4 7.6 74.7

HELD FOR TRADING 

Number of institutions reporting derivatives 182 174 175 189 186 -2.2 1 24 79 67 11

Total assets of institutions reporting derivatives 14,841,652 13,426,816 13,313,319 13,222,401 12,883,177 15.2 64 11,526 288,415 3,620,521 10,921,128

Total deposits of institutions reporting derivatives 11,424,297 10,356,388 10,147,949 10,023,986 9,827,749 16.2 55 9,523 227,142 2,826,434 8,361,143

Derivative Contracts by Underlying Risk Exposure 

Interest rate 143,093,184 122,492,314 144,532,347 149,515,929 147,070,054 -2.7 0 778 41,374 4,036,823 139,014,209

Foreign exchange 41,651,419 36,707,246 43,930,653 43,278,150 42,441,525 -1.9 0 0 3,997 1,764,041 39,883,381

Equity 3,639,261 3,777,097 3,817,653 3,704,416 3,659,003 -0.5 0 0 24 89,010 3,550,227

Commodity & other 1,611,455 1,464,169 1,631,150 1,451,571 1,347,235 19.6 0 0 69 82,432 1,528,954

Total 189,995,319 164,440,827 193,911,802 197,950,066 194,517,816 -2.3 0 778 45,464 5,972,306 183,976,771

Trading Revenues: Cash & Derivative Instruments 

Interest rate**  4,947 4,476 1,526 2,730 4,080 21.3 0 0 -1 1,344 3,604

Foreign exchange** 2,167 662 2,718 2,900 2,254 -3.9 0 0 5 -455 2,617

Equity** -1,040 1,427 1,805 2,464 2,895 NM 0 0 10 -9 -1,041

Commodity & other (including credit derivatives)** 612 634 1,152 -14 808 -24.3 0 0 0 -500 1,112

Total trading revenues** 6,686 7,199 7,201 8,080 10,037 -33.4 0 0 13 380 6,293

Share of Revenue 

Trading revenues to gross revenues (%)** 4.2 4.5 4.3 4.8 6.2 0.0 0.0 0.4 1.0 5.4

Trading revenues to net operating revenues (%)** 60.1 21.2 18.6 19.0 24.5 0.0 0.0 3.7 -24.9 51.3

HELD FOR PURPOSES OTHER THAN TRADING 

Number of institutions reporting derivatives 617 640 661 719 724 -14.8 4 175 313 112 13

Total assets of institutions reporting derivatives 17,928,627 16,490,827 16,312,456 16,227,784 16,008,091 12.0 324 87,387 1,077,095 5,216,680 11,547,140

Total deposits of institutions reporting derivatives 13,891,836 12,796,911 12,531,168 12,402,057 12,251,856 13.4 274 71,562 858,207 4,047,523 8,914,270

Derivative Contracts by Underlying Risk Exposure 

Interest rate 2,933,869 2,564,066 2,633,516 2,335,640 2,115,231 38.7 11 12,461 152,640 717,299 2,051,459

Foreign exchange 529,987 462,834 479,579 465,373 457,240 15.9 0 0 277 27,218 502,492

Equity 22,318 19,009 17,803 18,116 16,241 37.4 0 19 21 9,867 12,411

Commodity & other 32,277 31,059 30,910 30,523 30,155 7.0 0 0 14 2,215 30,047

Total notional amount 3,518,451 3,076,968 3,161,807 2,849,652 2,618,868 34.4 11 12,479 152,952 756,599 2,596,410

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

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

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

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

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

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

FDIC QUARTERLY 13

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

Asset Size Distribution

(dollar figures in millions)

1st 

Quarter 

2020

4th 

Quarter

2019

3rd 

Quarter

2019

2nd 

Quarter

2019

1st 

Quarter

2019

% 

Change 

19Q1-

20Q1

Less 

Than 

$100 

Million

$100 

Million 

to $1 

Billion

$1 

Billion 

to $10 

Billion

$10 

Billion 

to $250 

Billion

Greater 

Than 

$250 

Billion

Assets Securitized and Sold with Servicing Retained or with 

Recourse or Other Seller-Provided Credit Enhancements 

Number of institutions reporting securitization activities 62 63 67 65 65 -4.6 0 5 16 33 8

Outstanding Principal Balance by Asset Type 

1-4 family residential loans 451,456 474,309 452,433 465,275 486,472 -7.2 0 1,119 16,134 93,911 340,291

Home equity loans 9 11 11 12 13 -30.8 0 0 0 9 0

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

Auto loans 1,196 1,448 1,793 2,494 3,062 -60.9 0 0 0 1,196 0

Other consumer loans 1,587 1,661 1,738 1,603 1,668 -4.9 0 0 0 787 800

Commercial and industrial loans 0 0 537 558 550 -100.0 0 0 0 0 0

All other loans, leases, and other assets 88,439 83,875 76,770 73,791 72,857 21.4 0 0 8,719 3,752 75,967

Total securitized and sold 542,687 561,304 533,282 543,733 564,622 -3.9 0 1,119 24,853 99,655 417,058

Maximum Credit Exposure by Asset Type 

1-4 family residential loans 1,726 1,326 1,371 1,055 1,050 64.4 0 0 142 711 873

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

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

Auto loans 53 59 66 86 94 -43.6 0 0 0 53 0

Other consumer loans 0 0 0 0 0 0.0 0 0 0 0 0

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

All other loans, leases, and other assets 1,645 1,366 1,324 1,230 1,257 30.9 0 0 142 51 1,452

Total credit exposure 3,424 2,751 2,761 2,371 2,401 42.6 0 0 284 815 2,325

Total unused liquidity commitments provided to institution’s own 

securitizations 29 24 203 185 230 -87.4 0 0 0 0 29

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

1-4 family residential loans 3.7 3.5 3.6 4.0 3.5 0.0 3.5 1.8 2.9 4.0

Home equity loans 19.7 9.8 7.8 7.1 5.7 0.0 0.0 0.0 19.7 0.0

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

Auto loans 4.5 3.2 2.7 2.3 2.0 0.0 0.0 0.0 4.5 0.0

Other consumer loans 3.7 3.6 3.3 4.5 4.2 0.0 0.0 0.0 2.2 5.3

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

All other loans, leases, and other assets 0.1 0.1 0.3 0.2 0.2 0.0 0.0 0.0 1.7 0.0

Total loans, leases, and other assets 3.4 3.2 3.2 3.6 3.2 0.0 0.0 0.0 4.4 3.3

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

1-4 family residential loans 1.0 1.0 1.1 1.1 1.1 0.0 1.4 0.6 1.2 0.9

Home equity loans 29.3 33.6 33.5 35.9 39.4 0.0 0.0 0.0 29.3 0.0

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

Auto loans 0.8 0.6 0.5 0.5 0.5 0.0 0.0 0.0 0.8 0.0

Other consumer loans 3.6 3.7 3.4 4.0 4.1 0.0 0.0 0.0 1.5 5.6

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

All other loans, leases, and other assets 0.3 0.3 0.3 0.2 0.3 0.0 0.0 1.2 0.3 0.2

Total loans, leases, and other assets 0.8 0.8 0.9 0.9 1.0 0.0 0.0 0.0 1.3 0.8

Securitized Loans, Leases, and Other Assets Charged-off 

(net, YTD, annualized, %) 

1-4 family residential loans 0.0 0.2 0.2 0.1 0.0 0.0 0.0 0.0 0.0 0.0

Home equity loans 6.9 8.6 6.9 3.6 0.9 0.0 0.0 0.0 6.9 0.0

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

Auto loans 0.5 1.9 1.2 0.7 0.3 0.0 0.0 0.0 0.5 0.0

Other consumer loans 0.1 0.7 0.5 0.4 0.2 0.0 0.0 0.0 0.1 0.2

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

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

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

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

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

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

Commercial and industrial loans 0 629 644 623 427 -100.0 0 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 0 0

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

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

Assets Sold with Recourse and Not Securitized 

Number of institutions reporting asset sales 339 371 388 437 442 -23.3 9 122 142 57 9

Outstanding Principal Balance by Asset Type 

1-4 family residential loans 27,752 30,320 29,841 90,099 25,577 8.5 59 4,158 11,101 10,588 1,845

All other loans, leases, and other assets 123,427 124,159 122,896 121,462 118,898 3.8 0 10 135 33,160 90,122

Total sold and not securitized 151,179 154,479 152,737 211,560 144,475 4.6 59 4,168 11,236 43,748 91,967

Maximum Credit Exposure by Asset Type 

1-4 family residential loans 9,675 10,161 10,181 10,410 7,376 31.2 4 453 4,806 3,490 922

All other loans, leases, and other assets 35,313 34,793 34,483 34,162 33,545 5.3 0 10 92 10,332 24,879

Total credit exposure 44,989 44,953 44,665 44,572 40,922 9.9 4 463 4,898 13,823 25,801

Support for Securitization Facilities Sponsored by Other Institutions 

Number of institutions reporting securitization facilities sponsored by others 36 36 37 41 40 10.0 1 8 13 8 6

Total credit exposure 22,894 23,214 23,169 23,532 22,527 1.6 0 0 0 1,497 21,397

Total unused liquidity commitments 208 413 411 658 492 -57.7 0 0 0 94 114

Other

Assets serviced for others** 6,185,753 6,187,210 6,102,813 6,095,333 6,128,925 0.9 3,865 143,479 324,116 1,191,013 4,523,281

Asset-backed commercial paper conduits 

Credit exposure to conduits sponsored by institutions and others 18,170 17,948 16,186 16,249 17,150 5.9 0 0 0 0 18,170

Unused liquidity commitments to conduits sponsored by institutions 

 and others 30,889 31,652 30,536 29,907 29,998 3.0 0 0 0 801 30,088

Net servicing income (for the quarter) -1,757 2,203 300 -304 1,524 -215.3 6 195 -2 -582 -1,374

Net securitization income (for the quarter) 37 138 65 72 79 -53.2 0 2 3 4 28

Total credit exposure to Tier 1 capital (%)*** 3.6 3.6 3.6 3.5 3.5 0.0 0.0 0.6 2.3 5.5

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

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

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

QUARTERLY BANKING PROFILE

FDIC QUARTERLY 15

COMMUNITY BANK PERFORMANCE

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

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

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

designated during the previous quarter.

Net Income Drops 20.9 Percent Primarily Because of Higher Provisions in Response to Economic Conditions

Net Operating Revenue Rises 4.1 Percent From One Year Ago

Community Bank Loan Growth Holds Steady at 5.8 Percent Year Over Year

Asset Quality Weakens Modestly Through Increase in Noncurrent Loans

Increased Provisions 

Contribute to Lower 

Community Bank Earnings

Net income for community banks fell to $4.8 billion in first quarter 2020, $1.3 billion 

less than the amount reported one year ago. This decline reflects an increase in provision 

expenses resulting in part from bank management teams’ expectations of increased credit 

losses due to the adverse economic impact of the COVID-19 pandemic. Provision expenses 

totaled $1.8 billion as of first quarter 2020—three times the amount reported during 

the year-ago quarter. Less than 1 percent of community banks (42 institutions) adopted 

the current expected credit losses (CECL) accounting standard. However, nearly half of 

community banks reported an increase in loan loss provisions compared with the year-ago 

quarter. The increase in provision expenses drove the pretax return on assets (ROA) ratio 

down 38 basis points to 1.02 percent. Still, community banks reported a ROA ratio that was 

59 basis points higher than that of noncommunity banks.

Net Interest Income Rises 

Despite Margin Pressure

Net operating revenue (net interest income plus total noninterest income) totaled $23 billion 

(up $904 million, or 4.1 percent from first quarter 2019), with year-over-year growth in net 

interest income (up 2.1 percent) and noninterest income (up 13 percent). More than half of 

community banks (55.7 percent) reported higher net interest income compared with the 

year-ago quarter. Higher interest income on nonresidential real estate loans (up $477 million, 

or 5.3 percent) and consumer loans (up $111 million, or 11 percent) drove the increase in 

interest income. Despite the improvement in net interest income, the average net interest 

margin (NIM) collar compressed 12 basis points to 3.55 percent compared to the year-ago 

level. A decline in average yields, which outpaced the decline in average funding costs, drove 

the NIM compression.

Contributors to the Year-Over-Year Change in Income 

FDIC-Insured Community Banks 

Source: FDIC.

$ Billions

Net

Income

Net

Interest

Income

Loan Loss

Provisions

Noninterest

Income

Noninterest

Expense

Realized

Gains on

Securities

Income

Taxes

Positive Factor Negative Factor

-1.5

-1.0

-0.5

0.0

0.5

1.0

1.5

+2% +199% +13% +7% -197% -31%

-$1.28 $0.37 $1.21 $0.53 $0.99 -$0.36 -$0.37

-21%

Chart 1

Source: FDIC.

Net Interest Margin

Percent 

Community Banks (3.55)

Industry (3.13)

2.75

3.00

3.25

3.50

3.75

4.00

4.25

2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

Chart 2
2 0 2 0  •  Volume 1 4 • Number 2

16 FDIC QUARTERLY

Change in Loan Balances and Unused Commitments 

FDIC-Insured Community Banks 

Source: FDIC.

$ Billions Change 1Q 2020 vs. 1Q 2019

Change 1Q 2020 vs. 4Q 2019

Loan Balances

Unused

Commitments

Nonfarm

Nonresidential

RE

Commercial &

Industrial

1–4 Family

Residential

RE

Construction &

Development

Agricultural

Production

Commercial RE

& Construction

Commercial

& Industrial

0

-5

5

10

15

20

25

30

35

40

34.2

14.3

8.2

13.7

0.2

5.9 5.9

8.9

6.0

2.6 2.3

-1.5 -0.6 -1.0

Chart 3

Noncurrent Loan Rates for FDIC-Insured Community Banks

Source: FDIC.

Share of Loan Portfolio Noncurrent

Percent

0

2

4

6

8

10

12

14

16

C&D Loans

Nonfarm Nonresidential RE

1–4 Family RE

C&I Loans 

Farm Loans

Home Equity

2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

Chart 4

Noninterest Income Grows 

13 Percent From the 

Year-Ago Level

Net gains on loan sales totaled $461.6 million (up 72.7 percent), as community banks sold 

at a premium loans with greater yields that were made under higher interest rate environments. This increase drove noninterest income up $531 million (13 percent) to $4.6 billion 

compared with the same period one year ago. Nearly two-thirds of community banks 

(64.5 percent) reported higher noninterest income.

Noninterest Expenses Rise 

on Higher Payroll Costs

Noninterest expenses rose $985.7 million (6.9 percent) to $15.3 billion from a year ago. An 

additional $603.3 million (7.3 percent) in payroll expenses drove this increase. Community 

banks added 5,289 full-time employees (up 1.4 percent) to the payroll during the year ending 

first quarter 2020, which supported a 4.5 percent boost in average assets per employee. 

Nearly three-fourths of community banks (72.4 percent) reported higher noninterest 

expenses compared with first quarter 2019. The efficiency ratio was up 2.1 percentage points 

to 66.1 percent year over year, reflecting a slight reduction in operational efficiency.

Community Bank Loan 

Growth Persists Amid 

Weakening Economic 

Conditions

Total loans and leases expanded $87.1 billion (5.8 percent) to $1.6 trillion, with 73 percent of 

community banks reporting growth in loan and lease balances compared with first quarter 

2019. The following major loan categories fueled loan growth: nonfarm nonresidential loans 

(up $34.2 billion, or 7.7 percent), commercial and industrial (C&I) loans (up $14.3 billion, 

or 7.1 percent), 1–4 family residential real estate loans (up $14.1 billion, or 3.3 percent), and 

construction and development (C&D) loans (up $8.2 billion, or 7.7 percent). Unused loan 

commitments totaled $316.6 billion and were up $21.6 billion (7.3 percent) compared with 

the year-ago level.

Loan growth since the previous quarter totaled $21.3 billion (up 1.4 percent) and was 

primarily driven by the same major loan categories: nonfarm nonresidential loans (up 

$8.9 billion, or 1.9 percent), C&I loans (up $6 billion, or 2.8 percent), 1–4 family residential real estate loans (up $2.6 billion, or 0.7 percent), and C&D loans (up $2.3 billion, or 

2 percent).
QUARTERLY BANKING PROFILE

FDIC QUARTERLY 17

Noncurrent Loan Balances 

Rise 9.2 Percent in the 

First Quarter

Community banks reported a quarterly increase in noncurrent loans (up $1.1 billion, or 

9.2 percent). Growth in noncurrent loans was most pronounced in the following categories: nonfarm nonresidential loans (up $350.4 million, or 12.1 percent), C&I loans (up 

$242 million, or 12.9 percent), and farm loans (up $238.9 million, or 14 percent). Of these 

categories, noncurrent farm loans as a percentage of total farm loans registered the highest increase for the quarter—20 basis points to 1.53 percent. Most of the deterioration in 

the farm loan portfolio was in the farm land category. The noncurrent rate for farm land 

loans rose 27 basis points during the same period to 1.75 percent—a high since second 

quarter 2012.

Net Charge-Off Rates 

Remain Relatively Low

Net charge-offs of loans and leases grew $112 million (32.4 percent) year over year but 

declined $249 million (35.2 percent) from the previous quarter. The net charge-off rate for 

total loans was 0.12 percent—7 basis points lower compared with fourth quarter 2019 but 

3 basis points higher when compared with first quarter 2019. The net charge-off rate for 

C&I loans rose the most among major loan categories, up 9 basis points year over year to 

0.27 percent.

Domestic Deposit Growth 

Supports Expanded 

Loan Volume

Domestic deposits of $1.8 trillion grew 1.6 percent in the quarter and 5.4 percent year over 

year. Domestic interest-bearing deposit inflows of $23.6 billion (up 1.7 percent) outpaced that 

of noninterest-bearing deposits of $5.8 billion (up 1.5 percent).

Leverage Capital Ratios 

Hold Steady

Total equity capital grew $2.5 billion (1 percent) during the quarter, and the leverage capital 

ratio increased by 2 basis points to 11.1 percent. The tier 1 risk-based capital ratio for the 

3,013 community banks that did not elect to report under the community bank leverage 

ratio (CBLR) option was 14.18 percent. The average CBLR for the 1,668 banks that made this 

election was 12.19 percent.

Number of Community 

Banks Declines

As of first quarter 2020, the FDIC insured 4,681 community banks, a decline of 69 community banks from the previous quarter. This decline includes 55 mergers or consolidations, 

ten net community bank transitions to noncommunity bank designations, three voluntary 

closures, and one failure.

Author:

Erica Jill Tholmer

Senior Financial Analyst

Division of Insurance and Research
2 0 2 0  •  Volume 1 4 • Number 2

18 FDIC QUARTERLY

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

2020* 2019* 2019 2018 2017 2016 2015

Return on assets (%) 0.87 1.16 1.20 1.19 0.96 0.99 0.99

Return on equity (%) 7.44 10.17 10.25 10.58 8.65 8.81 8.85

Core capital (leverage) ratio (%) 11.13 11.11 11.15 11.09 10.80 10.69 10.67

Noncurrent assets plus other real estate owned to assets (%) 0.68 0.68 0.65 0.70 0.78 0.94 1.07

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

Asset growth rate (%) -0.20 2.21 -1.17 2.22 1.17 2.97 2.74

Net interest margin (%) 3.55 3.67 3.66 3.72 3.62 3.57 3.57

Net operating income growth (%) -22.02 5.90 -3.98 28.01 0.21 2.42 9.57

Number of institutions reporting 4,681 4,931 4,750 4,980 5,228 5,462 5,736

Percentage of unprofitable institutions (%) 6.81 4.04 3.94 3.63 5.72 4.67 5.04

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

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

(dollar figures in millions)  1st Quarter

2020

4th Quarter

2019

1st Quarter

2019

%Change 

19Q1-20Q1

Number of institutions reporting 4,681 4,750 4,931 -5.1

Total employees (full-time equivalent) 395,453 400,320 406,472 -2.7

CONDITION DATA

Total assets $2,252,306 $2,231,313 $2,256,801 -0.2

Loans secured by real estate 1,209,956 1,206,858 1,234,099 -2.0

 1-4 Family residential mortgages 391,139 393,213 398,875 -1.9

 Nonfarm nonresidential 479,578 474,568 477,316 0.5

 Construction and development 114,166 113,168 113,390 0.7

 Home equity lines 45,767 46,490 47,505 -3.7

Commercial & industrial loans 216,694 212,815 217,100 -0.2

Loans to individuals 65,309 66,106 64,031 2.0

 Credit cards 1,995 2,158 1,988 0.4

Farm loans 50,583 52,209 50,942 -0.7

Other loans & leases 38,957 40,857 39,910 -2.4

Less: Unearned income 538 557 639 -15.8

Total loans & leases 1,580,961 1,578,289 1,605,442 -1.5

Less: Reserve for losses* 19,241 17,700 18,265 5.3

Net loans and leases 1,561,720 1,560,589 1,587,178 -1.6

Securities** 382,675 379,279 392,127 -2.4

Other real estate owned 2,385 2,462 2,984 -20.1

Goodwill and other intangibles 17,688 17,689 16,724 5.8

All other assets 287,838 271,293 257,787 11.7

Total liabilities and capital 2,252,306 2,231,313 2,256,801 -0.2

Deposits 1,842,769 1,834,301 1,859,523 -0.9

 Domestic office deposits 1,840,677 1,831,888 1,857,213 -0.9

 Foreign office deposits 2,092 2,414 2,310 -9.4

 Brokered deposits 62,008 63,341 77,199 -19.7

Estimated insured deposits 1,340,017 1,331,377 1,354,569 -1.1

Other borrowed funds 124,485 114,766 119,138 4.5

Subordinated debt 338 339 618 -45.3

All other liabilities 22,533 19,225 17,777 26.8

Total equity capital (includes minority interests) 262,180 262,681 259,746 0.9

 Bank equity capital 262,089 262,594 259,678 0.9

Loans and leases 30-89 days past due 11,503 8,756 9,211 24.9

Noncurrent loans and leases 12,842 11,955 12,372 3.8

Restructured loans and leases 5,219 5,519 6,032 -13.5

Mortgage-backed securities 185,082 179,942 176,815 4.7

Earning assets 2,095,308 2,078,572 2,105,535 -0.5

FHLB Advances 100,080 92,543 95,849 4.4

Unused loan commitments 316,559 314,154 313,216 1.1

Trust assets 241,405 328,900 269,923 -10.6

Assets securitized and sold 17,786 17,049 12,965 37.2

Notional amount of derivatives 148,922 102,452 83,752 77.8

INCOME DATA

Full Year

 2019

Full Year

 2018 %Change

1st Quarter 

2020

1st Quarter 

2019

%Change 

19Q1-20 Q1

Total interest income $92,463 $90,272 2.4 $22,758 $23,917 -4.8

Total interest expense 18,898 14,533 30.0 4,398 4,766 -7.7

Net interest income 73,565 75,739 -2.9 18,360 19,151 -4.1

Provision for credit losses*** 2,901 2,933 -1.1 1,824 663 174.9

Total noninterest income 18,903 18,363 2.9 4,625 4,258 8.6

Total noninterest expense 59,585 60,209 -1.0 15,293 15,074 1.4

Securities gains (losses) 781 40 1,831.5 -177 167 -206.3

Applicable income taxes 5,095 4,929 3.4 847 1,331 -36.4

Extraordinary gains, net**** 128 3 N/M 1 -2 N/M

Total net income (includes minority interests) 25,796 26,074 -1.1 4,845 6,505 -25.5

 Bank net income 25,785 26,063 -1.1 4,841 6,505 -25.6

Net charge-offs 2,012 1,941 3.7 458 362 26.3

Cash dividends 13,318 11,530 15.5 3,155 3,286 -4.0

Retained earnings 12,467 14,532 -14.2 1,686 3,219 -47.6

Net operating income 25,007 26,044 -4.0 4,969 6,373 -22.0

* For institutions that have adopted ASU 2016-13, this item represents the allowance for credit losses on loans and leases held for investment and allocated transfer risk.

** For institutions that have adopted ASU 2016-13, securities are reported net of allowances for credit losses.

*** For institutions that have adopted ASU 2016-13, this item represents provisions for credit losses on a consolidated basis; for institutions that have not adopted ASU 2016-13, 

this item represents the provision for loan and lease losses.

**** See Notes to Users for explanation. N/M - Not Meaningful
QUARTERLY BANKING PROFILE

FDIC QUARTERLY 19

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

Prior Periods Adjusted for Mergers

(dollar figures in millions)  1st Quarter 

2020

4th Quarter 

2019

1st Quarter

2019

%Change 

19Q1-20 Q1

Number of institutions reporting 4,681 4,681 4,670 0.2

Total employees (full-time equivalent) 395,453 395,059 390,164 1.4

CONDITION DATA

Total assets $2,252,306 $2,205,686 $2,117,988 6.3

Loans secured by real estate 1,209,956 1,194,109 1,145,582 5.6

 1-4 Family residential mortgages 391,139 388,512 377,448 3.6

 Nonfarm nonresidential 479,578 470,654 445,341 7.7

 Construction and development 114,166 111,876 106,005 7.7

 Home equity lines 45,767 45,620 45,361 0.9

Commercial & industrial loans 216,694 210,728 202,384 7.1

Loans to individuals 65,309 65,265 61,500 6.2

 Credit cards 1,995 2,138 1,961 1.7

Farm loans 50,583 52,125 50,410 0.3

Other loans & leases 38,957 37,969 34,480 13.0

Less: Unearned income 538 553 541 -0.5

Total loans & leases 1,580,961 1,559,645 1,493,815 5.8

Less: Reserve for losses* 19,241 17,533 17,282 11.3

Net loans and leases 1,561,720 1,542,112 1,476,533 5.8

Securities** 382,675 377,407 376,803 1.6

Other real estate owned 2,385 2,437 2,867 -16.8

Goodwill and other intangibles 17,688 17,237 16,060 10.1

All other assets 287,838 266,493 245,725 17.1

Total liabilities and capital 2,252,306 2,205,686 2,117,988 6.3

Deposits 1,842,769 1,813,694 1,748,272 5.4

 Domestic office deposits 1,840,677 1,811,280 1,745,962 5.4

 Foreign office deposits 2,092 2,414 2,310 -9.4

 Brokered deposits 62,008 59,674 70,786 -12.4

Estimated insured deposits 1,340,017 1,314,858 1,290,349 3.8

Other borrowed funds 124,485 113,067 107,989 15.3

Subordinated debt 338 339 360 -5.9

All other liabilities 22,533 18,890 16,219 38.9

Total equity capital (includes minority interests) 262,180 259,696 245,148 6.9

 Bank equity capital 262,089 259,609 245,083 6.9

Loans and leases 30-89 days past due 11,503 8,671 8,922 28.9

Noncurrent loans and leases 12,842 11,759 11,942 7.5

Restructured loans and leases 5,219 5,482 5,856 -10.9

Mortgage-backed securities 185,082 179,324 166,099 11.4

Earning assets 2,095,308 2,055,024 1,974,410 6.1

FHLB Advances 100,080 91,218 86,728 15.4

Unused loan commitments 316,559 309,917 294,965 7.3

Trust assets 241,405 327,563 262,610 -8.1

Assets securitized and sold 17,786 17,049 16,661 6.8

Notional amount of derivatives 148,922 100,145 77,534 92.1

INCOME DATA

Full Year

 2019

Full Year

 2018 %Change

1st Quarter 

2020

1st Quarter 

2019

%Change 

19Q1-20 Q1

Total interest income $91,417 $83,076 10.0 $22,758 $22,386 1.7

Total interest expense 18,652 13,238 40.9 4,398 4,400 0.0

Net interest income 72,765 69,838 4.2 18,360 17,986 2.1

Provision for credit losses*** 2,878 2,555 12.7 1,824 609 199.3

Total noninterest income 18,466 16,974 8.8 4,625 4,094 13.0

Total noninterest expense 58,816 55,945 5.1 15,293 14,307 6.9

Securities gains (losses) 777 16 N/M -177 182 N/M

Applicable income taxes 4,979 4,378 13.7 847 1,222 -30.7

Extraordinary gains, net**** 128 3 N/M 1 -2 N/M

Total net income (includes minority interests) 25,463 23,952 6.3 4,845 6,123 -20.9

 Bank net income 25,453 23,940 6.3 4,841 6,123 -20.9

Net charge-offs 1,988 1,643 21.0 458 346 32.4

Cash dividends 13,117 10,950 19.8 3,155 3,091 2.1

Retained earnings 12,336 12,990 -5.0 1,686 3,031 -44.4

Net operating income 24,678 23,941 3.1 4,969 5,977 -16.9

* For institutions that have adopted ASU 2016-13, this item represents the allowance for credit losses on loans and leases held for investment and allocated transfer risk.

** For institutions that have adopted ASU 2016-13, securities are reported net of allowances for credit losses.

*** For institutions that have adopted ASU 2016-13, this item represents provisions for credit losses on a consolidated basis; for institutions that have not adopted ASU 2016-13, 

this item represents the provision for loan and lease losses.

**** See Notes to Users for explanation. N/M - Not Meaningful
2 0 2 0  •  Volume 1 4 • Number 2

20 FDIC QUARTERLY

TABLE III-B. Aggregate Condition and Income Data by Geographic Region, FDIC-Insured Community Banks

First Quarter 2020

(dollar figures in millions) All Community Banks

Geographic Regions*

New York Atlanta Chicago Kansas City Dallas San Francisco

Number of institutions reporting 4,681 530 531 1,024 1,263 1,043 290

Total employees (full-time equivalent) 395,453 80,825 44,131 81,144 69,617 85,891 33,845

CONDITION DATA

Total assets $2,252,306 $588,040 $233,143 $399,634 $379,170 $429,043 $223,277

Loans secured by real estate 1,209,956 357,359 127,173 208,647 184,231 214,080 118,466

 1-4 Family residential mortgages 391,139 136,915 38,924 66,330 53,979 67,922 27,068

 Nonfarm nonresidential 479,578 130,914 57,470 80,734 62,848 88,548 59,064

 Construction and development 114,166 25,700 14,223 17,068 16,493 30,448 10,233

 Home equity lines 45,767 14,210 6,096 9,331 5,117 5,090 5,922

Commercial & industrial loans 216,694 52,356 19,847 41,744 39,235 41,545 21,966

Loans to individuals 65,309 17,228 5,908 12,316 10,881 12,708 6,268

 Credit cards 1,995 436 110 227 574 219 428

Farm loans 50,583 641 1,272 8,114 29,078 8,729 2,748

Other loans & leases 38,957 11,475 3,265 6,426 6,631 6,783 4,377

Less: Unearned income 538 98 80 47 99 123 91

Total loans & leases 1,580,961 438,960 157,385 277,201 269,958 283,722 153,735

Less: Reserve for losses** 19,241 4,766 1,811 3,333 3,622 3,548 2,160

Net loans and leases 1,561,720 434,194 155,574 273,868 266,336 280,173 151,575

Securities*** 382,675 82,649 41,163 72,902 64,287 84,011 37,663

Other real estate owned 2,385 397 446 454 427 551 111

Goodwill and other intangibles 17,688 5,074 1,275 3,316 2,567 3,015 2,442

All other assets 287,838 65,726 34,685 49,095 45,554 61,293 31,486

Total liabilities and capital 2,252,306 588,040 233,143 399,634 379,170 429,043 223,277

Deposits 1,842,769 465,069 193,866 326,248 312,156 360,996 184,434

 Domestic office deposits 1,840,677 464,561 193,853 326,108 312,156 360,996 183,003

 Foreign office deposits 2,092 508 13 140 0 0 1,431

 Brokered deposits 62,008 22,670 4,354 9,442 11,832 8,938 4,772

 Estimated insured deposits 1,340,017 336,226 138,864 254,615 240,768 254,836 114,708

Other borrowed funds 124,485 47,045 10,257 22,832 20,393 14,862 9,096

Subordinated debt 338 231 12 31 11 42 11

All other liabilities 22,533 8,065 1,987 3,490 3,061 3,307 2,622

Total equity capital (includes minority interests) 262,180 67,630 27,021 47,032 43,549 49,834 27,114

 Bank equity capital 262,089 67,605 27,017 46,990 43,548 49,817 27,113

Loans and leases 30-89 days past due 11,503 2,746 1,225 1,942 2,236 2,585 769

Noncurrent loans and leases 12,842 3,421 1,180 2,460 2,321 2,624 836

Restructured loans and leases 5,219 1,719 454 1,256 798 624 368

Mortgage-backed securities 185,082 47,305 20,565 31,867 25,879 36,635 22,829

Earning assets 2,095,308 548,803 215,664 371,869 353,825 397,668 207,477

FHLB Advances 100,080 39,818 8,748 17,681 15,587 11,507 6,739

Unused loan commitments 316,559 84,113 27,905 55,473 57,716 54,483 36,868

Trust assets 241,405 49,924 7,614 51,822 80,877 34,955 16,213

Assets securitized and sold 17,786 7,978 72 4,989 3,374 1,177 196

Notional amount of derivatives 148,922 54,998 12,679 25,951 28,068 15,970 11,256

INCOME DATA

Total interest income $22,758 $5,680 $2,355 $3,971 $3,959 $4,529 $2,264

Total interest expense 4,398 1,336 420 743 781 795 323

Net interest income 18,360 4,344 1,934 3,228 3,178 3,734 1,942

Provision for credit losses  1,824 655 162 253 234 278 243

Total noninterest income 4,625 932 464 1,122 831 914 364

Total noninterest expense 15,293 3,653 1,672 2,864 2,564 3,075 1,465

Securities gains (losses) -177 -369 29 52 39 53 19

Applicable income taxes 847 98 102 209 159 154 124

Extraordinary gains, net** *** 1 0 0 0 0 0 0

Total net income (includes minority interests) 4,845 501 490 1,076 1,091 1,194 493

 Bank net income 4,841 499 490 1,075 1,091 1,193 493

Net charge-offs 458 126 33 63 79 109 47

Cash dividends 3,155 486 248 813 680 628 300

Retained earnings 1,686 13 242 263 411 565 192

Net operating income 4,969 793 467 1,028 1,057 1,147 477

* See Table V-A for explanation.

** For institutions that have adopted ASU 2016-13, this item represents the allowance for credit losses on loans and leases held for investment and allocated transfer risk.

*** For institutions that have adopted ASU 2016-13, securities are reported net of allowances for credit losses.

  For institutions that have adopted ASU 2016-13, this item represents provisions for credit losses on a consolidated basis; for institutions that have not adopted ASU 2016-13, 

this item represents the provision for loan and lease losses.

** *** See Notes to Users for explanation.
QUARTERLY BANKING PROFILE

FDIC QUARTERLY 21

Table IV-B. First Quarter 2020, FDIC-Insured Community Banks

Performance ratios (annualized, %)

All Community Banks First Quarter 2020, Geographic Regions*

 1st Quarter 

2020

4th Quarter 

2019 New York Atlanta Chicago Kansas City Dallas San Francisco

Yield on earning assets 4.39 4.55 4.20 4.43 4.31 4.52 4.61 4.40

Cost of funding earning assets 0.85 0.93 0.99 0.79 0.81 0.89 0.81 0.63

Net interest margin 3.55 3.62 3.21 3.64 3.50 3.62 3.80 3.78

Noninterest income to assets 0.83 0.94 0.64 0.81 1.13 0.88 0.86 0.66

Noninterest expense to assets 2.75 2.83 2.52 2.91 2.89 2.73 2.90 2.65

Loan and lease loss provision to assets 0.33 0.16 0.45 0.28 0.26 0.25 0.26 0.44

Net operating income to assets 0.89 1.11 0.55 0.81 1.04 1.12 1.08 0.86

Pretax return on assets 1.02 1.36 0.41 1.03 1.30 1.33 1.27 1.12

Return on assets 0.87 1.15 0.34 0.85 1.09 1.16 1.13 0.89

Return on equity 7.44 9.73 2.97 7.33 9.21 10.08 9.65 7.32

Net charge-offs to loans and leases 0.12 0.18 0.12 0.09 0.09 0.12 0.15 0.12

Loan and lease loss provision to net charge-offs 398.36 121.42 520.12 485.10 399.84 295.37 255.49 511.82

Efficiency ratio 66.11 65.33 68.85 69.16 65.33 63.49 65.86 63.26

Net interest income to operating revenue 79.88 78.25 82.33 80.67 74.21 79.28 80.34 84.23

% of unprofitable institutions 6.81 7.89 16.60 8.10 6.45 3.33 4.79 10.34

% of institutions with earnings gains 45.23 53.92 29.81 43.88 48.73 52.18 44.77 34.83

Table V-B. Full Year 2019, FDIC-Insured Community Banks

Performance ratios (%)

All Community Banks Full Year 2019, Geographic Regions*

Full Year

 2019

Full Year

 2018 New York Atlanta Chicago Kansas City Dallas San Francisco

Yield on earning assets 4.61 4.43 4.39 4.68 4.53 4.70 4.82 4.66

Cost of funding earning assets 0.94 0.71 1.10 0.87 0.90 0.98 0.89 0.72

Net interest margin 3.66 3.72 3.30 3.80 3.62 3.72 3.93 3.94

Noninterest income to assets 0.88 0.84 0.67 0.83 1.19 0.89 0.94 0.74

Noninterest expense to assets 2.76 2.75 2.51 2.96 2.89 2.73 2.97 2.65

Loan and lease loss provision to assets 0.13 0.13 0.11 0.11 0.11 0.16 0.17 0.15

Net operating income to assets 1.16 1.19 0.89 1.07 1.30 1.29 1.27 1.25

Pretax return on assets 1.43 1.42 1.22 1.31 1.60 1.50 1.47 1.60

Return on assets 1.20 1.19 0.97 1.10 1.33 1.31 1.29 1.26

Return on equity 10.25 10.58 8.26 9.46 11.37 11.46 11.15 10.47

Net charge-offs to loans and leases 0.13 0.13 0.11 0.10 0.10 0.15 0.18 0.16

Loan and lease loss provision to net charge-offs 144.16 151.09 137.83 158.71 150.64 144.78 143.63 138.94

Efficiency ratio 64.05 63.64 66.48 67.42 62.88 62.01 64.51 60.07

Net interest income to operating revenue 79.56 80.49 82.20 80.94 73.86 79.60 79.52 83.26

% of unprofitable institutions 3.94 3.63 5.19 5.95 4.10 2.90 2.75 6.14

% of institutions with earnings gains 63.75 78.57 60.19 64.68 65.71 61.46 65.02 66.89

* See Table V-A for explanation.
2 0 2 0  •  Volume 1 4 • Number 2

22 FDIC QUARTERLY

Table VI-B. Loan Performance, FDIC-Insured Community Banks

March 31, 2020

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 0.67 0.60 0.75 0.72 0.75 0.81 0.37

Construction and development 0.66 0.87 0.48 0.41 0.75 0.73 0.41

Nonfarm nonresidential 0.52 0.51 0.44 0.65 0.58 0.56 0.29

Multifamily residential real estate 0.21 0.23 0.24 0.22 0.14 0.44 0.04

Home equity loans 0.58 0.67 0.67 0.52 0.43 0.69 0.39

Other 1-4 family residential 0.91 0.74 1.34 0.99 0.81 1.17 0.54

Commercial and industrial loans 0.75 0.64 0.82 0.59 0.74 1.03 0.76

Loans to individuals 1.43 1.54 1.39 0.85 0.97 2.29 1.38

Credit card loans 2.27 2.65 1.45 1.15 3.32 1.49 1.66

Other loans to individuals 1.40 1.51 1.38 0.85 0.84 2.30 1.35

All other loans and leases (including farm) 0.90 0.12 0.54 0.68 1.30 0.80 1.09

Total loans and leases 0.73 0.63 0.78 0.70 0.83 0.91 0.50

Percent of Loans Noncurrent

All loans secured by real estate 0.78 0.78 0.76 0.90 0.81 0.84 0.45

Construction and development 0.63 0.67 0.58 0.72 0.65 0.51 0.79

Nonfarm nonresidential 0.68 0.75 0.63 0.82 0.66 0.74 0.31

Multifamily residential real estate 0.26 0.20 0.34 0.48 0.23 0.22 0.20

Home equity loans 0.53 0.59 0.45 0.51 0.34 0.48 0.67

Other 1-4 family residential 0.92 1.04 0.99 1.00 0.61 0.99 0.45

Commercial and industrial loans 0.98 0.93 0.68 1.02 0.94 1.20 0.96

Loans to individuals 0.60 0.51 0.62 0.34 0.46 1.16 0.43

Credit card loans 1.16 1.43 0.53 0.61 1.69 0.69 0.89

Other loans to individuals 0.58 0.49 0.62 0.33 0.39 1.17 0.40

All other loans and leases (including farm) 0.98 0.33 0.88 0.85 1.17 1.24 0.92

Total loans and leases 0.81 0.78 0.75 0.89 0.86 0.92 0.54

Percent of Loans Charged-Off (net, YTD)

All loans secured by real estate 0.04 0.06 0.00 0.04 0.03 0.04 0.01

Construction and development 0.03 0.06 -0.02 0.01 0.00 0.04 0.03

Nonfarm nonresidential 0.06 0.10 0.00 0.08 0.05 0.05 0.01

Multifamily residential real estate 0.01 0.00 -0.02 0.07 -0.03 0.02 0.00

Home equity loans 0.01 0.01 0.02 0.01 0.01 0.05 -0.03

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

Commercial and industrial loans 0.27 0.21 0.37 0.18 0.19 0.39 0.40

Loans to individuals 0.97 1.05 0.94 0.40 1.18 1.09 1.25

Credit card loans 6.79 4.81 2.06 2.06 16.19 1.51 2.69

Other loans to individuals 0.78 0.95 0.92 0.37 0.32 1.08 1.14

All other loans and leases (including farm) 0.21 0.15 0.21 0.24 0.18 0.32 0.21

Total loans and leases 0.12 0.12 0.09 0.09 0.12 0.15 0.12

Loans Outstanding (in billions)

All loans secured by real estate $1,210.0 $357.4 $127.2 $208.6 $184.2 $214.1 $118.5

Construction and development 114.2 25.7 14.2 17.1 16.5 30.4 10.2

Nonfarm nonresidential 479.6 130.9 57.5 80.7 62.8 88.5 59.1

Multifamily residential real estate 102.2 47.3 6.0 17.6 11.4 7.8 12.1

Home equity loans 45.8 14.2 6.1 9.3 5.1 5.1 5.9

Other 1-4 family residential 391.1 136.9 38.9 66.3 54.0 67.9 27.1

Commercial and industrial loans 216.7 52.4 19.8 41.7 39.2 41.5 22.0

Loans to individuals 65.3 17.2 5.9 12.3 10.9 12.7 6.3

Credit card loans 2.0 0.4 0.1 0.2 0.6 0.2 0.4

Other loans to individuals 63.3 16.8 5.8 12.1 10.3 12.5 5.8

All other loans and leases (including farm) 89.5 12.1 4.5 14.5 35.7 15.5 7.1

Total loans and leases 1,581.5 439.1 157.5 277.2 270.1 283.8 153.8

Memo: Unfunded Commitments (in millions)

Total Unfunded Commitments 316,559 84,113 27,905 55,473 57,716 54,483 36,868

Construction and development: 1-4 family residential 24,728 4,818 3,542 2,798 3,344 7,550 2,677

Construction and development: CRE and other 65,608 20,426 6,582 9,799 8,821 13,409 6,572

Commercial and industrial 99,746 25,768 7,476 20,781 17,454 16,957 11,310

* See Table V-A for explanation.

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

FDIC QUARTERLY 23

Insurance Fund Indicators

Insured Deposits Grow by 4.5 Percent in the First Quarter

DIF Reserve Ratio Declines 2 Basis Points to 1.39 Percent

One Institution Fails During the First Quarter

During the first quarter, the Deposit Insurance Fund (DIF) balance increased by $2.9 billion 

to $113.2 billion. This is the strongest quarterly increase to the DIF since the third quarter of 

2017. Unrealized gains on available-for-sale securities of $1.5 billion, assessment income of 

$1.4 billion, and interest earned on investments of $507 million were the largest contributors 

to the increase. Operating expenses of $460 million and a provision for insurance losses of 

$12 million reduced the fund. One institution with assets of $101 million failed during the 

first quarter of 2020, with an estimated cost to the DIF of $14 million.

Domestic deposits held by FDIC-insured commercial banks and savings institutions 

increased by $1.1 trillion (8.2 percent) during the first quarter, the largest quarterly 

increase on record. Domestic savings and interest-bearing checking accounts increased 

by $646.8 billion (8.1 percent), noninterest-bearing deposits increased by $446.3 billion 

(14.1 percent), and time deposits decreased by $7.2 billion (0.4 percent). Deposits held in 

foreign offices increased by $155.9 billion (11.8 percent).

The deposit insurance assessment base—average consolidated total assets minus average tangible equity—increased by 2.0 percent in the first quarter and by 5.9 percent over 12 months.1,2

Total estimated insured deposits increased by 4.5 percent ($353.7 billion) in the quarter and 

by 6.2 percent year over year. Excluding the quarters when deposit insurance coverage limits 

were increased in 2009 

3

 and 2010,4 this was the largest one-quarter increase in estimated 

insured deposits since quarterly reporting was adopted in 1991. For institutions reporting as 

of March 31, 2020, and December 31, 2019, estimated insured deposits increased during the 

first quarter at 3,794 institutions (74 percent), decreased at 1,301 institutions (25 percent), 

and remained unchanged at 27 institutions.

The strong quarterly growth in insured deposits more than offset the quarterly increase in 

the DIF. As a result, the DIF reserve ratio declined 2 basis points to 1.39 percent at March 31, 

2020. This was the first quarterly decline for the DIF reserve ratio since the fourth quarter of 

2009. The March 31, 2020, DIF reserve ratio was 3 basis points higher than the previous year.

Small banks earned a total of $765 million in credits for the portion of their assessments 

that contributed to growth in the reserve ratio from 1.15 percent to 1.35 percent. The credits 

are automatically applied to offset the assessments of small banks when the reserve ratio is 

at least 1.35 percent.5 The FDIC will apply estimated credits of $51 million in June to offset 

first quarter assessments. This represents the final quarter that the FDIC will apply credits to 

offset assessments. Over $5 million in credits will remain and be remitted to banks that did 

not fully use their credits during the application period.

Author:

Kevin Brown

Senior Financial Analyst

Division of Insurance and Research

1 There are additional adjustments to the assessment base for banker’s banks and custodial banks.

2 Figures for the assessment base and estimated insured deposits include insured branches of foreign banks, in addition to insured 

commercial banks and savings institutions.

3 Beginning September 30, 2009, the Helping Families Save Their Homes Act of 2009 increased the permanent deposit insurance 

coverage limit for deposits other than retirement accounts from $100,000 to $250,000.

4 The Dodd-Frank Wall Street Reform and Consumer Protection Act temporarily provided unlimited deposit insurance coverage 

for noninterest-bearing transaction accounts from December 31, 2010, through December 31, 2012.

5 In November 2019, the FDIC Board of Directors authorized a rule change that would require the FDIC to apply the small bank 

credits in any assessment quarter in which the reserve ratio is at least 1.35 percent. The rule also requires the FDIC to apply the 

small bank credits for four assessment periods and then remit the full nominal value of any remaining small bank credits.
2 0 2 0  •  Volume 1 4 • Number 2

24 FDIC QUARTERLY

DIF Reserve Ratios

Percent of Insured Deposits

1.33 1.36 1.36 1.36 1.41

1.20 1.24 1.27 1.30 1.30

1.40 1.41 1.39

3/17 6/17 9/17 12/17 3/18 6/18 9/18 12/18 3/19 6/19 9/19 12/19 3/20

Table I-C. Insurance Fund Balances and Selected Indicators

(dollar figures in millions)

Deposit Insurance Fund*

1st 

Quarter 

2020

4th 

Quarter 

2019

3rd 

Quarter 

2019

2nd 

Quarter 

2019

1st 

Quarter 

2019

4th 

Quarter 

2018

3rd 

Quarter 

2018

2nd 

Quarter 

2018

1st 

Quarter 

2018

4th 

Quarter 

2017

3rd 

Quarter 

2017

2nd 

Quarter 

2017

1st 

Quarter 

2017

Beginning Fund Balance $110,347 $108,940 $107,446 $104,870 $102,609 $100,204 $97,588 $95,072 $92,747 $90,506 $87,588 $84,928 $83,162

Changes in Fund Balance:

Assessments earned 1,372 1,272 1,111 1,187 1,369 1,351 2,728 2,598 2,850 2,656 2,568 2,634 2,737

Interest earned on 

investment securities 507 531 544 535 507 481 433 381 338 305 274 251 227

Realized gain on sale of

investments 0 0 0 0 0 0 0 0 0 0 0 0 0

Operating expenses 460 460 443 459 434 453 434 445 433 443 404 450 442

Provision for insurance 

losses 12 -88 -192 -610 -396 -236 -121 -141 -65 -203 -512 -233 765

All other income, 

net of expenses 2 21 4 9 2 2 2 3 1 3 1 4 2

Unrealized gain/(loss) on 

available-for-sale 

securities** 1,450 -45 86 694 421 788 -234 -162 -496 -481 -33 -12 7

Total fund balance change 2,859 1,407 1,494 2,576 2,261 2,405 2,616 2,516 2,325 2,242 2,918 2,660 1,766

Ending Fund Balance 113,206 110,347 108,940 107,446 104,870 102,609 100,204 97,588 95,072 92,747 90,506 87,588 84,928

Percent change from 

 four quarters earlier 7.95 7.54 8.72 10.10 10.31 10.63 10.72 11.42 11.95 11.53 12.14 12.42 13.06

Reserve Ratio (%) 1.39 1.41 1.41 1.40 1.36 1.36 1.36 1.33 1.30 1.30 1.27 1.24 1.20

Estimated Insured 

Deposits 8,168,747 7,815,088 7,735,964 7,689,094 7,694,319 7,522,518 7,375,962 7,354,111 7,333,318 7,154,403 7,099,459 7,047,638 7,079,209

Percent change from 

 four quarters earlier 6.17 3.89 4.88 4.56 4.92 5.15 3.89 4.35 3.59 3.45 4.16 5.62 6.29

Domestic Deposits 14,350,234 13,262,206 13,020,254 12,788,773 12,725,362 12,659,395 12,367,954 12,280,904 12,305,817 12,129,503 11,966,478 11,827,933 11,856,691

Percent change from 

 four quarters earlier 12.77 4.76 5.27 4.14 3.41 4.37 3.36 3.83 3.79 3.73 3.99 5.20 6.28

Assessment Base*** 16,483,693 16,156,668 15,904,511 15,684,024 15,561,868 15,452,229 15,229,530 15,113,666 15,068,512 15,001,411 14,834,140 14,702,880 14,620,762

Percent change from 

 four quarters earlier 5.92 4.56 4.43 3.77 3.27 3.01 2.67 2.79 3.06 3.01 3.14 3.60 4.48 `

Number of Institutions 

Reporting 5,125 5,186 5,267 5,312 5,371 5,415 5,486 5,551 5,615 5,679 5,747 5,796 5,865

Deposit Insurance Fund Balance 

and Insured Deposits

($ Millions)

DIF 

Balance

DIF-Insured 

Deposits

3/17 $84,928 $7,079,209

6/17 87,588 7,047,638

9/17 90,506 7,099,459

12/17 92,747 7,154,403

3/18 95,072 7,333,318

6/18 97,588 7,354,111

9/18 100,204 7,375,962

12/18 102,609 7,522,518

3/19 104,870 7,694,319

6/19 107,446 7,689,094

9/19 108,940 7,735,964

12/19 110,347 7,815,088

3/20 113,206 8,168,747

Table II-C. Problem Institutions and Failed Institutions

(dollar figures in millions) 2020  2019** ** 2019 2018 2017 2016 2015 2014

Problem Institutions

Number of institutions 54 59 51 60 95 123 183 291

Total assets $44,519 $46,665 $46,190 $48,489 $13,939 $27,624 $46,780 $86,712

Failed Institutions

Number of institutions 1 0 4 0 8 5 8 18

Total assets***** $101 $0 $209 $0 $5,082 $277 $6,706 $2,914

* Quarterly financial statement results are unaudited.

** Includes unrealized postretirement benefit gain (loss).

*** Average consolidated total assets minus tangible equity, with adjustments for banker’s banks and custodial banks.

‘  Through March 31.

** *** Total assets are based on final Call Reports submitted by failed institutions.
QUARTERLY BANKING PROFILE

FDIC QUARTERLY 25

Table III-C. Estimated FDIC-Insured Deposits by Type of Institution

(dollar figures in millions)

March 31, 2020

Number of 

Institutions

Total 

Assets

Domestic 

Deposits*

Est. Insured 

Deposits

Commercial Banks and Savings Institutions

FDIC-Insured Commercial Banks 4,464 $19,018,943 $13,318,628 $7,330,515

 FDIC-Supervised 2,980 3,145,936 2,470,801 1,630,542

 OCC-Supervised 781 12,954,850 8,836,794 4,703,016

 Federal Reserve-Supervised 703 2,918,158 2,011,034 996,957

FDIC-Insured Savings Institutions 652 1,234,612 987,234 801,111

 OCC-Supervised 292 555,133 426,664 359,523

 FDIC-Supervised 323 359,805 270,497 213,124

 Federal Reserve-Supervised 37 319,674 290,074 228,464

Total Commercial Banks and Savings Institutions 5,116 20,253,556 14,305,862 8,131,626

Other FDIC-Insured Institutions

U.S. Branches of Foreign Banks 9 89,303 44,372 37,121

Total FDIC-Insured Institutions 5,125 20,342,859 14,350,234 8,168,747

* Excludes $1.5 trillion in foreign office deposits, which are not FDIC insured.

Table IV-C. Distribution of Institutions and Assessment Base by Assessment Rate Range

Quarter Ending December 31, 2019 (dollar figures in billions)

Annual Rate in Basis Points*

Number of 

Institutions

Percent of Total 

Institutions

Amount of 

Assessment Base**

Percent of Total 

Assessment Base

1.50 - 3.00 3,282 63.29 $7,938.7 49.14

3.01 - 6.00 1,375 26.51 7,146.2 44.23

6.01 - 10.00 411 7.93 925.2 5.73

10.01 - 15.00 56 1.08 119.1 0.74

15.01 - 20.00 54 1.04 10.4 0.06

20.01 - 25.00 3 0.06 4.7 0.03

> 25.00 5 0.10 12.4 0.08

* Assessment rates do not incorporate temporary surcharges on large banks.

** Beginning in the second quarter of 2011, the assessment base was changed to average consolidated total assets minus tangible equity, as required by the Dodd-Frank Act.
2 0 2 0  •  Volume 1 4 • Number 2

26 FDIC QUARTERLY

Notes to Users

This publication contains financial data and other information for 

depository institutions insured by the Federal Deposit Insurance 

Corporation (FDIC). These notes are an integral part of this publication and provide information regarding the comparability of source 

data and reporting differences over time.

Tables I-A through VIII-A.

The information presented in Tables I-A through VIII-A of the 

FDIC Quarterly Banking Profile is aggregated for all FDIC-insured 

Call Report filers, both commercial banks and savings institutions. 

Some tables are arrayed by groups of FDIC-insured institutions 

based on predominant types of asset concentration, while other tables 

aggregate institutions by asset size and geographic region. Quarterly 

and full-year data are provided for selected indicators, including 

aggregate condition and income data, performance ratios, condition 

ratios, and structural changes, as well as past due, noncurrent, and 

charge-off information for loans outstanding and other assets.

Tables I-B through VI-B.

The information presented in Tables I-B through VI-B is aggregated 

for all FDIC-insured commercial banks and savings institutions 

meeting the criteria for community banks that were developed for 

the FDIC’s Community Banking Study, published in December, 2012: 

http://www.fdic.gov/regulations/resources/cbi/report/cbi-full.pdf.

The determination of which insured institutions are considered 

community banks is based on five steps.

The first step in defining a community bank is to aggregate all 

charter-level data reported under each holding company into 

a single banking organization. This aggregation applies both to 

balance-sheet measures and the number and location of banking 

offices. Under the FDIC definition, if the banking organization is 

designated as a community bank, every charter reporting under that 

organization is also considered a community bank when working 

with data at the charter level.

The second step is to exclude any banking organization where more 

than 50 percent of total assets are held in certain specialty banking 

charters, including: credit card specialists, consumer nonbank banks, 

industrial loan companies, trust companies, bankers’ banks, and banks 

holding 10 percent or more of total assets in foreign offices.

Once the specialty organizations are removed, the third step involves 

including organizations that engage in basic banking activities as 

measured by the total loans-to-assets ratio (greater than 33 percent) 

and the ratio of core deposits to assets (greater than 50 percent). Core 

deposits are defined as non-brokered deposits in domestic offices. 

Analysis of the underlying data shows that these thresholds establish 

meaningful levels of basic lending and deposit gathering and still 

allow for a degree of diversity in how individual banks construct their 

balance sheets.

The fourth step includes organizations that operate within a limited geographic scope. This limitation of scope is used as a proxy 

measure for a bank’s relationship approach to banking. Banks that 

operate within a limited market area have more ease in managing 

relationships at a personal level. Under this step, four criteria are 

applied to each banking organization. They include both a minimum and maximum number of total banking offices, a maximum 

level of deposits for any one office, and location-based criteria. 

The limits on the number of and deposits per office are adjusted 

upward quarterly. For banking offices, banks must have more than 

one office, and the maximum number of offices is 40 in 1985 and 

reached 87 in 2016. The maximum level of deposits for any one 

office is $1.25 billion in deposits in 1985 and reached $6.97 billion 

in deposits in 2016. The remaining geographic limitations are also 

based on maximums for the number of states (fixed at 3) and large 

metropolitan areas (fixed at 2) in which the organization maintains 

offices. Branch office data are based on the most recent data from 

the annual June 30 Summary of Deposits Survey that are available at 

the time of publication. 

Finally, the definition establishes an asset-size limit, also adjusted 

upward quarterly and below which the limits on banking activities 

and geographic scope are waived. The asset-size limit is $250 million 

in 1985 and reached $1.39 billion in 2016. This final step acknowledges the fact that most of those small banks that are not excluded 

as specialty banks meet the requirements for banking activities and 

geographic limits in any event.

Summary of FDIC Research Definition of Community 

Banking Organizations

Community banks are designated at the level of the banking 

organization.

(All charters under designated holding companies are considered 

community banking charters.)

Exclude: Any organization with:

— No loans or no core deposits

— Foreign Assets ≥ 10% of total assets

— More than 50% of assets in certain specialty banks, including:

• credit card specialists

• consumer nonbank banks1

• industrial loan companies

• trust companies

• bankers’ banks

Include: All remaining banking organizations with:

— Total assets < indexed size threshold 

2

— Total assets ≥ indexed size threshold, where:

• Loan to assets > 33%

• Core deposits to assets > 50%

• More than 1 office but no more than the indexed maximum 

number of offices.3

• Number of large MSAs with offices ≤ 2

• Number of states with offices ≤ 3

• No single office with deposits > indexed maximum branch 

deposit size.4

Tables I-C through IV-C.

A separate set of tables (Tables I-C through IV-C) provides comparative quarterly data related to the Deposit Insurance Fund (DIF), 

problem institutions, failed institutions, estimated FDIC-insured 

deposits, as well as assessment rate information. Depository insti1 Consumer nonbank banks are financial institutions with limited charters that can 

make commercial loans or take deposits, but not both.

2 Asset size threshold indexed to equal $250 million in 1985 and $1.39 billion in 2016.

3 Maximum number of offices indexed to equal 40 in 1985 and 87 in 2016.

4 Maximum branch deposit size indexed to equal $1.25 billion in 1985 and $6.97 billion 

in 2016.
QUARTERLY BANKING PROFILE

FDIC QUARTERLY 27

tutions that are not insured by the FDIC through the DIF are not 

included in the FDIC Quarterly Banking Profile. U.S. branches of 

institutions headquartered in foreign countries and non-deposit trust 

companies are not included unless otherwise indicated. Efforts are 

made to obtain financial reports for all active institutions. However, 

in some cases, final financial reports are not available for institutions 

that have closed or converted their charters.

DATA SOURCES

The financial information appearing in this publication is obtained 

primarily from the Federal Financial Institutions Examination 

Council (FFIEC) Consolidated Reports of Condition and Income 

(Call Reports) and the OTS Thrift Financial Reports (TFR) submitted 

by all FDIC-insured depository institutions. (TFR filers began filing 

Call Reports effective with the quarter ending March 31, 2012.) This 

information is stored on and retrieved from the FDIC’s Research 

Information System (RIS) database.

COMPUTATION METHODOLOGY

Parent institutions are required to file consolidated reports, while 

their subsidiary financial institutions are still required to file separate reports. Data from subsidiary institution reports are included 

in the Quarterly Banking Profile tables, which can lead to doublecounting. No adjustments are made for any double-counting of subsidiary data. Additionally, certain adjustments are made to the OTS 

Thrift Financial Reports to provide closer conformance with the 

reporting and accounting requirements of the FFIEC Call Reports.

(TFR filers began filing Call Reports effective with the quarter 

ending March 31, 2012.)

All condition and performance ratios represent weighted averages, 

which is the sum of the individual numerator values divided by the 

sum of individual denominator values. All asset and liability figures 

used in calculating performance ratios represent average amounts for 

the period (beginning-of-period amount plus end-of-period amount 

plus any interim periods, divided by the total number of periods). For 

“pooling-of-interest” mergers, the assets of the acquired institution(s) 

are included in average assets, since the year-to-date income includes 

the results of all merged institutions. No adjustments are made for 

“purchase accounting” mergers. Growth rates represent the percentage change over a 12-month period in totals for institutions in the 

base period to totals for institutions in the current period. For the 

community bank subgroup, growth rates will reflect changes over 

time in the number and identities of institutions designated as community banks, as well as changes in the assets and liabilities, and 

income and expenses of group members. Unless indicated otherwise, 

growth rates are not adjusted for mergers or other changes in the 

composition of the community bank subgroup. When community 

bank growth rates are adjusted for mergers, prior period balances 

used in the calculations represent totals for the current group of community bank reporters, plus prior period amounts for any institutions 

that were subsequently merged into current community banks.

All data are collected and presented based on the location of each 

reporting institution’s main office. Reported data may include assets 

and liabilities located outside of the reporting institution’s home 

state. In addition, institutions may relocate across state lines or 

change their charters, resulting in an inter-regional or inter-industry 

migration; institutions can move their home offices between regions, 

savings institutions can convert to commercial banks, or commercial 

banks may convert to savings institutions.

ACCOUNTING CHANGES

Financial accounting pronouncements by the Financial Accounting 

Standards Board (FASB) can result in changes in an individual 

bank’s accounting policies and in the Call Reports they submit. Such 

accounting changes can affect the aggregate amounts presented in the 

QBP for the current period and the period-to-period comparability of 

such financial data. 

The current quarter’s Financial Institution Letter (FIL) and related 

Call Report supplemental instructions can provide additional explanation to the QBP reader beyond any material accounting changes 

discussed in the QBP analysis.

https://www.fdic.gov/news/news/financial/2020/fil20039.html

https://www.fdic.gov/news/news/financial/2020/fil20039.pdf

https://www.fdic.gov/regulations/resources/call/call.html

Further information on changes in financial statement presentation, 

income recognition and disclosure is available from the FASB. http://

www.fasb.org/jsp/FASB/Page/LandingPage&cid=1175805317350.

DEFINITIONS (in alphabetical order)

All other assets – total cash, balances due from depository institutions, premises, fixed assets, direct investments in real estate, 

investment in unconsolidated subsidiaries, customers’ liability on 

acceptances outstanding, assets held in trading accounts, federal 

funds sold, securities purchased with agreements to resell, fair market value of derivatives, prepaid deposit insurance assessments, and 

other assets.

All other liabilities – bank’s liability on acceptances, limited-life preferred stock, allowance for estimated off-balance-sheet credit losses, 

fair market value of derivatives, and other liabilities.

Assessment base – effective April 1, 2011, the deposit insurance 

assessment base changed to “average consolidated total assets minus 

average tangible equity” with an additional adjustment to the assessment base for banker’s banks and custodial banks, as permitted under 

Dodd-Frank. Previously the assessment base was “assessable deposits” and consisted of deposits in banks’ domestic offices with certain 

adjustments.

Assessment rate schedule – Initial base assessment rates for small 

institutions are based on a combination of financial ratios and 

CAMELS component ratings. Initial rates for large institutions—

generally those with at least $10 billion in assets—are also based 

on CAMELS component ratings and certain financial measures 

combined into two scorecards—one for most large institutions and 

another for the remaining very large institutions that are structurally 

and operationally complex or that pose unique challenges and risks 

in case of failure (highly complex institutions). The FDIC may take 

additional information into account to make a limited adjustment to 

a large institution’s scorecard results, which are used to determine a 

large institution’s initial base assessment rate.

While risk categories for small institutions (except new institutions) were eliminated effective July 1, 2016, initial rates for small 

institutions are subject to minimums and maximums based on an 

institution’s CAMELS composite rating. (Risk categories for large 

institutions were eliminated in 2011.)

The current assessment rate schedule became effective July 1, 2016. 

Under the current schedule, initial base assessment rates range 

from 3 to 30 basis points. An institution’s total base assessment rate 
2 0 2 0  •  Volume 1 4 • Number 2

28 FDIC QUARTERLY

may differ from its initial rate due to three possible adjustments: 

(1) Unsecured Debt Adjustment: An institution’s rate may decrease 

by up to 5 basis points for unsecured debt. The unsecured debt 

adjustment cannot exceed the lesser of 5 basis points or 50 percent 

of an institution’s initial base assessment rate (IBAR). Thus, for 

example, an institution with an IBAR of 3 basis points would have a 

maximum unsecured debt adjustment of 1.5 basis points and could 

not have a total base assessment rate lower than 1.5 basis points. 

(2) Depository Institution Debt Adjustment: For institutions that 

hold long-term unsecured debt issued by another insured depository institution, a 50 basis point charge is applied to the amount of 

such debt held in excess of 3 percent of an institution’s Tier 1 capital. 

(3) Brokered Deposit Adjustment: Rates for large institutions that are 

not well capitalized or do not have a composite CAMELS rating of 

1 or 2 may increase (not to exceed 10 basis points) if their brokered 

deposits exceed 10 percent of domestic deposits.

The assessment rate schedule effective July 1, 2016, is shown in the 

following table:

Total Base Assessment Rates*

Established Small Banks Large and 

Highly 

Complex 

Institutions**

CAMELS Composite

1 or 2 3 4 or 5

Initial Base 

Assessment Rate 3 to 16 6 to 30 16 to 30 3 to 30

Unsecured Debt 

Adjustment -5 to 0 -5 to 0 -5 to 0 -5 to 0

Brokered Deposit 

Adjustment N/A N/A N/A 0 to 10

Total Base 

Assessment Rate 1.5 to 16 3 to 30 11 to 30 1.5 to 40

* All amounts for all categories are in basis points annually. Total base rates that 

are not the minimum or maximum rate will vary between these rates. Total base 

assessment rates do not include the depository institution debt adjustment.

 ** Effective July 1, 2016, large institutions are also subject to temporary 

assessment surcharges in order to raise the reserve ratio from 1.15 percent to 

1.35  percent. The surcharges amount to 4.5 basis points of a large institution’s 

assessment base (after making certain adjustments).

Each institution is assigned a risk-based rate for a quarterly assessment period near the end of the quarter following the assessment 

period. Payment is generally due on the 30th day of the last month 

of the quarter following the assessment period. Supervisory rating 

changes are effective for assessment purposes as of the examination 

transmittal date.

Assets securitized and sold – total outstanding principal balance 

of assets securitized and sold with servicing retained or other sellerprovided credit enhancements.

Capital Purchase Program (CPP) – as announced in October 2008 

under the TARP, the Treasury Department purchase of noncumulative perpetual preferred stock and related warrants that is treated as 

Tier 1 capital for regulatory capital purposes is included in “Total 

equity capital.” Such warrants to purchase common stock or noncumulative preferred stock issued by publicly-traded banks are 

reflected as well in “Surplus.” Warrants to purchase common stock or 

noncumulative preferred stock of not-publicly-traded bank stock are 

classified in a bank’s balance sheet as “Other liabilities.”

Common equity Tier 1 capital ratio – ratio of common equity 

Tier 1 capital to risk-weighted assets. Common equity Tier 1 capital 

includes common stock instruments and related surplus, retained 

earnings, accumulated other comprehensive income (AOCI), and 

limited amounts of common equity Tier 1 minority interest, minus 

applicable regulatory adjustments and deductions. Items that are fully 

deducted from common equity Tier 1 capital include goodwill, other 

intangible assets (excluding mortgage servicing assets) and certain 

deferred tax assets; items that are subject to limits in common equity 

Tier 1 capital include mortgage servicing assets, eligible deferred tax 

assets, and certain significant investments. Beginning March 2020, 

this ratio does not include institutions that have a Community Bank 

Leverage Ratio election in effect at the report date.

Construction and development loans – includes loans for all 

property types under construction, as well as loans for land acquisition and development.

Core capital – common equity capital plus noncumulative perpetual 

preferred stock plus minority interest in consolidated subsidiaries, 

less goodwill and other ineligible intangible assets. The amount of 

eligible intangibles (including servicing rights) included in core capital is limited in accordance with supervisory capital regulations.

Cost of funding earning assets – total interest expense paid on 

deposits and other borrowed money as a percentage of average 

earning assets.

Credit enhancements – techniques whereby a company attempts to 

reduce the credit risk of its obligations. Credit enhancement may be 

provided by a third party (external credit enhancement) or by the 

originator (internal credit enhancement), and more than one type of 

enhancement may be associated with a given issuance.

Deposit Insurance Fund (DIF) – the Bank (BIF) and Savings 

Association (SAIF) Insurance Funds were merged in 2006 by the 

Federal Deposit Insurance Reform Act to form the DIF.

Derivatives notional amount – the notional, or contractual, amounts 

of derivatives represent the level of involvement in the types of 

derivatives transactions and are not a quantification of market risk or 

credit risk. Notional amounts represent the amounts used to calculate 

contractual cash flows to be exchanged.

Derivatives credit equivalent amount – the fair value of the derivative plus an additional amount for potential future credit exposure 

based on the notional amount, the remaining maturity and type of 

the contract.

Derivatives transaction types:

Futures and forward contracts – contracts in which the buyer 

agrees to purchase and the seller agrees to sell, at a specified future 

date, a specific quantity of an underlying variable or index at a 

specified price or yield. These contracts exist for a variety of variables or indices, (traditional agricultural or physical commodities, 

as well as currencies and interest rates). Futures contracts are 

standardized and are traded on organized exchanges which set 

limits on counterparty credit exposure. Forward contracts do not 

have standardized terms and are traded over the counter.

Option contracts – contracts in which the buyer acquires the right 

to buy from or sell to another party some specified amount of an 

underlying variable or index at a stated price (strike price) during 

a period or on a specified future date, in return for compensation 

(such as a fee or premium). The seller is obligated to purchase or 

sell the variable or index at the discretion of the buyer of the 

contract.

Swaps – obligations between two parties to exchange a series of 

cash flows at periodic intervals (settlement dates), for a specified 

period. The cash flows of a swap are either fixed, or determined 

for each settlement date by multiplying the quantity (notional 
QUARTERLY BANKING PROFILE

FDIC QUARTERLY 29

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 noninterest-bearing transaction accounts as a new 

temporary deposit insurance account category. All funds held in 

noninterest-bearing transaction accounts were fully insured, without 

limit, from December 31, 2010, through December 31, 2012.

Failed/assisted institutions – an institution fails when regulators 

take control of the institution, placing the assets and liabilities into a 

bridge bank, conservatorship, receivership, or another healthy institution. This action may require the FDIC to provide funds to cover 

losses. An institution is defined as “assisted” when the institution 

remains open and receives assistance in order to continue operating.

Fair Value – the valuation of various assets and liabilities on the 

balance sheet—including trading assets and liabilities, available-forsale securities, loans held for sale, assets and liabilities accounted for 

under the fair value option, and foreclosed assets—involves the use 

of fair values. During periods of market stress, the fair values of some 

financial instruments and nonfinancial assets may decline.

FHLB advances – all borrowings by FDIC-insured institutions from 

the Federal Home Loan Bank System (FHLB), as reported by Call 

Report filers, and by TFR filers prior to March 31, 2012.

Goodwill and other intangibles – intangible assets include servicing 

rights, purchased credit card relationships, and other identifiable 

intangible assets. Goodwill is the excess of the purchase price over the 

fair market value of the net assets acquired, less subsequent impairment adjustments. Other intangible assets are recorded at fair value, 

less subsequent quarterly amortization and impairment adjustments.

Loans secured by real estate – includes home equity loans, junior 

liens secured by 1-4 family residential properties, and all other loans 

secured by real estate.

Loans to individuals – includes outstanding credit card balances and 

other secured and unsecured consumer loans.

Long-term assets (5+ years) – loans and debt securities with remaining maturities or repricing intervals of over five years.

Maximum credit exposure – the maximum contractual credit 

exposure remaining under recourse arrangements and other sellerprovided credit enhancements provided by the reporting bank to 

securitizations.

Mortgage-backed securities – certificates of participation in pools 

of residential mortgages and collateralized mortgage obligations 

issued or guaranteed by government-sponsored or private enterprises. Also, see “Securities,” below.

Net charge-offs – total loans and leases charged off (removed from 

balance sheet because of uncollectability), less amounts recovered on 

loans and leases previously charged off.

Net interest margin – the difference between interest and dividends 

earned on interest-bearing assets and interest paid to depositors and 

other creditors, expressed as a percentage of average earning assets. 

No adjustments are made for interest income that is tax exempt.

Net loans to total assets – loans and lease financing receivables, net 

of unearned income, allowance and reserves, as a percent of total 

assets on a consolidated basis.

Net operating income – income excluding discretionary transactions such as gains (or losses) on the sale of investment securities and 

extraordinary items. Income taxes subtracted from operating income 

have been adjusted to exclude the portion applicable to securities 

gains (or losses).

Noncurrent assets – the sum of loans, leases, debt securities, and 

other assets that are 90 days or more past due, or in nonaccrual status.

Noncurrent loans & leases – the sum of loans and leases 90 days or 

more past due, and loans and leases in nonaccrual status.

Number of institutions reporting – the number of institutions that 

actually filed a financial report.

New reporters – insured institutions filing quarterly financial reports 

for the first time.

Other borrowed funds – federal funds purchased, securities sold with 

agreements to repurchase, demand notes issued to the U.S. Treasury, 

FHLB advances, other borrowed money, mortgage indebtedness, 

obligations under capitalized leases and trading liabilities, less revaluation losses on assets held in trading accounts.

Other real estate owned – primarily foreclosed property. Direct and 

indirect investments in real estate ventures are excluded. The amount 

is reflected net of valuation allowances. For institutions that filed a 

Thrift Financial Report (TFR), the valuation allowance subtracted also 

includes allowances for other repossessed assets. Also, for TFR filers 

the components of other real estate owned are reported gross of valuation allowances. (TFR filers began filing Call Reports effective with 

the quarter ending March 31, 2012.)

Percent of institutions with earnings gains – the percent of institutions that increased their net income (or decreased their losses) compared to the same period a year earlier.

“Problem” institutions – federal regulators assign a composite rating 

to each financial institution, based upon an evaluation of financial 

and operational criteria. The rating is based on a scale of 1 to 5 in 

ascending order of supervisory concern. “Problem” institutions are 

those institutions with financial, operational, or managerial weaknesses that threaten their continued financial viability. Depending 

upon the degree of risk and supervisory concern, they are rated 

either a “4” or “5.” The number and assets of “problem” institutions 
2 0 2 0  •  Volume 1 4 • Number 2

30 FDIC QUARTERLY

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.

Risk-weighted assets – assets adjusted for risk-based capital definitions which include on-balance-sheet as well as off-balance-sheet 

items multiplied by risk-weights that range from zero to 200 percent. 

A conversion factor is used to assign a balance sheet equivalent 

amount for selected off-balance-sheet accounts.

Securities – excludes securities held in trading accounts. Banks’ securities portfolios consist of securities designated as “held-to-maturity” 

(reported at amortized cost (book value)), securities designated as 

“available-for-sale” (reported at fair (market) value), and equity 

securities with readily determinable fair values not held for trading.

Securities gains (losses) – realized gains (losses) on held-tomaturity and available-for-sale securities, before adjustments for 

income taxes. Thrift Financial Report (TFR) filers also include gains 

(losses) on the sales of assets held for sale. (TFR filers began filing 

Call Reports effective with the quarter ending March 31, 2012.)

Seller’s interest in institution’s own securitizations – the reporting 

bank’s ownership interest in loans and other assets that have been 

securitized, except an interest that is a form of recourse or other 

seller-provided credit enhancement. Seller’s interests differ from 

the securities issued to investors by the securitization structure. The 

principal amount of a seller’s interest is generally equal to the total 

principal amount of the pool of assets included in the securitization 

structure less the principal amount of those assets attributable to 

investors, i.e., in the form of securities issued to investors.

Small Business Lending Fund – The Small Business Lending Fund 

(SBLF) was enacted into law in September 2010 as part of the Small 

Business Jobs Act of 2010 to encourage lending to small businesses 

by providing capital to qualified community institutions with assets 

of less than $10 billion. The SBLF Program is administered by the 

U.S. Treasury Department (http://www.treasury.gov/resource-center/

sb-programs/Pages/Small-Business-Lending-Fund.aspx).

Under the SBLF Program, the Treasury Department purchased 

noncumulative perpetual preferred stock from qualifying depository 

institutions and holding companies (other than Subchapter S and 

mutual institutions). When this stock has been issued by a depository 

institution, it is reported as “Perpetual preferred stock and related 

surplus.” For regulatory capital purposes, this noncumulative 

perpetual preferred stock qualifies as a component of Tier 1 capital. 

Qualifying Subchapter S corporations and mutual institutions issue 

unsecured subordinated debentures to the Treasury Department 

through the SBLF. Depository institutions that issued these 

debentures report them as “Subordinated notes and debentures.” 

For regulatory capital purposes, the debentures are eligible for 

inclusion in an institution’s Tier 2 capital in accordance with their 

primary federal regulator’s capital standards. To participate in the 

SBLF Program, an institution with outstanding securities issued 

to the Treasury Department under the Capital Purchase Program 

(CPP) was required to refinance or repay in full the CPP securities 

at the time of the SBLF funding. Any outstanding warrants that an 

institution issued to the Treasury Department under the CPP remain 

outstanding after the refinancing of the CPP stock through the SBLF 

Program unless the institution chooses to repurchase them.

Subchapter S corporation – a Subchapter S corporation is treated 

as a pass-through entity, similar to a partnership, for federal income 

tax purposes. It is generally not subject to any federal income taxes at 

the corporate level. This can have the effect of reducing institutions’ 

reported taxes and increasing their after-tax earnings.

Trust assets – market value, or other reasonably available value of 

fiduciary and related assets, to include marketable securities, and 

other financial and physical assets. Common physical assets held in 

fiduciary accounts include real estate, equipment, collectibles, and 

household goods. Such fiduciary assets are not included in the assets 

of the financial institution.

Unearned income and contra accounts – unearned income for Call 

Report filers only.

Unused loan commitments – includes credit card lines, home equity 

lines, commitments to make loans for construction, loans secured 

by commercial real estate, and unused commitments to originate 

or purchase loans. (Excluded are commitments after June 2003 for 

originated mortgage loans held for sale, which are accounted for as 

derivatives on the balance sheet.)

Yield on earning assets – total interest, dividend, and fee income 

earned on loans and investments as a percentage of average 

earning assets.