# EDGAR Filing Document

**Accession Number:** 0001336706
**File Stem:** 0001336706-25-000004
**Filing Date:** 2025-8
**Character Count:** 588602
**Document Hash:** 5eaf103bfdb8c75b574d247dc7228d04
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001336706-25-000004.hdr.sgml**: 20250813

**ACCESSION NUMBER**: 0001336706-25-000004

**CONFORMED SUBMISSION TYPE**: 10-Q

**PUBLIC DOCUMENT COUNT**: 200

**CONFORMED PERIOD OF REPORT**: 20250630

**FILED AS OF DATE**: 20250813

**DATE AS OF CHANGE**: 20250813

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** NORTHPOINTE BANCSHARES INC
- **CENTRAL INDEX KEY:** 0001336706
- **STANDARD INDUSTRIAL CLASSIFICATION:** STATE COMMERCIAL BANKS [6022]
- **ORGANIZATION NAME:** 02 Finance
- **EIN:** 000000000
- **STATE OF INCORPORATION:** MI

**FILING VALUES:**
- **FORM TYPE:** 10-Q
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 001-42517
- **FILM NUMBER:** 251211386

**BUSINESS ADDRESS:**
- **STREET 1:** 3333 DEPOSIT DRIVE NE
- **CITY:** GRAND RAPIDS
- **STATE:** MI
- **ZIP:** 49546
- **BUSINESS PHONE:** 616-974-8491

**MAIL ADDRESS:**
- **STREET 1:** 3333 DEPOSIT DRIVE NE
- **CITY:** GRAND RAPIDS
- **STATE:** MI
- **ZIP:** 49546

?xml version='1.0' encoding='ASCII'? npb-20250630

**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**UNITED STATES**

**SECURITIES AND EXCHANGE COMMISSION**

**Washington, D.C. 20549**

___________________________

**FORM 10-Q**

___________________________

**(Mark One)**

⌧ **QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934**

**For the quarterly period ended June 30, 2025**

**OR**

□ **TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934**

**For the transition period from to .**

**Commission file number 001-42517**

___________________________

**Northpointe Bancshares, Inc.**

___________________________

**(Exact name of registrant as specified in its charter)**

---

| | |
|:---|:---|
| **Michigan** | **38-3413392** |
| (State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification No.) |
| **3333 Deposit Drive Northeast** <br>**Grand Rapids, Michigan** | **49546** |
| (Address of Principal Executive Offices) | (Zip Code) |

---

**(616) 940-9400**

Registrant's telephone number, including area code

Securities registered pursuant to Section 12(b) of the Act:

Title of each class Trading Symbol(s) Name of each exchange on which registered <br> <u>Common stock, no par value</u> <u>NPB</u> <u>New York Stock Exchange</u>

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

Yes ⌧ No □

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).

Yes ⌧ No □

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of "large accelerated filer," "accelerated filer," "smaller reporting company, "and "emerging growth company" in Rule 12b-2 of the Exchange Act.

---

| | | | |
|:---|:---|:---|:---|
| Large accelerated filer | □ | Accelerated filer | □ |
| Non-accelerated filer | ⌧ | Smaller reporting company | □ |
| | | Emerging growth company | ⌧ |

---

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

□

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Act).

Yes □ No ⌧

As of August 13, 2025, there were 34,364,659 shares of the registrant's Common Stock outstanding.

------

**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Table of Contents**

---

| | | |
|:---|:---|:---|
| **[PART I](#i0d12813fa9fa4534936657d4fdc47a6e_196) - FINANCIAL INFORMATION** | **[PART I](#i0d12813fa9fa4534936657d4fdc47a6e_196) - FINANCIAL INFORMATION** | **[PART I](#i0d12813fa9fa4534936657d4fdc47a6e_196) - FINANCIAL INFORMATION** |
| [Item 1.](#i0d12813fa9fa4534936657d4fdc47a6e_217) | Financial Statements | [6](#i0d12813fa9fa4534936657d4fdc47a6e_13) |
|  | Consolidated Balance Sheets – June 30, 2025 and December 31, 2024 (unaudited) | [6](#i0d12813fa9fa4534936657d4fdc47a6e_16) |
|  | Consolidated Statements of Income – Three and Six Months Ended June 30, 2025 and 2024 (unaudited) | [7](#i0d12813fa9fa4534936657d4fdc47a6e_22) |
|  | Consolidated Statements of Comprehensive Income – Three and Six Months Ended June 30, 2025 and 2024 (unaudited) | [8](#i0d12813fa9fa4534936657d4fdc47a6e_25) |
|  | Consolidated Statements of Changes in Stockholders' Equity – Three and Six Months Ended June 30, 2025 and 2024 (unaudited)&nbsp;&nbsp;&nbsp;&nbsp; | [9](#i0d12813fa9fa4534936657d4fdc47a6e_31) |
|  | Consolidated Statements of Cash Flows – Six Months Ended June 30, 2025 and 2024 (unaudited) | [10](#i0d12813fa9fa4534936657d4fdc47a6e_37) |
|  | Notes to Consolidated Financial Statements (unaudited)&nbsp;&nbsp;&nbsp;&nbsp; | [11](#i0d12813fa9fa4534936657d4fdc47a6e_40) |
| Item 2. | Management's Discussion and Analysis of Financial Condition and Results of Operations | [48](#i0d12813fa9fa4534936657d4fdc47a6e_109) |
| Item 3. | Quantitative and Qualitative Disclosures About Market Risk | [75](#i0d12813fa9fa4534936657d4fdc47a6e_124) |
| Item 4. | Controls and Procedures | [76](#i0d12813fa9fa4534936657d4fdc47a6e_127) |
| **PART II - OTHER INFORMATION** | **PART II - OTHER INFORMATION** | **PART II - OTHER INFORMATION** |
| Item 1. | Legal Proceedings | [77](#i0d12813fa9fa4534936657d4fdc47a6e_133) |
| Item 1A. | Risk Factors | [77](#i0d12813fa9fa4534936657d4fdc47a6e_136) |
| Item 2. | Unregistered Sales of Equity Securities and Use of Proceeds | [77](#i0d12813fa9fa4534936657d4fdc47a6e_139) |
| Item 3. | Defaults Upon Senior Securities | [77](#i0d12813fa9fa4534936657d4fdc47a6e_142) |
| Item 4. | Mine Safety Disclosures | [77](#i0d12813fa9fa4534936657d4fdc47a6e_145) |
| Item 5. | Other Information | [78](#i0d12813fa9fa4534936657d4fdc47a6e_148) |
| Item 6. | Exhibits | [79](#i0d12813fa9fa4534936657d4fdc47a6e_151) |
| **[Signatures](#i0d12813fa9fa4534936657d4fdc47a6e_154)** |  | [80](#i0d12813fa9fa4534936657d4fdc47a6e_154) |

---

------

**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**<u>CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS</u>**

This report contains forward-looking statements that are based on management's beliefs, assumptions, current expectations, estimates and projections about the financial services industry, the economy, and Northpointe Bancshares, Inc. ("Northpointe" or the "Company"). Forward-looking statements are identifiable by words or phrases such as "outlook", "plan" or "strategy"; that an event or trend "could", "may", "should", "will", "is likely", or is "possible" or "probable" to occur or "continue", has "begun" or "is scheduled" or "on track" or that the Company or its management "anticipates", "believes", "estimates", "plans", "forecasts", "intends", "predicts", "projects", or "expects" a particular result, or is "committed", "confident", "optimistic" or has an "opinion" that an event will occur, or other words or phrases such as "ongoing", "future", "signs", "efforts", "tend", "exploring", "appearing", "until", "near term", "concern", "going forward", "focus", "starting", "initiative," "trend" and variations of such words and similar expressions.

Such statements are based upon current beliefs and expectations and involve substantial risks and uncertainties which could cause actual results to differ materially from those expressed or implied by such forward-looking statements. These statements include, among others, those related to future levels of earning assets, future composition of our loan portfolio, trends in credit quality metrics, future capital levels and capital needs, real estate valuation, future levels of repossessed and foreclosed properties and nonperforming assets, future levels of losses and costs associated with the administration and disposition of repossessed and foreclosed properties and nonperforming assets, future levels of loan charge-offs, future levels of other real estate owned, future levels of provisions for credit losses and reserve recoveries, the rate of asset dispositions, future dividends, future growth and funding sources, future cost of funds, future liquidity levels, future profitability levels, future interest rate levels, future net interest margin levels, the effects on earnings of changes in interest rates, future economic conditions, future effects of new or changed accounting standards, future loss recoveries, loan demand and loan growth, future amounts of unrecognized tax benefits and the future level of other revenue sources. Management's determination of the provision and allowance for credit losses, the appropriate carrying value of intangible assets (including deferred tax assets) and other real estate owned, and the fair value of investment securities involves judgments that are inherently forward-looking. All statements with references to future time periods are forward-looking. All of the information concerning interest rate sensitivity is forward-looking. Our ability to sell other real estate owned at its carrying value or at all, successfully implement new programs and initiatives, increase efficiencies, maintain our current levels of deposits and other sources of funding, maintain liquidity, respond to declines in collateral values and credit quality, respond to a changing interest rate environment, increase loan volume, originate high quality loans, maintain or improve mortgage banking income, realize the benefit of our deferred tax assets, continue payment of dividends and improve profitability is not entirely within our control and is not assured. The future effect of changes in the real estate, financial and credit markets and the national and regional economy on the banking industry, generally, and Northpointe Bancshares, Inc., specifically, are also inherently uncertain.

These statements are not guarantees of future performance and involve certain risks, uncertainties and assumptions ("risk factors") that are difficult to predict with regard to timing, extent, likelihood and degree of occurrence. Therefore, actual results and outcomes may materially differ from what may be expressed or forecasted in such forward-looking statements.

Risk factors include, but are not limited to, the risk factors described in "Item 1A - Risk Factors" of the Company's Annual Report on Form 10-K for the year ended December 31, 2024 (the "2024 Form 10-K") and in this report. These and other factors are representative of the risk factors that may emerge and could cause a difference between an ultimate actual outcome and the preceding forward-looking statements.

A number of important factors could cause our actual results to differ materially from those indicated in these forward-looking statements, including those factors discussed elsewhere in the 2024 Form 10-K, elsewhere in this report, and the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• general economic and business conditions nationally and in our local markets, including conditions affecting employment levels, interest rates, inflation, slowdowns in economic growth and the threat of recession, volatile equity capital markets, supply chain issues, property and casualty insurance costs, collateral values, customer income, creditworthiness and confidence, spending and savings that may affect customer bankruptcies, defaults, charge-offs and deposit activity; and the impact of the foregoing on customer and client behavior (including the velocity and levels of deposit withdrawals and loan repayment);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• changes in the interest rate environment (including changes to the federal funds rate and the impact on the level and composition of deposits (as well as the cost of, and competition for, deposits), loan demand, liquidity and the values of loan collateral, securities and market fluctuations, and interest rate sensitive assets and liabilities), and competition in our markets may result in increased funding costs or reduced earning assets yields, thus reducing our margins and net interest income;

------

**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• uncertainties surrounding geopolitical events, trade policy, taxation policy, and monetary policy which continue to impact the outlook for future economic growth, including U.S. imposition of tariffs and consideration of responsive actions by the impacted nations and/or the expansion of import fees and tariffs among a larger group of nations, which is bringing greater ambiguity to the outlook for future economic growth;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• adverse developments in the banking industry and the impact of such developments on customer confidence, liquidity and regulatory responses to these developments (including increases in the cost of our deposit insurance assessments and increased regulatory scrutiny), our ability to effectively manage our liquidity risk and any growth plans and the availability of capital and funding;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability to comply with applicable capital and liquidity requirements, including our ability to generate liquidity internally or raise capital on favorable terms, including continued access to the debt and equity capital markets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the risk that a future economic downturn and contraction could have a material adverse effect on our capital, financial condition, credit quality, results of operations and future growth, including the risk that the strength of the current economic environment could be weakened by the continued impact of elevated or rising interest rates and inflation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• factors that can impact the performance of our loan portfolio, including real estate values and liquidity in our primary market areas, the financial health of our borrowers and the success of various projects that we finance;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• changes in the prices, values and sales volumes of commercial and residential real estate, especially as they relate to the value of collateral supporting the Company's loans;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• weakness in the real estate market, including the secondary residential mortgage market, which can affect, among other things, the value of collateral securing mortgage loans, mortgage loan originations and delinquencies, profits on sales of mortgage loans, and the value of mortgage servicing rights;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• credit and lending risks associated with our loan portfolios;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• negative impact on our mortgage banking services, including declines in our mortgage originations or profitability due to prolonged elevated or rising interest rates and increased competition and regulation, the Bank's or third party's failure to satisfy mortgage servicing obligations, loan modifications, the effects of judicial or regulatory requirements or guidance, and the possibility of the Bank being required to repurchase mortgage loans or indemnify buyers;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the impact of prolonged elevated interest rates on our financial projections, models and guidance;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability to attract sufficient loans that meet prudent credit standards;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability to attract and maintain business banking relationships with well-qualified businesses, real estate developers and investors with proven track records in our market areas;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability to successfully manage our credit risk and the sufficiency of our allowance for credit losses ("ACL");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the adequacy of our reserves (including ACL) and the appropriateness of our methodology for calculating such reserves;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability to successfully execute our business strategy to achieve profitable growth;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the concentration of our business within our geographic areas of operation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability to manage our growth;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability to increase our operating efficiency;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• significant turbulence or a disruption in the capital or financial markets and the effect of a fall in stock market prices on our investment securities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• risks that our cost of funding could increase, in the event we are unable to continue to attract stable, low-cost deposits and reduce our cost of deposits;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• inability of our risk management framework (including internal controls) to effectively mitigate credit risk, interest rate risk, liquidity risk, price risk, compliance risk, operational risk (including by virtue of our relationships with third-party business partners, as well as our relationships with third-party vendors and other service providers), strategic risk, reputational risk and other risks inherent to the business of banking;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability to maintain expenses in line with current projections;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the makeup of our asset mix and investments;

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**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• external economic, political and/or market factors, such as changes in monetary and fiscal policies and laws, and also including the interest rate policies of the Federal Reserve, inflation or deflation, changes in the demand for loans, and fluctuations in consumer spending, borrowing and savings habits, which may have an adverse impact on our financial condition;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the institution and outcome of litigation and other legal proceeding against us or to which we may become subject to and the potential effect of our reputation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the impact of recent and future legislative and regulatory changes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the potential implementation of a regulatory reform agenda under the current presidential administration that is significantly different than that of the prior administration, impacting rulemaking, supervision, examination and enforcement priorities of the federal banking agencies;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• examinations by our regulatory authorities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• continued or increasing competition from other financial institutions, credit unions, and non-bank financial services companies (including fintech companies), many of which are subject to different regulations than we are;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• challenges arising from unsuccessful attempts to expand into new geographic markets, products, or services;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• restraints on the ability of Northpointe Bank (the "Bank") to pay dividends to us, which could limit our liquidity;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• increased capital requirements imposed by banking regulators, which may require us to raise capital at a time when capital is not available on favorable terms or at all;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• inaccuracies in our assumptions about future events, which could result in material differences between our financial projections and actual financial performance;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• changes in our management personnel or our inability to retain motivate and hire qualified management personnel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the dependence of our operating model on our ability to attract and retain experienced and talented bankers in each of our markets, which may be impacted as a result of labor shortages;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability to identify and address cyber-security risks, fraud and systems errors, including the impact on our reputation and the costs and effects required to address such risks, fraud and systems errors;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• disruptions, security breaches, or other adverse events, failures or interruptions in, or attacks on, our information technology systems, which may be exacerbated by the development of generative artificial intelligence, and the cost of defending against them and any reputational or other financial risks following such a cybersecurity incident;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our business relationships with, and reliance upon, third parties that have strategic partnerships with us or that provide key components of our business infrastructure, including the costs of services and products provided to us by third parties, and disruptions in service, security breaches, financial difficulties with or other adverse events affecting a third-party vendor or business relationship;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• an inability to keep pace with the rate of technological advances due to a lack of resources to invest in new technologies;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• fraudulent and negligent acts by our clients, employees or vendors and our ability to identify and address such acts;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• risks related to potential acquisitions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the impact of any claims or legal actions to which we may be subject, including any effect on our reputation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• compliance with governmental and regulatory requirements, including the Dodd-Frank Act and others relating to banking, consumer protection, securities and tax matters, and our ability to maintain licenses required in connection with commercial mortgage origination, sale and servicing operations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• changes in the scope and cost of Federal Deposit Insurance Corporation ("FDIC") insurance and other coverage;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• changes in our accounting standards;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• changes in tariffs and trade barriers;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• changes in federal tax law or policy;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the effects of war or other conflicts, civil unrest, acts of terrorism, acts of God, natural disasters, health emergencies, epidemics or pandemics, climate changes, or other catastrophic events that may affect general economic conditions or

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**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

cause other disruptions and/or increase costs, including, but not limited to, property and casualty and other insurance cost;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• risks related to diversity, equity and inclusion ("DEI") and environmental, social and governance ("ESG") strategies and initiatives, the scope and pace of which could alter the Company's reputation and stockholder, associate, customer and third-party affiliations or result in litigation in connection with anti-DEI and anti-ESG laws, rules or activism;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• a deterioration of the credit rating for U.S. long-term sovereign debt, actions that the U.S. government may take to avoid exceeding the debt ceiling, and uncertainties surrounding the debt ceiling and the federal budget; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• other factors and risks described under "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" herein and in any of the Company's subsequent reports filed with the SEC and available on its website at www.sec.gov.

The foregoing factors should not be construed as exhaustive and should be read together with the other cautionary statements included in Item 1A of the 2024 Form 10-K and in any of Northpointe's subsequent SEC filings. Because of these risks and other uncertainties, our actual future results, performance or achievement, or industry results, may be materially different from the results indicated by the forward looking statements. In addition, our past results of operations are not necessarily indicative of our future results. You should not rely on any forward looking statements, which represent our beliefs, assumptions and estimates only as of the dates on which they were made, as predictions of future events. Any forward-looking statement speaks only as of the date on which it is made, and we do not undertake any obligation to update or review any forward-looking statement, whether as a result of new information, future developments or otherwise.

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**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Item 1. Financial Statements&nbsp;&nbsp;&nbsp;&nbsp;**

**Consolidated Balance Sheets**

**June 30, 2025 and December 31, 2024** 

**(unaudited)**

**(Dollars in thousands)**

---

| | | |
|:---|:---|:---|
| | **June 30, 2025** | **December 31, 2024** |
| **Assets** | | |
| Cash and cash equivalents | $415659 | $376295 |
| Equity securities | 1329 | 1305 |
| Debt securities available for sale | 8785 | 8576 |
| Federal Home Loan Bank ("FHLB") stock | 69574 | 69574 |
| Loans held for sale, at fair value | 331199 | 217073 |
| Total loans ($175,070 and $172,960 at fair value at June 30, 2025 and December 31, 2024, respectively) | 5496806 | 4427754 |
| Allowance for credit losses | (12375) | (11190) |
| &nbsp;&nbsp;&nbsp;&nbsp;Net loans | 5484431 | 4416564 |
| Mortgage servicing rights | 16388 | 15133 |
| Intangible assets, net | 1806 | 2099 |
| Premises and equipment | 27479 | 27292 |
| Other assets | 74244 | 90100 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total Assets | $**6430894** | $**5224011** |
| **Liabilities and Stockholders' Equity** |  |  |
| **Liabilities** |  |  |
| &nbsp;&nbsp;&nbsp;Deposits: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Noninterest-bearing | $201449 | $208938 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest-bearing | 4272622 | 3213617 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total deposits | 4474071 | 3422555 |
| &nbsp;&nbsp;&nbsp;&nbsp;Borrowings | 1274929 | 1258750 |
| &nbsp;&nbsp;&nbsp;&nbsp;Subordinated debentures | 24181 | 38933 |
| &nbsp;&nbsp;&nbsp;&nbsp;Subordinated debentures issued through trusts | 5000 | 5000 |
| &nbsp;&nbsp;&nbsp;&nbsp;Deferred tax liability | 3141 | 3477 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other liabilities | 45295 | 32806 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total Liabilities | 5826617 | 4761521 |
| **Stockholders' Equity** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Preferred Stock Non-Cumulative - No Par Value; 5,000,000 shares authorized |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Series A - 77,000 shares issued and outstanding at June 30, 2025 with a liquidation preference of $77,000 and 82,000 shares issued and outstanding at December 31, 2024 with a liquidation preference of $82,000 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Series B - 25,000 shares issued and outstanding at June 30, 2025 and December 31, 2024 with a liquidation preference of $25,000 |  |  |
| &nbsp;&nbsp;&nbsp;Common Stock - No Par Value |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Authorized - 101,500,000; shares issued and outstanding - 34,364,659 and 25,684,560 shares at June 30, 2025 and December 31, 2024, respectively |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Additional paid in capital | 276885 | 166847 |
| &nbsp;&nbsp;&nbsp;&nbsp;Retained earnings | 327556 | 295967 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accumulated other comprehensive loss | (164) | (324) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total Stockholders' Equity | 604277 | 462490 |
| **Total Liabilities and Stockholders' Equity** | $**6430894** | $**5224011** |

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See notes to consolidated financial statements.

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**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Consolidated Statements of Income**

**Three and Six Months Ended June 30, 2025 and 2024**

**(unaudited)**

**(Dollars in thousands, except per share data)**

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
| | **2025** | **2024** | **2025** | **2024** |
| **Interest Income** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loans - including fees | $86261 | $70731 | $158332 | $135627 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Investment securities - taxable | 157 | 155 | 312 | 320 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;FHLB stock - taxable | 1553 | 1611 | 3181 | 3110 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest bearing deposits | 5122 | 6402 | 10418 | 12423 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total interest income | 93093 | 78899 | 172243 | 151480 |
| **Interest Expense** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Deposits | 43582 | 37500 | 79893 | 71032 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Subordinated debentures | 678 | 791 | 1564 | 1584 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Borrowings | 12313 | 12011 | 23877 | 23076 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total interest expense | 56573 | 50302 | 105334 | 95692 |
| **Net interest income** | 36520 | 28597 | 66909 | 55788 |
| **Provision for credit losses** | 548 | 397 | 1932 | 728 |
| **Provision (benefit) for unfunded commitments** | 35 | (99) | (55) | (788) |
| **Net interest income after provision (benefit) for credit losses and unfunded commitments** | 35937 | 28299 | 65032 | 55848 |
| **Noninterest income** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Service charges on deposits and other fees | 239 | 516 | 419 | 1024 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loan servicing fees | 1525 | 2397 | 2520 | 6259 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Mortgage Purchase Program ("MPP") fees | 1355 | 1341 | 2496 | 2285 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net gain on sale of loans | 19351 | 13714 | 37938 | 25065 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other noninterest income | (32) | (1063) | 1939 | (1083) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total noninterest income | 22438 | 16905 | 45312 | 33550 |
| **Noninterest expense** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Salaries and employee benefits | 22234 | 20018 | 42677 | 38039 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Occupancy and equipment | 918 | 1146 | 1890 | 2442 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Data processing expense | 2155 | 2341 | 4262 | 4840 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Professional fees | 1793 | 1082 | 3021 | 2201 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other taxes and insurance | 1190 | 1482 | 2977 | 3292 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other noninterest expense | 3432 | 1731 | 6267 | 4971 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total noninterest expense | 31722 | 27800 | 61094 | 55785 |
| Income - before income taxes | 26653 | 17404 | 49250 | 33613 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Income tax expense | 6309 | 4183 | 11658 | 8148 |
| Net income | 20344 | 13221 | 37592 | 25465 |
| Preferred stock dividends | 2296 | 1839 | 4503 | 4252 |
| **Net income available to common stockholders** | $18048 | $11382 | $33089 | $21213 |
| **Basic earnings per common share** | $0.52 | $0.44 | $1.03 | $0.83 |
| **Diluted earnings per share** | $0.51 | $0.44 | $1.01 | $0.82 |

---

See notes to consolidated financial statements.

------

**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Consolidated Statements of Comprehensive Income**

**Three and Six Months Ended June 30, 2025 and 2024**

**(unaudited)**

**(Dollars in thousands)**

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
| | **2025** | **2024** | **2025** | **2024** |
| **Net income** | $20344 | $13221 | $37592 | $25465 |
| **Other comprehensive income** |  |  |  |  |
| Unrealized gains (losses): |  |  |  |  |
| Net change in unrealized gain (loss) on debt securities available for sale | 191 | 151 | 209 | 176 |
| &nbsp;&nbsp;&nbsp;&nbsp;Tax effect | 45 | 36 | 49 | 43 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net change in unrealized gain (loss) on debt securities available for sale, net of tax | 146 | 115 | 160 | 133 |
| &nbsp;&nbsp;&nbsp;Less: reclassification adjustments: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Reclassifications for gains included in net income |  | 83 |  | 83 |
| &nbsp;&nbsp;&nbsp;&nbsp;Tax effect |  | 20 |  | 20 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Reclassifications for gains included in net income, net of tax |  | 63 |  | 63 |
| &nbsp;&nbsp;&nbsp;Total other comprehensive income | 146 | 52 | 160 | 70 |
| &nbsp;&nbsp;&nbsp;**Comprehensive income** | $**20490** | $**13273** | $**37752** | $**25535** |

---

See notes to consolidated financial statements.

------

**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Consolidated Statements of Changes in Stockholders' Equity**

**Three and Six Months Ended June 30, 2025 and 2024**

**(unaudited)**

**(Dollars in thousands)**

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Preferred<br>Stock,<br>Series A<br>Shares** | **Preferred<br>Stock,<br>Series B<br>Shares** | **Common<br>Stock,<br>Number of<br>Shares** | **Additional<br>Paid-in<br>Capital** | **Retained<br>Earnings** | **Accumulated<br>Other<br>Comprehensive<br>(Loss) Income** | **Total** |
| **Balance - April 1, 2024** | **95000** | **25000** | **25689560** | $**180046** | $**260570** | $**(783)** | $**439833** |
| Net income, three months |  |  |  |  | 13221 |  | 13221 |
| Other comprehensive income |  |  |  |  |  | 52 | 52 |
| Dividends declared ($0.025 per share) |  |  |  |  | (644) |  | (644) |
| Preferred stock - repurchase | (5000) |  |  | (4840) |  |  | (4840) |
| Preferred stock dividends |  |  |  |  | (1839) |  | (1839) |
| **Balance - June 30, 2024** | **90000** | **25000** | **25689560** | $**175206** | $**271308** | $**(731)** | $**445783** |

---

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| **Balance - April 1, 2025** | **77000** | **25000** | **34315099** | $**276465** | $**310367** | $**(310)** | $**586522** |
| Net income, three months |  |  |  |  | 20344 |  | 20344 |
| Other comprehensive income |  |  |  |  |  | 146 | 146 |
| Dividends declared ($0.025 per share) |  |  |  |  | (859) |  | (859) |
| Issuance of common stock, net |  |  |  | (294) |  |  | (294) |
| Restricted stock units issued |  |  | 49560 | 714 |  |  | 714 |
| Preferred stock dividends |  |  |  |  | (2296) |  | (2296) |
| **Balance - June 30, 2025** | **77000** | **25000** | **34364659** | $**276885** | $**327556** | $**(164)** | $**604277** |

---

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| **Balance - January 1, 2024** | **95000** | **25000** | **25689560** | $**180046** | $**251375** | $**(801)** | $**430620** |
| Net income, six months |  |  |  |  | 25465 |  | 25465 |
| Other comprehensive income |  |  |  |  |  | 70 | 70 |
| Dividends declared ($0.05 per share) |  |  |  |  | (1280) |  | (1280) |
| Preferred stock - repurchase | (5000) |  |  | (4840) |  |  | (4840) |
| Preferred stock dividends |  |  |  |  | (4252) |  | (4252) |
| **Balance - June 30, 2024** | **90000** | **25000** | **25689560** | $**175206** | $**271308** | $**(731)** | $**445783** |

---

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| **Balance - January 1, 2025** | **82000** | **25000** | **25684560** | $**166847** | $**295967** | $**(324)** | $**462490** |
| Net income, six months |  |  |  |  | 37592 |  | 37592 |
| Other comprehensive income |  |  |  |  |  | 160 | 160 |
| Dividends declared ($0.05 per share) |  |  |  |  | (1500) |  | (1500) |
| Preferred stock - repurchase | (5000) |  |  | (4840) |  |  | (4840) |
| Issuance of common stock, net |  |  | 8621539 | 114150 |  |  | 114150 |
| Restricted stock units issued |  |  | 49560 | 714 |  |  | 714 |
| Stock options exercised |  |  | 9000 | 14 |  |  | 14 |
| Preferred stock dividends |  |  |  |  | (4503) |  | (4503) |
| **Balance - June 30, 2025** | **77000** | **25000** | **34364659** | $**276885** | $**327556** | $**(164)** | $**604277** |

---

See notes to consolidated financial statements.

------

**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Consolidated Statements of Cash Flows**

**Six Months Ended June 30, 2025 and 2024**

**(unaudited)**

**(Dollars in thousands)**

---

| | | |
|:---|:---|:---|
| | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
| | **2025** | **2024** |
| **Cash Flows from Operating Activities** |  |  |
| &nbsp;&nbsp;&nbsp;Net income | $37592 | $25465 |
| &nbsp;&nbsp;&nbsp;Adjustments to reconcile consolidated net income to net cash and cash equivalents provided by (used in) operating activities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depreciation | 1276 | 1452 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Provision for credit losses | 1932 | 728 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Provision (benefit) for unfunded commitments | (55) | (788) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amortization of intangible asset | 293 | 486 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amortization of debt issuance costs | 248 | 60 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net gain on sale of loans | (37938) | (25065) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Proceeds from sales of loans held for sale | 964924 | 813462 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Origination of mortgage loans held for sale | (1010426) | (838016) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net loss on sales of other real estate | 112 | 37 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net loss on sale of mortgage servicing rights |  | 1058 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net gain on sale of available for sale debt securities |  | (83) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net gain on extinguishment of debt | (2048) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Change in fair value of mortgage servicing rights ("MSR") | 1009 | 2722 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Deferred tax expense | (386) | (18591) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Change in fair value of equity securities | (24) | 20 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Change in mortgage banking derivatives | 113 | (3418) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net change in: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other assets | 14387 | (8415) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other liabilities | 11113 | 14067 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net cash and cash equivalents used in operating activities | (17878) | (34819) |
| **Cash Flows from Investing Activities** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Purchase of FHLB stock |  | (2087) |
| &nbsp;&nbsp;&nbsp;&nbsp;Proceeds from sale of available for sale debt securities |  | 10887 |
| &nbsp;&nbsp;&nbsp;&nbsp;Purchase of available for sale debt securities |  | (4000) |
| &nbsp;&nbsp;&nbsp;&nbsp;Proceeds from sale of mortgage servicing rights |  | 80782 |
| &nbsp;&nbsp;&nbsp;&nbsp;Proceeds from sales of other real estate | 2715 | 38 |
| &nbsp;&nbsp;&nbsp;&nbsp;Purchases of premises and equipment | (1463) | (524) |
| &nbsp;&nbsp;&nbsp;&nbsp;Net increase in loans | (1103438) | (462546) |
| &nbsp;&nbsp;&nbsp;&nbsp;Purchase of mortgage servicing rights | (296) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Contributions from lender risk account ("LRA") | (724) | (788) |
| &nbsp;&nbsp;&nbsp;&nbsp;Proceeds from LRA | 1670 | 4800 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net cash and cash equivalents used in investing activities | (1101536) | (373438) |
| **Cash Flows from Financing Activities** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Net change in deposits | 1051516 | 371385 |
| &nbsp;&nbsp;&nbsp;&nbsp;Cash dividends paid on common stock | (1500) | (1281) |
| &nbsp;&nbsp;&nbsp;&nbsp;Subordinated debt call and repayment | (15000) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Advances of FHLB borrowings | 352500 | 280000 |
| &nbsp;&nbsp;&nbsp;&nbsp;Repayment of FHLB borrowings | (374202) | (231250) |
| &nbsp;&nbsp;&nbsp;&nbsp;Net change in other borrowings | 39929 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Issuance of common stock, net | 114150 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Preferred stock dividend | (4503) | (4252) |
| &nbsp;&nbsp;&nbsp;&nbsp;Preferred stock repurchase | (4840) | (4840) |
| &nbsp;&nbsp;&nbsp;&nbsp;Restricted stock units issuance | 714 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Proceeds from exercised stock options | 14 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net cash and cash equivalents provided by financing activities | 1158778 | 409762 |
| **Net decrease in cash and cash equivalents** | 39364 | 1505 |
| **Cash and cash equivalents - beginning of year** | 376295 | 351890 |
| **Cash and cash equivalents - end of year** | $**415659** | $**353395** |

---

See notes to consolidated financial statements.

**Consolidated Statements of Cash Flows (Continued)**

**Six Months Ended June 30, 2025 and 2024**

**(unaudited)**

**(Dollars in thousands)**

---

| | | |
|:---|:---|:---|
| | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
| **Supplemental cash flow information** | **2025** | **2024** |
| &nbsp;&nbsp;&nbsp;Cash paid for: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest | $93840 | $95008 |
| &nbsp;&nbsp;&nbsp;&nbsp;Income taxes | 13548 | 13356 |
| &nbsp;&nbsp;&nbsp;Non-cash supplemental information: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Rebooked GNMA loans over 90 days | 342 | (22766) |
| &nbsp;&nbsp;&nbsp;&nbsp;Loans transferred to other real estate |  | 2120 |
| &nbsp;&nbsp;&nbsp;&nbsp;Loans transferred from loans held for sale to loans | 6624 | 169206 |
| &nbsp;&nbsp;&nbsp;&nbsp;Loans transferred from loans to loans held for sale | 40262 |  |

---

------

**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Notes to Consolidated Financial Statements (unaudited)**

**Note 1 — Summary of Significant Accounting Policies**

***Basis of Presentation and Consolidation***

The consolidated financial statements include the accounts of Northpointe Bancshares, Inc. and its wholly owned subsidiary, Northpointe Bank. All significant intercompany balances and transactions have been eliminated in consolidation. The accompanying Unaudited Consolidated Financial Statements as of June 30, 2025 and for the three and six months ended June 30, 2025 and 2024 have been prepared in accordance with GAAP for interim financial information and Article 10 of Regulation S-X and, therefore, do not include all of the information and footnotes required by GAAP for complete financial statements. Accordingly, these statements should be read in conjunction with the Company's audited Consolidated Financial Statements included in the Company's Annual Report on Form 10-K for the year ended December 31, 2024. The accounts of the Company and its consolidated subsidiary are included in the Consolidated Financial Statements. The information furnished in these interim statements reflects all adjustments that are, in the opinion of management, necessary for a fair statement of the results for each respective period presented. Such adjustments are of a normal, recurring nature. The results of operations in the interim statements are not necessarily indicative of the results that may be expected for any other quarter or for the full year.

***Significant Group Concentrations of Credit Risk***

The Company's only banking branch is located in Michigan, but the Company markets its banking products to deposit customers located throughout the United States. The Company is also active nationwide in mortgage lending through a network of mortgage bankers and other financial institutions. Note 3 discusses the types of lending in which the Company engages. The Company's primary concentration is in real estate lending, including the origination and sale of 1 – 4 family real estate mortgages to the secondary market to Government Sponsored Entities ("GSEs").

***Change in Presentation due to Stock Split***

On December 19, 2024, the stockholders approved a 10-for-1 stock split whereby each holder of common stock received nine additional shares of common stock for each share owned as of the record date of December 19, 2024. Such shares were distributed on December 30, 2024. All share and per share amounts set forth in the consolidated financial statements of the Company have been retroactively restated to reflect the stock split as if it had occurred as of the earliest period presented.

***Use of Estimates***

In preparing the consolidated financial statements in conformity with accounting principles generally accepted in the United States of America, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities as of the date of the consolidated balance sheets and reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for credit losses, mortgage servicing rights, and the lender risk account.

***Repurchase Reserve***

The Company sells residential mortgage loans to investors in the normal course of business. Residential mortgage loans sold to investors are predominantly conventional residential first lien mortgages originated under our usual underwriting procedures and are sold on a nonrecourse basis. The Company's agreements to sell residential mortgage loans usually require general representations and warranties on the underlying loans sold, related to credit information, loan documentation, collateral, and insurability, which if subsequently untrue or breached, could require the Company to indemnify or repurchase certain loans affected. The balance in the repurchase reserve at the balance sheet date reflects the estimated amount of potential loss the Company could incur from repurchasing a loan, as well as loss reimbursements, indemnification, and other "make whole" settlement resolutions. The Company's repurchase reserve was approximately $2.4 million and $2.6 million as of June 30, 2025 and December 31, 2024, respectively, and is included in other liabilities on the consolidated balance sheet.

***Initial Public Offering***

On February 13, 2025, the Company completed an initial public offering of its common stock, resulting in the issuance of 8,621,539 new shares of common stock and proceeds of 114.2 million, net of offering expenses.

------

**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Note 1 — Summary of Significant Accounting Policies (continued)**

***Emerging Growth Company Status***

The Company is an "emerging growth company" ("EGC") as defined in the Jumpstart Our Business Startups Act of 2012, or the JOBS Act. Section 107 of the JOBS Act provides that an EGC can take advantage of the extended transition period when complying with new or revised accounting standards. This allows an EGC to delay adoption of certain accounting standards until those standards apply to private companies; however, the EGC can still early adopt new or revised accounting standards. We have elected to take advantage of this extended transition period, which means these financial statements, as well as financial statements we file in the future will be subject to all new or revised accounting standards generally applicable to private companies, unless stated otherwise. This decision will remain in effect until the Company loses its EGC status.

***Reclassifications***

Some items in the prior year consolidated financial statements were reclassified to conform to the current presentation. These reclassifications had no impact on prior year net income or stockholders' equity.

***Mortgage Purchase Program ("MPP")***

Our Mortgage Purchase Program business (which we refer to as Mortgage Purchase Program, or "MPP"), provides independent mortgage bankers with an alternative to traditional mortgage warehouse lending. MPP utilizes a collateralized mortgage purchase facility with individual advances under the facility which are reviewed and approved by the Company and secured by our mortgage bankers' originated one-to-four family mortgage loans. These facilities enable the Company's MPP clients to close and fund their mortgages and during a relatively short period (typically less than 30 days), the originated loans are sold into the secondary market via government agencies (Fannie Mae, Freddie Mac or Ginnie Mae) or institutional investors (banks, large mortgage companies, insurance companies, mortgage REIT's) or are securitized.

The Company, from time to time, also participates out portions of the individual advances ("the participating interest") through participation agreements with other financial institutions. Cash flows associated with the individual advances are shared on a pro-rata basis with the participating banks.

The Company charges the mortgage banker an administrative fee per individual mortgage loan and earns interest while the loan is owned by the Company. Fee income is included in MPP fees on the Consolidated Statements of Income. There were no delinquent loans and or credit losses in the Company's MPP business during the three and six months ended June 30, 2025 or 2024.

Extended dwell sub-limits of purchase facilities, which have longer than expected standard turn times to be sold, may be issued to the mortgage bankers to facilitate loans that may not be delivered to the secondary market within the terms of the original advance. At June 30, 2025 and December 31, 2024, the Bank had outstanding balances on these facilities of $22.5 million and $31.4 million, respectively.

Participations of the individual advances referenced above are accounted for as sales, when control over the assets has been surrendered. Control over transferred assets is deemed to be surrendered when (1) the assets have been isolated from the Company, (2) the transferee obtains the right (free of conditions that constrain it from taking advantage of the right) to pledge or exchange the transferred assets, and (3) the Company does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity.

***Lender Risk Account***

A Lender Risk Account ("LRA") has been established for loans sold by the Company to the Federal Home Loan Bank of Indianapolis ("FHLB"). The LRA is funded through a reduction of the purchase price and maintained by the FHLB at an initial amount of 1.20% of the loan balance and is used to offset credit losses over the life of the loans sold by the Company to the FHLB. If the LRA has not been depleted by losses, funds are returned to the Company over time, beginning after five years and continuing through 25 years. As of June 30, 2025 and December 31, 2024, the Company had on deposit with the FHLB $54.8 million and $54.7 million, respectively, in these LRAs. Additionally, as of June 30, 2025 and December 31, 2024, the Company estimated the guaranty account, which is recorded in other liabilities in the Company's Consolidated Balance Sheets, to be $4.3 million and $3.9 million, respectively. The Company carries the LRA asset at fair value in the Company's Consolidated Balance Sheets in other assets with changes in the fair value included in the consolidated statements of income with net gain on sale of loans. The fair value of the LRA was $28.8 million and $28.4 million at June 30, 2025 and December 31, 2024,

------

**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Note 1 — Summary of Significant Accounting Policies (continued)**

respectively. See Note 17 for a description of the methods and assumptions used to determine fair value at June 30, 2025 and December 31, 2024.

***Loans***

In addition to the MPP program noted within this section, the Company also originates residential mortgages, including a specialized first mortgage revolving equity line of credit linked by one account to a demand deposit bank account of the borrower (which we refer to as All-in-One, or "AIO" loans). Excluding AIO loans, virtually all the Company's residential mortgages are saleable through an end investor. The ability of the Company's debtors to honor their contracts is dependent upon the real estate and general economic conditions in the markets where the Company has originated loans.

Loans that management has the intent and ability to hold for the foreseeable future or until maturity or pay-off and where the fair value option has not been elected are reported at their outstanding unpaid principal balances adjusted for charge-offs, the allowance for credit losses, and any deferred fees or costs on originated loans. Interest income is accrued on the unpaid principal balance. Loan origination fees, net of certain direct origination costs, are deferred and recognized as an adjustment of the related loan yield using the interest method.

Accrued interest receivable for loans is included in other assets on the Company's consolidated balance sheet. The Company elected not to measure an allowance for accrued interest receivable and instead elected to reverse accrued interest income on loans that are placed on nonaccrual status. Accrued interest on loans totaled $23.7 million and $20.8 million as of June 30, 2025 and December 31, 2024, respectively, and is included in other assets in the Consolidated Balance Sheets.

The accrual of interest on loans is discontinued at the time the loan is delinquent (120 days for mortgages and 90 days for commercial) unless the credit is well secured and in process of collection. In all cases, loans are placed on nonaccrual or charged off at an earlier date if collection of principal or interest is considered doubtful.

All interest accrued but not collected for loans that are placed on nonaccrual or charged off is reversed against interest income. The interest on these loans is accounted for on the cash basis or cost-recovery method, until qualifying for return to accrual. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured.

------

**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Note 1 — Summary of Significant Accounting Policies (continued)**

***Allowance for Credit Losses ("Allowance" or "ACL")***

Management estimates the allowance by using relevant available information from internal and external sources related to historical loss experience, current borrower risk characteristics, current economic conditions, reasonable and supportable forecasts, and other relevant factors. The allowance is measured on a collective or pool basis when similar risk characteristics exist or on an individual basis when loans have unique risk characteristics which differentiate them from other loans within the loan segment. The process for estimating credit losses incorporates methodologies and procedures specific to the residential and commercial loan portfolios, each of which has unique risk characteristics. Each of these portfolios is further disaggregated into loan segments, which are discussed in more detail below.

A loss given default methodology is utilized to estimate losses on the residential loan portfolio, which makes up substantially all held-for-investment loans. This methodology is used to project a default rate, prepayment rate, and severity factor for each loan in the portfolio to arrive at the lifetime credit loss for the construction, land development, home equity, and closed end first and second lien loans. The accumulated expected credit losses are impacted by changes in borrower delinquencies, changes in loan to values, and changes in FICO scores. Lifetime credit losses are also adjusted by reasonable and supportable economic forecasts. As of June 30, 2025 and December 31, 2024, the Moody's Baseline June 2025 and December 2024 U.S. Macroeconomic Outlook, respectively, were utilized.

For the majority of the commercial loan portfolio, a discounted cash flow methodology adjusted for peer group benchmarks on probability of default, prepayment speeds, and curtailment rate is used. For MPP, as the Company has not experienced any losses, the accumulated expected credit losses are currently derived based on qualitative factors described below. Within these portfolios, management utilizes an internal loan grading system and assigns each loan a grade of pass, special mention, substandard, or doubtful, which are more fully explained in Note 3. The amount of credit losses, if any, is measured by a comparison of the loan's carrying value to the net present value of future cash flows using the loan's existing rate or at the fair value of collateral if repayment is expected to solely from the collateral.

Loans that do not share risk characteristics are evaluated on an individual basis and are not included in the collective evaluation. Factors considered by management in determining credit losses include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as individually evaluated. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, including length of the delay, the reasons for the delay, the borrower's prior payment record, and the amount of the shortfall in relation to the principal and interest owed. Credit losses are individually analyzed by either the present value of expected future cash flows discounted at the loan's effective interest rate, the loan's obtainable market price, or the fair value of the collateral if the loan is collateral dependent.

*Qualitative Factors*

Each quarter, management also considers the need to adjust historical loss rates as determined to reflect the extent to which current conditions and reasonable and supportable economic forecasts are expected to differ or where specific risks and uncertainties are not fully captured by the quantitative model. These qualitative adjustments may increase or decrease the estimate of expected future credit losses. The qualitative factors include economic forecast uncertainty, underwriting and collection trends, changes in nature and volume of portfolio, changes in the volume and severity of past due loans, collateral trends, concentration risk, quality of loan review, changes in personnel, external factors, and other considerations.

*Residential Loan Segments*

<u>Construction and land development:</u> Construction and land development loans consist of loans to individuals for the construction of their primary residences. Loans to individuals for the construction of their residences typically run for up to 12 or 18 months and then convert to permanent loans. These construction loans have rates and terms comparable to one-to-four family loans. During the construction phase, the borrower pays interest only. The maximum loan-to-value ratio of owner-occupied single-family construction loans is 80%. Residential construction loans are generally underwritten pursuant to the same guidelines used for originating permanent residential loans.

Construction loans generally are made for relatively short terms. However, to the extent construction loans are not made to owner-occupants of single-family homes, they are more vulnerable to changes in economic conditions and the concentration of credit with a limited number of borrowers. Further, the nature of these loans is such that they are more difficult to evaluate and monitor. The risk of loss on a construction loan is dependent largely upon the accuracy of the initial estimate of the property's value upon timely completion of the project and the estimated cost (including interest) of the project.

------

**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Note 1 — Summary of Significant Accounting Policies (continued)**

<u>Home equity lines of credit:</u> Home equity lines of credit mainly consist of variable-rate home equity lines of credit secured by a lien on the borrower's primary residence. These include first-lien home equity lines which are tied seamlessly to a demand deposit sweep account, which are limited to 80% of the property value. Home equity products are limited to 90% of the property value less any other mortgages if the first loan is with the Bank. Home equity products in a secondary lien position are limited to 85% of the property value less any superior liens. The Company uses the same underwriting standards for home equity lines of credit as it uses for one-to-four family residential mortgage loans. Home equity lines of credit provide for an initial draw period of up to ten years. Home equity loans are susceptible to weakening general economic conditions and increase in unemployment rates and declining real estate values.

<u>Closed end, first and second liens:</u> Closed end, first and second liens consist of one-to-four family residential loans which are primarily loans secured by first or second liens or mortgages on primary residences. The Company originates adjustable-rate and fixed-rate, one-to-four-family residential real estate loans for the construction, purchase or refinancing of a mortgage. These loans are collateralized by owner-occupied properties. Loans on one-to-four-family residential real estate are generally originated in amounts of up to 90% for owner-occupied one-to-four family homes and up to 85% for non-owner occupied homes. Mortgage title insurance and hazard insurance are normally required. Such loans are susceptible to weakening general economic conditions and increases in unemployment rates and declining real estate values.

*Commercial Loan Segments*

<u>Commercial:</u> Commercial business loans and lines of credit consist of loans to small- and medium- sized companies in the Company's market area. Commercial business loans are generally used for working capital purposes. Risk to this category include declining valuation of collateral and weakening general economic conditions.

<u>MPP:</u> Individual advances under the facility are reviewed and approved by the Company and are secured by specific one-to-four family mortgage loans, which the mortgage banker intends to sell and deliver to the secondary market within 60 days. The MPP business is susceptible to weakening general economic conditions and increases in unemployment rates and declining real estate values.

*Unfunded Loan Commitments*

The Company is also required to consider expected credit losses associated with loan commitments over the contractual period in which it is exposed to credit risk on the underlying commitments unless the obligation is unconditionally cancellable by the Company. Any allowance for off balance sheet credit exposure is reported in other liabilities on the Company's consolidated balance sheets and is increased or decreased by provision for credit losses on the Company's consolidated statement of income. The calculation uses the same methodology, inputs, and assumptions as the funded portion of the loans at the segment level applied to the amount of commitments expected to be funded.

***Off-balance-sheet Instruments***

In the ordinary course of business, the Company may enter into commitments under commercial letters of credit and standby letters of credit. Such financial instruments are recorded when they are funded. There were no letter of credit commitments as of June 30, 2025 or December 31, 2024.

***Other Real Estate Owned***

Assets acquired through, or in lieu of, loan foreclosure are held for sale and are initially recorded at fair value (less costs to sell) at the date of the foreclosure, establishing a new cost basis. Subsequent to foreclosure, valuations are periodically performed by management and the assets are carried at the lower of carrying amount or fair value less costs to sell. Related revenue, expenses, and changes in the valuation allowance are included in other expenses. Total other real estate owned included in other assets at June 30, 2025 and December 31, 2024 were approximately $203,000 and $3.0 million, respectively. The Company had real estate in the process of foreclosure totaling $6.8 million as of June 30, 2025 and $2.2 million as of December 31, 2024.

 ***Leases***

ASU 2016-02, Leases establishes a right-of-use ("ROU") model that requires a lessee to record a ROU asset and a lease liability on the balance sheet for all leases with terms longer than 12 months. Leases are classified as either finance or operating,

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**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Note 1 — Summary of Significant Accounting Policies (continued)**

with classification affecting the pattern of expense recognition in the income statement. Right of use assets and lease liabilities are recognized at lease commencement date based upon the estimated present value of lease payments over the lease term.

The ROU assets and lease liabilities were both $1.2 million at June 30, 2025 and were both $1.5 million at December 31, 2024. ROU assets are included in other assets and ROU lease liabilities are include in other liabilities in the Company's Consolidated Balance Sheets.

***New Accounting Pronouncements***

In December 2023, the FASB issued ASU 2023-09, "Income Taxes: Improvement to Income Tax Disclosures (Topic 740)." This ASU requires entities to disclose specific categories in the rate reconciliations and provide additional information for reconciling items that meet a quantitative threshold. The ASU requires all entities to disclose the amount of income taxes paid, disaggregated by federal state and foreign taxes, the amount of income taxes paid disaggregated by individual jurisdictions in which income taxes paid is equal or greater than 5% of total income taxes paid. The ASU also requires that entities disclose income (loss) from continuing operations before income tax expense (or benefit) disaggregated between domestic or foreign and income tax expense (or benefit) from continuing operations disaggregated by federal, state, and foreign. This ASU is effective for annual periods beginning after December 15, 2024. The adoption of this ASU did not have a material impact on the Consolidated Financial Statements or related income tax footnotes.

In November 2024, the FASB issued ASU 2024-03, Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses. The amendments in this ASU require disclosure, in the notes to financial statements, of specified information about certain costs and expenses, including (a) purchases of inventory, (b) employee compensation, (c) depreciation, (d) intangible asset amortization, and (e) depreciation, depletion, and amortization recognized as part of oil-and gas-producing activities (DD&A) (or other amounts of depletion expense) included in each relevant expense caption. The ASU is effective for public business entities for annual periods beginning after December 15, 2026, and interim periods beginning after December 15, 2027. Early adoption is allowed. The ASU can be applied prospectively. The Company is currently assessing the impact of the update and its operations, financial position, and disclosures.

***Subsequent Events***

The consolidated financial statements and related disclosures include evaluation of events through the date the consolidated financial statements were available to be issued.

------

**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Note 2 — Debt Securities**

The amortized costs, fair values, and unrealized gains and losses of debt securities available for sale were as follows as of the dates indicated (dollars in thousands):

---

| | | | | |
|:---|:---|:---|:---|:---|
| **June 30, 2025** | **Amortized Cost** | **Gross Unrealized** | **Gross Unrealized** | **Fair Value** |
| **June 30, 2025** | **Amortized Cost** | **Gains** | **Losses** | **Fair Value** |
| **Debt securities available for sale** | | | | |
| &nbsp;&nbsp;&nbsp;&nbsp;Subordinated corporate bonds | $9000 | $— | $(215) | $8785 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total | $9000 | $— | $(215) | $8785 |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
| **December 31, 2024** | **Amortized Cost** | **Gross Unrealized** | **Gross Unrealized** | **Fair Value** |
| **December 31, 2024** | **Amortized Cost** | **Gains** | **Losses** | **Fair Value** |
| **Debt securities available for sale** | | | | |
| &nbsp;&nbsp;&nbsp;&nbsp;Subordinated corporate bonds | $9000 | $— | $(424) | $8576 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total | $9000 | $— | $(424) | $8576 |

---

As of June 30, 2025 and December 31, 2024, there was no allowance for credit losses on debt securities available for sale.

There were no sales of debt securities available for sale in the three and six months ended June 30, 2025. Proceeds from the sale of debt securities available for sale were $5.8 million in the three months ended June 30, 2024, resulting in no net gain. Proceeds from the sale of debt securities available for sale were $10.9 million in the six months ended June 30, 2024, resulting in a net gain of $83,000. On July 24, 2025, the Company sold $4.0 million of debt securities available for sale at par, recognizing no gain or loss on the sale.

The following tables show investments with gross unrealized losses and their market value aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position at the dates indicated (dollars in thousands):

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **June 30, 2025** | **Less Than 12 Months** | **Less Than 12 Months** | **12 Months or More** | **12 Months or More** | **Total** | **Total** |
| **June 30, 2025** | **Fair Value** | **Unrealized<br>Loss** | **Fair Value** | **Unrealized<br>Loss** | **Fair Value** | **Unrealized<br>Loss** |
| **Debt securities available for sale** | | | | | | |
| &nbsp;&nbsp;&nbsp;&nbsp;Subordinated corporate bonds | $— | $— | $8785 | $(215) | $8785 | $(215) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total | $— | $— | $8785 | $(215) | $8785 | $(215) |

---

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **December 31, 2024** | **Less Than 12 Months** | **Less Than 12 Months** | **12 Months or More** | **12 Months or More** | **Total** | **Total** |
| **December 31, 2024** | **Fair Value** | **Unrealized<br>Loss** | **Fair Value** | **Unrealized<br>Loss** | **Fair Value** | **Unrealized<br>Loss** |
| **Debt securities available for sale** | | | | | | |
| &nbsp;&nbsp;&nbsp;&nbsp;Subordinated corporate bonds | $— | $— | $8576 | $(424) | $8576 | $(424) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total | $— | $— | $8576 | $(424) | $8576 | $(424) |

---

Debt securities, at par value, have the following contractual maturities as of June 30, 2025 (dollars in thousands):

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **June 30, 2025** | | | | | |
| **June 30, 2025** | **Within<br>1 Year** | **1 - 5 Years** | **5 - 10 Years** | **Greater than<br>10 years** | **Total** |
| **Debt securities available for sale** | | | | | |
| &nbsp;&nbsp;&nbsp;&nbsp;Subordinated corporate bonds | $— | $— | $9000 | $— | $9000 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total | $— | $— | $9000 | $— | $9000 |

---

------

**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Note 3 — Loans and Allowance for Credit Losses**

The following table shows a summary of the balances of loans as of the dates indicated (dollars in thousands):

---

| | | |
|:---|:---|:---|
| | **June 30, 2025** | **December 31, 2024** |
| Residential | $2596123 | $2699890 |
| Commercial | 856 | 8013 |
| MPP | 2891668 | 1710820 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total loans | 5488647 | 4418723 |
| Less: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Allowance for credit losses | 12375 | 11190 |
| &nbsp;&nbsp;&nbsp;&nbsp;Net deferred loan (cost)/fees | (8159) | (9031) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net loans | $5484431 | $4416564 |

---

The residential mortgage loan portfolio includes $175.1 million and $173.0 million of loans measured at fair value on June 30, 2025 and December 31, 2024, respectively.

Activity in the allowance for credit losses for the three months ended June 30, 2025 is summarized as follows (dollars in thousands):

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Three Months Ended June 30, 2025** | **Three Months Ended June 30, 2025** | **Three Months Ended June 30, 2025** | **Three Months Ended June 30, 2025** | **Three Months Ended June 30, 2025** |
| | **Residential** | **Commercial** | **MPP** | **Unallocated** | **Total** |
| Beginning balance | $11321 | $4 | $987 | $3 | $12315 |
| &nbsp;&nbsp;Charge-offs | (495) |  |  |  | (495) |
| &nbsp;&nbsp;Recoveries | 4 | 3 |  |  | 7 |
| &nbsp;&nbsp;Provision (benefit) | 383 | (4) | 170 | (1) | 548 |
| &nbsp;&nbsp;Ending balance | $11213 | $3 | $1157 | $2 | $12375 |

---

Activity in the allowance for loan losses for the three months ended June 30, 2024 is summarized as follows (dollars in thousands):

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Three Months Ended June 30, 2024** | **Three Months Ended June 30, 2024** | **Three Months Ended June 30, 2024** | **Three Months Ended June 30, 2024** | **Three Months Ended June 30, 2024** |
| | **Residential** | **Commercial** | **MPP** | **Unallocated** | **Total** |
| Beginning balance | $12088 | $8 | $534 | $5 | $12635 |
| &nbsp;&nbsp;Charge-offs | (755) |  |  |  | (755) |
| &nbsp;&nbsp;Recoveries | 8 | 5 |  |  | 13 |
| &nbsp;&nbsp;Provision (benefit) | 316 | (8) | 92 | (3) | 397 |
| Ending balance | $11657 | $5 | $626 | $2 | $12290 |

---

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**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Note 3 — Loans and Allowance for Credit Losses (continued)**

Activity in the allowance for credit losses for the six months ended June 30, 2025 is summarized as follows (dollars in thousands):

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Six Months Ended June 30, 2025** | **Six Months Ended June 30, 2025** | **Six Months Ended June 30, 2025** | **Six Months Ended June 30, 2025** | **Six Months Ended June 30, 2025** |
| | **Residential** | **Commercial** | **MPP** | **Unallocated** | **Total** |
| Beginning balance | $10468 | $32 | $684 | $6 | $11190 |
| &nbsp;&nbsp;Charge-offs | (806) |  |  |  | (806) |
| &nbsp;&nbsp;Recoveries | 52 | 7 |  |  | 59 |
| &nbsp;&nbsp;Provision (benefit) | 1499 | (36) | 473 | (4) | 1932 |
| &nbsp;&nbsp;Ending balance | $11213 | $3 | $1157 | $2 | $12375 |

---

Activity in the allowance for loan losses for the six months ended June 30, 2024 is summarized as follows (dollars in thousands):

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Six Months Ended June 30, 2024** | **Six Months Ended June 30, 2024** | **Six Months Ended June 30, 2024** | **Six Months Ended June 30, 2024** | **Six Months Ended June 30, 2024** |
| | **Residential** | **Commercial** | **MPP** | **Unallocated** | **Total** |
| Beginning balance | $11742 | $51 | $458 | $44 | $12295 |
| &nbsp;&nbsp;Charge-offs | (1189) |  |  |  | (1189) |
| &nbsp;&nbsp;Recoveries | 436 | 20 |  |  | 456 |
| &nbsp;&nbsp;Provision (benefit) | 668 | (66) | 168 | (42) | 728 |
| Ending balance | $11657 | $5 | $626 | $2 | $12290 |

---

Activity in the allowance for unfunded commitments for three and six months ended June 30, 2025 and 2024 is summarized as follows (dollars in thousands):

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
| | **2025** | **2024** | **2025** | **2024** |
| Beginning balance | $295 | $905 | $385 | $1594 |
| &nbsp;&nbsp;Charge-offs |  |  |  |  |
| &nbsp;&nbsp;Recoveries |  |  |  |  |
| &nbsp;&nbsp;Provision (benefit) | 35 | (99) | (55) | (788) |
| Ending balance | $330 | $806 | $330 | $806 |

---

------

**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Note 3 — Loans and Allowance for Credit Losses (continued)**

***<u>Nonaccrual Loans</u>***

The following table presents the amortized cost basis of loans on nonaccrual status and loans past due over 90 days still accruing in the held for investment portfolio, excluding those loans carried at fair value, as of June 30, 2025 (dollars in thousands):

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **June 30, 2025** | **June 30, 2025** | **June 30, 2025** | **June 30, 2025** | **June 30, 2025** |
| | **Nonaccrual<br>with No<br>Allowance** | **Nonaccrual<br>with<br>Allowance** | **Total<br>Nonaccrual** | **Over<br>90 days<br>Accruing** | **Total** |
| Residential: |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Construction and land development | $3640 | $2776 | $6416 | $354 | $6770 |
| &nbsp;&nbsp;&nbsp;Home equity lines of credit | 12986 | 967 | 13953 | 351 | 14304 |
| &nbsp;&nbsp;&nbsp;Closed end, first liens | 35080 | 12983 | 48063 | 2844 | 50907 |
| &nbsp;&nbsp;&nbsp;Closed end, second liens | 1058 | 1061 | 2119 | 752 | 2871 |
| Commercial | 162 |  | 162 |  | 162 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total | $52926 | $17787 | $70713 | $4301 | $75014 |

---

The following table presents the amortized cost basis of loans on nonaccrual status and loans past due over 90 days still accruing in the held for investment portfolio, excluding those loans carried at fair value, as of December 31, 2024 (dollars in thousands):

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** |
| | **Nonaccrual<br>with No<br>Allowance** | **Nonaccrual<br>with<br>Allowance** | **Total<br>Nonaccrual** | **Over<br>90 days<br>Accruing** | **Total** |
| Residential: |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Construction and land development | $2583 | $1650 | $4233 | $— | $4233 |
| &nbsp;&nbsp;&nbsp;Home equity lines of credit | 8420 | 2387 | 10807 | 200 | 11007 |
| &nbsp;&nbsp;&nbsp;Closed end, first liens | 36192 | 11514 | 47706 | 4020 | 51726 |
| &nbsp;&nbsp;&nbsp;Closed end, second liens | 287 | 1247 | 1534 | 31 | 1565 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total | $47482 | $16798 | $64280 | $4251 | $68531 |

---

The Bank has not recognized any material interest income on nonaccrual loans during the three and six months ended June 30, 2025 or 2024.

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**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Note 3 — Loans and Allowance for Credit Losses (continued)**

Collateral dependent loans are loans for which the repayment is expected to be provided substantially through the sale of the collateral and the borrower is experiencing financial difficulty. The allowance is calculated on an individual loan basis of the shortfall between the fair value of the loan's collateral, which is adjusted for selling costs, and the loan's amortized cost. If the fair value of the collateral exceeds the loan's amortized cost, no allowance is necessary.

The amortized cost of collateral dependent loans by class as of June 30, 2025 and December 31, 2024 was as follows (dollars in thousands):

---

| | | | |
|:---|:---|:---|:---|
| | **June 30, 2025** | **June 30, 2025** | **June 30, 2025** |
| | **Collateral Type** | **Collateral Type** | |
| | **Real Estate** | **Other** | **Allowance<br>Allocated** |
| Residential: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Construction and land development | $4944 | $— | $25 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Home equity lines of credit | 13079 |  | 18 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Closed end, first liens | 48632 |  | 109 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Closed end, second liens | 1291 |  | 79 |
| Commercial | 162 | $— |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total | $68108 | $— | $231 |

---

---

| | | | |
|:---|:---|:---|:---|
| | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** |
| | **Collateral Type** | **Collateral Type** | |
| | **Real Estate** | **Other** | **Allowance<br>Allocated** |
| Residential: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Construction and land development | $3066 | $— | $4 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Home equity lines of credit | 9748 |  | 40 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Closed end, first liens | 45340 |  | 341 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Closed end, second liens | 469 |  | 114 |
| Commercial | 118 | $— |  |
| Total | $58741 | $— | $499 |

---

***<u>Age Analysis of Loans</u>***

The following tables detail the age analysis of loans, excluding those loans carried at fair value, at June 30, 2025 and December 31, 2024 (dollars in thousands):

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | **June 30, 2025** | **June 30, 2025** | **June 30, 2025** | **June 30, 2025** | **June 30, 2025** | **June 30, 2025** |
| | **30 - 59 Days <br>Past Due** | **60 - 89 Days<br>Past Due** | **Greater than<br>90 Days** | **Total Past<br>Due** | **Current** | **Total<br>Loans** |
| Residential: |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Construction and land development | $5088 | $3279 | $4801 | $13168 | $159259 | $172427 |
| &nbsp;&nbsp;&nbsp;Home equity lines of credit | 7832 | 1437 | 10436 | 19705 | 699590 | 719295 |
| &nbsp;&nbsp;&nbsp;Closed end, first liens | 22107 | 7700 | 34132 | 63939 | 1395347 | 1459286 |
| &nbsp;&nbsp;&nbsp;Closed end, second liens | 2486 | 136 | 2042 | 4664 | 73540 | 78204 |
| Commercial |  | 67 | 162 | 229 | 627 | 856 |
| MPP |  |  |  |  | 2891668 | 2891668 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total | $37513 | $12619 | $51573 | $101705 | $5220031 | $5321736 |

---

------

**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Note 3 — Loans and Allowance for Credit Losses (continued)**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** |
| | **30 - 59 Days <br>Past Due** | **60 - 89 Days<br>Past Due** | **Greater than<br>90 Days** | **Total Past<br>Due** | **Current** | **Total<br>Loans** |
| Residential: |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Construction and land development | $3321 | $847 | $2935 | $7103 | $209853 | $216956 |
| &nbsp;&nbsp;&nbsp;Home equity lines of credit | 4161 | 1826 | 8639 | 14626 | 696541 | 711167 |
| &nbsp;&nbsp;&nbsp;Closed end, first liens | 26555 | 6412 | 33766 | 66733 | 1459810 | 1526543 |
| &nbsp;&nbsp;&nbsp;Closed end, second liens | 716 | 667 | 435 | 1818 | 79478 | 81296 |
| Commercial | 79 |  | 118 | 197 | 7816 | 8013 |
| MPP |  |  |  |  | 1710820 | 1710820 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total | $34832 | $9752 | $45893 | $90477 | $4164318 | $4254795 |

---

***<u>Modifications to Borrowers Experiencing Financial Difficulty</u>***

On occasion, the Company modifies loans to borrowers in financial distress by providing principal forgiveness, term extensions, interest rate reductions, or payment delays. When principal forgiveness is provided, the amount of forgiveness is charged-off against the allowance for credit losses. In some cases, the Company provides multiple types of concessions on one loan.

During the three months ended June 30, 2025, there were 6 closed end, first lien loans, totaling $1.7 million that were both experiencing financial difficulty and modified during the period. These loans were a combination of term extensions and interest rate reductions and each were on nonaccrual status at time of modification. During the three months ended June 30, 2024, there were 2 closed end, first lien loans, totaling $212,000 that were both experiencing financial difficulty and modified. These loans were a combination of term extension and interest rate reduction. There were no material modifications to borrowers experiencing financial difficulty within the previous twelve months that became 30 days or more past due during the three months ended June 30, 2025 and 2024.

During the six months ended June 30, 2025, there were $4.2 million in loans that were both experiencing financial difficulty and modified during the period: 14 closed end, first liens, for $4.0 million and 1 home equity lines of credit for $249,000. These loans were a combination of term extensions and interest rate reductions and each were on nonaccrual status at time of modification. During the six months ended June 30, 2024, there were $2.4 million in loans that were both experiencing financial difficulty and modified during the period: 7 closed end, first lien loans for $2.4 million. These loans were a combination of term extension and interest rate reduction. There were no material modifications to borrowers experiencing financial difficulty within the previous twelve months that became 30 days or more past due during the six months ended June 30, 2025 and 2024.

------

**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Note 3 — Loans and Allowance for Credit Losses (continued)**

***<u>Credit Quality Indicators</u>***

The Company categorized each loan into credit risk categories based on current financial information, overall debt service coverage, comparison against industry averages, collateral coverage, historical payment experience, and current economic trends. Residential real estate is evaluated for credit risk based on performing or non-performing classification. The Company uses the following definitions for credit risk ratings:

***Performing***

Residential real estate credits not covered by the non-performing definition below.

***Non-performing***

Residential real estate loans classified as non-performing are generally loans on nonaccrual status.

***Pass***

Commercial credits not covered by the definitions below are pass credits, which are not considered to be adversely rated.

***Special Mention***

Loans classified as special mention, or watch credits, have a potential weakness or weaknesses that deserves management's close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or of the institution's credit position at some future date.

***Substandard***

Loans classified as substandard are inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any. Loans so classified have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the institution may sustain some loss if the deficiencies are not corrected.

------

**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Note 3 — Loans and Allowance for Credit Losses (continued)**

The following table reflects amortized cost basis of loans and year to date charge-offs (excluding those loans carried at fair value) as of June 30, 2025 based on year of origination (dollars in thousands):

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **2025** | **2024** | **2023** | **2022** | **2021** | **Prior** | **Revolving<br>Loans<br>Amortized<br>Cost Basis** | **Total** |
| Construction and land development: |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Performing | $1226 | $13122 | $41822 | $55664 | $32968 | $21209 | $— | $166011 |
| &nbsp;&nbsp;&nbsp;Nonperforming |  |  | 1718 | 3489 | 1061 | 148 |  | 6416 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total | 1226 | 13122 | 43540 | 59153 | 34029 | 21357 |  | 172427 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Gross charge-offs |  |  |  |  |  | 2 |  | 2 |
| Home equity lines of credit: |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Performing |  |  |  |  |  |  | 705342 | 705342 |
| &nbsp;&nbsp;&nbsp;Nonperforming |  |  |  |  |  |  | 13953 | 13953 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total |  |  |  |  |  |  | 719295 | 719295 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Gross charge-offs |  | 2 | 177 | 90 |  |  |  | 269 |
| First liens, closed end loans: |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Performing | 1589 | 28709 | 86219 | 1037263 | 150138 | 107305 |  | 1411223 |
| &nbsp;&nbsp;&nbsp;Nonperforming | 173 | 3329 | 5887 | 30578 | 3205 | 4891 |  | 48063 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total | 1762 | 32038 | 92106 | 1067841 | 153343 | 112196 |  | 1459286 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Gross charge-offs |  |  |  | 473 |  | 12 |  | 485 |
| Second liens, closed end loans: |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Performing | 2673 | 4811 | 13679 | 31882 | 7969 | 15071 |  | 76085 |
| &nbsp;&nbsp;&nbsp;Nonperforming |  |  | 958 | 584 | 287 | 290 |  | 2119 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total | 2673 | 4811 | 14637 | 32466 | 8256 | 15361 |  | 78204 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Gross charge-offs |  |  | 50 |  |  |  |  | 50 |
| Commercial: Risk Rating |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Pass |  |  |  |  |  | 393 | 234 | 627 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Special mention |  |  |  |  |  | 67 |  | 67 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Substandard |  |  |  |  |  | 162 |  | 162 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total |  |  |  |  |  | 622 | 234 | 856 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Gross charge-offs |  |  |  |  |  |  |  |  |
| MPP: Risk Rating |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Pass |  |  |  |  |  |  | 2891668 | 2891668 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Special mention |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total |  |  |  |  |  |  | 2891668 | 2891668 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Gross charge-offs |  |  |  |  |  |  |  |  |
| Grand total | $5661 | $49971 | $150283 | $1159460 | $195628 | $149536 | $3611197 | $5321736 |
| Grand total gross charge-offs | $— | $2 | $227 | $563 | $— | $14 | $— | $806 |

---

There were no revolving loans converted to term loans during the six months ended June 30, 2025.

------

**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Note 3 — Loans and Allowance for Credit Losses (continued)**

The following table reflects amortized cost basis of loans and full year charge-offs as of December 31, 2024 based on year of origination (dollars in thousands):

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **2024** | **2023** | **2022** | **2021** | **2020** | **Prior** | **Revolving<br>Loans<br>Amortized<br>Cost Basis** | **Total** |
| Construction and land development |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Performing | $15270 | $64713 | $70314 | $38369 | $13447 | $10610 | $— | $212723 |
| &nbsp;&nbsp;&nbsp;Nonperforming |  | 1893 | 2012 | 181 |  | 147 |  | 4233 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total | 15270 | 66606 | 72326 | 38550 | 13447 | 10757 |  | 216956 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Gross charge-offs |  | 268 | 638 |  |  |  |  | 906 |
| Home equity lines of credit: |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Performing |  |  |  |  |  |  | 700360 | 700360 |
| &nbsp;&nbsp;&nbsp;Nonperforming |  |  |  |  |  |  | 10807 | 10807 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total |  |  |  |  |  |  | 711167 | 711167 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Gross charge-offs |  | 126 | 598 | 486 |  | 8 |  | 1218 |
| First liens, closed end loans: |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Performing | 55893 | 95908 | 1055560 | 157222 | 42292 | 71962 |  | 1478837 |
| &nbsp;&nbsp;&nbsp;Nonperforming | 839 | 5274 | 30919 | 3286 | 2855 | 4533 |  | 47706 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total | 56732 | 101182 | 1086479 | 160508 | 45147 | 76495 |  | 1526543 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Gross charge-offs |  | 22 | 73 |  | 16 | 59 |  | 170 |
| Second liens, closed end loans: |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Performing | 5235 | 15683 | 32903 | 8492 | 8503 | 8946 |  | 79762 |
| &nbsp;&nbsp;&nbsp;Nonperforming |  | 681 | 541 | 59 |  | 253 |  | 1534 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total | 5235 | 16364 | 33444 | 8551 | 8503 | 9199 |  | 81296 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Gross charge-offs |  | 152 | 147 |  |  |  |  | 299 |
| Commercial: Risk Rating |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Pass |  |  |  |  |  | 618 | 7308 | 7926 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Special mention |  |  |  |  |  | 87 |  | 87 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total |  |  |  |  |  | 705 | 7308 | 8013 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Gross charge-offs |  |  |  |  |  |  |  |  |
| MPP: Risk Rating |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Pass |  |  |  |  |  |  | 1710820 | 1710820 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Special mention |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total |  |  |  |  |  |  | 1710820 | 1710820 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Gross charge-offs |  |  |  |  |  |  |  |  |
| Grand total | $77237 | $184152 | $1192249 | $207609 | $67097 | $97156 | $2429295 | $4254795 |
| Grand total gross charge-offs | $— | $568 | $1456 | $486 | $16 | $67 | $— | $2593 |

---

There were no revolving loans converted to term loans during 2024.

------

**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Note 4 — Bank Premises and Equipment, Net**

The following table shows a summary of the cost and accumulated depreciation of premises and equipment as of the dates indicated (dollars in thousands):

---

| | | |
|:---|:---|:---|
| | **June 30, 2025** | **December 31, 2024** |
| Land | $6325 | $6325 |
| Leasehold improvements | 163 | 163 |
| Buildings and building improvements | 24717 | 24673 |
| Furniture, fixtures, and equipment | 10547 | 10414 |
| Construction in progress | 1285 |  |
| &nbsp;&nbsp;&nbsp;Total cost | 43037 | 41575 |
| Accumulated depreciation | (15558) | (14283) |
| &nbsp;&nbsp;&nbsp;Net | $27479 | $27292 |

---

Depreciation expense for the three months ended June 30, 2025 and 2024 amounted to $613,000 and $716,000, respectively. Depreciation expense for the six months ended June 30, 2025 and 2024 amounted to $1.3 million and $1.5 million, respectively.

Future undiscounted lease payments for operating leases with initial terms of one year of more as of June 30, 2025 are as follows (dollars in thousands):

---

| | |
|:---|:---|
| 2025 | $370 |
| 2026 | 466 |
| 2027 | 244 |
| 2028 | 63 |
| 2029 | 36 |
| &nbsp;&nbsp;&nbsp;Total undiscounted lease payments | 1179 |
| Less discount to net present value | (27) |
| &nbsp;&nbsp;&nbsp;Total operating lease liabilities | $1152 |

---

The lease liability is included in other liabilities in the Company's Consolidated Balance Sheet.

The weighted average remaining discount rate was 3.59% and weighted average remaining life was 2.58 years at June 30, 2025.

The leases contain options to extend for periods from 3 to 4 years. The cost of such rentals is not included above. Total rent expense for the three months ended June 30, 2025 and 2024 amounted to $328,000 and $461,000, respectively. Total rent expense for the six months ended June 30, 2025 and 2024 amounted to $635,000 and $1.0 million, respectively.

The Company also leases portions of its deposit branch and its operations center to third parties. The amounts included in occupancy and equipment expense are net of rental income of $292,000 and $282,000 for the three months ended June 30, 2025 and 2024, respectively and $580,000 and $569,000 for the six months ended June 30, 2025 and 2024, respectively.

Future income from non-cancelable lease agreements in effect at June 30, 2025 is as follows (dollars in thousands):

---

| | |
|:---|:---|
| 2025 | $623 |
| 2026 | 1181 |
| 2027 | 1106 |
| 2028 | 713 |
| 2029 | 360 |
| Thereafter | 339 |
| Total | $4322 |

---

------

**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Note 5 — Mortgage Servicing Rights**

The right to service loans for others is recognized as a mortgage servicing right ("MSR") on the balance sheet. MSRs are recognized either when purchased or when originated loans are sold with servicing retained. The unpaid principal balances of loans serviced for others were approximately $1.5 billion and $1.3 billion at June 30, 2025 and December 31, 2024, respectively. In addition, approximately $2.4 billion and $3.0 billion at June 30, 2025 and December 31, 2024, respectively, of loans were sub-serviced on behalf of other unaffiliated investors.

The following summarizes the components of loan servicing fees which are reported in loan servicing fees in the Company's Consolidated Statements of Income as of the periods set forth in the table below (dollars in thousands):

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
| | **2025** | **2024** | **2025** | **2024** |
| Contractual servicing fees | $1817 | $3156 | $3499 | $8623 |
| Late fees | 10 | 139 | 27 | 321 |
| Other fees |  | 17 | 3 | 37 |
| Change in fair value of MSRs | $(302) | $(915) | $(1009) | $(2722) |
| Total | $1525 | $2397 | $2520 | $6259 |

---

At June 30, 2025 the fair value of mortgage servicing rights was determined using discount rates between 9.5% and 12.0%, average cost of servicing between $70 and $85 per file per year, and a prepayment speed of 9.8%. At December 31, 2024 the fair value of mortgage servicing rights was determined using discount rates between 10.0% and 12.0%, average cost of servicing between $70 and $85 per file per year, and a prepayment speed of 9.7%.

The following summarizes mortgage servicing rights capitalized and amortized as of the periods set forth in the table below (dollars in thousands):

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
| | **2025** | **2024** | **2025** | **2024** |
| Balance – Beginning of period | $15492 | $94016 | $15133 | $95339 |
| &nbsp;&nbsp;&nbsp;Additions | 902 | 1608 | 1968 | 2093 |
| &nbsp;&nbsp;&nbsp;Paid in full loans | (172) | (486) | (300) | (1326) |
| &nbsp;&nbsp;&nbsp;Change in fair value | (130) | (428) | (709) | (1396) |
| &nbsp;&nbsp;&nbsp;Proceeds from sale |  | (80782) |  | (80782) |
| &nbsp;&nbsp;&nbsp;Bulk purchases | 296 |  | 296 |  |
| &nbsp;&nbsp;&nbsp;Loss on sale |  | (1058) |  | (1058) |
| Balance – End of period | $16388 | $12870 | $16388 | $12870 |

---

The following table summarizes the hypothetical effect on the fair value of servicing rights using adverse changes of 10.0% and 20.0% to the weighted-average of certain significant assumptions used in valuing these assets as of the dates indicated (dollars in thousands, except per loan):

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | **June 30, 2025** | **June 30, 2025** | **June 30, 2025** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** |
| | **Actual** | **10%<br>Adverse<br>Change** | **20%<br>Adverse<br>Change** | **Actual** | **10%<br>Adverse<br>Change** | **20%<br>Adverse<br>Change** |
| Discount rate change | 10.1% | $15730 | $15121 | 10.6% | $14493 | $13904 |
| Constant prepayment rate | 9.8% | 15803 | 15260 | 9.7% | 14606 | 14117 |
| Cost to service (per loan) | $75 | 16168 | 15949 | $75 | 14947 | 14761 |

---

------

**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Note 6 — Derivative Financial Instruments**

Forward contracts are contracts for delayed delivery of loans or mortgage-backed securities in which the seller agrees to make delivery at a future date of a specified instrument, at a specified price or yield. Risks arise from the possible inability of the Company to compile a portfolio of loans and from movements in interest rates. These contracts are used primarily to reduce the exposure to interest rate fluctuations for loans in progress and in loan inventory held for sale to investors. Most forward contracts are for terms of 30 days to 90 days. The Company had outstanding forward contracts of approximately $136.9 million and $110.6 million at June 30, 2025 and December 31, 2024, respectively. Forward commitments represent forward contracts, closed held for sale loans with a committed investor, and pair-off contracts.

Interest rate lock commitments, which are included in the commitments to extend credit in other assets and other liabilities in the consolidated balance sheets with the income offset recorded to gain on sale of loans, net in the consolidated statements of income, represent commitments to lend to customers at predetermined interest rates.

The following table presents the recorded gain/(loss) on derivative financial instruments at period end (dollars in thousands):

---

| | | |
|:---|:---|:---|
| | **June 30, 2025** | **December 31, 2024** |
| Interest rate-lock commitments | $4312 | $2047 |
| Forward commitments | (1176) | (1201) |

---

The following table provide details on the Company's derivative financial instruments at June 30, 2025 and December 31, 2024 (dollars in thousands):

---

| | | | |
|:---|:---|:---|:---|
| | **June 30, 2025** | **June 30, 2025** | **June 30, 2025** |
| | **Notional Amount** | **Asset** | **Liability** |
| Interest rate-lock commitments | $161460 | $4312 | $— |
| Forward commitments | 290989 | 62 | 1238 |
| &nbsp;&nbsp;&nbsp;Total | $452449 | $4374 | $1238 |

---

---

| | | | |
|:---|:---|:---|:---|
| | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** |
| | **Notional Amount** | **Asset** | **Liability** |
| Interest rate-lock commitments | $90500 | $2064 | $17 |
| Forward commitments | 202441 | 1332 | 131 |
| &nbsp;&nbsp;&nbsp;Total | $292941 | $3396 | $148 |

---

As of June 30, 2025 and December 31, 2024, the counterparty collateral asset balance was $42,000 and $0, respectively, and was included in other assets in the consolidated balance sheets. As of June 30, 2025 and December 31, 2024, the counterparty collateral liability balance was $30,000 and $43,000, respectively, and was included in other liabilities in the consolidated balance sheets.

------

**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Note 7 — Deposits**

The following is a summary of the distribution of deposits at period end (dollars in thousands):

---

| | | |
|:---|:---|:---|
| | **June 30, 2025** | **December 31, 2024** |
| Noninterest-bearing deposits | $201449 | $208938 |
| Interest-bearing demand deposits | 749479 | 690340 |
| Savings and money market accounts | 327244 | 334308 |
| Time: |  |  |
| &nbsp;&nbsp;&nbsp;Under $250,000 | 3042984 | 2047754 |
| &nbsp;&nbsp;&nbsp;$250,000 and over | 152915 | 141215 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total | $4474071 | $3422555 |

---

The Company recently completed an initiative to bring in approximately $250 million in new custodial deposits (categorized in interest-bearing demand deposits), which is expected to occur during the third quarter of 2025.

Brokered time deposits totaled $2.79 billion and $1.82 billion at June 30, 2025 and December 31, 2024, respectively.

At June 30, 2025, the scheduled maturities of time deposits are as follows (dollars in thousands):

---

| | |
|:---|:---|
| 2025 | $2952848 |
| 2026 | 147029 |
| 2027 | 22567 |
| 2028 | 47233 |
| 2029 | 25818 |
| Thereafter | 404 |
| Total | $3195899 |

---

**Note 8 — Borrowings**

The Bank has an advance agreement with the FHLB. At June 30, 2025, the Bank had 33 advances totaling $1.2 billion carrying a fixed interest rate ranging between 1.04% and 4.84% with scheduled maturities between 1 month and 8.7 years. The weighted average rate was 3.93% for the three months ended March 31, 2025. At December 31, 2024, the Bank had 34 advances totaling $1.3 billion carrying a fixed interest rate ranging between 1.04% and 4.84% with scheduled maturities between 4 months and 9.2 years. The weighted average rate was 3.83% at December 31, 2024.

The advances are collateralized by approximately $4.0 billion and $3.2 billion of mortgage loans and loans held for sale as of June 30, 2025 and December 31, 2024, respectively, under an agreement which calls for specific identification of pledged loans. Included in the above, advances totaling $10.0 million as of June 30, 2025 and December 31, 2024 are putable advances.

At June 30, 2025, the scheduled maturities of the advances are as follows (dollars in thousands):

---

| | |
|:---|:---|
| 2025 | $172500 |
| 2026 | 60000 |
| 2027 | 325000 |
| 2028 | 50000 |
| 2029 | 227500 |
| Thereafter | 400000 |
| Total | $1235000 |

---

&nbsp;&nbsp;&nbsp;&nbsp;In January 2025, the Bank executed an extinguishment of $102.5 million in FHLB advances, recognizing a $2.0 million gain on extinguishment as part of the Company's strategy to reduce its wholesale funding ratio.

------

**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Note 8 — Borrowings (continued)**

The Bank also has a line of credit included under the collateral agreement mentioned above, allowing borrowing up to $100.0 million. The interest rate on the line of credit is a floating rate determined by the FHLB and the line of credit matures on May 12, 2026. The Bank had $39.9 million and $0 outstanding borrowings on the line of credit at June 30, 2025 and December 31, 2024, respectively. Also included in borrowings are overnight borrowing lines. These lines had no balances at either June 30, 2025 or December 31, 2024.

**Note 9 — Subordinated Debentures**

On September 28, 2018, the Bank issued $15.0 million of subordinated notes due October 1, 2028. The notes were redeemable on October 1, 2023. Interest payments were due April 1 and October 1 of each year at a fixed rate of 6.875% through October 1, 2023 and converted to a variable rate of the three-month LIBOR plus 3.765% with payments due quarterly January 1, April 1, July 1, and October 1 of each year. The notes included fall back language to determine an alternative index rate calculation if the three-month LIBOR rate index is unavailable. The alternative index rate was the three-month CME Term SOFR plus 4.03%. All notes in this issuance were redeemed and repaid in January 2025.

On August 22, 2024, the Company issued $25.0 million of subordinated notes due September 1, 2034. The notes become redeemable on September 1, 2029. Interest payments are due on March 1 and September 1 of each year at a fixed rate of 9.0% through September 1, 2029 and convert to a variable rate of three month SOFR plus 5.50% with payments due quarterly.

As of June 30, 2025, maturities of subordinated debt were as follows (dollars in thousands):

---

| | |
|:---|:---|
| 2034 | $25000 |
| &nbsp;&nbsp;&nbsp;Total | 25000 |
| Less unamortized deferred costs | 819 |
| &nbsp;&nbsp;&nbsp;Total maturities, net unamortized deferred costs | $24181 |

---

**Note 10 — Issuance of Preferred Stock**

On December 30, 2021, the Company issued $25.0 million of 7.25% Fixed-to-Floating Rate Non-Cumulative Perpetual Preferred Stock, Series B ("Series B Preferred Stock"), no par value, with a liquidation preference of $1,000 per share. When, as, and if declared by the board of directors of the Company, dividends will be payable at an annual rate of 7.25%, payable quarterly, in arrears.

On December 29, 2020, the Company issued $95.0 million of 8.25% Fixed-to-Floating Rate Non- Cumulative Perpetual Preferred Stock, Series A, no par value, with a liquidation preference of $1,000 per share ("Series A Preferred Stock"). When, as, and if declared by the board of directors of the Company, dividends will be payable at an annual rate of 8.25%, payable quarterly, in arrears. The cash raised by the Company through these issuances of preferred stock was used as a source of capital for the Bank's organic growth, and general corporate matters. During 2024, the Company redeemed 13,000 shares of the Series A Preferred Stock for $11.6 million. On March 31, 2025, the Company redeemed an additional 5,000 shares of the Series A Preferred Stock for $4.9 million.

Preferred stock dividend expense for the three and six month periods ended June 30, 2025 include a non-recurring special dividend of $2.50 per share, paid on June 30, 2025 on the Company's Series A Preferred Stock and the Company's Series B Preferred Stock. This special dividend was paid in connection with amendments made to the Company's Series A Preferred Stock on May 16, 2025 and to the Series B Preferred Stock on May 21, 2025 to extend the registration rights agreements deadlines to January 2, 2026 for the Series A Preferred Stock and to January 2, 2027 for the Series B Preferred Stock.

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**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Note 11 — Off-balance-sheet Activities**

***Credit-related Financial Instruments***

The Company is a party to credit-related financial instruments with off-balance-sheet risk in the normal course of business to meet the financing needs of its customers. These financial instruments include commitments to extend credit, standby letters of credit, and commercial letters of credit. Such commitments involve, to varying degrees, elements of credit and interest rate risk in excess of the amount recognized in the consolidated balance sheet.

The Company's exposure to credit loss is represented by the contractual amount of these commitments. The Company follows the same credit policies in making commitments as it does for on-balance-sheet instruments.

At June 30, 2025 and December 31, 2024, the following financial instruments were outstanding whose contract amounts represent credit risk (dollars in thousands):

---

| | | |
|:---|:---|:---|
| | **Contract Amount** | **Contract Amount** |
| | **June 30, 2025** | **December 31, 2024** |
| Commitments to grant loans | $3657280 | $2407551 |
| Unfunded commitments under lines of credit | 363644 | 334180 |

---

Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. The commitments for equity lines of credit may expire without being drawn upon. Therefore, the total commitment amounts do not necessarily represent future cash requirements. The amount of collateral obtained, if it is deemed necessary by the Company, is based on management's credit evaluation of the customer.

Unfunded commitments under lines of credit are commitments for possible future extensions of credit to existing customers. These lines of credit are collateralized and usually do not contain a specified maturity date and may not be drawn upon to the total extent to which the Company is committed.

The Company is required to consider expected credit losses associated with unfunded commitments. Any allowance for unfunded commitment credit exposure is reported in other liabilities on the consolidated balance sheets and is increased or decreased through the provision (benefit) for credit losses on the consolidated statement of income. The calculated allowance for unfunded commitments was $330,000 as of June 30, 2025 and $385,000 as of December 31, 2024.

***Collateral Requirements***

To reduce credit risk related to the use of credit-related financial instruments, the Company might deem it necessary to obtain collateral. The amount and nature of the collateral obtained are based on the Company's credit evaluation of the customer. Collateral held varies but may include cash, securities, accounts receivable, inventory, property, plant, and equipment, and real estate.

If the counterparty does not have the right and ability to redeem the collateral or the Company is permitted to sell or re-pledge the collateral on short notice, the Company records the collateral in its consolidated balance sheet at fair value with a corresponding obligation to return it.

***Legal Contingencies***

Various legal claims also arise from time to time in the normal course of business which, in the opinion of management, will have no material effect on the Company's consolidated financial statements.

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**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Note 12 — Employee Benefits** 

The Company sponsors a 401(K) plan which contains an employee stock ownership plan ("ESOP") investment option. The 401(k) Plan is available to all employees, on the 1st of the month following 90 days of employment. Participants in the plan have the option to contribute from 0% to 100% of their annual compensation, up to the IRS allowable limits. FICA taxes must be paid based on total compensation. The Company matches 60% of participant contributions up to 7% of gross pay. The Company's matching contributions were $314,000 and $303,000 for the three months ended June 30, 2025 and 2024, respectively and were $686,000 and $350,000 for the six months ended June 30, 2025 and 2024, respectively. Participants are immediately 100% vested in salary and rollover contributions and any income or loss thereon. Vesting in the matching contributions is based on years of service. Participants vest in contributions made by the Company 20% after one year of service and another 20% per year per until they become fully vested after five years of service. If a participant is not fully vested on their termination date, the non-vested amount is forfeited. Forfeitures are used to reduce company contributions and/or to pay administrative expenses of the plan.

In connection with the Company's initial public stock offering, all ESOP shares were converted into registered shares of Northpointe Bancshares, Inc. and moved from the ESOP to the 401k plan. The ESOP held 951,600 shares of the Company's common stock at December 31, 2024. All shares have been allocated to participants. The fair value to repurchase the shares held at December 31, 2024 was approximately $13.7 million.

The Company has a self-insured medical insurance plan covering all of its eligible employees. The Company's individual excess risk benefit level per employee was $185,000 (with no aggregate exposure limitation) at June 30, 2025. Losses in excess of the limitation are covered by reinsurance. Amounts expensed by the Company under the plan were approximately $1.5 million and $1.6 million for the three months ended June 30, 2025 and 2024, respectively, and were $2.7 million and $2.4 million for the six months ended June 30, 2025 and 2024, respectively. These expenses were recorded in salaries and employee benefits on the consolidated statement of income. The Company recorded an accrual of approximately $270,000 and $390,000 at June 30, 2025 and December 31, 2024, respectively, for known claims and estimated claims incurred but not reported, reported in other liabilities on the consolidated balance sheets.

**Note 13 — Stock Compensation Plans**

The Company has utilized three share based compensation plans, which are described below. No stock option expense was recorded for the three or six months ended June 30, 2025 and 2024. The stock option plan and stock appreciation rights plan are both legacy plans which the Company does not intend to issue any new shares under after 2024.

The Company has a stock option plan for its non-employee directors, executive officers and certain employees under which options may be granted at not less than the fair value of the underlying stock on the date of the grant. These options are subject to a vesting schedule under which one-third vests at each anniversary date of the grant. Under the stock option plan, the Company may grant options to its directors for up to 500,000 shares of common stock and up to 1,000,000 shares of common stock to its executive officers and certain employees.

All options granted expire within 10 years of the date of grant, subject to certain cancellation provisions related to an individual's affiliation with the Company.

The calculated value of each option award is estimated on the date of grant using a Black-Scholes option valuation model that uses the weighted average assumptions. Expected volatilities are based on similar volatilities of comparable banks. The Company uses comparable bank data to estimate option exercise and employee termination within the valuation model. The risk-free rate for periods within the contractual life of the option is based on the U.S. Treasury yield curve in effect at the time of grant. There were no stock option grants in the three or six months ended June 30, 2025 or 2024.

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**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Note 13 — Stock Compensation Plans (continued)**

A summary of option activity under the Plan for the six months ended June 30, 2025 is presented below:

---

| | | | |
|:---|:---|:---|:---|
| **Options** | **Number of<br>Shares** | **Weighted Average Exercise Price** | **Weighted Average Remaining Contractual Term (in years)** |
| Outstanding at January 1, 2024 | 19000 | $2.00 | 0.6 |
| Granted |  |  |  |
| Exercised | (9000) | (1.50) |  |
| Forfeited or expired |  |  |  |
| Outstanding at June 30, 2025 | 10000 | $2.45 | 0.6 |
| Vested at June 30, 2025 | 10000 | $2.45 | 0.6 |

---

The total intrinsic value of the options exercised during the three and six months ended June 30, 2025 was approximately $0 and $116,000. No options were exercised in the three or six months ended June 30, 2024. The total intrinsic value of the options outstanding at June 30, 2025 and December 31, 2024 was approximately $113,000 and $236,000, respectively.

As of June 30, 2025 and 2024, there was no unrecognized compensation cost related to non- vested share-based compensation arrangements granted under the plan.

The Company also has a stock appreciation rights plan for executive officers and certain employees. Stock appreciation rights are primarily granted with a price equal to the market value of common stock on the date of the grant. These awards generally have a five year vesting schedule but may vest early in accordance with accelerated vesting provisions. Compensation expense is recognized over the vesting period of the awards based on the fair value of the stock. For periods prior to the Company's initial public offering, the Bank utilized a third party valuation service for the measurement of fair value of the Company's stock price as provided for in the Employee Stock Ownership Plan Report.

A summary of stock appreciation right awards for the six months ended June 30, 2025 is as follows:

---

| | | |
|:---|:---|:---|
| **Stock Appreciation Right Awards** | **Number of<br>Shares** | **Weighted<br>Average<br>Exercise<br>Price** |
| Non-vested at January 1, 2025 | 545000 | $11.00 |
| Granted |  |  |
| Exercised | (75000) | 5.60 |
| Forfeited or expired | (20000) | 11.73 |
| Outstanding at June 30, 2025 | 450000 | $11.87 |

---

The Company also has a restricted stock award plan which was implemented during 2024. Restricted stock awards generally have vesting periods of three years with vesting at the rate of one-third each year. Restricted stock awards granted to the Company's Chief Executive Officer in connection with the Company's initial public offering were assigned a five year vesting period. Restricted stock awards have no other performance conditions required for vesting.

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**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Note 13 — Stock Compensation Plans (continued)**

A summary of changes in the Company's nonvested restricted stock awards for the six months ended June 30, 2025 follows (dollars in thousands for aggregate intrinsic value):

---

| | | | |
|:---|:---|:---|:---|
| **Nonvested Stock Awards** | **Number of<br>Shares** | **Weighted Average Grant-Date Fair Value** | **Aggregate Intrinsic Value** |
| Outstanding at January 1, 2025 | 849530 | $14.40 | $11647 |
| Granted | 164000 | 13.50 | 2248 |
| Vested | (49560) | 14.40 | (679) |
| Forfeited |  |  |  |
| Outstanding at June 30, 2025 | 963970 | $14.25 | $13216 |

---

Compensation cost related to restricted stock awards totaled $898,000 and $0 for the three months ended June 30, 2025 and 2024, respectively, and totaled $2.2 million and $0 for the six months ended June 30, 2025 and 2024, respectively.

As of June 30, 2025, there was $12.9 million of total remaining compensation cost related to nonvested restricted stock awards granted under the Company's stock-based compensation plans. The cost is expected to be recognized over a weighted-average period of 1.9 years. Restricted stock awards totaling 49,560 shares vested during the three and six months ended June 30, 2025. The intrinsic value of restricted stock awards vested totaled $679,000 in the three and six months ended June 30, 2025. There was no vesting of restricted stock awards during the three and six months ended 2024.

**Note 14 — Income Taxes**

The components of the income tax provision are detailed as follows for the dates indicated (dollars in thousands):

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
| | **2025** | **2024** | **2025** | **2024** |
| Current income tax expense | $6098 | $22734 | $12044 | $26739 |
| Deferred tax expense | 211 | (18551) | (386) | (18591) |
| Total income tax expense | $6309 | $4183 | $11658 | $8148 |

---

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**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Note 14 — Income Taxes (Continued)**

A reconciliation of taxes on income from the statutory income tax rate to income tax expense is as follows for the periods indicated (dollars in thousands):

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** |
| | **June 30, 2025** | **June 30, 2025** | **June 30, 2024** | **June 30, 2024** |
| | **Amount** | **Percent** | **Amount** | **Percent** |
| Income tax expense, computed at federal statutory rate of pretax income | $5597 | 21.00% | $3655 | 21.00% |
| State and local income taxes | 562 | 2.11% | 515 | 2.96% |
| Effect of nontaxable income and nondeductible expenses | 20 | 0.07% | 13 | 0.07% |
| Other | 130 | 0.49% |  | —% |
| &nbsp;&nbsp;&nbsp;Total income tax expense | $6309 | 23.67% | $4183 | 24.03% |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Six Months Ended** | **Six Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 30, 2025** | **June 30, 2025** | **June 30, 2024** | **June 30, 2024** |
| | **Amount** | **Percent** | **Amount** | **Percent** |
| Income tax expense, computed at statutory rate of pretax income | $10343 | 21.00% | $7060 | 21.00% |
| State and local income taxes | 1146 | 2.33% | 1010 | 3.00% |
| Effect of nontaxable income and nondeductible expenses | 39 | 0.08% | 56 | 0.17% |
| Other | 130 | 0.26% | 22 | 0.07% |
| &nbsp;&nbsp;&nbsp;Total income tax expense | $11658 | 23.67% | $8148 | 24.24% |

---

Deferred tax assets and liabilities consisted of the following as of period end (dollars in thousands):

---

| | | |
|:---|:---|:---|
| | **June 30, 2025** | **December 31, 2024** |
| Allowance for credit losses | $2929 | $2649 |
| Accrued expenses and other reserve accounts | 1893 | 1762 |
| Nonaccrual loan interest | 682 | 957 |
| Stock compensation | 518 | 379 |
| Unrealized loss on debt securities available for sale | 33 | 82 |
| Other deferred tax assets | 137 | 211 |
| &nbsp;&nbsp;&nbsp;Total deferred tax assets | 6192 | 6040 |
| Mortgage servicing rights | 3784 | 3558 |
| Fixed assets | 2922 | 3135 |
| Goodwill and intangibles | 522 | 581 |
| Deferred loan costs/fees | 1931 | 2138 |
| Other deferred tax liabilities | 174 | 106 |
| &nbsp;&nbsp;&nbsp;Total deferred tax liabilities | 9333 | 9518 |
| Net deferred tax liability | $(3141) | $(3478) |

---

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**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Note 14 — Income Taxes (Continued)**

The Company and its subsidiaries file consolidated tax returns. The Company accounts for income taxes in accordance with income tax accounting guidance (ASC 740, Income Taxes). The income tax accounting guidance results in two components of income tax expense: current and deferred. Current income tax expense reflects taxes to be paid or refunded for the current period by applying the provisions of the enacted tax law to the taxable income or excess of deductions over revenues. The Company determines deferred income taxes using the liability (or balance sheet) method. Under this method, the net deferred tax asset or liability is based on the tax effects of the differences between the book and tax bases of assets and liabilities, and enacted changes in tax rates and laws are recognized in the period in which they occur. Deferred income tax expense results from changes in deferred tax assets and liabilities between periods. Deferred tax assets are reduced by a valuation allowance if, based on the weight of evidence available, it is more likely than not that some portion or all of a deferred tax asset will not be realized. Deferred tax assets are included in other assets in the consolidated balance sheets and deferred tax liabilities are included in other liabilities in the Consolidated Balance Sheets.

Uncertain tax positions are recognized if it is more likely than not, based on the technical merits, that the tax position will be realized or sustained upon examination. The term more likely than not means a likelihood of more than 50 percent; the terms examined and upon examination also include resolution of the related appeals or litigation processes, if any. A tax position that meets the more-likely-than-not recognition threshold is initially and subsequently measured as the largest amount of tax benefit that has a greater than 50 percent likelihood of being realized upon settlement with a taxing authority that has full knowledge of all relevant information. The determination of whether or not a tax position has met the more-likely-than- not recognition threshold considers the facts, circumstances, and information available at the reporting date and is subject to management's judgment. There were no uncertain tax positions recognized at June 30, 2025 or December 31, 2024.

With a few exceptions, the Company is no longer subject to U.S. federal tax examinations by tax authorities for years before 2022, and state and local income tax examinations by tax authorities for years before 2022. For federal tax purposes, the Company recognizes interest and penalties on income taxes as a component of income tax expense.

On July 4, 2025, the President signed H.R. 1, the "One Big Beautiful Bill Act," into law. The legislation includes several changes to federal tax law that generally allow for more favorable deductibility of certain business expenses beginning in 2025, including the restoration of immediate expensing of domestic R&D expenditures, reinstatement of 100% bonus depreciation, and more favorable rules for determining the limitation on business interest expense. These changes were not reflected in the income tax provision for the three and six months ended June 30, 2025, as enactment occurred after the balance sheet date. The Company is currently evaluating the impact on future periods.

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**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Note 15 — Minimum Regulatory Capital Requirements**

The Company and Bank are subject to various regulatory capital requirements administered by the Federal banking agencies. Failure to meet minimum capital requirements can result in certain mandatory — and possibly additional discretionary — actions by regulators that, if undertaken, could have a direct material effect on the Company's financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Company and Bank must meet specific capital guidelines that involve quantitative measures of the Company and the Bank's assets, liabilities, and certain off-balance sheet items as calculated under U.S. GAAP, regulatory reporting requirements and regulatory capital standards. The Company and Bank's capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings, and other factors. Furthermore, the Company and Bank's regulators could require adjustments to regulatory capital not reflected in the consolidated financial statements.

Quantitative measures established by regulatory capital standards to ensure capital adequacy require the Company and the Bank to maintain minimum amounts and ratios (set forth in the table below) of total capital, Tier 1 capital (as defined), and common equity Tier 1 capital (as defined) to risk-weighted assets (as defined) and of Tier 1 capital (as defined) to average total assets (as defined). Additionally, to make distributions or discretionary bonus payments, the Company and Bank must maintain a capital conservation buffer of 2.5% of risk-weighted assets.

Management believes that the Company and the Bank met all capital adequacy requirements to which it is subject at June 30, 2025 and December 31, 2024. As of the latest balance sheet date, the most recent regulatory notifications categorized the Bank as well capitalized under the regulatory framework for prompt corrective action. To be categorized as well capitalized, the Bank must maintain minimum ratios as set forth in the following table. There are no conditions or events since that notification that management believes have changed the institution's category.

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **As of June 30, 2025<br>(dollars in thousands)** | **Actual** | **Actual** | **For Capital Adequacy<br>Purposes** | **For Capital Adequacy<br>Purposes** | **To be Well Capitalized Under<br>Prompt Corrective Action<br>Provisions** | **To be Well Capitalized Under<br>Prompt Corrective Action<br>Provisions** |
| **As of June 30, 2025<br>(dollars in thousands)** | **Amount** | **Ratio** | **Amount** | **Ratio** | **Amount** | **Ratio** |
| CET1 (to risk weighted assets) |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Consolidated | $506203 | 9.25% | $246135 | 4.50% | N/A | N/A |
| &nbsp;&nbsp;&nbsp;&nbsp;Northpointe Bank | 610113 | 11.15% | 246131 | 4.50% | $355523 | 6.50% |
| Tier 1 Capital (to risk weighted assets) |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Consolidated | 609936 | 11.15% | 328179 | 6.00% | N/A | N/A |
| &nbsp;&nbsp;&nbsp;&nbsp;Northpointe Bank | 610113 | 11.15% | 328175 | 6.00% | 437566 | 8.00% |
| Total Capital (to risk weighted assets) |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Consolidated | 645209 | 11.80% | 437572 | 8.00% | N/A | N/A |
| &nbsp;&nbsp;&nbsp;&nbsp;Northpointe Bank | 620386 | 11.34% | 437566 | 8.00% | 546958 | 10.00% |
| Tier 1 capital (to average assets) |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Consolidated | 609936 | 9.98% | 244436 | 4.00% | N/A | N/A |
| &nbsp;&nbsp;&nbsp;&nbsp;Northpointe Bank | 610113 | 9.98% | 244434 | 4.00% | 305543 | 5.00% |

---

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**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Note 15 — Minimum Regulatory Capital Requirements (continued)**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **As of December 31, 2024<br>(dollars in thousands)** | **Actual** | **Actual** | **For Capital Adequacy<br>Purposes** | **For Capital Adequacy<br>Purposes** | **To be Well Capitalized Under<br>Prompt Corrective Action<br>Provisions** | **To be Well Capitalized Under<br>Prompt Corrective Action<br>Provisions** |
| **As of December 31, 2024<br>(dollars in thousands)** | **Amount** | **Ratio** | **Amount** | **Ratio** | **Amount** | **Ratio** |
| CET1 (to risk weighted assets) |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Consolidated | $361404 | 8.57% | $189701 | 4.50% | N/A | N/A |
| &nbsp;&nbsp;&nbsp;&nbsp;Northpointe Bank | 487519 | 11.56% | 189699 | 4.50% | 274010 | 6.50% |
| Tier 1 Capital (to risk weighted assets) |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Consolidated | 469977 | 11.15% | 252935 | 6.00% | N/A | N/A |
| &nbsp;&nbsp;&nbsp;&nbsp;Northpointe Bank | 487519 | 11.56% | 252932 | 6.00% | 337242 | 8.00% |
| Total Capital (to risk weighted assets) |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Consolidated | 509591 | 12.09% | 337246 | 8.00% | N/A | N/A |
| &nbsp;&nbsp;&nbsp;&nbsp;Northpointe Bank | 502996 | 11.93% | 337242 | 8.00% | 421553 | 10.00% |
| Tier 1 capital (to average assets) |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Consolidated | 469977 | 8.77% | 214421 | 4.00% | N/A | N/A |
| &nbsp;&nbsp;&nbsp;&nbsp;Northpointe Bank | 487519 | 9.09% | 214419 | 4.00% | 268024 | 5.00% |

---

**Note 16 — Restrictions on Dividends, Loans, and Advances**

Banking regulations place certain restrictions on dividends paid and loans or advances made by the Bank to the Company. The total amount of dividends which may be paid at any date is generally limited to the retained earnings of the Bank. However, dividends paid by the Bank would be prohibited if the effect thereof would cause the Bank's capital to be reduced below applicable minimum standards without prior approval from the bank regulators.

**Note 17 — Fair Value Measurements**

Accounting standards define fair value as the exchange price that would be received for an asset or paid to transfer a liability in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. It also establishes a fair value hierarchy which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value.

The standard describes three levels of inputs that may be used to measure fair value:

Level 1: Valuation is based upon quoted prices (unadjusted) for identical assets or liabilities in active markets that we have the ability to access as of the measurement date.

Level 2: Valuation is based upon significant other observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets or liabilities in markets that are not active; or other inputs that are observable or can be derived from or corroborated by observable market data by correlation or other means.

Level 3: Valuation is based upon significant unobservable inputs that reflect our own conclusions about the assumptions that market participants would use in pricing an asset or liability.

In instances whereby inputs used to measure fair value fall into different levels in the above fair value hierarchy, fair value measurements in their entirety are categorized based on the lowest level input that is significant to the valuation. The Company's assessment of the significance of particular inputs to these fair value measurements requires judgment and considers factors specific to each asset.

The Company records the fair values of financial assets and liabilities on a recurring and non-recurring basis using the following methods and assumptions:

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**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Note 17 — Fair Value Measurements (continued)**

***Equity Securities***

Equity securities with readily determinable fair value are reported at fair value. Fair value for these investments is primarily determined using a quoted price in an active market or exchange (Level 1).

***Available for Sale Debt Securities***

Where quoted market prices are available in an active market, securities are classified as Level 1 of the valuation hierarchy. The Company does not currently have any Level 1 debt securities. If quoted prices are not available, fair values can be estimated using (1) quoted market prices of securities with similar characteristics, (2) matrix pricing, which is a mathematical technique used widely in the industry to value debt securities without relying exclusively on quoted prices for specific securities but rather by relying on the securities' relationship to other benchmark quoted prices, or (3) a discounted cash flow analysis whose significant fair value inputs can generally be verified and do not typically involve judgment by management. Included in the Company's available for sale debt securities are corporate bonds which are classified as Level 2 assets. The valuation of these corporate bonds is determined using third-party quoted market prices of securities with similar characteristics.

***Loans***

Certain loans held for sale and held for investment are measured at fair value on a recurring basis due to the Company's election to adopt fair value accounting treatment for those loans originated for which the Company has entered into certain derivative financial instruments as part of its mortgage banking and related risk management activities. These instruments include interest rate lock commitments and mandatory forward commitments to sell these loans to investors known as forward mortgage-backed securities trades. This election allows for a more effective offset of the changes in fair values of the assets and the mortgage related derivative instruments used to economically hedge them without the burden of complying with the requirements for hedge accounting under ASC 815, Derivatives and Hedging. Mortgage loans held for sale, for which the fair value option was elected, are valued using a market approach by utilizing either: (i) the fair value of securities backed by similar mortgage loans, adjusted for certain factors to approximate the fair value of a whole mortgage loan, including the value attributable to mortgage servicing and credit risk, (ii) current commitments to purchase loans or (iii) recent observable market trades for similar loans, adjusted to credit risk and other individual loan characteristics. As these prices are derived from market observable inputs, the Company classifies these valuations as Level 2 in the fair value disclosures. For mortgage loans held for sale for which the fair value option was elected, the earned current contractual interest payment is recognized in interest income, loan origination costs and fees on fair value option loans are recognized in earnings as incurred and not deferred. The Company has no continuing involvement in any residential mortgage loans sold.

Loans held for investment that are measured at fair value are those that initially were intended for sale and then transferred to portfolio. At June 30, 2025, these loans had an aggregate unpaid principal balance of $202.3 million and aggregate fair value of $175.1 million. At December 31, 2024, these loans had an aggregate unpaid principal balance of $203.0 million and aggregate fair value of $173.0 million.

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**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Note 17 — Fair Value Measurements (continued)**

At June 30, 2025 and December 31, 2024, the fair value option was applied to loans that had been transferred from held for sale to portfolio and also to mortgage loans held for sale. The fair value adjustments are reflected in Net Gain on Sale of Loans on the Company's Consolidated Statements of Income. At June 30, 2025, the Company transferred $40.3 million in unpaid principal balance of home equity (non AIO) loans from loans HFI to loans held for sale related to an agreement to sell those loans and recognized a positive fair value adjustment of $1.4 million, which is included in Net Gain on Sale of Loans on the Company's Consolidated Statements of Income for the three and six months ended June 30, 2025.

The table below shows the income statement impact for these fair value adjustments for the three and six months ended June 30, 2025 and 2024:

---

| | | | | |
|:---|:---|:---|:---|:---|
| **(dollars in thousands)** | **For the Three Months Ended June 30,** | **For the Three Months Ended June 30,** | **For the Six Months Ended<br> June 30,** | **For the Six Months Ended<br> June 30,** |
| **(dollars in thousands)** | **2025** | **2024** | **2025** | **2024** |
| Loans | $1359 | $(1115) | $4277 | $(726) |
| Loans held for sale | 2024 | 589 | 3835 | (192) |

---

Loans reported at the fair value which were over 90 days past due amounted to $270,000 and $148,000 in unpaid principal balance with a fair values of $253,000 and $145,000 as of June 30, 2025 and December 31, 2024, respectively. The accrual of interest on loans is discontinued at the time the loan is delinquent (120 days for mortgages). Non-accrual loans reported at fair value amounted to $11.2 million in unpaid principal balance and $8.8 million in fair value as of June 30, 2025. Non-accrual loans reported at fair value amounted to $10.3 million in unpaid principal balance and $8.3 million in fair value as of December 31, 2024.

***Interest Rate Lock Commitments***

The estimated fair values of interest rate lock commitments utilize current secondary market prices for underlying loans and estimated servicing value with similar coupons, maturity and credit quality, subject to the anticipated loan funding probability (pull-through rate). The fair value of interest rate lock commitments is subject to change primarily due to changes in interest rates and the estimated pull-through rate. Given the significant and unobservable nature of the pull-through factor, interest rate lock commitments are classified as Level 3.

***Forward Sales Commitments***

Forward mortgage-backed securities trades are exchange-traded or traded within highly active dealer markets. In order to determine the fair value of these instruments, the Company utilized the exchange price or dealer market price for the particular derivative contract; therefore these contracts are classified as Level 2. The estimated fair values are subject to change primarily due to changes in interest rates.

***Mortgage Service Rights***

Mortgage service rights are carried at fair value. Fair value is determined using an income approach with various assumptions including expected cash flows, market discount rates, prepayment speeds, servicing costs, and other factors. As such, MSRs are considered Level 3.

***Lender Risk Account***

The Company's Lender risk account is carried at fair value. Fair value is determined using an income approach with various assumptions including expected cash flows, market discount rates, prepayment speeds, and other factors. As such, the lender risk account is considered Level 3.

------

**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Note 17 — Fair Value Measurements (continued)**

The following tables present information about the Company's assets measured at fair value on a recurring basis at June 30, 2025 and December 31, 2024 and the valuation techniques used by the Company to determine those fair values (dollars in thousands):

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Fair Value on a Recurring Basis at <br>June 30, 2025** | **Fair Value on a Recurring Basis at <br>June 30, 2025** | **Fair Value on a Recurring Basis at <br>June 30, 2025** | **Fair Value on a Recurring Basis at <br>June 30, 2025** |
| | **Quoted Prices in<br>Active Markets<br>for Identical<br>Assets<br>(Level 1)** | **Significant Other<br>Observable<br>Inputs<br>(Level 2)** | **Significant<br>Unobservable<br>Inputs<br>(Level 3)** | **Total** |
| Financial Assets: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Equity securities | $1329 | $— | $— | $1329 |
| &nbsp;&nbsp;&nbsp;&nbsp;Available for sale debt securities |  | 8785 |  | 8785 |
| &nbsp;&nbsp;&nbsp;Mortgage banking assets: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loans held for sale |  | 331199 |  | 331199 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loans held for Investment |  | 175070 |  | 175070 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest rate lock commitments |  |  | 4312 | 4312 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Forward sales commitments |  | 62 |  | 62 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Mortgage servicing rights |  |  | 16388 | 16388 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Lender risk account |  |  | 28816 | 28816 |
| Financial Liabilities: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest rate lock commitments |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Forward sales commitments |  | 1238 |  | 1238 |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Fair Value on a Recurring Basis at <br>December 31, 2024** | **Fair Value on a Recurring Basis at <br>December 31, 2024** | **Fair Value on a Recurring Basis at <br>December 31, 2024** | **Fair Value on a Recurring Basis at <br>December 31, 2024** |
| | **Quoted Prices in<br>Active Markets<br>for Identical<br>Assets<br>(Level 1)** | **Significant Other<br>Observable<br>Inputs<br>(Level 2)** | **Significant<br>Unobservable<br>Inputs<br>(Level 3)** | Total |
| Financial Assets: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Equity securities | $1305 | $— | $— | $1305 |
| &nbsp;&nbsp;&nbsp;&nbsp;Available for sale debt securities |  |  | 8576 | 8576 |
| &nbsp;&nbsp;&nbsp;Mortgage banking assets: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loans held for sale |  | 217073 |  | 217073 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loans held for investment |  | 172960 |  | 172960 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest rate lock commitments |  |  | 2064 | 2064 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Forward sales commitments |  | 1332 |  | 1332 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Mortgage servicing rights |  |  | 15133 | 15133 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Lender risk account |  |  | 28436 | 28436 |
| Financial Liabilities: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest rate lock commitments |  |  | 17 | 17 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Forward sales commitments |  | 131 |  | 131 |

---

The Company's policy is to recognize transfers in and transfers out of Level 1, 2, and 3 fair value classifications as of the actual date of the event of change in circumstances that caused the transfer. On June 30, 2025, the Company transferred debt securities available for sale from Level 3 to Level 2 of the fair value hierarchy. As a result, debt securities totaling $8.8 million (based on fair value) were reclassified from Level 3 to Level 2 as of June 30, 2025. These securities were previously classified as Level 3, but were moved to Level 2 after further review. The move from Level 3 to Level 2 did not impact the fair value measurement, only the classification of input used to determine that fair value.

------

**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Note 17 — Fair Value Measurements (continued)**

Changes in mortgage servicing rights as well as the related weighted average unobservable inputs are included in Note 5.

The following table presents a reconciliation of the Level 3 available for sale debt securities measured at fair value on a recurring basis for the three and six months ended June 30, 2025 and 2024 (dollars in thousands):

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **For the Three Months Ended<br> June 30,** | **For the Three Months Ended<br> June 30,** | **For the Six Months Ended<br> June 30,** | **For the Six Months Ended<br> June 30,** |
| | **2025** | **2024** | **2025** | **2024** |
| Balance at beginning of period | $8594 | $8963 | $8576 | $8923 |
| Unrealized | 191 | (931) | 209 | (891) |
| Transfer to Level 2 | (8785) |  | (8785) |  |
| Balance at end of period | $— | $8032 | $— | $8032 |

---

The following table presents a reconciliation of the Level 3 interest rate lock commitments measured at fair value on a recurring basis for the three and six months ended June 30, 2025 and 2024 (dollars in thousands):

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **For the Three Months Ended<br> June 30,** | **For the Three Months Ended<br> June 30,** | **For the Six Months Ended<br> June 30,** | **For the Six Months Ended<br> June 30,** |
| | **2025** | **2024** | **2025** | **2024** |
| Balance at beginning of period | $4550 | $3693 | $2047 | $2948 |
| Change in fair value | (238) | (92) | 2265 | 653 |
| Balance at end of period | $4312 | $3601 | $4312 | $3601 |

---

The following is a summary of the key unobservable inputs used in the valuation of the Level 3 interest rate lock commitments:

---

| | | |
|:---|:---|:---|
| | **June 30,** | **June 30,** |
| | **2025** | **2024** |
| Pull-through rate | 83.0% | 85.1% |

---

The following table presents a reconciliation of the Level 3 lender risk account measured at fair value on a recurring basis for the three months ended June 30, 2025 and 2024 (dollars in thousands):

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **For the Three Months Ended<br> June 30,** | **For the Three Months Ended<br> June 30,** | **For the Six Months Ended<br> June 30,** | **For the Six Months Ended<br> June 30,** |
| | **2025** | **2024** | **2025** | **2024** |
| Beginning of period | $29037 | $29381 | $28436 | $31694 |
| Due to loan sales | 325 | 577 | 724 | 788 |
| Releases and claims paid to the Company | (1043) | (2479) | (1670) | (4800) |
| Change in fair value recognized in gain on sale of loans | 497 | 460 | 1326 | 257 |
| End of period | $28816 | $27939 | $28816 | $27939 |

---

Both observable and unobservable inputs may be used to determine the fair value of the lender risk account, which is classified as a Level 3 asset. As a result, the unrealized gains for these assets presented in the tables above may include changes in fair value that were attributable to both observable and unobservable inputs.

------

**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Note 17 — Fair Value Measurements (continued)**

The Company estimates the fair value of the lender risk account using management's best estimate of key assumptions. These assumptions include prepayment rates, discount rates, and projected annual losses on unpaid principal of the sold loan portfolio. The weighted average of unobservable inputs for these valuation assumptions is as follows as of the dates indicated (dollars in thousands):

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **Fair Value** | **Valuation<br>Technique** | **Unobservable Inputs** | **Range of Inputs** | **Weighted<br>Average** |
| Assets: |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;<u>June 30, 2025</u> |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Lender Risk Account | $28816 | Present value of | Credit losses | —% - 0.26% | 0.11% |
|  |  | cash flows | Prepayment rates | 8.92% | 8.92% |
|  |  |  | Discount rates | 5.29% - 6.77% | 6.05% |
| &nbsp;&nbsp;&nbsp;<u>December 31, 2024</u> |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Lender Risk Account | $28436 | Present value of | Credit losses | —% - 0.21% | 0.08% |
|  |  | cash flows | Prepayment rates | 11.97% | 11.97% |
|  |  |  | Discount rates | 5.86% - 6.70% | 6.39% |

---

The Company also has assets that under certain conditions are subject to measurement at fair value on a nonrecurring basis. These assets include individually analyzed loans and other real estate which are periodically reviewed for impairment and measured at fair value if the fair value of the asset is below the recorded book value. The Company has estimated the fair values of these assets based primarily on Level 3 inputs as described above.

The following asset classes were measured at fair value on the accompanying consolidated balance sheets as of the dates indicated due to declines in the fair value. Certain individually analyzed loans and other real estate carried at original cost, which exceeds fair value, have been omitted from the disclosure below (dollars in thousands):

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Assets Measured at Fair Value on a Nonrecurring Basis at<br>June 30, 2025** | **Assets Measured at Fair Value on a Nonrecurring Basis at<br>June 30, 2025** | **Assets Measured at Fair Value on a Nonrecurring Basis at<br>June 30, 2025** | **Assets Measured at Fair Value on a Nonrecurring Basis at<br>June 30, 2025** |
| | **Quoted Prices in<br>Active Markets<br>for Identical<br>Assets<br>(Level 1)** | **Significant Other<br>Observable<br>Inputs<br>(Level 2)** | **Significant<br>Unobservable<br>Inputs<br>(Level 3)** | **Balance at<br>December 31** |
| Individually analyzed loans |  |  | $7237 | $7237 |
| Other real estate owned |  |  | 203 | 203 |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Assets Measured at Fair Value on a Nonrecurring Basis at<br>December 31, 2024** | **Assets Measured at Fair Value on a Nonrecurring Basis at<br>December 31, 2024** | **Assets Measured at Fair Value on a Nonrecurring Basis at<br>December 31, 2024** | **Assets Measured at Fair Value on a Nonrecurring Basis at<br>December 31, 2024** |
| | **Quoted Prices in<br>Active Markets<br>for Identical<br>Assets<br>(Level 1)** | **Significant Other<br>Observable<br>Inputs<br>(Level 2)** | **Significant<br>Unobservable<br>Inputs<br>(Level 3)** | **Balance at<br>December 31** |
| Individually analyzed loans |  |  | $6603 | $6603 |
| Other real estate owned |  |  | 1651 | 1651 |

---

------

**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Note 17 — Fair Value Measurements (continued)**

The following presents estimated fair values of the Company's financial instruments and the level within the fair value hierarchy in which fair value measurements falls as of the dates indicated (dollars in thousands):

---

| | | | |
|:---|:---|:---|:---|
| | **June 30, 2025** | **June 30, 2025** | **June 30, 2025** |
| | **Fair Value Hierarchy** | **Carrying Value** | **Fair Value** |
| Financial Assets: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Cash and cash equivalents | Level 1 | $415659 | $415659 |
| &nbsp;&nbsp;&nbsp;&nbsp;Equity securities | Level 1 | 1329 | 1329 |
| &nbsp;&nbsp;&nbsp;&nbsp;Debt securities available for sale | Level 2 | 8785 | 8785 |
| &nbsp;&nbsp;&nbsp;&nbsp;FHLB stock | Level 2 | 69574 | 69574 |
| &nbsp;&nbsp;&nbsp;&nbsp;Loans held for sale | Level 2 | 331199 | 331199 |
| &nbsp;&nbsp;&nbsp;&nbsp;Loans, net | Level 2 | 5484431 | 5428581 |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest receivable | Level 2 | 23769 | 23769 |
| Financial Liabilities: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Deposits | Level 2 | 4474071 | 4476326 |
| &nbsp;&nbsp;&nbsp;&nbsp;Borrowings | Level 2 | 1274929 | 1273623 |
| &nbsp;&nbsp;&nbsp;&nbsp;Subordinated debentures | Level 2 | 24181 | 24181 |
| &nbsp;&nbsp;&nbsp;&nbsp;Subordinated debentures issued through trusts | Level 2 | 5000 | 5000 |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest payable | Level 2 | 19607 | 19607 |

---

---

| | | | |
|:---|:---|:---|:---|
| | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** |
| | **Fair Value Hierarchy** | **Carrying Value** | **Fair Value** |
| Financial Assets: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Cash and cash equivalents | Level 1 | $376295 | $376295 |
| &nbsp;&nbsp;&nbsp;&nbsp;Equity securities | Level 1 | 1305 | 1305 |
| &nbsp;&nbsp;&nbsp;&nbsp;Debt securities available for sale | Level 3 | 8576 | 8576 |
| &nbsp;&nbsp;&nbsp;&nbsp;FHLB stock | Level 2 | 69574 | 69574 |
| &nbsp;&nbsp;&nbsp;&nbsp;Loans held for sale | Level 2 | 217073 | 217073 |
| &nbsp;&nbsp;&nbsp;&nbsp;Loans, net | Level 2 | 4416564 | 4312773 |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest receivable | Level 2 | 20934 | 20934 |
| Financial Liabilities: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Deposits | Level 2 | 3422555 | 3423196 |
| &nbsp;&nbsp;&nbsp;&nbsp;Borrowings | Level 2 | 1258750 | 1232310 |
| &nbsp;&nbsp;&nbsp;&nbsp;Subordinated debentures | Level 2 | 38933 | 38933 |
| &nbsp;&nbsp;&nbsp;&nbsp;Subordinated debentures issued through trusts | Level 2 | 5000 | 5000 |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest payable | Level 2 | 8114 | 8114 |

---

**Note 18 — Related Parties**

There was no loan activity with principal officers, directors, and their affiliates during the three and six months ended June 30, 2025 and no outstanding loan balances at June 30, 2025 or December 31, 2024.

Deposits from principal officers, directors, and their affiliates were $7.8 million at June 30, 2025 and $3.8 million at December 31, 2024.

------

**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Note 19 — Earnings Per Share**

The following table presents the computation of basic and diluted earnings per share for the periods presented below (dollars in thousands):

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **For the Three Months Ended<br> June 30,** | **For the Three Months Ended<br> June 30,** | **For the Six Months Ended<br> June 30,** | **For the Six Months Ended<br> June 30,** |
| | **2025** | **2024** | **2025** | **2024** |
| Earnings per common share: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Net income | $20344 | $13221 | $37592 | $25465 |
| &nbsp;&nbsp;&nbsp;&nbsp;Preferred stock dividends | 2296 | 1839 | 4503 | 4252 |
| &nbsp;&nbsp;&nbsp;&nbsp;Net income available to common stockholders | $18048 | $11382 | $33089 | $21213 |
| &nbsp;&nbsp;&nbsp;&nbsp;Weighted average common shares | 34574086 | 25689560 | 32208838 | 25689560 |
| &nbsp;&nbsp;&nbsp;&nbsp;Basic earnings per common share | $0.52 | $0.44 | $1.03 | $0.83 |
| Dilutive earnings per common share: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Net income available to common stockholders | $18048 | $11382 | $33089 | $21213 |
| &nbsp;&nbsp;&nbsp;&nbsp;Weighted average common shares | 34574086 | 25689560 | 32208838 | 25689560 |
| &nbsp;&nbsp;&nbsp;&nbsp;Effect of dilutive shares | 644876 | 66871 | 625067 | 66871 |
| &nbsp;&nbsp;&nbsp;&nbsp;Weighted average dilutive common shares | 35218962 | 25756431 | 32833905 | 25756431 |
| &nbsp;&nbsp;&nbsp;&nbsp;Dilutive earnings per common share | $0.51 | $0.44 | $1.01 | $0.82 |

---

**Note 20 — Segment Information**

Our reportable segments are Retail Banking and MPP, which have been determined based on management's focus and internal reporting structure. The MPP segment provides a collateralized mortgage purchase facility marketed to independent mortgage bankers nationwide. The Retail Banking segment provides a vast array of financial products and services to consumers nationwide. These include residential mortgages, AIO equity loans, other consumer loans, and loan servicing, as well as various types of deposit products, including checking, savings and time deposit accounts. The residential mortgage loans we originate are directly originated within our branch network or from our consumer direct business, and are typically underwritten to agency and/or third-party standards, and either sold (servicing retained or released) or held on our balance sheet.

Net interest income in each segment reflects our internal funds transfer pricing ("FTP") methodology, which is designed to capture interest rate and liquidity risk. Under our methodology, average assets, net of deposits, receive a funding charge based on market interest rates of similar duration liabilities. MPP receives an FTP charge and the residual gain is retained within Retail Banking.

Provision (benefit) for credit losses is allocated to MPP based on the cumulative expected loss rate from the Company's allowance for credit loss process and applied to any change in period end loan balances.

Financial results are presented, to the extent possible, as if each business operated on a standalone basis, and includes expense allocations for corporate overhead services used by the business segments. Shared corporate overhead expenses reside in Retail Banking but are allocated back to MPP through our expense allocation based on occupancy rates and percentage of time spent supporting the segment.

Results of the Company's operating segments are regularly reviewed by the Company's Chief Operating Decision Maker (the "CODM"), the Company's Chief Executive Officer. More specifically, the CODM analyzes quarterly financial results, including net income, to assess performance and allocate resources. However, the CODM may use other metrics and ad hoc reports on a limited purpose basis as needed.

In evaluating segment performance, the Company primarily evaluates total revenues (net interest income plus noninterest income) and net income before preferred dividends.

------

**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Note 20 — Segment Information (continued)**

The following tables present the operating segment results for the periods presented below (dollars in thousands):

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **(Dollars in thousands)** | **As of or for the Three Months Ended June 30,** | **As of or for the Three Months Ended June 30,** | **As of or for the Three Months Ended June 30,** | **As of or for the Three Months Ended June 30,** | **As of or for the Three Months Ended June 30,** | **As of or for the Three Months Ended June 30,** |
| **(Dollars in thousands)** | **2025** | **2025** | **2025** | **2024** | **2024** | **2024** |
| **(Dollars in thousands)** | **Retail<br>Banking** | **MPP** | **Total** | **Retail<br>Banking** | **MPP** | **Total** |
| Interest income | $47976 | $45117 | $93093 | $51158 | $27741 | $78899 |
| Interest expense | (56573) |  | (56573) | (50302) |  | (50302) |
| Funds transfer pricing | 30020 | (30020) |  | 18969 | (18969) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Net interest income** | **21423** | **15097** | **36520** | **19825** | **8772** | **28597** |
| Provision (benefit) for credit losses | 414 | 169 | 583 | 206 | 92 | 298 |
| &nbsp;&nbsp;&nbsp;&nbsp;**Net income after provision** | **21009** | **14928** | **35937** | **19619** | **8680** | **28299** |
| Noninterest income <sup>(1)</sup> | 21083 | 1355 | 22438 | 15564 | 1341 | 16905 |
| Salaries and employee benefits | (20483) | (1751) | (22234) | (18728) | (1290) | (20018) |
| Occupancy and equipment | (731) | (187) | (918) | (1124) | (22) | (1146) |
| Other noninterest expense <sup>(2)</sup> | (8521) | (49) | (8570) | (6463) | (173) | (6636) |
| Noninterest expense | (29735) | (1987) | (31722) | (26315) | (1485) | (27800) |
| Expense allocation <sup>(3)</sup> | 1321 | (1321) |  | 851 | (851) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;**Net income before taxes** | **13678** | **12975** | **26653** | **9719** | **7685** | **17404** |
| Income tax expense | (3238) | (3071) | (6309) | (2364) | (1819) | (4183) |
| &nbsp;&nbsp;&nbsp;&nbsp;**Net income before preferred dividends** | $**10440** | $**9904** | $**20344** | $**7355** | $**5866** | $**13221** |
| Average balance sheet assets | $3172383 | $2558877 | $5731260 | $3707743 | $1374716 | $5082459 |
| Period end assets | $3539226 | $2891668 | $6430894 | $3719424 | $1504587 | $5224011 |

---

(1) Noninterest income for MPP only includes MPP related fees. All other noninterest income is reflected in Retail Banking.

(2) Includes data processing, professional services, office supplies and other miscellaneous expenses.

(3) Reflects corporate overhead expense allocations used by both business segments; primarily consisting of corporate administration, finance, technology, human resources, risk, marketing and occupancy related allocations.

------

**<u>[**Table of Contents**](#i0d12813fa9fa4534936657d4fdc47a6e_7)</u>**

**Northpointe Bancshares, Inc.**

**Note 20 — Segment Information (continued)**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **(Dollars in thousands)** | **As of or for the Six Months Ended June 30,** | **As of or for the Six Months Ended June 30,** | **As of or for the Six Months Ended June 30,** | **As of or for the Six Months Ended June 30,** | **As of or for the Six Months Ended June 30,** | **As of or for the Six Months Ended June 30,** |
| **(Dollars in thousands)** | **2025** | **2025** | **2025** | **2024** | **2024** | **2024** |
| **(Dollars in thousands)** | **Retail<br>Banking** | **MPP** | **Total** | **Retail<br>Banking** | **MPP** | **Total** |
| Interest income | $95438 | $76805 | $172243 | $100722 | $50758 | $151480 |
| Interest expense | (105334) |  | (105334) | (95692) |  | (95692) |
| Funds transfer pricing | 50786 | (50786) |  | 34322 | (34322) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Net interest income** | **40890** | **26019** | **66909** | **39352** | **16436** | **55788** |
| Provision (benefit) for credit losses | 1405 | 472 | 1877 | (228) | 168 | (60) |
| &nbsp;&nbsp;&nbsp;&nbsp;**Net income after provision** | **39485** | **25547** | **65032** | **39580** | **16268** | **55848** |
| Noninterest income <sup>(1)</sup> | 42816 | 2496 | 45312 | 31265 | 2285 | 33550 |
| Salaries and employee benefits | (39413) | (3264) | (42677) | (35530) | (2509) | (38039) |
| Occupancy and equipment | (1851) | (39) | (1890) | (2398) | (44) | (2442) |
| Other noninterest expense <sup>(2)</sup> | (16196) | (331) | (16527) | (15033) | (271) | (15304) |
| Noninterest expense | (57460) | (3634) | (61094) | (52961) | (2824) | (55785) |
| Expense allocation <sup>(3)</sup> | 2474 | (2474) |  | 1717 | (1717) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;**Net income before taxes** | **27315** | **21935** | **49250** | **19601** | **14012** | **33613** |
| Income tax expense | (6466) | (5192) | (11658) | (4831) | (3317) | (8148) |
| &nbsp;&nbsp;&nbsp;&nbsp;**Net income before preferred dividends** | $**20849** | $**16743** | $**37592** | $**14770** | $**10695** | $**25465** |
| Average balance sheet assets | $3552020 | $2179240 | $5731260 | $3683285 | $1249486 | $4932771 |
| Period end assets | $3539226 | $2891668 | $6430894 | $3719424 | $1504587 | $5224011 |

---

(1) Noninterest income for MPP only includes MPP related fees. All other noninterest income is reflected in Retail Banking.

(2) Includes data processing, professional services, office supplies and other miscellaneous expenses.

(3) Reflects corporate overhead expense allocations used by both business segments; primarily consisting of corporate administration, finance, technology, human resources, risk, marketing and occupancy related allocations.

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**Northpointe Bancshares, Inc.**

**Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations**

**Introduction**

The following section presents additional information and highlights significant changes in the financial condition of Northpointe Bancshares, Inc. (the "Company") and our wholly owned subsidiary, Northpointe Bank (the "Bank"), from December 31, 2024 through June 30, 2025, and on our results of operations for the three and six months ended June 30, 2025 and 2024. The following discussion and analysis of our financial condition and results of operations should be read in conjunction with our consolidated financial statements and related notes included elsewhere in this Quarterly Report on Form 10-Q. This discussion and analysis contains forward-looking statements that involve risk, uncertainties and assumptions. Certain risks, uncertainties and other factors, including but not limited to those set forth under "Cautionary Note Regarding Forward-Looking Statements," "Risk Factors," and elsewhere in this Quarterly Report on Form 10-Q, may cause actual results to differ materially from those projected in the forward looking statements. We assume no obligation to update any of these forward-looking statements.

Unless otherwise stated, all information in this document gives effect to a ten-for-one stock split, whereby each holder of our common stock received nine additional shares of common stock for each share owned as of the record date of December 19, 2024, which was distributed on December 30, 2024. The effect of the stock dividend on outstanding shares and per share figures has been retroactively applied to all periods presented in this document.

**Business Overview**

Headquartered in Grand Rapids, Michigan, we are a bank holding company that focuses on (1) providing a best-in-class platform for independent mortgage bankers nationwide to utilize as an alternative to traditional mortgage warehouse lending (we refer to this business as our Mortgage Purchase Program, or "MPP") and (2) offering attractive products and services to our residential mortgage and digital banking retail customers. Our residential lending business provides a comprehensive range of financing options nationwide through two main channels: consumer direct and traditional retail. We have a total of 130 mortgage originators across 27 states. These channels combine the convenience of online, self-service platforms with the personalized service of an experienced residential mortgage loan officer. Both residential mortgage loan origination channels are supported by our proprietary point-of-service digital platform that streamlines the loan application and closing processes. Our consumer direct and traditional retail channels primarily originate mortgage loans which are saleable through an end investor. In addition, our traditional retail channel selectively originates first-lien home equity lines which are tied seamlessly to a demand deposit sweep account (we refer to the loans we originate as "All-in-One" or "AIO" loans). We have one bank branch located in Grand Rapids, Michigan and physical loan production offices located in 23 cities in 15 states across the country, which are supported by our centralized operations and back-office support teams based in Grand Rapids, Michigan.

Our results of operations are driven by a combination of net interest income, which is the difference between interest income from interest-earning assets and interest expense on interest-bearing liabilities, as well as fee income from a variety of sources. Key components of noninterest income include gains from the sale of newly originated loans, loan servicing fees, MPP fees, service charges from our deposit services, and other fees. Our principal operating expense, aside from interest expense, consists of salaries and employee benefits, including commissions paid to loan originators, occupancy and equipment costs, data processing expense, professional fees, and provisions for credit losses. Our income is affected by regulatory, economic, and competitive factors that influence interest rates, residential loan demand and deposits costs. In addition, we are subject to interest rate risk to the degree that our interest-earnings assets mature or reprice at different times or at different speeds than our interest-bearing liabilities.

**Critical Accounting Policies and Estimates**

Our consolidated financial statements are prepared in accordance with United States generally accepted accounting principles ("GAAP") and follow general practices within the banking industry. Application of these principles requires management to make estimates, assumptions and complex judgements that affect amounts presented in our consolidated financial statements. These estimates, assumptions and judgements are based on information available as of the date of the financial statements; accordingly, as this information changes, the consolidated financial statements could reflect different estimates, assumptions, and judgements. Our critical accounting policies are described in detail in our 2024 Form 10-K.

Our accounting and reporting policies are in accordance with accounting principles generally accepted in the United States of America and conform to general practices within the banking industry. Accounting and reporting policies for the allowance

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**Northpointe Bancshares, Inc.**

for credit losses ("ACL"), lender risk account and capitalized mortgage loan servicing rights are deemed critical since they involve the use of estimates and require significant management judgments. Application of assumptions different than those that we have used could result in material changes in our financial position or results of operations.

Our methodology for determining the ACL and related provision for credit losses is described later in this section under "Provision for Credit Losses" and "Loan Portfolio". In particular, this area of accounting requires a significant amount of judgment because a multitude of factors can influence the ultimate collection of a loan or other type of credit. It is extremely difficult to precisely measure the amount of expected credit losses in our loan portfolio. We use a rigorous process to attempt to accurately quantify the necessary ACL and related provision for credit losses, but there can be no assurance that our modeling process will successfully identify all of the expected credit losses in our loan portfolio. The assumptions around establishing reasonable and supportable economic forecasts are particularly subjective. As a result, we could record future provisions for credit losses that may be significantly different than the levels that we recorded in prior periods.

A Lender Risk Account ("LRA") has been established for loans we have sold to the Federal Home Loan Bank of Indianapolis ("FHLB"). The LRA is funded and maintained by the FHLB at 1.20% of the loan balance and is used to offset credit losses over the life of the loans sold to the FHLB. If the LRA has not been depleted by losses, funds are returned to the Company over time, beginning after five years and continuing through 25 years. We carry the asset at estimated fair value. Fair value is determined using an income approach with various assumptions including expected cash flows, market discount rates, prepayment speeds, and other factors. These assumptions are particularly subjective and can have a material effect on the estimated LRA balance and income. We believe the assumptions that we utilize in estimating fair value are reasonable based upon accepted industry practices and represent neither the most conservative nor aggressive assumptions.

We establish mortgage servicing right ("MSR") assets when we sell loans with servicing retained and when we purchase mortgage servicing. The fair value of our mortgage loan servicing rights has been determined based on a valuation model used by an independent third party. There are several critical assumptions involved in establishing the value of this asset including estimated future prepayment speeds on the underlying mortgage loans, the interest rate used to discount the net cash flows from the mortgage loan servicing, the estimated amount of ancillary income that will be received in the future (such as late fees) and the estimated cost to service the mortgage loans. We believe the assumptions that we utilize in our valuation are reasonable based upon accepted industry practices for valuing mortgage loan servicing rights and represent neither the most conservative nor aggressive assumptions.

**Emerging Growth Company**

Pursuant to the JOBS Act, as an emerging growth company, we can elect to opt out of the extended transition period for adopting any new or revised accounting standards. We have elected to take advantage of the extended transition period, which means that when a standard is issued or revised and it has different application dates for public or private companies, we may adopt the standard on the application date for private companies. We have elected to take advantage of the scaled disclosures and other relief under the JOBS Act, and we may take advantage of some or all of the reduced regulatory and reporting requirements that will be available to us under the JOBS Act, so long as we qualify as an emerging growth company.

**Recent Developments**

***Highlights of the Second Quarter of 2025***

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Net income available to common stockholders was $18.0 million for the three months ended June 30, 2025, an increase of $6.7 million, or 58.6%, from $11.4 million for the three months ended June 30, 2024.

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**Northpointe Bancshares, Inc.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Earnings per diluted common share was $0.51 for the three months ended June 30, 2025, as compared to $0.44 for the three months ended June 30, 2024.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Net interest income before provision for credit losses was $36.5 million for the three months ended June 30, 2025, an increase of $7.9 million from the three months ended June 30, 2024, reflecting strong growth in MPP and AIO loans and an 11 basis point increase in net interest margin.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Noninterest income was $22.4 million for the three months ended June 30, 2025, an increase of $5.5 million from the three months ended June 30, 2024, driven primarily by higher gain on sale of loans and other noninterest income, partially offset by lower loan servicing fees.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Noninterest expense was $31.7 million for the three months ended June 30, 2025, an increase of $3.9 million from the three months ended June 30, 2024, driven primarily by higher salaries and benefits, largely attributable to bonus and incentive compensation and mortgage-related variable compensation, partially offset by lower expenses across several other categories.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Loans held for investment ("HFI") portfolio was $5.50 billion at June 30, 2025, an increase of $1.07 billion from December 31, 2024, reflecting increases of $1.18 billion in MPP balances and $50.7 million in AIO loans over the period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• MPP loans increased to 49.6% of total gross loans at June 30, 2025 from 36.8% at December 31, 2024, and residential mortgage loans decreased to 31.9% of total gross loans at June 30, 2025 from 41.9% at December 31, 2024.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Liquidity remained stable, and total cash and cash equivalents increased to $415.7 million at June 30, 2025, as compared to $376.3 million at December 31, 2024.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• As of June 30, 2025, our capital ratios were above all regulatory requirements to be considered well-capitalized.

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**Northpointe Bancshares, Inc.**

**Results of Operations**

***Net Interest Income***

The following table presents average balance sheet information, interest income, interest expense and the corresponding average yield earned and rates paid for the three months ended June 30, 2025 and 2024:

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| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **(Dollars in thousands)** | **For the Three Months Ended June 30,** | **For the Three Months Ended June 30,** | **For the Three Months Ended June 30,** | **For the Three Months Ended June 30,** | **For the Three Months Ended June 30,** | **For the Three Months Ended June 30,** |
| **(Dollars in thousands)** | **2025** | **2025** | **2025** | **2024** | **2024** | **2024** |
| **(Dollars in thousands)** | **Average<br>Balance** | **Interest<br>Inc/Exp** | **Average<br>Yield/Rate** | **Average<br>Balance** | **Interest<br>Inc/Exp** | **Average<br>Yield/Rate** |
| **<u>Interest-Earning Assets</u>** |  |  |  |  |  |  |
| Loans<sup>(1)(2)</sup> | $5462596 | $86261 | 6.33% | $4383513 | $70731 | 6.49% |
| Securities, AFS<sup>(3)</sup>  | 9916 | 157 | 6.35% | 9623 | 155 | 6.48% |
| Securities, FHLB Stock | 69574 | 1553 | 8.95% | 69574 | 1611 | 9.31% |
| Interest bearing deposits | 463199 | 5122 | 4.44% | 472134 | 6402 | 5.45% |
| Total earning assets | 6005285 | 93093 | 6.22% | 4934844 | 78899 | 6.43% |
| Noninterest earning assets<sup>(4)</sup> | 105120 |  |  | 147615 |  |  |
| &nbsp;&nbsp;&nbsp;Total assets | $6110405 |  |  | $5082459 |  |  |
| **<u>Interest-Bearing Liabilities</u>** |  |  |  |  |  |  |
| Deposits: |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Transaction Accounts | $765245 | $8394 | 4.40% | $387865 | $4738 | 4.91% |
| &nbsp;&nbsp;&nbsp;Money market & savings | 326396 | 3114 | 3.79% | 453745 | 5180 | 4.59% |
| &nbsp;&nbsp;&nbsp;Time | 2903158 | 32074 | 4.43% | 2089711 | 27582 | 5.31% |
| Total interest-bearing deposits | 3994799 | 43582 | 4.37% | 2931321 | 37500 | 5.15% |
| &nbsp;&nbsp;&nbsp;Sub debt | 29166 | 678 | 9.32% | 39408 | 791 | 8.07% |
| &nbsp;&nbsp;&nbsp;Borrowings | 1249314 | 12313 | 3.95% | 1333953 | 12011 | 3.62% |
| Total interest-bearing liabilities | 5273279 | 56573 | 4.30% | 4304682 | 50302 | 4.70% |
| Noninterest-bearing liabilities |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Noninterest-bearing deposits | 195275 |  |  | 276646 |  |  |
| &nbsp;&nbsp;&nbsp;Other noninterest-bearing liabilities | 41998 |  |  | 56851 |  |  |
| Total noninterest-bearing liabilities | 237273 |  |  | 333497 |  |  |
| Equity | 599853 |  |  | 444280 |  |  |
|  | $6110405 |  |  | $5082459 |  |  |
| Net interest spread<sup>(5)</sup> |  |  | 1.92% |  |  | 1.73% |
| Net interest margin<sup>(6)</sup> |  | $36520 | 2.44% |  | $28597 | 2.33% |

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____________________

(1)Loan balance includes loans held for investment and held for sale. Nonaccrual loans are included in total loan balances and no adjustment has been made for these loans in the yield calculation. Interest income on loans includes amortization of deferred loan fees, net of deferred loan costs.

(2)Net loan fees of $30,000 and $62,000 for the three months ended June 30, 2025 and 2024, respectively, are included in interest income.

(3)Average yield based on carrying value and there are no tax-exempt securities in the portfolio.

(4)Noninterest earning assets includes the allowance for credit losses.

(5)Net interest spread is the average yield on total interest-earning assets minus the average rate on total interest-bearing liabilities.

(6)Net interest margin is annualized net interest income divided by total average interest-earning assets.

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**Northpointe Bancshares, Inc.**

The following table presents average balance sheet information, interest income, interest expense and the corresponding average yield earned and rates paid for the six months ended June 30, 2025 and 2024:

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| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **(Dollars in thousands)** | **For the Six Months Ended June 30,** | **For the Six Months Ended June 30,** | **For the Six Months Ended June 30,** | **For the Six Months Ended June 30,** | **For the Six Months Ended June 30,** | **For the Six Months Ended June 30,** |
| **(Dollars in thousands)** | **2025** | **2025** | **2025** | **2024** | **2024** | **2024** |
| **(Dollars in thousands)** | **Average<br>Balance** | **Interest<br>Inc/Exp** | **Average<br>Yield/Rate** | **Average<br>Balance** | **Interest<br>Inc/Exp** | **Average<br>Yield/Rate** |
| **<u>Interest-Earning Assets</u>** |  |  |  |  |  |  |
| Loans<sup>(1)(2)</sup> | $5069698 | $158332 | 6.30% | $4229035 | $135627 | 6.45% |
| Securities, AFS<sup>(3)</sup>  | 9913 | 312 | 6.35% | 10071 | 320 | 6.40% |
| Securities, FHLB Stock | 69574 | 3181 | 9.22% | 68909 | 3110 | 9.08% |
| Interest bearing deposits | 475123 | 10418 | 4.42% | 458300 | 12423 | 5.45% |
| Total earning assets | 5624308 | 172243 | 6.18% | 4766315 | 151480 | 6.39% |
| Noninterest earning assets<sup>(4)</sup> | 106952 |  |  | 166456 |  |  |
| &nbsp;&nbsp;&nbsp;Total assets | $5731260 |  |  | $4932771 |  |  |
| **<u>Interest-Bearing Liabilities</u>** |  |  |  |  |  |  |
| Deposits: |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Transaction Accounts | $752548 | $16385 | 4.39% | $400240 | $9895 | 4.97% |
| &nbsp;&nbsp;&nbsp;Money market & savings | 331730 | 6363 | 3.87% | 406861 | 8957 | 4.43% |
| &nbsp;&nbsp;&nbsp;Time | 2580565 | 57145 | 4.47% | 1990252 | 52180 | 5.27% |
| Total interest-bearing deposits | 3664843 | 79893 | 4.40% | 2797353 | 71032 | 5.11% |
| &nbsp;&nbsp;&nbsp;Sub debt | 29154 | 1564 | 10.82% | 34280 | 1584 | 9.29% |
| &nbsp;&nbsp;&nbsp;Borrowings | 1229809 | 23877 | 3.92% | 1327686 | 23076 | 3.50% |
| Total interest-bearing liabilities | 4923806 | 105334 | 4.31% | 4159319 | 95692 | 4.63% |
| Noninterest-bearing liabilities |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Noninterest-bearing deposits | 203177 |  |  | 266471 |  |  |
| &nbsp;&nbsp;&nbsp;Other noninterest-bearing liabilities | 38581 |  |  | 64356 |  |  |
| Total noninterest-bearing liabilities | 241758 |  |  | 330827 |  |  |
| Equity | 565696 |  |  | 442625 |  |  |
|  | $5731260 |  |  | $4932771 |  |  |
| Net interest spread<sup>(5)</sup> |  |  | 1.86% |  |  | 1.76% |
| Net interest margin<sup>(6)</sup> |  | $66909 | 2.40% |  | $55788 | 2.35% |

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____________________

(1)Loan balance includes loans held for investment and held for sale. Nonaccrual loans are included in total loan balances and no adjustment has been made for these loans in the yield calculation. Interest income on loans includes amortization of deferred loan fees, net of deferred loan costs.

(2)Net loan fees of $70,000 and $134,000 for the six months ended June 30, 2025 and 2024, respectively, are included in interest income.

(3)Average yield based on carrying value and there are no tax-exempt securities in the portfolio.

(4)Noninterest earning assets includes the allowance for credit losses.

(5)Net interest spread is the average yield on total interest-earning assets minus the average rate on total interest-bearing liabilities.

(6)Net interest margin is annualized net interest income divided by total average interest-earning assets.

For the three months ended June 30, 2025, net interest income was $36.5 million, an increase of $7.9 million, or 27.7%, from $28.6 million for the same period in 2024. This increase was driven primarily by a 21.7% increase in earning assets and an 11 basis point improvement in net interest margin.

For the six months ended June 30, 2025, net interest income increased to $66.9 million, an increase of $11.1 million, or 19.9%, from $55.8 million for the same period in 2024. This increase was driven primarily by an 18.0% increase in earning assets and a 5 basis point improvement in net interest margin.

The increase in average interest-earning assets in both the three and six month periods of 2025, as compared to the same periods in 2024, reflect the strong growth within the MPP and AIO portfolios, partially offset by the continued run-off from the remainder of the loans HFI portfolio.

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**Northpointe Bancshares, Inc.**

Net interest margin was 2.44% for the three months ended June 30, 2025, an increase of 11 basis points from 2.33% for the three months ended June 30, 2024. Net interest margin was 2.40% for the six months ended June 30, 2025, an increase of 5 bps from 2.35% for the six months ended June 30, 2025.

The increase in net interest margin in both the three and six month periods of 2025, as compared to the same periods in 2024, was driven primarily by a decrease in the average rate paid on interest-bearing liabilities, which was partially offset by a smaller decrease in the average yield earned on interest-earning assets, both attributable to decreases in the federal funds rate. The net interest margin also continued to benefit from an improvement in the mix of interest-earning assets, with virtually all of the growth in loans coming from MPP and AIO, both of which carry higher average yields than the rest of the loan portfolio.

***Yield and Volume Impact on Net Interest Income***

Increases and decreases in interest income and interest expense result from changes in average balances (volume) of interest-earning assets and interest-bearing liabilities, as well as changes in average interest rates. The following table shows the effect that these factors had on the interest earned from our interest-earning assets and interest incurred on our interest-bearing liabilities. The effect of changes in volume is determined by multiplying the change in volume by the current period's average rate. The effect of rate changes is calculated by multiplying the change in average rate by the previous period's volume. The change in interest due to both rate and volume has been allocated to rate and volume changes in proportion to the relationship of the absolute dollar amounts of the changes in each.

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| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | **For the Three Months Ended June 30,** | **For the Three Months Ended June 30,** | **For the Three Months Ended June 30,** | **For the Six Months Ended June 30,** | **For the Six Months Ended June 30,** | **For the Six Months Ended June 30,** |
| | **2025 vs 2024** | **2025 vs 2024** | **2025 vs 2024** | **2025 vs 2024** | **2025 vs 2024** | **2025 vs 2024** |
| | **Variance Due To** | **Variance Due To** | **Variance Due To** | **Variance Due To** | **Variance Due To** | **Variance Due To** |
| **(Dollars in thousands)** | **Volume** | **Yield/Rate** | **Total** | **Volume** | **Yield/Rate** | **Total** |
| **<u>Interest-Earning Assets</u>** | | | | | | |
| Loans | $17679 | $(2149) | $15530 | $26448 | $(3743) | $22705 |
| Securities, AFS | 5 | (3) | 2 | (5) | (3) | (8) |
| Securities, FHLB Stock |  | (58) | (58) | 26 | 45 | 71 |
| Interest-bearing deposits | (120) | (1160) | (1280) | 463 | (2468) | (2005) |
| Total interest-earning assets | 17564 | (3370) | 14194 | 26932 | (6169) | 20763 |
| **<u>Interest-Bearing Liabilities</u>** |  |  |  |  |  |  |
| Deposits: |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Transaction accounts | 4640 | (984) | 3656 | 8652 | (2162) | 6490 |
| &nbsp;&nbsp;&nbsp;&nbsp;Money market & savings | (1447) | (619) | (2066) | (1665) | (929) | (2594) |
| &nbsp;&nbsp;&nbsp;&nbsp;Time | 10950 | (6458) | 4492 | 14997 | (10032) | 4965 |
| Total interest-bearing deposits | 14143 | (8061) | 6082 | 21984 | (13123) | 8861 |
| &nbsp;&nbsp;&nbsp;&nbsp;Sub debt | (201) | 88 | (113) | (306) | 286 | (20) |
| &nbsp;&nbsp;&nbsp;&nbsp;Borrowings | (858) | 1160 | 302 | (1572) | 2373 | 801 |
| Total interest-bearing liabilities | 13084 | (6813) | 6271 | 20106 | (10464) | 9642 |
| Net interest income / margin | $4480 | $3443 | $7923 | $6826 | $4295 | $11121 |

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***Provision for Credit Losses and Unfunded Commitments***

The provision for credit losses represents a charge to earnings necessary to establish an allowance for credit losses that, in management's evaluation, is adequate to provide coverage for all expected future credit losses. The provision for credit losses is impacted by inherent risk characteristics in our loan portfolio, the level of nonperforming loans and net charge-offs, both current and historic, recent historical and projected future economic conditions, loan growth, loan mix, the direction of the change in collateral values, and the level of actual net charge-offs incurred. Our provision for credit losses reflects risks in the loans HFI portfolio, which is comprised predominately of collateralized single-family mortgage loans, with very low historical loss experience. Our provision for credit losses reflects both our loans HFI portfolio and the unfunded commitments on that portfolio.

For the three months ended June 30, 2025, the total provision for credit losses was $583,000, as compared to $298,000 for the same period in 2024. The provision for credit losses related to loans was an expense of $548,000 for the three months ended

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**Northpointe Bancshares, Inc.**

June 30, 2025, reflecting net charge-offs of $488,000 and an ending allowance for credit losses of $12.4 million. For the three months ended June 30, 2024, the provision for credit losses related to loans was an expense of $397,000, reflecting $742,000 in net charge-offs and an ending allowance for credit losses of $12.3 million. The increase in provision for credit losses for the three months ended June 30, 2025, as compared to the same period in 2024, was driven primarily by continued growth in the MPP portfolio, credit migration trends, and changes in the economic forecasts used in the credit models, partially offset by lower net charge-offs.

The provision for unfunded loan commitments was $35,000 for the three months ended June 30, 2025, as compared to a benefit of $99,000 for the three months ended June 30, 2024. The benefit in the 2024 period reflects lower levels of unfunded commitments driven primarily by continued run-off in the construction loan portfolio.

For the six months ended June 30, 2025, the total provision for credit losses was $1.9 million, as compared to a benefit of $60,000 for the same period in 2024. The provision for credit losses related to loans was $1.9 million for the six months ended June 30, 2025, reflecting net charge-offs of $747,000 and an ending allowance for credit losses of $12.4 million. For the six months ended June 30, 2024, the provision for credit losses related to loans was $728,000, reflecting $733,000 in net charge-offs and an ending allowance for credit losses of $12.3 million. The increase in provision for credit losses for the six months ended June 30, 2025, as compared to the same period in 2024, reflects continued continued growth in the MPP portfolio, credit migration trends, and changes in the economic forecasts used in the credit models, partially offset by lower net charge-offs.

The provision for unfunded loan commitments was a benefit of $55,000 for the six months ended June 30, 2025, as compared to a benefit of $788,000 for the six months ended June 30, 2024. The benefits in both the periods reflects lower levels of unfunded commitments driven primarily by continued run-off in the construction loan portfolio.

***Noninterest Income***

The following table presents the major components of our noninterest income for the three and six month periods ended June 30, 2025 and 2024:

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| | | | | |
|:---|:---|:---|:---|:---|
| **(Dollars in thousands)<br>Noninterest Income** | **For the Three Months Ended June 30,** | **For the Three Months Ended June 30,** | **$ Increase (Decrease)** | **% Change** |
| **(Dollars in thousands)<br>Noninterest Income** | **2025** | **2024** | **$ Increase (Decrease)** | **% Change** |
| Service charges on deposits and other fees | $239 | $516 | $(277) | (53.7)% |
| Loan servicing fees | 1525 | 2397 | (872) | (36.4)% |
| MPP fees | 1355 | 1341 | 14 | 1.0% |
| Net gain on sale of loans | 19351 | 13714 | 5637 | 41.1% |
| Other noninterest income | (32) | (1063) | 1031 | (97.0)% |
|  | $**22438** | $**16905** | $**5533** | **32.7%** |

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| | | | | |
|:---|:---|:---|:---|:---|
| **(Dollars in thousands)<br>Noninterest Income** | **For the Six Months Ended<br> June 30,** | **For the Six Months Ended<br> June 30,** | **$ Increase (Decrease)** | **% Change** |
| **(Dollars in thousands)<br>Noninterest Income** | **2025** | **2024** | **$ Increase (Decrease)** | **% Change** |
| Service charges on deposits and other fees | $419 | $1024 | $(605) | (59.1)% |
| Loan servicing fees | 2520 | 6259 | (3739) | (59.7)% |
| MPP fees | 2496 | 2285 | 211 | 9.2% |
| Net gain on sale of loans | 37938 | 25065 | 12873 | 51.4% |
| Other noninterest income | 1939 | (1083) | 3022 | (279.0)% |
|  | $**45312** | $**33550** | $**11762** | **35.1%** |

---

For the three months ended June 30, 2025, noninterest income was $22.4 million, an increase of $5.5 million compared to the same period in 2024, driven primarily by higher net gains on sales of loans and other noninterest income, partially offset by lower loan servicing fees. For the six months ended June 30, 2025, noninterest income was $45.3 million, an increase of $11.8 million compared to the same period in 2024, driven primarily by higher net gains on sales of loans and other noninterest income, partially offset by lower loan servicing fees.

------

**Northpointe Bancshares, Inc.**

The following tables present the major components of our loan servicing fees and net gain on sale of loans for the three and six month periods ended June 30, 2025 and 2024:

---

| | | | | |
|:---|:---|:---|:---|:---|
| **(Dollars in thousands)<br>Loan Servicing Fees** | **For the Three Months Ended June 30,** | **For the Three Months Ended June 30,** | **$ Increase (Decrease)** | **% Change** |
| **(Dollars in thousands)<br>Loan Servicing Fees** | **2025** | **2024** | **$ Increase (Decrease)** | **% Change** |
| Fees on servicing | $1827 | $3312 | $(1485) | (44.8)% |
| Change in fair value of MSRs <sup>(1)</sup> | (302) | (915) | 613 | (67.0)% |
|  | $**1525** | $**2397** | $**(872)** | **(36.4)%** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; (1) - Includes change in fair value and paid in full MSRs. |  |  |  |  |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
| **(Dollars in thousands)<br>Loan Servicing Fees** | **For the Six Months Ended<br> June 30,** | **For the Six Months Ended<br> June 30,** | **$ Increase (Decrease)** | **% Change** |
| **(Dollars in thousands)<br>Loan Servicing Fees** | **2025** | **2024** | **$ Increase (Decrease)** | **% Change** |
| Fees on servicing | $3529 | $8981 | $(5452) | (60.7)% |
| Change in fair value of MSRs <sup>(1)</sup> | (1009) | (2722) | 1713 | (62.9)% |
|  | $**2520** | $**6259** | $**(3739)** | **(59.7)%** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; (1) - Includes change in fair value and paid in full MSRs. |  |  |  |  |

---

For the three months ended June 30, 2025, loan servicing fees decreased by $872,000 compared to the same period in 2024. For the six months ended June 30, 2025, loan servicing fees decreased by $3.7 million compared to the same period in 2024. The decrease in loan servicing fees in both the three and six month periods of 2025, as compared to the same periods in 2024, was driven primarily by lower revenues associated with a large bulk sale of serviced loans in the first quarter of 2024, as we made the strategic decision to scale back that part of our business. The decreases in each respective period was partially offset by an increase in the fair value of the MSR.

For the three months ended June 30, 2025, MPP fees increased by $14,000, as compared to the same period in 2024. For the six months ended June 30, 2025, MPP fees increased by $211,000 compared to the same period in 2024. The increase in MPP fees in both the three and six month periods of 2025, as compared to the same periods in 2024, was driven primarily by an increase in overall volume of the MPP program.

------

**Northpointe Bancshares, Inc.**

---

| | | | | |
|:---|:---|:---|:---|:---|
| **(Dollars in thousands)<br>Net Gain on Sale of Loans** | **For the Three Months Ended June 30,** | **For the Three Months Ended June 30,** | **$ Increase (Decrease)** | **% Change** |
| **(Dollars in thousands)<br>Net Gain on Sale of Loans** | **2025** | **2024** | **$ Increase (Decrease)** | **% Change** |
| Capitalized MSRs | $902 | $1608 | $(706) | (43.9)% |
| Change in fair value of loans <sup>(1)</sup> | 3340 | (658) | 3998 | (607.6)% |
| Gain on sale of loans, net <sup>(2)</sup> | 15109 | 12764 | 2345 | 18.4% |
|  | $**19351** | $**13714** | $**5637** | **41.1%** |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) - Includes the change in fair value of interest rate locks, loans held for sale, and held for investment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) - Includes (a) net gain on sale of loans, (b) loan origination fees, points and costs, (c) provision from investor reserves, (d) gain or loss from forward commitments from hedging, and (e) fair value of LRA.

---

| | | | | |
|:---|:---|:---|:---|:---|
| **(Dollars in thousands)<br>Net Gain on Sale of Loans** | **For the Six Months Ended<br> June 30,** | **For the Six Months Ended<br> June 30,** | **$ Increase (Decrease)** | **% Change** |
| **(Dollars in thousands)<br>Net Gain on Sale of Loans** | **2025** | **2024** | **$ Increase (Decrease)** | **% Change** |
| Capitalized MSRs | $1968 | $2093 | $(125) | (6.0)% |
| Change in fair value of loans <sup>(1)</sup> | 8018 | (1843) | 9861 | (535.1)% |
| Gain on sale of loans, net <sup>(2)</sup> | 27952 | 24815 | 3137 | 12.6% |
|  | $**37938** | $**25065** | $**12873** | **51.4%** |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) - Includes the change in fair value of interest rate locks, loans held for sale, and held for investment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) - Includes (a) net gain on sale of loans, (b) loan origination fees, points and costs, (c) provision from investor reserves, (d) gain or loss from forward commitments from hedging, and (e) fair value of LRA.

For the three months ended June 30, 2025, net gain on sale of loans increased by $5.6 million, as compared to the same period in 2024. This was driven primarily by an increase in the fair value of loans of $4.0 million, which included a $1.4 million increase related to an agreement entered into at the end of the second quarter of 2025 to sell $40.3 million in unpaid principal balance of home equity (non AIO) loans, along with higher gains on the sales of loans resulting from increased saleable mortgage volume over the same period.

For the six months ended June 30, 2025, gain on sale of loans increased by $12.9 million, as compared to the same period in 2024. This was driven primarily by an increase in the fair value of loans of $9.9 million, which was attributable to lower market interest rates, higher gains on sale of loans, and the $1.4 million increase in fair value from the home equity (non AIO) loan sale agreement.

For the three months ended June 30, 2025, other noninterest income increased by $1.0 million, as compared to the same period in 2024. Included in other noninterest income for the three month period ended June 30, 2024 was a loss of $1.1 million on the sale of MSRs. We did not have any such losses in the 2025 period. For the six months ended June 30, 2025, other noninterest income increased by $3.0 million compared to the same period in 2024. For the six months ended June 30, 2025, we recognized a $2.0 million gain on debt extinguishment of $102.5 million in FHLB advances, and we did not have any such debt extinguishment gain or loss for the same period in 2024. Additionally, in the six months ended June 30, 2024 we recognized the loss of $1.1 million on the sale of MSRs. We had no such loss in the 2025 period.

------

**Northpointe Bancshares, Inc.**

***Noninterest Expense***

The following tables present the major components of our noninterest expense for the three and six month periods ended June 30, 2025 and 2024:

---

| | | | | |
|:---|:---|:---|:---|:---|
| **(Dollars in thousands)<br>Noninterest Expense** | **For the Three Months<br> Ended June 30,** | **For the Three Months<br> Ended June 30,** | **$ Increase (Decrease)** | **% Change** |
| **(Dollars in thousands)<br>Noninterest Expense** | **2025** | **2024** | **$ Increase (Decrease)** | **% Change** |
| Salaries and employee benefits | 22234 | 20018 | $2216 | 11.1% |
| Occupancy and equipment | 918 | 1146 | (228) | (19.9)% |
| Data processing expense | 2155 | 2341 | (186) | (7.9)% |
| Professional fees | 1793 | 1082 | 711 | 65.7% |
| Other taxes and insurance | 1190 | 1482 | (292) | (19.7)% |
| Other | 3432 | 1731 | 1701 | 98.3% |
|  | $**31722** | $**27800** | $**3922** | **14.1%** |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
| **(Dollars in thousands)<br>Noninterest Expense** | **For the Six Months Ended<br> June 30,** | **For the Six Months Ended<br> June 30,** | **$ Increase (Decrease)** | **% Change** |
| **(Dollars in thousands)<br>Noninterest Expense** | **2025** | **2024** | **$ Increase (Decrease)** | **% Change** |
| Salaries and employee benefits | 42677 | 38039 | $4638 | 12.2% |
| Occupancy and equipment | 1890 | 2442 | (552) | (22.6)% |
| Data processing expense | 4262 | 4840 | (578) | (11.9)% |
| Professional fees | 3021 | 2201 | 820 | 37.3% |
| Other taxes and insurance | 2977 | 3292 | (315) | (9.6)% |
| Other | 6267 | 4971 | 1296 | 26.1% |
|  | $**61094** | $**55785** | $**5309** | **9.5%** |

---

For the three months ended June 30, 2025, noninterest expense was $31.7 million, an increase of $3.9 million, compared to the same period in 2024. For the six months ended June 30, 2025, noninterest expense was $61.1 million, an increase of $5.3 million, compared to the same period in 2024. Salaries and employee benefits expense represent the largest component of our noninterest expense, which are broken out in the below tables for the three and six month periods ended June 30, 2025 and 2024:

---

| | | | | |
|:---|:---|:---|:---|:---|
| **(Dollars in thousands)<br>Salaries and Employee Benefits** | **For the Three Months Ended June 30,** | **For the Three Months Ended June 30,** | **$ Increase (Decrease)** | **% Change** |
| **(Dollars in thousands)<br>Salaries and Employee Benefits** | **2025** | **2024** | **$ Increase (Decrease)** | **% Change** |
| Salaries and other compensation | $8737 | $9108 | $(371) | (4.1)% |
| Salary deferral from loan origination | (991) | (1159) | 168 | (14.5)% |
| Bonus and incentive compensation | 3564 | 2260 | 1304 | 57.7% |
| Mortgage production - variable compensation | 7730 | 6621 | 1109 | 16.7% |
| Employee benefits | 3194 | 3188 | 6 | 0.2% |
| Total salaries and employee benefits | $**22234** | $**20018** | $**2216** | **11.1%** |

---

------

**Northpointe Bancshares, Inc.**

---

| | | | | |
|:---|:---|:---|:---|:---|
| **(Dollars in thousands)<br>Salaries and Employee Benefits** | **For the Six Months Ended<br> June 30,** | **For the Six Months Ended<br> June 30,** | **$ Increase (Decrease)** | **% Change** |
| **(Dollars in thousands)<br>Salaries and Employee Benefits** | **2025** | **2024** | **$ Increase (Decrease)** | **% Change** |
| Salaries and other compensation | $17343 | $18181 | $(838) | (4.6)% |
| Salary deferral from loan origination | (1959) | (2137) | 178 | (8.3)% |
| Bonus and incentive compensation | 7206 | 3958 | 3248 | 82.1% |
| Mortgage production - variable compensation | 13788 | 12487 | 1301 | 10.4% |
| Employee benefits | 6299 | 5550 | 749 | 13.5% |
| Total salaries and employee benefits | $**42677** | $**38039** | $**4638** | **12.2%** |

---

For the three months ended June 30, 2025, salaries and employee benefits increased by $2.2 million, as compared to the same period in 2024. Of this increase, $1.3 million was from higher bonus and incentive compensation expense, attributable to the improvement in financial performance and restricted stock expense, and an increase of $1.1 million in variable commission compensation associated with higher mortgage volume. Partially offsetting this was a decrease in base salaries and other compensation of $371,000 largely attributable to the Company's strategic initiative to private label outsource its non-specialized mortgage servicing.

For the six months ended June 30, 2025, salaries and employee benefits increased by $4.6 million, as compared to the same period in 2024. Of this increase, $3.2 million was from higher bonus and incentive compensation expense, attributable to the improvement in financial performance and restricted stock expense, $1.3 million was from higher variable commission compensation associated with higher mortgage volume and $749,000 was from higher employee benefits expense. Partially offsetting this was a decrease in base salaries and other compensation of $838,000 largely attributable to the Company's strategic initiative to private label outsource its non-specialized mortgage servicing.

For the three months ended June 30, 2025, occupancy and equipment expense decreased by $228,000, as compared to the same period in 2024. For the six months ended June 30, 2025, occupancy and equipment expense decreased by $552,000, as compared to the same period in 2024. The decrease in occupancy and equipment expense in both the three and six month periods of 2025, as compared to the same periods in 2024, was driven primarily by lower building lease expense.

For the three months ended June 30, 2025, data processing fees decreased by $186,000, as compared to the same period in 2024. For the six months ended June 30, 2025, data processing fees decreased by $578,000, as compared to the same period in 2024. These decreases from 2024 are consistent with our outsourcing of mortgage servicing as much of our data processing costs are unit based so lower volume results in lower data processing costs.

For the three months ended June 30, 2025, professional fees increased by $711,000, as compared to same period in 2024, and increased by $820,000 for the six months ended June 30, 2025, as compared to the same period in 2024. The increase in professional fees in both the three and six month periods of 2025, as compared to the same periods in 2024, was driven primarily by higher public company compliance costs.

For the three months ended June 30, 2025, other expenses increased by $1.7 million, as compared to the same period in 2024. For the six months ended June 30, 2025, other expenses increased by $1.3 million, as compared to the same period in 2024. Other expenses include several categories of expenses including sub-servicing expense, marketing, loan collection, credit reporting fees, loan repurchase reserve and other variable expenses tied to mortgage volume. The largest driver of the increase in other expenses in both the three and six month periods of 2025, as compared to the same periods in 2024, was from higher sub-servicer expenses resulting from the Company's strategic initiative to private label outsource its non-specialized mortgage servicing. This incremental sub-servicer expense was more than offset by the savings in salaries and benefits expense achieved as a result of the strategic initiative. The remainder of the increase in other expenses in both the three and six month periods of 2025, as compared to the same periods in 2024, was driven primarily by lower levels of loan repurchase reserve net benefit, partially offset by lower expenses across a number of categories.

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**Northpointe Bancshares, Inc.**

We had a loan repurchase reserve net benefit of $98,000 in the three months ended June 30, 2025 compared to a net benefit of $1.1 million for the same period in 2024. For the six months ended June 30, 2025, we had a loan repurchase reserve net benefit of $165,000 compared to a net benefit of $2.0 million for the same period in 2024.

***Income Tax Expense***

For the three months ended June 30, 2025, total income tax expense was $6.3 million, as compared to $4.2 million for the same period in 2024. For the six months ended June 30, 2025, total income tax expense was $11.7 million, as compared to $8.1 million for the same period in 2024. The effective tax rate was 23.67% for the both the three and six months ended June 30, 2025, as compared to 24.03% and 24.24%, respectively, for the same periods in 2024.

***Preferred Stock Dividends***

For the three months ended June 30, 2025, our preferred stock dividend expense was $2.3 million, as compared to $1.8 million for the same period in 2024. For the six months ended June 30, 2025, our preferred stock dividend expense was $4.5 million, as compared to $4.3 million for the same period in 2024. Preferred stock dividend expense for the three and six month periods ended June 30, 2025 include an additional special one-time dividend of $2.50 per share paid on June 30, 2025 on the Company's 8.25% Fixed-to-Floating Rate Non-Cumulative Perpetual Preferred Stock, Series A ("Series A"), and the Company's 7.25% Fixed-to-Floating Rate Non-Cumulative Perpetual Preferred Stock, Series B ("Series B"). This dividend was paid in connection with amendments made to the Company's Series A and Series B preferred stock to extend the registration rights agreements deadlines to January 2, 2026 for Series A and to January 2, 2027 for Series B. Preferred stock dividend expense for the three and six month periods ended June 30, 2024 include a gain related to the repurchase of $5 million in preferred stock.

***Operating Segment Analysis***

We have two reporting segments, Retail Banking and MPP. As discussed in Note 20 of our Consolidated Financial Statements, our reportable segments have been determined based on management's focus and internal reporting structure.

The MPP segment provides collateralized mortgage purchase facilities to independent mortgage bankers nationwide. The Retail Banking segment provides a vast array of financial products and services to consumers nationwide. These include residential mortgages, AIO Loans, other consumer loans, and loan servicing, as well as various types of deposit products, including checking, savings and time deposit accounts. It also includes general and administrative expenses for the enterprise-wide support functions, which are allocated among the segments, internal funds transfer pricing offsets resulting from allocations to or from the other segments, and certain elimination entries.

Our reported segments and the financial information disclosed in the reported segments are not necessarily comparable with similar information reported by other financial institutions. Furthermore, changes in management structure or allocation methodologies and procedures may result in future changes to previously reported operating segment financial information.

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**Northpointe Bancshares, Inc.**

The following tables presents our reported segment results for the three and six month periods ended June 30, 2025 and 2024:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **(Dollars in thousands)** | **As of or for the Three Months Ended June 30,** | **As of or for the Three Months Ended June 30,** | **As of or for the Three Months Ended June 30,** | **As of or for the Three Months Ended June 30,** | **As of or for the Three Months Ended June 30,** | **As of or for the Three Months Ended June 30,** |
| **(Dollars in thousands)** | **2025** | **2025** | **2025** | **2024** | **2024** | **2024** |
| **(Dollars in thousands)** | **Retail<br>Banking** | **MPP** | **Total** | **Retail<br>Banking** | **MPP** | **Total** |
| Interest income | $47976 | $45117 | $93093 | $51158 | $27741 | $78899 |
| Interest expense | (56573) |  | (56573) | (50302) |  | (50302) |
| Funds transfer pricing | 30020 | (30020) |  | 18969 | (18969) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Net interest income** | **21423** | **15097** | **36520** | **19825** | **8772** | **28597** |
| Provision (benefit) for credit losses | 414 | 169 | 583 | 206 | 92 | 298 |
| &nbsp;&nbsp;&nbsp;&nbsp;**Net income after provision** | **21009** | **14928** | **35937** | **19619** | **8680** | **28299** |
| Noninterest income <sup>(1)</sup> | 21083 | 1355 | 22438 | 15564 | 1341 | 16905 |
| Salaries and employee benefits | (20483) | (1751) | (22234) | (18728) | (1290) | (20018) |
| Occupancy and equipment | (731) | (187) | (918) | (1124) | (22) | (1146) |
| Other noninterest expense <sup>(2)</sup> | (8521) | (49) | (8570) | (6463) | (173) | (6636) |
| Noninterest expense | (29735) | (1987) | (31722) | (26315) | (1485) | (27800) |
| Expense allocation <sup>(3)</sup> | 1321 | (1321) |  | 851 | (851) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;**Net income before taxes** | **13678** | **12975** | **26653** | **9719** | **7685** | **17404** |
| Income tax expense | (3238) | (3071) | (6309) | (2364) | (1819) | (4183) |
| &nbsp;&nbsp;&nbsp;&nbsp;**Net income before preferred dividends** | $**10440** | $**9904** | $**20344** | $**7355** | $**5866** | $**13221** |
| Average balance sheet assets | $3172383 | $2558877 | $5731260 | $3707743 | $1374716 | $5082459 |
| Period end assets | $3539226 | $2891668 | $6430894 | $3719424 | $1504587 | $5224011 |

---

(1) Noninterest income for MPP only includes MPP related fees. All other noninterest income is reflected in Retail Banking.

(2) Includes data processing, professional services, office supplies and other miscellaneous expenses.

(3) Reflects corporate overhead expense allocations used by both business segments; primarily consisting of corporate admin, finance, technology, human resources, risk, marketing and occupancy related allocations.

------

**Northpointe Bancshares, Inc.**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **(Dollars in thousands)** | **As of or for the Six Months Ended June 30,** | **As of or for the Six Months Ended June 30,** | **As of or for the Six Months Ended June 30,** | **As of or for the Six Months Ended June 30,** | **As of or for the Six Months Ended June 30,** | **As of or for the Six Months Ended June 30,** |
| **(Dollars in thousands)** | **2025** | **2025** | **2025** | **2024** | **2024** | **2024** |
| **(Dollars in thousands)** | **Retail<br>Banking** | **MPP** | **Total** | **Retail<br>Banking** | **MPP** | **Total** |
| Interest income | $95438 | $76805 | $172243 | $100722 | $50758 | $151480 |
| Interest expense | (105334) |  | (105334) | (95692) |  | (95692) |
| Funds transfer pricing | 50786 | (50786) |  | 34322 | (34322) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Net interest income** | **40890** | **26019** | **66909** | **39352** | **16436** | **55788** |
| Provision (benefit) for credit losses | 1405 | 472 | 1877 | (228) | 168 | (60) |
| &nbsp;&nbsp;&nbsp;&nbsp;**Net income after provision** | **39485** | **25547** | **65032** | **39580** | **16268** | **55848** |
| Noninterest income <sup>(1)</sup> | 42816 | 2496 | 45312 | 31265 | 2285 | 33550 |
| Salaries and employee benefits | (39413) | (3264) | (42677) | (35530) | (2509) | (38039) |
| Occupancy and equipment | (1851) | (39) | (1890) | (2398) | (44) | (2442) |
| Other noninterest expense <sup>(2)</sup> | (16196) | (331) | (16527) | (15033) | (271) | (15304) |
| Noninterest expense | (57460) | (3634) | (61094) | (52961) | (2824) | (55785) |
| Expense allocation <sup>(3)</sup> | 2474 | (2474) |  | 1717 | (1717) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;**Net income before taxes** | **27315** | **21935** | **49250** | **19601** | **14012** | **33613** |
| Income tax expense | (6466) | (5192) | (11658) | (4831) | (3317) | (8148) |
| &nbsp;&nbsp;&nbsp;&nbsp;**Net income before preferred dividends** | $**20849** | $**16743** | $**37592** | $**14770** | $**10695** | $**25465** |
| Average balance sheet assets | $3552020 | $2179240 | $5731260 | $3683285 | $1249486 | $4932771 |
| Period end assets | $3539226 | $2891668 | $6430894 | $3719424 | $1504587 | $5224011 |

---

(1) Noninterest income for MPP only includes MPP related fees. All other noninterest income is reflected in Retail Banking.

(2) Includes data processing, professional services, office supplies and other miscellaneous expenses.

(3) Reflects corporate overhead expense allocations used by both business segments; primarily consisting of corporate admin, finance, technology, human resources, risk, marketing and occupancy related allocations.

***MPP***

For the three months ended June 30, 2025, our MPP segment reported net income before preferred dividends of $9.9 million, an increase of $4.0 million, or 68.8%, over the $5.9 million reported for the same period in 2024. This increase was driven primarily by an 86.1% increase in average balances which drove higher net interest income and fees. For the six months ended June 30, 2025, our MPP segment reported net income before preferred dividends of $16.7 million, an increase of $6.0 million, or 56.5%, over the $10.7 million reported for the same period in 2024. This increase was driven primarily by a 74.4% increase in average balances which drove higher net interest income and fees. The increase in average balances in both periods reflects strong loan growth from new customer acquisition and market share gains.

***Retail Banking***

For the three months ended June 30, 2025, our Retail Banking segment reported net income before preferred dividends of $10.4 million, an increase of $3.1 million, or 41.9%, over the $7.4 million reported for the same period in 2024. For the six months ended June 30, 2025, our Retail Banking segment reported net income before preferred dividends of $20.8 million, an increase of $6.1 million, or 41.2%, over the $14.8 million reported for the same period in 2024. These increases were driven primarily by higher interest income and noninterest income, which outpaced the increase in noninterest expense. The increase in noninterest expense reflects higher variable mortgage commissions and higher professional fees and overhead associated with being a public company.

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**Northpointe Bancshares, Inc.**

**Discussion and Analysis of Financial Condition**

The following table summarizes selected components of our balance sheets at June 30, 2025 and December 31, 2024:

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| | | |
|:---|:---|:---|
| | **June 30,** | **December 31,** |
| **(Dollars in thousands)** | **2025** | **2024** |
| **BALANCE SHEET DATA** |  |  |
| Total assets | $6430894 | $5224011 |
| Cash and cash equivalents | 415659 | 376295 |
| Equity and debt securities | 10114 | 9881 |
| FHLB stock | 69574 | 69574 |
| Loans and loans held for sale, net | 5815630 | 4633637 |
| Deposits | 4474071 | 3422555 |
| Borrowings | 1274929 | 1258750 |
| Subordinated debentures | 29181 | 43933 |
| Total equity capital | 604277 | 462490 |

---

***Total Assets***

Total assets were $6.43 billion at June 30, 2025, as compared to $5.22 billion at December 31, 2024. This $1.21 billion increase in total assets was driven primarily by higher balances of net loans (particularly MPP loans) and loans held for sale, along with higher cash and cash equivalents.

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**Northpointe Bancshares, Inc.**

***Loan Portfolio***

The following table presents the balance and associated percentage of each major loan type within our portfolio, including net deferred fees and costs, as of the dates indicated:

---

| | | | | |
|:---|:---|:---|:---|:---|
| **(Dollars in thousands)** | **June 30, 2025** | **June 30, 2025** | **December 31, 2024** | **December 31, 2024** |
| **(Dollars in thousands)** | **Amount** | **% of Total<br>Gross Loans** | **Amount** | **% of Total<br>Gross Loans** |
| Residential: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Construction | $27144 | 0.5% | $51408 | 1.1% |
| &nbsp;&nbsp;&nbsp;&nbsp;All-in-One (AIO)<sup>(1)</sup> | 662829 | 11.4% | 612080 | 13.2% |
| &nbsp;&nbsp;&nbsp;&nbsp;Other consumer / home equity<sup>(1)</sup> | 54495 | 0.9% | 97258 | 2.1% |
| &nbsp;&nbsp;&nbsp;&nbsp;Residential mortgage<sup>(2)</sup> | 1859814 | 31.9% | 1948175 | 41.9% |
| Commercial | 856 | 0.0% | 8013 | 0.2% |
| MPP | 2891668 | 49.6% | 1710820 | 36.8% |
| Total loans held for investment | 5496806 | 94.3% | 4427754 | 95.3% |
| Loans held for sale | 331199 | 5.7% | 217073 | 4.7% |
| Total gross loans (HFI and HFS) | $5828005 | 100.0% | $4644827 | 100.0% |

---

_____________________

(1)AIO and Other Consumer / Home Equity are aggregated into Home equity lines of credit loans within the tables in our consolidated financial statements.

(2)Residential Mortgage loans consist of Closed end first liens, Closed end second liens, and Land development loans.

Our loan portfolio includes both loans held for investment and loans held for sale. Our loans held for investment portfolio comprises over 94% of our total gross loans.

Our MPP business offers facilities to independent mortgage banking companies located nationwide. These are floating rate, short term advances that are collateralized by one-to-four family mortgage loans that our mortgage bankers are preparing to be delivered to the secondary mortgage market. In most cases, these mortgage loans sit in our mortgage banking client's facility for less than 30 days after the loan is purchased.

Residential mortgage loans include fixed or adjustable-rate residential real estate loans collateralized by one-to-four family properties. Our portfolio is geographically diversified across the United States. To mitigate interest rate risk, most of the loans we choose to hold in our portfolio are floating rate loans. The majority of our residential mortgage loans at June 30, 2025 are first liens.

AIO loans are floating rate, first mortgage revolving equity loans that include a checking account linked to the revolving equity loans.

We also have a smaller portfolio of construction loans, home equity lines of credit, and commercial loans, which combined represented less than 2% of the overall loan portfolio as of June 30, 2025.

At June 30, 2025, our total loans net of allowance for credit losses including loans held for sale was $5.82 billion, as compared to $4.64 billion on December 31, 2024. This increase of $1.18 billion since year end 2024 was driven primarily by the strong growth in MPP and AIO balances, which increased by $1.18 billion and $50.7 million, respectively. Growing the MPP business remains one of our top strategic priorities, and reflects the strength of our scalable technology, long-standing strong relationships, as well as our ability to capitalize on recent market disruption within the business line. We also remain focused on prudently growing the portfolio of first-lien home equity lines, which includes AIO loans.

As of June 30, 2025, residential mortgage comprised 31.9% of our total loan portfolio compared to 49.6% for MPP and 11.4% for AIO loans. As of December 31, 2024, residential mortgage comprised 41.9% of our total loan portfolio compared to 36.8% for MPP and 13.2% for AIO loans. The reduction in residential mortgages reflects normal amortization and pay-offs, as we are not strategically growing this portfolio.

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**Northpointe Bancshares, Inc.**

***Contractual Maturities and Rate Structures of Loan Portfolio***

The following table sets forth the contractual maturities and rate structures at June 30, 2025 and December 31, 2024:

**Contractual Loan Maturities as of June 30, 2025**

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| | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Due in 1 Year or less** | **Due in 1 Year or less** | **Due after 1 Year<br>through 5 years** | **Due after 1 Year<br>through 5 years** | **Due after 5 Years<br>through 15 years** | **Due after 5 Years<br>through 15 years** | **Due after 15 years** | **Due after 15 years** | Total |
| **(Dollars in thousands)** | **Fixed<br>Rate** | **Adjustable<br>Rate** | **Fixed<br>Rate** | **Adjustable<br>Rate** | **Fixed<br>Rate** | **Adjustable<br>Rate** | **Fixed<br>Rate** | **Adjustable<br>Rate** | Total |
| Residential |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Construction | $4694 | $— | $— | $— | $— | $— | $16921 | $5529 | $27144 |
| &nbsp;&nbsp;&nbsp;All-in-One (AIO)<sup>(1)</sup> |  |  |  |  |  |  |  | 662829 | 662829 |
| &nbsp;&nbsp;&nbsp;Other consumer / home equity<sup>(1)</sup> |  |  |  |  | 70 | 85 | 1510 | 52830 | 54495 |
| &nbsp;&nbsp;&nbsp;Residential mortgage<sup>(2)</sup> | 103 | 52 | 506 | 472 | 14707 | 14204 | 424328 | 1405442 | 1859814 |
| Commercial | 219 | 234 | 329 |  | 74 |  |  |  | 856 |
| MPP |  | 2891668 |  |  |  |  |  |  | 2891668 |
| Total loans held for investment: | 5016 | 2891954 | 835 | 472 | 14851 | 14289 | 442759 | 2126630 | 5496806 |
| Retail loans held for sale: |  |  |  |  | 392 |  | 281041 | 49766 | 331199 |
| &nbsp;&nbsp;**Total gross loans (HFI and HFS)** | $**5016** | $**2891954** | $**835** | $**472** | $**15243** | $**14289** | $**723800** | $**2176396** | $**5828005** |

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_____________________

(1)AIO and Other Consumer / Home Equity are aggregated into Home equity lines of credit loans within the tables in our consolidated financial statements.

(2)Residential Mortgage loans consist of Closed end first liens, Closed end second liens, and Land development loans.

**Contractual Loan Maturities as of December 31, 2024**

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| | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Due in 1 Year or less** | **Due in 1 Year or less** | **Due after 1 Year<br>through 5 years** | **Due after 1 Year<br>through 5 years** | **Due after 5 Years<br>through 15 years** | **Due after 5 Years<br>through 15 years** | **Due after 15 years** | **Due after 15 years** | Total |
| **(Dollars in thousands)** | **Fixed<br>Rate** | **Adjustable<br>Rate** | **Fixed<br>Rate** | **Adjustable<br>Rate** | **Fixed<br>Rate** | **Adjustable<br>Rate** | **Fixed<br>Rate** | **Adjustable<br>Rate** | Total |
| Residential |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Construction | $12401 | $— | $— | $— | $— | $— | $38013 | $994 | $51408 |
| &nbsp;&nbsp;&nbsp;All-in-One (AIO)<sup>(1)</sup> |  |  |  |  |  |  |  | 612080 | $612080 |
| &nbsp;&nbsp;&nbsp;Other consumer / home equity<sup>(1)</sup> |  |  |  |  |  | 70 |  | 97188 | 97258 |
| &nbsp;&nbsp;&nbsp;Residential mortgage<sup>(2)</sup> | 393 | 333 | 347 | 553 | 15655 | 14142 | 363450 | 1553302 | 1948175 |
| Commercial |  | 7303 | 120 | 234 | 115 | 82 | 159 |  | 8013 |
| MPP |  | 1710820 |  |  |  |  |  |  | 1710820 |
| Total loans held for investment: | 12794 | 1718456 | 467 | 787 | 15770 | 14294 | 401622 | 2263564 | 4427754 |
| Retail loans held for sale: |  |  |  |  |  |  | 210766 | 6307 | 217073 |
| &nbsp;&nbsp;**Total gross loans (HFI and HFS)** | $**12794** | $**1718456** | $**467** | $**787** | $**15770** | $**14294** | $**612388** | $**2269871** | $**4644827** |

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_____________________

(1)AIO and Other Consumer / Home Equity are aggregated into Home equity lines of credit loans within the tables in our consolidated financial statements.

(2)Residential Mortgage loans consist of Closed end first liens, Closed end second liens, and Land development loans.

Our mortgage loan portfolio has ARMs which reset annually after the initial fixed rate period, which ranges from one to 10 years. AIO loans are adjustable rate and reset monthly. Expected maturities may differ from contractual maturities if borrowers have the right to call or prepay obligations with or without call or prepayment penalties.

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**Northpointe Bancshares, Inc.**

As of June 30, 2025, 49.7% of our total loan portfolio had a contractual maturity of less than one year, up from 37.3% at December 31, 2024. The increase was primarily due to growth in our MPP business over this period. Our MPP facilities are floating rate and generally have terms of 30 days or less given that is the time period that a funded mortgage stays in our mortgage banking client's facility prior to the sale of the mortgage in the secondary market. Very few of our loans have intermediate contractual maturities of between one and fifteen years. As of June 30, 2025, 49.8% of total loans had contractual maturities of longer than 15 years, compared to 62.1% at December 31, 2024. For our two largest categories of long duration loans as of June 30, 2025, 76.4% of residential mortgage and 100% of our AIO Loans were floating rate.

***Nonperforming Assets***

The following table provides details of our nonperforming and restructured assets (including both loans held for investment and loans held for sale) as of the dates presented and certain other related information:

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| | | |
|:---|:---|:---|
| **(Dollars in thousands)** | **June 30, 2025** | **December 31, 2024** |
| **Nonaccrual loans**<sup>(1)</sup>**:** | | |
| Commercial | 162 | 118 |
| Construction | 2555 | 1921 |
| Land development | 4582 | 2312 |
| Home equity lines of credit | 13953 | 10807 |
| First lien mortgage | 31030 | 25706 |
| First lien mortgage wholly or partially guaranteed by the U.S Government | 27577 | 32159 |
| Junior lien mortgage | 2120 | 1532 |
| MPP |  |  |
|  | 81979 | 74555 |
| **Loans past due 90 days or more and still accruing**<sup>(1)</sup>**:** |  |  |
| Commercial |  |  |
| Construction |  |  |
| Land development | 354 |  |
| Home equity lines of credit | 351 | 200 |
| First lien mortgage | 2481 | 3823 |
| First lien mortgage wholly or partially guaranteed by the U.S Government | 974 | 346 |
| Junior lien mortgage | 752 | 30 |
| MPP |  |  |
|  | 4912 | 4399 |
| Total nonperforming loans | 86891 | 78954 |
| Other real estate owned | 203 | 3030 |
| Total nonperforming assets | $87094 | $81984 |
| Nonaccrual loans to total loans | 1.41% | 1.61% |
| Nonperforming loans to total loans | 1.49% | 1.70% |
| Nonperforming assets to total assets | 1.35% | 1.57% |
| Allowance for credit losses to nonaccrual loans | 15.10% | 15.01% |
| Ratios excluding loans wholly or partially guaranteed by the U.S Government |  |  |
| Nonaccrual loans to total loans | 0.93% | 0.91% |
| Nonperforming loans to total loans | 1.01% | 1.00% |
| Nonperforming assets to total assets | 0.91% | 0.95% |
| Allowance for credit losses to nonaccrual loans | 22.75% | 26.39% |

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_____________________

(1)Includes loans which are reported at fair value (see Note 17 of our consolidated financial statements).

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**Northpointe Bancshares, Inc.**

At June 30, 2025, nonperforming assets were $87.1 million compared to $82.0 million at December 31, 2024. Nonperforming assets as a percent of total assets was 1.35% at June 30, 2025 compared to 1.57% at December 31, 2024.

A substantial portion of the Company's non-performing loans are wholly or partially guaranteed by the U.S. Government, so asset quality metrics within this Quarterly Report on Form 10-Q are shown with and without these guaranteed loans. Excluding the portion of our loans that are wholly or partially guaranteed by the U.S. Government, nonperforming assets to total assets decreased to 0.91% at June 30, 2025, compared to 0.95% at December 31, 2024. At June 30, 2025, approximately 33% of our nonperforming loans have a form of government guarantee.

The Company uses a risk grading system for our loans to aid us in evaluating the overall credit of our loan portfolio and assessing the adequacy of our allowance for credit losses. All loans are categorized into a risk category at the time of origination. Loans are re-evaluated for proper risk grading as new information such as payment patterns, collateral condition and other relevant information comes to our attention. Our classified assets are described in more detail in Note 3 of the Notes to Consolidated Financial Statements.

***Allowance for Credit Losses and Net Charge-Offs***

The allowance for credit losses is established through a provision for credit losses charged to operations. Loans are charged against the allowance for credit losses when management believes that the collectability of the principal is unlikely. Subsequent recoveries of previously charged off amounts, if any, are credited to the allowance for credit losses. The allowance for credit losses is evaluated on a regular basis by management and is based on management's periodic review of the collectability of the loans considering historical experience, the nature and volume of the loan portfolio, adverse situations that may affect the borrower's ability to repay, estimated value of any underlying collateral, and prevailing economic conditions. This evaluation is inherently subjective, as it requires estimates that are susceptible to significant revision as more information becomes available. While the entire allowance for credit losses is available to absorb losses from all loans, the following table represents management's allocation of our allowance for credit losses by loan category, and the percentage of allowance for credit losses in each category, for the periods indicated:

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| | | | | |
|:---|:---|:---|:---|:---|
| **(Dollars in thousands)** | **June 30, 2025** | **June 30, 2025** | **December 31, 2024** | **December 31, 2024** |
| **(Dollars in thousands)** | **Dollars** | **% of<br>Total** | **Dollars** | **% of<br>Total** |
| Collectively allocated for impairment: |  |  |  |  |
| &nbsp;&nbsp;Commercial | $3 | —% | $32 | 0.3% |
| &nbsp;&nbsp;Construction | 382 | 3.1% | 390 | 3.5% |
| &nbsp;&nbsp;Land development | 1085 | 8.8% | 976 | 8.7% |
| &nbsp;&nbsp;Home equity lines of credit | 2301 | 18.6% | 1920 | 17.2% |
| &nbsp;&nbsp;First lien mortgage | 4788 | 38.7% | 4515 | 40.3% |
| &nbsp;&nbsp;Junior lien mortgage | 1968 | 15.9% | 1672 | 14.9% |
| &nbsp;&nbsp;MPP | 1157 | 9.3% | 684 | 6.1% |
|  | 11684 | 94.4% | 10189 | 91.1% |
| &nbsp;&nbsp;Individually allocated for impairment | 689 | 5.6% | 995 | 8.9% |
| &nbsp;&nbsp;Unallocated | 2 | —% | 6 | 0.1% |
|  | 691 | 5.6% | 1001 | 8.9% |
| &nbsp;&nbsp;Total allowance for credit losses | $12375 | 100.0% | $11190 | 100.0% |

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**Northpointe Bancshares, Inc.**

The following table provides an analysis of the activity in our allowance for the periods indicated:

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| | | | | |
|:---|:---|:---|:---|:---|
| **(Dollars in thousands)** | **For the Three Months Ended** | **For the Three Months Ended** | **For the Three Months Ended** | **For the Three Months Ended** |
| **(Dollars in thousands)** | **June 30, 2025** | **June 30, 2025** | **June 30, 2024** | **June 30, 2024** |
| **(Dollars in thousands)** | **Activity** | **% of Average Loans<br>Held for<br>Investment (1)** | **Activity** | **% of Average Loans<br>Held for<br>Investment (1)** |
| Loans held for investment | $5496806 |  | $4410096 |  |
| Beginning allowance for credit losses | $12315 |  | $12635 |  |
| Net charge-offs (recoveries): |  |  |  |  |
| Commercial | (3) | -0.97% | (5) | -0.63% |
| Construction |  | 0.00% | 23 | 0.06% |
| Land development |  | 0.00% |  | 0.00% |
| Home equity lines of credit | 229 | 0.12% | 515 | 0.39% |
| First lien mortgage | 262 | 0.06% | 57 | 0.01% |
| Junior lien mortgage |  | 0.00% | 152 | 0.70% |
| MPP |  | 0.00% |  | 0.00% |
| Total net charge-offs (recoveries) | 488 |  | 742 |  |
| Provision for credit losses | 548 |  | 397 |  |
| Ending allowance for credit losses | $12375 |  | $12290 |  |
| Allowance for credit losses to loans held for investment | 0.23% |  | 0.28% |  |
| Net charge-offs (recoveries) to average loans | 0.04% |  | 0.07% |  |
| (1) Net charge-offs annualized for interim period. |  |  |  |  |

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**Northpointe Bancshares, Inc.**

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| | | | | |
|:---|:---|:---|:---|:---|
| **(Dollars in thousands)** | **For the Six Months Ended** | **For the Six Months Ended** | **For the Six Months Ended** | **For the Six Months Ended** |
| **(Dollars in thousands)** | **June 30, 2025** | **June 30, 2025** | **June 30, 2024** | **June 30, 2024** |
| **(Dollars in thousands)** | **Activity** | **% of Average Loans<br>Held for<br>Investment (1)** | **Activity** | **% of Average Loans<br>Held for<br>Investment (1)** |
| Loans held for investment | $5496806 |  | $4110096 |  |
| Beginning allowance for credit losses | $11190 |  | $12295 |  |
| Net charge-offs (recoveries): |  |  |  |  |
| Commercial | (7) | -0.33% | (19) | -0.89% |
| Construction | 2 | 0.01% | 62 | 0.08% |
| Land development |  | 0.00% | (14) | -0.01% |
| Home equity lines of credit | 269 | 0.07% | 517 | 0.19% |
| First lien mortgage | 433 | 0.05% | 35 | 0.00% |
| Junior lien mortgage | 50 | 0.13% | 152 | 0.35% |
| MPP |  | 0.00% |  | 0.00% |
| Total net charge-offs (recoveries) | 747 |  | 733 |  |
| Provision for credit losses | 1932 |  | 728 |  |
| Ending allowance for credit losses | $12375 |  | $12290 |  |
| Allowance for credit losses to loans held for investment | 0.23% |  | 0.28% |  |
| Net charge-offs (recoveries) to average loans | 0.03% |  | 0.03% |  |
| (1) Net charge-offs annualized for interim period. |  |  |  |  |

---

The allowance for credit losses was 0.23% of total loans at June 30, 2025, as compared to 0.25% as of December 31, 2024. Management estimates the allowance by using relevant available information from internal and external sources related to historical loss experience, current borrower risk characteristics, current economic conditions, reasonable and supportable forecasts, and other relevant factors. The allowance is measured on a collective or pool basis when similar risk characteristics exist or on an individual basis when loans have unique risk characteristics which differentiate them from other loans within the loan segment. The process for estimating credit losses incorporates methodologies and procedures specific to the residential and commercial loan portfolios, each of which has unique risk characteristics. Our allowance for credit losses methodology is described in more detail in Notes 1 and 3 of the Notes to Consolidated Financial Statements.

Our allowance for credit losses, and associated percentage of total loans, reflect the relative credit risk of our loan portfolio. These include the seasoning of the portfolio, LTV, FICO score, debt to income ratio ("DTI") and collateral coverage. Given these risk characteristics, and the stark contrast to other financial institutions with a commercial heavy loan portfolio, our allowance and associated ratios will be much lower than those of bank peers with similar asset size. This nuance is also evidenced by the low level of charge-offs we have historically incurred. Additionally, as discussed above, our MPP portfolio makes up an increasing portion of our total loan portfolio and we have yet to experience any loss on that portfolio. We also have purchased mortgage insurance on certain high loan to value loans, further minimizing our loss potential on those loans. Our annualized net charge-off rate was 0.04% for the three months ended June 30, 2025 and 0.03% for the six months ended June 30, 2025, as compared to 0.07% and 0.03%, respectively, for the same periods in 2024.

***Investment Portfolio***

The Company has historically maintained a very small debt securities portfolio relative to other banking institutions, preferring to invest in highly liquid loans or hold its liquidity in cash or cash equivalents. At June 30, 2025, debt securities totaled $8.8 million, or 0.14%, of total assets compared to $8.6 million, or 0.16%, at December 31, 2024. The increase in balance from year end 2024 was due to an increase in the fair value of the securities held.

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**Northpointe Bancshares, Inc.**

The following table presents the carrying value of our investment portfolio as of the dates indicated:

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| | | | | |
|:---|:---|:---|:---|:---|
| **(Dollars in thousands)** | **June 30, 2025** | **June 30, 2025** | **December 31, 2024** | **December 31, 2024** |
| **(Dollars in thousands)** | **Carrying<br>Value** | **% of<br>Total** | **Carrying<br>Value** | **% of<br>Total** |
| Available for sale securities: |  |  |  |  |
| Corporate debt | $8785 | 100.0% | $8576 | 100.0% |
| Total available for sale securities | 8785 | 100.0% | 8576 | 100.0% |
| Total investment securities | $8785 | 100.0% | $8576 | 100.0% |

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The following table presents the par value of our debt securities by their stated maturities, as well as the weighted average yields for each maturity range as of the dates indicated (dollars in thousands):

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| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **June 30, 2025** | **Due in 1 Year or Less** | **Due in 1 Year or Less** | **Due after 1 Year through 5 Years** | **Due after 1 Year through 5 Years** | **Due after 5 Years through 10 Years** | **Due after 5 Years through 10 Years** | **Due after 10 Years** | **Due after 10 Years** | **Total** | **Total** |
| **June 30, 2025** | **Par<br>Value** | **Weighted**<br>**Avg**<br>**Yield**<sup>(1)</sup> | **Par<br>Value** | **Weighted**<br>**Avg**<br>**Yield**<sup>(1)</sup> | **Par<br>Value** | **Weighted**<br>**Avg**<br>**Yield**<sup>(1)</sup> | **Par<br>Value** | **Weighted**<br>**Avg**<br>**Yield**<sup>(1)</sup> | **Par<br>Value** | **Weighted**<br>**Avg**<br>**Yield**<sup>(1)</sup> |
| Available for sale securities: |  |  |  |  |  |  |  |  |  |  |
| Corporate debt |  |  |  |  | $9000 | 6.56% |  |  | $9000 | 6.56% |
| Total available for sale securities |  |  |  |  | 9000 | 6.56% |  |  | 9000 | 6.56% |
| Total investment securities |  |  |  |  | $9000 | 6.56% |  |  | $9000 | 6.56% |

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____________________

(1)Weighted-average yields on investment securities are computed based on par value and exclude any premiums or discounts recorded. There are no tax-exempt securities in the portfolio.

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| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **December 31, 2024** | **Due in 1 Year or Less** | **Due in 1 Year or Less** | **Due after 1 Year through 5 Years** | **Due after 1 Year through 5 Years** | **Due after 5 Years through 10 Years** | **Due after 5 Years through 10 Years** | **Due after 10 Years** | **Due after 10 Years** | **Total** | **Total** |
| **December 31, 2024** | **Par<br>Value** | **Weighted**<br>**Avg**<br>**Yield**<sup>(1)</sup> | **Par<br>Value** | **Weighted**<br>**Avg**<br>**Yield**<sup>(1)</sup> | **Par<br>Value** | **Weighted**<br>**Avg**<br>**Yield**<sup>(1)</sup> | **Par<br>Value** | **Weighted**<br>**Avg**<br>**Yield**<sup>(1)</sup> | **Par<br>Value** | **Weighted**<br>**Avg**<br>**Yield**<sup>(1)</sup> |
| Available for sale securities: |  |  |  |  |  |  |  |  |  |  |
| Corporate debt |  |  | $— | —% | $9000 | 6.63% | $— | —% | $9000 | 6.63% |
| Total available for sale securities |  |  |  | —% | 9000 | 6.63% |  | —% | 9000 | 6.63% |
| Total investment securities |  |  | $— | —% | $9000 | 6.63% | $— | —% | $9000 | 6.63% |

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______________________

(1)Weighted-average yields on investment securities are computed based on par value and exclude any premiums or discounts recorded. There are no tax-exempt securities in the portfolio.

***Deposits***

Deposits are the primary source of funding for our business operations. At June 30, 2025, total deposits were $4.47 billion, as compared to $3.42 billion at December 31, 2024. This $1.05 billion increase in deposits since year end 2024 was driven primarily by higher brokered CDs, along with increases in the Company's diversified digital deposit banking platform including non-interest bearing demand, interest-bearing demand, retail CDs and rateboard CDs.

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**Northpointe Bancshares, Inc.**

The following table summarizes our deposit composition by average deposits and average rates paid for the periods indicated:

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| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **(Dollars in thousands)** | **June 30, 2025** | **June 30, 2025** | **June 30, 2025** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** |
| **(Dollars in thousands)** | **Average<br>Amount** | **Weighted<br>Avg Rate<br>Paid** | **Percent of Total Deposits** | **Average<br>Amount** | **Weighted<br>Avg Rate<br>Paid** | **Percent of Total Deposits** |
| Noninterest bearing demand | $203177 | 0.00% | 5% | $250135 | 0.00% | 8% |
| Interest bearing demand | 752548 | 4.39% | 19% | 412396 | 4.83% | 12% |
| Savings & money market | 331730 | 3.87% | 9% | 380131 | 4.39% | 12% |
| Time | 2580565 | 4.47% | 67% | 2221123 | 5.16% | 68% |
| Total deposits | $3868020 | 4.17% | 100% | $3263785 | 4.63% | 100% |

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The following tables set forth the maturity of time deposits for the period ending indicated (dollars in thousands):

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **(dollars in thousands)**<br>**June 30, 2025** |<br>**Three Months<br>or Less** |<br>**Three to<br>Six Months** |<br>**Six to<br>Twelve Months** |<br>**After Twelve<br>Months** |<br>**Total** |
| Brokered CDs | $2700547 | $— | $— | $87330 | $2787877 |
| All other CDs | 176035 | 76266 | 71768 | 83952 | 408021 |
| Total time deposits | $2876582 | $76266 | $71768 | $171282 | $3195898 |

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **(dollars in thousands)**<br>**December 31, 2024** |<br>**Three Months<br>or Less** |<br>**Three to<br>Six Months** |<br>**Six to<br>Twelve Months** |<br>**After Twelve<br>Months** |<br>**Total** |
| Brokered CDs | $1731707 | $— | $— | $87330 | $1819037 |
| All other CDs | 69327 | 60775 | 151851 | 87979 | 369932 |
| Total time deposits | $1801034 | $60775 | $151851 | $175309 | $2188969 |

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Total uninsured deposits were $342.5 million at June 30, 2025 and $309.9 million at December 31, 2024.

The following table shows the portion of time deposits that are uninsured, by remaining time until maturity, at June 30, 2025:

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| | |
|:---|:---|
| **(Dollars in thousands)** | **June 30,<br>2025** |
| 3 months or less | $57808 |
| Over 3 through 6 months | 20281 |
| Over 6 through 12 months | 17799 |
| Over 12 months | 9986 |
| &nbsp;&nbsp;&nbsp;**Total:** | $**105874** |

---

***Borrowings***

Another key source of funding for the Company are collateralized borrowings from the FHLB. At June 30, 2025, our total FHLB borrowings were $1.27 billion, as compared to $1.26 billion at December 31, 2024. At June 30, 2025, we had $1.30 billion in additional borrowing capacity at the FHLB. Early in the first quarter of 2025, we paid off $102.5 million in FHLB advances, recognizing a gain of $2.0 million. This extinguishment was funded through our receipt of new contractual interest bearing deposits with a similar duration, as part of our strategy to reduce the wholesale funding ratio. At June 30, 2025, we had $162.4 million in outstanding short-term borrowings and our line of credit with the FHLB. We had no such borrowings at December 31, 2024. We also make use of overnight borrowings when necessary, but did not have any overnight borrowings at either June 30, 2025 or December 31, 2024.

------

**Northpointe Bancshares, Inc.**

The following table is a summary of our outstanding FHLB advances for the periods indicated:

---

| | | |
|:---|:---|:---|
| **(Dollars in thousands)** | **June 30,<br>2025** | **December 31,<br>2024** |
| Period ending balance | $1274929 | $1258750 |
| Average balance during period | 1221142 | 1300488 |
| Maximum outstanding at any month end | 1281158 | 1371422 |
| Weighted average rate paid | 3.86% | 3.82% |

---

***Subordinated Debentures and Subordinated Debentures Issued through Trusts***

At June 30, 2025, we had $25.0 million in outstanding subordinated debenture notes, which is detailed in the tables below and described further in Note 9 to the Condensed Consolidated Financial Statements included within this report.

At December 31, 2024, we had $40.0 million in outstanding subordinated debenture notes, which were issued to investors in two separate private placements, one in 2018 and one in 2024. On January 1, 2025, we redeemed $15.0 million of these subordinated debentures.

At both June 30, 2025 and December 31, 2024, we had $5.0 million in subordinated debentures issued through trusts due on March 17, 2034, but callable on March 17, 2025.

The following tables provide a summary of our outstanding subordinated notes and subordinated debentures issued through trusts for the periods indicated:

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **<u>Subordinated Notes and Subordinated Debentures issued through Trusts as of June 30, 2025</u>** | **<u>Subordinated Notes and Subordinated Debentures issued through Trusts as of June 30, 2025</u>** | **<u>Subordinated Notes and Subordinated Debentures issued through Trusts as of June 30, 2025</u>** | **<u>Subordinated Notes and Subordinated Debentures issued through Trusts as of June 30, 2025</u>** | **<u>Subordinated Notes and Subordinated Debentures issued through Trusts as of June 30, 2025</u>** | **<u>Subordinated Notes and Subordinated Debentures issued through Trusts as of June 30, 2025</u>** |
| **(Dollars in thousands)** | **Issuance Date** | **Amount of<br>Notes** | **Current Coupon** | **Next Call Date** | **Maturity Date** |
| ***Subordinated notes:*** | | | | | |
| Fixed to floating due 2034 | August 22, 2024 | 25000 | 9.00% (fixed) | September 1, 2029 | September 1, 2034 |
| ***Subordinated debentures issued through trusts:*** |  |  |  |  |  |
| Trust preferred due 2034 | March 17, 2004 | 5000 | 7.34%<br>(3 mo SOFR + 2.79)% | September 17, 2025 | March 17, 2034 |
|  |  | **30000** |  |  |  |
| Unamortized issuance costs |  | (819) |  |  |  |
|  |  | $**29181** |  |  |  |

---

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**Northpointe Bancshares, Inc.**

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **<u>Subordinated Notes and Subordinated Debentures issued through Trusts as of December 31, 2024</u>** | **<u>Subordinated Notes and Subordinated Debentures issued through Trusts as of December 31, 2024</u>** | **<u>Subordinated Notes and Subordinated Debentures issued through Trusts as of December 31, 2024</u>** | **<u>Subordinated Notes and Subordinated Debentures issued through Trusts as of December 31, 2024</u>** | **<u>Subordinated Notes and Subordinated Debentures issued through Trusts as of December 31, 2024</u>** | **<u>Subordinated Notes and Subordinated Debentures issued through Trusts as of December 31, 2024</u>** |
| **(Dollars in thousands)** | **Issuance Date** | **Amount of<br>Notes** | **Current Coupon** | **Next Call Date** | **Maturity Date** |
| ***Subordinated notes:*** | | | | | |
| Fixed to floating due 2028 (issued at Bank) | September 28, 2018 | $15000 | 8.718%<br>(3 mo SOFR + 4.03)% | January 1, 2025 | October 1, 2028 |
| Fixed to floating due 2034 | August 22, 2024 | 25000 | 9.00% (fixed) | September 1, 2029 | September 1, 2034 |
| ***Subordinated debentures issued through trusts:*** |  |  |  |  |  |
| Trust preferred due 2034 | March 17, 2004 | 5000 | 7.74%<br>(3 mo SOFR + 2.79)% | March 17, 2025 | March 17, 2034 |
|  |  | **45000** |  |  |  |
| Unamortized issuance costs |  | (1103) |  |  |  |
|  |  | $**43897** |  |  |  |

---

***Impact of Inflation and Changing Prices***

The Company's financial statements included herein have been prepared in accordance with accounting principles generally accepted in the United States ("GAAP"). GAAP presently requires the Company to measure financial position and operating results primarily in terms of historic dollars. Changes in the relative value of money due to inflation or recession are generally not considered. The primary effect of inflation on the operations of the Company is reflected in increased operating costs, and the Company has experienced material effects of inflation during the last four fiscal years due to the government's monetary policies and the current economic climate. In management's opinion, changes in interest rates affect the financial condition of a financial institution to a far greater degree than changes in the inflation rate. While interest rates are greatly influenced by changes in the inflation rate, they do not necessarily change at the same rate or in the same magnitude as the inflation rate. Interest rates are highly sensitive to many factors that are beyond the control of the Company, including changes in the expected rate of inflation, the influence of general and local economic conditions and the monetary and fiscal policies of the United States government, its agencies and various other governmental regulatory authorities, among other things, as further discussed in the next section.

***Liquidity***

Liquidity refers to our capacity to meet our cash obligations at a reasonable cost. Our cash obligations require us to have cash flow that is adequate to fund loan growth and maintain on-balance sheet liquidity while meeting present and future obligations of deposit withdrawals, borrowing maturities and other contractual cash obligations. In managing our cash flows, management regularly confronts situations that can give rise to increased liquidity risk. These include funding mismatches, market constraints in accessing sources of funds and the ability to convert assets into cash. Changes in economic conditions or exposure to credit, market, operational, legal and reputational risks also could affect our Bank's liquidity risk profile and are considered in the assessment of liquidity management. The Company is a corporation separate and apart from our Bank and, therefore, must provide for its own liquidity, including liquidity required to meet its debt service requirements on its senior notes and junior subordinated debentures. The Company's main source of cash flow is dividends declared and paid to it by the Bank.

There are statutory and regulatory limitations that affect the ability of our Bank to pay dividends to the Company. See the section entitled "Supervision and Regulation" and our forward looking statements in our 2024 Form 10-K for more information. We believe that these limitations will not impact our ability to meet our ongoing short-term cash obligations. For contingency purposes, the Company typically maintains a minimum level of cash to fund two year's projected operating cash flow needs and debt service. We continually monitor our liquidity position to ensure that our assets and liabilities are managed in a manner to meet all reasonably foreseeable short-term, long-term and strategic liquidity demands. Management has established a comprehensive management process for identifying, measuring, monitoring and controlling liquidity risk.

Because of its critical importance to the viability of our Bank, liquidity risk management is fully integrated into our risk management processes. Critical elements of our liquidity risk management include: effective corporate governance consisting of oversight by the board of directors and active involvement by management; appropriate strategies, policies, procedures and

------

**Northpointe Bancshares, Inc.**

limits used to manage and mitigate liquidity risk; comprehensive liquidity risk measurement and monitoring systems including stress tests that are commensurate with the complexity of our business activities; active management of intraday liquidity and collateral; an appropriately diverse mix of existing and potential future funding sources; adequate levels of highly liquid marketable securities free of legal, regulatory, or operational impediments, that can be used to meet liquidity needs in stressful situations; comprehensive contingency funding plans that sufficiently address potential adverse liquidity events and emergency cash flow requirements; and internal controls and internal audit processes sufficient to determine the adequacy of our Bank's liquidity risk management process.

The Company considers the maintenance of adequate liquidity to be an important part of managing risk. Consistent with our balance sheet strategy, we have intentionally kept our liquidity primarily in cash and interest-bearing deposits rather than investing heavily in investment securities, which typically includes significant unrealized gains or losses.

Our liquidity position is supported by management of our liquid assets and liabilities and access to alternative sources of funds. Our liquidity requirements are met primarily through our deposits, FHLB advances and the principal and interest payments we receive on loans and investment securities. Cash on hand, cash at third-party banks, and maturing or prepaying balances in our loan portfolios are our most liquid assets. Additionally, the Company has a unilateral right not to fund its MPP facilities, it could exercise within 30 days, if needed or as necessary, to generate additional liquidity. Other sources of liquidity that are routinely available to us include funds from retail and wholesale deposits, advances from the FHLB and proceeds from the sale of loans. See "FHLB Advances" above for more information regarding FHLB advances that are available to us. Less commonly used sources of funding include other borrowings and lines of credit. We believe we have ample liquidity resources to fund future growth and meet other cash needs as necessary.

***Capital Adequacy***

We and our Bank are subject to various regulatory capital requirements administered by the federal and state banking regulators. Our capital management consists of providing equity to support our current operations and future growth. Failure to meet minimum regulatory capital requirements may result in mandatory and possible additional discretionary actions by regulators that, if undertaken, could have a direct material effect on our consolidated financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, our Bank must meet specific capital guidelines that involve quantitative measures of our assets, liabilities and off-balance sheet items as calculated under regulatory accounting policies. At June 30, 2025, we and our Bank exceeded all applicable minimum regulatory capital requirements, including the capital conservation buffer applicable to our Bank, and our Bank qualified as "well-capitalized" for purposes of the FDIC's prompt corrective action regulations.

------

**Northpointe Bancshares, Inc.**

The following table presents our regulatory capital ratios as of the dates presented, as well as the regulatory capital ratios that are required by FDIC regulations for our Bank to maintain "well-capitalized" status:

**Regulatory Capital Ratios**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | **Actual** | **Actual** | **Required for Capital<br>Adequacy Purposes** | **Required for Capital<br>Adequacy Purposes** | **Required to be Well<br>Capitalized Under PCA** | **Required to be Well<br>Capitalized Under PCA** |
| **(Dollars in thousands)** | **Amount** | **Ratio** | **Amount** | **Ratio** | **Amount** | **Ratio** |
| **<u>Northpointe Bancshares Inc.</u>** | | | | | | |
| ***As of June 30, 2025*** | | | | | | |
| Total capital to RWA | $645209 | 11.80% | $437572 | 8.00% | N/A | N/A |
| Tier 1 capital to RWA | $609936 | 11.15% | $328179 | 6.00% | N/A | N/A |
| Common Equity Tier 1 to RWA | $506203 | 9.25% | $246135 | 4.50% | N/A | N/A |
| Tier 1 capital to average assets (leverage) | $609936 | 9.98% | $244436 | 4.00% | N/A | N/A |
| ***As of December 31, 2024*** |  |  |  |  |  |  |
| Total capital to RWA | $509591 | 12.09% | $337246 | 8.00% | N/A | N/A |
| Tier 1 capital to RWA | $469977 | 11.15% | $252935 | 6.00% | N/A | N/A |
| Common Equity Tier 1 to RWA | $361404 | 8.57% | $189701 | 4.50% | N/A | N/A |
| Tier 1 capital to average assets (leverage) | $469977 | 8.77% | $214421 | 4.00% | N/A | N/A |
| **<u>Northpointe Bank</u>** |  |  |  |  |  |  |
| ***As of June 30, 2025*** |  |  |  |  |  |  |
| Total capital to RWA | $620386 | 11.34% | $437566 | 8.00% | $546958 | 10.00% |
| Tier 1 capital to RWA | $610113 | 11.15% | $328175 | 6.00% | $437566 | 8.00% |
| Common Equity Tier 1 to RWA | $610113 | 11.15% | $246131 | 4.50% | $355523 | 6.50% |
| Tier 1 capital to average assets (leverage) | $610113 | 9.98% | $244434 | 4.00% | $305543 | 5.00% |
| ***As of December 31, 2024*** |  |  |  |  |  |  |
| Total capital to RWA | $502996 | 11.93% | $337246 | 8.00% | $421553 | 10.00% |
| Tier 1 capital to RWA | $487519 | 11.56% | $252932 | 6.00% | $337242 | 8.00% |
| Common Equity Tier 1 to RWA | $487519 | 11.56% | $189699 | 4.50% | $274010 | 6.50% |
| Tier 1 capital to average assets (leverage) | $487519 | 9.09% | $214419 | 4.00% | $268024 | 5.00% |

---

At June 30, 2025, we had a total of $98.7 million of preferred stock outstanding, as compared to $103.6 million at December 31, 2024. On March 31, 2025, we redeemed 5,000 shares of our 8.25% Fixed-to-Floating Rate Non-Cumulative Perpetual Preferred Stock, Series A for $4.9 million. In 2024, we redeemed an additional 13,000 shares of the Series A Preferred Stock for $11.6 million.

***Off-balance Sheet Arrangements***

In the normal course of business, we enter into lending commitments that are not on our consolidated balance sheet. The largest component is lending commitments to our MPP customers, which the Company has a unilateral right not to fund. The remainder are undrawn revolving loan commitments on our AIO Loans and undrawn commitments on home equity lines of credit. While these commitments represent contractual cash requirements, a portion of these commitments to extend credit are expected to expire without being drawn upon. Therefore, future commitments do not necessarily represent future cash requirements.

The following is a summary of our off-balance commitments outstanding as of the dates presented.

---

| | | |
|:---|:---|:---|
| **(Dollars in thousands)** | **June 30,<br>2025** | **December 31,<br>2024** |
| Commitments to fund loans held for investment | $3657280 | $2407551 |
| Unused Commitments | 363644 | 334180 |

---

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**Northpointe Bancshares, Inc.**

**Item 3. Quantitative and Qualitative Disclosures About Market Risk**

Market risk represents the risk of loss due to changes in market values of assets and liabilities. We incur market risk in the normal course of business through exposures to market interest rates, equity prices, and credit spreads. We have identified interest rate risk as our primary source of market risk. Our primary business activities include gathering retail deposits, non-brokered rateboard time deposits, brokered CDs, and funding from the FHLB and other smaller facilities, which are used to invest in cash and loans. These activities involve interest rate risk, which arises from factors such as timing and volume differences in the repricing of our rate-sensitive assets and liabilities, changes in credit spreads, fluctuations in the general level of market interest rates, and shifts in the shape and level of market yield curves. Changes in interest rates can affect our current and prospective earnings, through volatility in our net interest income and the level of other interest rate-sensitive revenues and operating expenses. Interest rate fluctuations can also influence the underlying economic value of our assets, liabilities and off-balance sheet items. This is driven by the fact that the present values of future cash flows, and potentially the cash flows themselves, may change when interest rates materially move up or down depending on the economic environment.

Interest rate risk is generally considered a significant market risk for financial institutions. The Bank's Asset Liability Committee ("ALCO") establishes broad policy limits with respect to interest rate risk. We have established a system for monitoring our net interest rate sensitivity positions. Our ALCO meets monthly to monitor the level of interest rate risk sensitivity to ensure compliance with the risk and policy limits. Effective management of interest rate risk begins with understanding the dynamic characteristics of assets and liabilities and determining the appropriate interest rate risk posture given business forecasts, management objectives, market expectations, and policy constraints. However, it is important to note that despite these measures, significant changes in interest rates could potentially impact our earnings, liquidity and capital positions.

An asset sensitive position refers to a balance sheet position in which an increase in short-term interest rates is expected to generate higher net interest income, as rates earned on our interest-earning assets would reprice upward more quickly than rates paid on our interest-bearing liabilities, thus expanding our net interest margin. Conversely, a liability sensitive position refers to a balance sheet position in which an increase in short-term interest rates is expected to generate lower net interest income, as rates paid on our interest- bearing liabilities would reprice upward more quickly than rates earned on our interest-earning assets, thus compressing our net interest margin.

We use interest rate risk models and rate shock simulations to assess the interest rate risk ("IRR") sensitivity of net interest income and the economic value of equity ("EVE") over a variety of parallel and non-parallel rate scenarios. A number of assumptions are used to calculate the impact of interest rate fluctuations on our net interest income, including asset prepayment speeds, non-maturity deposit price sensitivity, and decay rates. Due to the inherent use of estimates and assumptions in the model, our actual results may, and most likely will, differ from our simulated results. Any key model or input changes are reported to ALCO monthly. Management engages a third-party to review its IRR assumptions on an annual basis. Key findings are presented to ALCO.

Potential changes to our net interest income in hypothetical rising and declining rate scenarios are calculated at June 30, 2025 and December 31, 2024 and are presented in the table below:

---

| | | | | |
|:---|:---|:---|:---|:---|
| **(Shock in basis points)** | **Net Interest Income<br>Sensitivity** | **Net Interest Income<br>Sensitivity** | **Net Interest Income<br>Sensitivity** | **Net Interest Income<br>Sensitivity** |
| **(Shock in basis points)** | **12 Month Projection** | **12 Month Projection** | **12 Month Projection** | **12 Month Projection** |
| **(Shock in basis points)** | **-200** | **-100** | **+100** | **+200** |
| June 30, 2025 | -7.21% | -3.59% | 3.94% | 7.86% |
| December 31, 2024 | -8.91% | -4.35% | 5.24% | 10.36% |

---

We also model the impact of interest rate changes on our EVE. We base the modeling of EVE on interest rate shocks as shocks are considered more appropriate for EVE, which accelerates future interest rate risk into current capital via a present value calculation of all future cash flows from our Bank's existing inventory of assets and liabilities. The results from our EVE modeling reflect only assets and liabilities that exist on our balance sheet in that period, and do not incorporate the large

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**Northpointe Bancshares, Inc.**

increases to noninterest income we generate when industry residential loan originations are significantly higher, such as in 2020 and 2021. The results of the model are presented in the table below:

---

| | | | | |
|:---|:---|:---|:---|:---|
| **(Shock in basis points)** | **Economic Value of Equity Sensitivity** | **Economic Value of Equity Sensitivity** | **Economic Value of Equity Sensitivity** | **Economic Value of Equity Sensitivity** |
| **(Shock in basis points)** | **-200** | **-100** | **+100** | **+200** |
| June 30, 2025 | -0.22% | 0.57% | -0.78% | -1.82% |
| December 31, 2024 | 2.13% | 2.53% | -1.88% | -4.30% |

---

**Item 4. Controls and Procedures** 

***Evaluation of Disclosure Controls and Procedures***

As of the end of the period covered by this Quarterly Report on Form 10-Q, the Company carried out an evaluation, under the supervision and with the participation of its management, including its Chief Executive Officer and Chief Financial Officer, of the effectiveness of the design and operation of its disclosure controls and procedures. In designing and evaluating the disclosure controls and procedures, management recognizes that any controls and procedures, no matter how well designed and operated, can provide only reasonable assurance of achieving the desired control objectives, and management was required to apply judgment in evaluating its controls and procedures. Based on their evaluation of the Company's disclosure controls and procedures as of June 30, 2025, the Company's Chief Executive Officer and Chief Financial Officer have concluded that the Company's disclosure controls and procedures (as defined in 13a-15(e) and Rule 15d-15(e) under the Securities Exchange Act of 1934, as amended ("Exchange Act")) are designed to ensure that information required to be disclosed by the Company in reports that it files or submits under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in the Securities and Exchange Commission rules and regulations and are operating in an effective manner.

***Changes in Internal Control Over Financial Reportin*g** 

There were no changes in the Company's internal control over financial reporting (as such term is defined in 13a-15(f) and Rule 15d-15(f) under the Exchange Act) that occurred during the quarter ended June 30, 2025, that materially affected, or are reasonably likely to materially affect, the Company's internal control over financial reporting.

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**Northpointe Bancshares, Inc.**

**Part II - Other Information**

**Item 1. Legal Proceedings**

We are a party to various legal proceedings such as claims and lawsuits arising in the course of our normal business activities. Although the ultimate outcome of all claims and lawsuits outstanding as of June 30, 2025 cannot be ascertained at this time, it is the opinion of management that these matters, when resolved, will not have a material adverse effect on our business, results of operations or financial condition.

**Item 1A. Risk Factors**

In addition to the other information set forth in this Quarterly Report on Form 10-Q, you should carefully consider the factors discussed in "Part I – Item 1A – Risk Factors" of the Company's 2024 Form 10-K, which could materially affect its business, financial position, results of operations, cash flows, or future results. Please be aware that these risks may change over time and other risks may prove to be important in the future. New risks may emerge at any time, and we cannot predict such risks or estimate the extent to which they may affect our business, financial condition or results of operations, or the trading price of our securities.

There are no material changes during the period covered by this Report to the risk factors previously disclosed in the Company's 2024 Form 10-K.

**Item 2. Unregistered Sales of Equity Securities and Use of Proceeds**

<u>Unregistered Sales of Equity Securities</u>

We made no unregistered sales of equity securities during the quarter ended June 30, 2025.

<u>Issuer Purchases of Equity Securities</u>

The Company has no publicly announced repurchase plans or programs.

The following table provides information regarding the Company's purchase of its own common stock during the second quarter of 2025:

---

| | | |
|:---|:---|:---|
| **Northpointe Bancshares, Inc. Purchases of Equity Securities** | **Northpointe Bancshares, Inc. Purchases of Equity Securities** | **Northpointe Bancshares, Inc. Purchases of Equity Securities** |
| Period | Total Number of Shares Purchased | Average Price Paid Per Share |
| April 1 - April 30, 2025 | $— | $— |
| May 1 - May 31, 2025 |  |  |
| June 1 - June 30, 2025 |  |  |

---

**Item 3. Defaults Upon Senior Securities**

Not applicable.

**Item 4. Mine Safety Disclosures**

Not applicable.

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**Northpointe Bancshares, Inc.**

**Item 5. Other Information**

During the second quarter of 2025, none of our directors or officers adopted or terminated any contract, instruction or written plan for the purchase or sale of Company securities that was intended to satisfy the affirmative defense conditions of Rule 10b5-1(c) or any "non-Rule 10b5-1 trading arrangement," as that term is used in SEC regulations.

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**Northpointe Bancshares, Inc.**

**Item 6. Exhibits**

**List of Exhibits**

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| | |
|:---|:---|
| **Number** | **Description** |
| &nbsp;&nbsp;3.1 | <u>[Amended and Restated Articles of Incorporation. Previously filed with the Commission on February 7, 2025 in Northpointe Bancshares, Inc's Form S-1, Exhibit 3.1. Here incorporated by reference.](https://www.sec.gov/Archives/edgar/data/1336706/000110465925005318/tm2430447d3_ex3-1.htm)</u> |
| &nbsp;&nbsp;3.2 | <u>[Amended and Restated Bylaws. Previously filed with the Commission on February 7, 2025 in Northpointe Bancshares, Inc.'s Form S-1, Exhibit 3.2. Here incorporated by reference.](https://www.sec.gov/Archives/edgar/data/1336706/000110465925005318/tm2430447d3_ex3-2.htm)</u> |
| &nbsp;&nbsp;10.1 | <u>[Employment Agreement with Amy M. Butler, Executive Vice President of National Sales of Northpointe Bank.](exhibit101-northpointebu.htm)</u> |
| &nbsp;&nbsp;10.2 | <u>[Employment Agreement with David J. Christel, President of the Northpointe Bank's Mortgage Purchase Program business unit.](exhibit102-northpointech.htm)</u> |
| &nbsp;&nbsp;10.3 | <u>[Employment Agreement with Kevin J. Comps, President of Northpointe Bancshares, Inc. and Northpointe Bank.](exhibit103-northpointeco.htm)</u> |
| &nbsp;&nbsp;10.4 | <u>[Employment Agreement with Brad T. Howes, Executive Vice President and Chief Financial Officer of Northpointe Bancshares, Inc. and Northpointe Bank.](exhibit104-northpointeho.htm)</u> |
| &nbsp;&nbsp;10.5 | <u>[First Amendment to Registration Rights Agreement, dated May 16, 2025, by and between Northpointe Bancshares, Inc. and the investors listed on the signature pages thereto. Previously filed with the Commission on May 22, 2025 on Form 8-K, Exhibit 10.1. Here incorporated by reference.](https://www.sec.gov/Archives/edgar/data/1336706/000162828025027283/exhibit101-npbxamendmentto.htm)</u> |
| &nbsp;&nbsp;10.6 | <u>[First Amendment to Registration Rights Agreement, dated May 21, 2025, by and between Northpointe Bancshares, Inc. and the investors listed on the signature pages thereto. Previously filed with the Commission on May 22, 2025 on Form 8-K, Exhibit 10.2. Here incorporated by reference.](https://www.sec.gov/Archives/edgar/data/1336706/000162828025027283/exhibit102-npbxamendmentto.htm)</u> |
| &nbsp;&nbsp;31.1 | <u>[Certification of Chief Executive Officer](exhibit311-q22025.htm)</u> |
| &nbsp;&nbsp;31.2 | <u>[Certification of Chief Financial Officer](exhibit312-q22025.htm)</u> |
| &nbsp;&nbsp;32.1 | <u>[Certification pursuant to 18 U.S.C. § 1350](exhibit321-q22025.htm)</u> |
| &nbsp;&nbsp;101 | Interactive Data File |
| &nbsp;&nbsp;104 | Cover Page Interactive Data File (formatted as inline XBRL and included in Exhibit 101) |

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**Northpointe Bancshares, Inc.**

**SIGNATURES**

Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

---

| | |
|:---|:---|
| **NORTHPOINTE BANCSHARES, INC.** | **NORTHPOINTE BANCSHARES, INC.** |
| By: | /s/ Charles A. Williams |
|  | Charles A. Williams<br>Chairman and Chief Executive Officer |

---

---

| | |
|:---|:---|
| By: | /s/ Kevin J. Comps |
|  | Kevin J. Comps<br>President |

---

---

| | |
|:---|:---|
| By: | /s/ Brad T. Howes |
|  | Brad T. Howes<br>Executive Vice President and Chief Financial Officer<br>(Principal Financial Officer) |

---

---

| | |
|:---|:---|
| By: | /s/ Gary Dykstra |
|  | Gary Dykstra<br>Senior Vice President and Controller<br>(Principal Accounting Officer) |

---

Date: August 13, 2025

## Exhibit 10.1

![](exhibit101-northpointebu001.jpg)

1 EMPLOYMENT AGREEMENT THIS EMPLOYMENT AGREEMENT (this "Agreement") is made and entered into this 26th day of June, 2025, by and among Northpointe Bancshares, Inc. ("Company"), Northpointe Bank ("Bank"), a wholly owned subsidiary of the Company, and Amy M. Butler ("Executive"). Company, Bank, and Executive are sometimes referred to herein collectively as the "Parties," and each is sometimes referred to herein individually as a "Party." BACKGROUND WHEREAS, the Parties desire to enter an employment agreement to memorialize the terms of Executive's employment. NOW, THEREFORE, in consideration of the payments, consents, and acknowledgements described below, in consideration of Executive's employment with Company and Bank, and in consideration of other good and valuable consideration, the receipt and sufficiency of all of which is hereby acknowledged, the Parties agree as follows: 1. Definitions. The following capitalized terms used in this Agreement shall have the meanings assigned to them below, which definitions shall apply to both the singular and the plural forms of such terms: (a) "Board of Directors" means, collectively, the board of directors of Company and the board of directors of Bank and, where appropriate, any committee or other designee thereof. (b) "Beneficial Owner" has the meaning given such term in Rule 13d-3 of the General Rules and Regulations promulgated under the Securities Exchange Act of 1934. (c) "Cause" means, in the context of the termination of this Agreement by Employer, a good faith determination by the Chief Executive Officer of Company that any of the following has occurred: (i) conduct by Executive that amounts to willful misconduct, gross neglect, or a material failure to perform Executive's duties and responsibilities hereunder, including prolonged absences without the consent of the Chief Executive Officer of Company unless otherwise excused by law or under Bank's leave policies; provided that the nature of such conduct shall be set forth in a written notice to Executive who shall have 30 business days following delivery of such notice to cure such alleged conduct, provided that such conduct is, in the reasonable discretion of the Chief Executive Officer of Company, susceptible to a cure; (ii) any willful violation of any material law, rule, or regulation applicable to banks or the banking industry generally (including but not limited to the regulations of the Board of Governors of the Federal Reserve, the FDIC, the Michigan Department of Insurance and Financial Institutions, or any other applicable regulatory authority); (iii) the exhibition by Executive of a standard of behavior within the scope of or related to Executive's employment that is in violation of any written policy, board committee charter, or code of ethics or business conduct (or similar code) of Company or Bank to which Executive is subject; provided that the nature of such conduct shall be set forth with reasonable particularity in a written notice to Executive who shall have 30 business days following delivery of

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2 such notice to cure such alleged conduct, provided that such conduct is, in the reasonable discretion of the Chief Executive Officer of Company, susceptible to a cure; (iv) any act of fraud, misappropriation, or embezzlement by Executive, whether or not such act was committed in connection with the business of Company and/or Bank; (v) a material breach of this Agreement, including, without limitation, a breach of Section 7 hereof; provided that the nature of such breach shall be set forth with reasonable particularity in a written notice to Executive who shall have 30 business days following delivery of such notice to cure such breach, provided that such breach is, in the reasonable discretion of the Chief Executive Officer of Company, susceptible to a cure; or (vi) Executive's conviction of, or Executive's pleading guilty or nolo contendere to with respect to (a) a felony or a crime involving moral turpitude (including pleading guilty or nolo contendere to a felony or lesser charge which results from plea bargaining), whether or not such felony, crime, or lesser offense is connected with the business of Company and/or Bank, or (b) any crime in connection with the business of Company or Bank. (d) "Change in Control" means and includes any one of following events: (i) any Person becomes a Beneficial Owner, directly or indirectly, of 50% or more of the voting power of the then-outstanding securities of Company eligible to vote for the election of directors ("Company Voting Securities"); provided, however, that for purposes of this subsection (i), the following acquisitions of Company Voting Securities shall not constitute a Change in Control: (A) an acquisition directly or indirectly from the Company, including an acquisition by or through a broker, underwriter, or financial institution acquiring such securities as part of a firm commitment or similar underwriting or distribution process, (B) an acquisition by Company or Bank, (C) an acquisition by any employee benefit plan (or related trust) sponsored or maintained by Company or Bank, or (D) an acquisition pursuant to a Non-Qualifying Transaction (as defined in subsection (iii) below); or (ii) during any consecutive 12-month period, individuals who, at the beginning of such period, constitute Company's Board of Directors (the "Incumbent Directors") cease for any reason to constitute at least a majority of such Board of Directors, provided that any person becoming a director after the beginning of such 12-month period and whose election or nomination for election was approved by a vote of at least a majority of the Incumbent Directors then on the Board of Directors shall be an Incumbent Director; provided, however, that no individual initially elected or nominated as a director as a result of an actual or threatened election contest with respect to the election or removal of directors ("Election Contest") or other actual or threatened solicitation of proxies or consents by or on behalf of any Person other than the Board of Directors ("Proxy Contest"), including by reason of any agreement intended to avoid or settle any Election Contest or Proxy Contest, shall be deemed an Incumbent Director; or (iii) the consummation of a reorganization, merger, consolidation, statutory share exchange, or similar form of corporate transaction involving Company or Bank, the sale or other disposition of all or substantially all of Company's assets, or the acquisition of assets or stock of another corporation or other entity (each, a "Transaction"), unless immediately following such Transaction: (A) all or substantially all of the individuals and entities who were the Beneficial Owners, respectively, of the outstanding Company Voting Securities immediately prior to such Transaction beneficially own, directly or indirectly, more than 50% of the voting power of the then- outstanding shares of voting securities of the entity resulting from such Transaction (including,

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3 without limitation, an entity which as a result of such Transaction owns Company or all or substantially all of Company's assets or stock either directly or through one or more subsidiaries, the "Surviving Entity") in substantially the same proportions as their ownership, immediately prior to such Transaction, of the outstanding Company Voting Securities, and (B) no person (other than (x) Company or Bank, (y) the Surviving Entity or its ultimate parent entity, or (z) any employee benefit plan (or related trust) sponsored or maintained by any of the foregoing) is the Beneficial Owner, directly or indirectly, of 50% or more of the total common stock or 50% or more of the total voting power of the outstanding voting securities eligible to elect directors of the Surviving Entity, and (C) at least a majority of the members of the board of directors of the Surviving Entity were Incumbent Directors at the time of the Board of Director's approval of the execution of the initial agreement providing for such Transaction (any Transaction which satisfies all of the criteria specified in (A), (B), and (C) above shall be deemed to be a "Non-Qualifying Transaction"). (e) "CIC Severance Multiple" shall mean one and one-half (1.5). (f) "COBRA" means the Consolidated Omnibus Budget Reconciliation Act of 1985, as amended. (g) "Code" means the Internal Revenue Code of 1986, as amended, and the rules and regulations promulgated thereunder. (h) "Compensation Committee" means the compensation committee of the board of directors of Company. (i) "Competitive Services" means engaging in the business of commercial and mortgage banking, including, without limitation, originating, underwriting, closing and selling loans, receiving deposits, as well as the business of providing any other activities, products, or services of the type routinely conducted, offered, or provided by Employer as of or during the two years immediately prior to the Date of Termination. (j) "Confidential Information" means any and all data and information relating to Employer, its activities, business, or clients that (i) is disclosed to Executive or of which Executive becomes aware because of Executive's employment with Employer; (ii) has value to Employer; and (iii) is not generally known outside of Employer. "Confidential Information" shall include, but is not limited to the following types of information regarding, related to, or concerning Employer: trade secrets (as defined by the Michigan Uniform Trade Secrets Act); financial plans and data; management planning information; business plans; operational methods; market studies; marketing plans or strategies; pricing information; product development techniques or plans; customer lists; customer files, data, and financial information; details of customer contracts; current and anticipated customer requirements; identifying and other information pertaining to business referral sources; past, current, and planned research and development; computer aided systems, software, strategies, and programs; business acquisition plans; management organization and related information (including, without limitation, data and other information concerning the compensation and benefits paid to officers, directors, employees, and management); personnel and compensation policies; new personnel acquisition plans; and other similar information. "Confidential Information" also includes combinations of information or materials which individually may be generally known outside of Employer, but for which the nature, method, or procedure for combining such information or materials is not generally known outside of Employer. In addition to data and information relating to Employer, "Confidential Information" also includes any and all data and information relating to or concerning a third party that otherwise meets the definition set forth above, that was provided or made available to Employer by such third party, and that Employer has a duty or obligation to keep confidential. This definition shall not limit any definition of "confidential information" or any equivalent term under state

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4 or federal law. "Confidential Information" shall not include information that has become generally available to the public by the act of one who has the right to disclose such information without violating any right or privilege of Employer. (k) "Date of Termination" means: (i) if Executive's employment is terminated other than by reason of death or Disability, the date of delivery of the Notice of Termination, or any later date specified in such Notice of Termination, or (ii) if Executive's employment is terminated by reason of death or Disability, the Date of Termination will be the date of death or the Disability Effective Date, as the case may be. (l) "Disability" means a condition for which benefits would be payable under any long-term disability coverage (without regard to the application of any elimination period requirement) then provided to Executive by Employer or, if no such coverage is then being provided, the inability of the Executive to perform the essential functions of Executive's job with Employer (as specified in this Agreement), with or without reasonable accommodation, for a period of at least 180 consecutive days as certified by a physician chosen by Executive and reasonably acceptable to the Employer. Notwithstanding the provisions in this Section 1(l), Disability for purposes of this Agreement must also be a disability within the meaning of Code Section 409A(a)(2)(A)(ii) and 409A(a)(2)(C) and Treas. Reg. Section 1.409A- 3(a)(2). (m) "Effective Date" means June 26, 2025. (n) "Employer" means Company and Bank, collectively. (o) "Excise Tax" means any excise tax imposed by Section 4999 of the Code. (p) "FDIC" means the Federal Deposit Insurance Corporation. (q) "Good Reason" shall mean, in the context of the termination of this Agreement by Executive: (i) a material diminution in Executive's title, authority, duties, or responsibilities which is not consented to by Executive in writing; (ii) a material diminution in Executive's base compensation (which includes Executive's Base Salary and Executive's Quarterly Incentive Compensation) which is not consented to by Executive in writing or made as part of across-the-board compensation reductions affecting all or substantially all similarly-situated employees; (iii) a change in the location of Executive's primary office such that Executive is required to report regularly to an office located outside of a 50-mile radius from the location of Executive's primary office as of the Effective Date, which change is not consented to by Executive in writing; (iv) a material breach of the terms of this Agreement by Employer; or (v) Employer's failure to renew the Term. (r) "Material Contact" means contact between Executive and a customer or potential customer of Company or Bank (i) with whom or which Executive has or had substantive dealings on behalf of Company or Bank; (ii) whose dealings with Company or Bank are or were coordinated or supervised by

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5 Executive; or (iii) about whom Executive obtains Confidential Information in the ordinary course of business as a result of Executive's employment with Employer. (s) "Non-CIC Severance Multiple" shall mean one (1.0). (t) "Notice of Termination" shall mean a written notice delivered by a Party in connection with the termination of this Agreement which (i) indicates the specific termination provision in this Agreement relied upon for such termination, (ii) to the extent applicable, sets forth in reasonable detail the facts and circumstances claimed to provide a basis for termination under the provision so indicated, and (iii) specifies the Date of Termination. (u) "Parachute Value" of a Payment means the present value as of the date of the Change in Control of the portion of such Payment that constitutes a "parachute payment" under Section 280G(b)(2) of the Code, as determined by the Determination Firm (as defined in Section 10(b)) for purposes of determining whether and to what extent the Excise Tax will apply to such Payment. (v) "Payment" shall mean any benefit, payment, or distribution made or given by Employer to or for the benefit of Executive (whether paid or payable or distributed or distributable pursuant to the terms of this Agreement or otherwise). (w) "Person" means any individual or any corporation, partnership, joint venture, limited liability company, association, or other entity or enterprise. (x) "Principal or Representative" means a principal, owner, partner, shareholder, joint venturer, investor, member, trustee, director, officer, manager, employee, agent, representative, or consultant. (y) "Protected Customer" means any Person to whom Company or Bank has sold its products or services or actively solicited to sell its products or services, and with whom Executive has had Material Contact during the last 24 months of his employment with Employer. (z) "Protected Work" means any and all ideas, inventions, formulas, Confidential Information, source codes, object codes, techniques, processes, concepts, systems, programs, software, software integration techniques, hardware systems, schematics, flow charts, computer data bases, client lists, trademarks, service marks, brand names, trade names, compilations, documents, data, notes, designs, drawings, technical data, and/or training materials, including improvements thereto or derivatives therefrom, whether or not patentable, and whether or not subject to copyright or trademark or trade secret protection, conceived, developed or produced by Executive, or by others working with Executive or under the direction of Executive, during the period of Executive's employment, or conceived, produced or used or intended for use by or on behalf of Employer or its customers, but not including any such ideas, concepts, inventions, or similar processes conceived, developed or produced by Executive that are rejected by Employer.

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6 (aa) "Restricted Period" means a period of twelve (12) months following the Date of Termination. (bb) "Restricted Territory" means a radius of 50 miles from the Bank's headquarters office in Grand Rapids, Michigan. (cc) "Restrictive Covenants" means the restrictive covenants contained in Section 7(b) through 7(j) hereof. (dd) "Severance Formula" means the sum of (A) Executive's then current Base Salary (or, in the case of a termination for Good Reason as defined in Section 1(q)(ii), the Base Salary in effect immediately prior to the diminution in Base Salary giving rise to termination), plus (B) the aggregate Quarterly Incentive Compensation received by Executive for the fiscal year immediately preceding the fiscal year in which the Date of Termination occurs. 2. Effective Date; Term. Upon the terms and subject to the conditions set forth in this Agreement, Employer hereby employs Executive, and Executive hereby accepts such employment, for the term commencing on the Effective Date and, unless otherwise earlier terminated pursuant to Section 5 hereof, the close of business on the third anniversary of the Effective Date (the "Initial Term"). The Initial Term and any and all renewal terms, if any, are referred to together herein as the "Term." The third anniversary of the Effective Date is referred to herein as the "Term End Date." Beginning on the initial Term End Date and on each subsequent anniversary of the Term End Date thereafter, the Term shall, without further action by Executive or Employer, be extended by an additional one-year period; provided, however, that either Employer or Executive may cause the Term to cease to extend automatically, by giving written notice to the other not less than 90 days prior to the scheduled expiration of the Term. 3. Employment; Extent of Service. Executive is hereby employed on the Effective Date as Executive Vice President, National Sales of Bank. Executive shall have the duties, responsibilities, and authority commensurate with such position and such other duties as may be assigned by the Chief Executive Officer. During the Term of this Agreement and excluding any periods of vacation or sick leave to which Executive is entitled, Executive agrees to (i) devote substantially all of Executive's business effort, time, energy, and skill to the business of Employer; (ii) faithfully, loyally, and diligently perform such duties; and (iii) diligently follow and implement all lawful management policies and decisions of Employer that are communicated to Executive. During the Term of this Agreement, Executive shall not, without the consent of Employer, be engaged in or provide services to any other business or enterprise (whether engaged in for profit or not) which interferes with his obligations to Employer under this Agreement. Executive will report directly to the President of the Company. 4. Compensation and Benefits. For the avoidance of doubt, the compensation and benefits provided under this Section 4 shall be in consideration of services rendered to both Company and Bank. (a) Base Salary. During the Term, Bank shall pay to Executive a base salary at the rate of $200,000 per year ("Base Salary"), less normal withholdings, payable in accordance with Bank's payroll practices. The Compensation Committee shall review Executive's Base Salary annually and may increase the Base Salary based on such review, but may not decrease the Base Salary unless (i) Executive consents in writing to such decrease, or (ii) such decrease is made as part of across-the-board salary reductions affecting all or substantially all similarly-situated employees. Such adjusted salary then shall become Executive's Base Salary for purposes of this Agreement. (b) Incentive Compensation. During the Term, Executive shall have an opportunity to

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7 receive a quarterly incentive compensation payment equal to the greater of (i) $75,000, or (ii) two percent (2%) of the quarterly net income of Bank's residential lending business unit (the "Residential Lending Unit"), as calculated by Bank in its sole discretion and payable quarterly (the "Quarterly Incentive Compensation"); provided, however, that if there is a net loss with respect to the Residential Lending Unit for any period, then no Quarterly Incentive Compensation shall be earned or payable unless and until the net income of the Residential Lending Unit is sufficient to offset the prior net loss. If, after any payment is made pursuant to this paragraph, there is a restatement or redetermination of the net income on which the bonus was calculated, then there shall be an adjustment (either a reduction in future compensation payable to Executive or an additional payment to Executive) such that the total payment(s) made to Executive pursuant to this Section 4(b) equals the applicable percentage of the actual net income of the Residential Lending Unit. Bank's calculation of the net income of the Residential Lending Unit shall be final and binding on Employee, absent manifest error. Executive must be employed by Company and/or Bank on the last day of each quarter for which the Quarterly Incentive Compensation is earned, and any such earned Quarterly Incentive Compensation will be paid within 45 days following the quarter for which it is earned. (c) Long-Term Incentive Plans. During the Term, Executive shall be entitled to participate in any long-term equity incentive ("LTI") plans available to other Peer Executives, and on the same basis as such Peer Executives, subject to eligibility requirements and terms and conditions of each such plan; provided that nothing herein shall limit the ability of Company and/or Bank to amend, modify or terminate any such plans at any time and from time to time. The terms and conditions of Executive's LTI award, including but not limited to vesting criteria, shall be determined by the Compensation Committee in its sole discretion. (d) Retirement Plans. During the Term, Executive shall be entitled to participate in any retirement plans available to other Peer Executives, and on the same basis as such Peer Executives, subject to eligibility requirements and terms and conditions of each such plan; provided that nothing herein shall limit the ability of Bank to amend, modify, or terminate any such plans at any time and from time to time. (e) Welfare Benefit Plans. During the Term, Executive and Executive's eligible dependents shall be eligible for participation in the welfare benefit plans, practices, policies, and programs provided by Bank, if any, to the extent available to other Peer Executives and subject to eligibility requirements and terms and conditions of each such plan; provided that nothing herein shall limit the ability of Bank to amend, modify, or terminate any such benefit plans, policies, or programs at any time and from time to time. (f) Expenses. During the Term, and subject to Section 12 hereof, Executive shall be entitled to receive prompt reimbursement for all reasonable expenses incurred by Executive in the course of performing Executive's duties and responsibilities under this Agreement, in accordance with the policies, practices, and procedures of Bank to the extent available to other Peer Executives with respect to travel and other business expenses. 5. Termination of Employment. For the avoidance of doubt, if Executive's employment with Company terminates for any reason under this Section 5, Executive's employment with Bank shall be deemed terminated for the same reason, and if Executive's employment with Company terminates for any reason under this Section 5, Executive's employment with Bank shall be deemed terminated for the same reason. (a) Termination upon Death. Executive's employment shall terminate automatically upon Executive's death. For the avoidance of doubt, termination of Executive's employment upon the death

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8 of Executive under this Section 5(a) shall not be considered a termination without Cause that would entitle Executive to severance under Section 6(a) or (c). (b) Termination by Employer. Employer may terminate Executive's employment during the Term with or without Cause on written notice to Executive, provided that the written notice of termination with respect to a termination without Cause shall be provided at least 30 days prior to the effective date of such termination. (c) Termination by Executive. Executive's employment may be terminated by Executive: (i) at any time for Good Reason, provided that (A) before terminating this Agreement and Executive's employment for Good Reason, (1) Executive shall give notice to Employer of the existence of Good Reason for termination, which notice must be given by Executive to Employer within 90 days of Executive's discovery of the existence of the condition(s) giving rise to Good Reason for termination and shall state with reasonable detail the condition(s) giving rise to Good Reason for termination, and (2) Employer shall have 60 days from the date of receipt of such notice to remedy the condition(s) giving rise to Good Reason for termination; and (B) such termination must occur within 12 months of the initial existence of the condition(s) giving rise to Good Reason for termination; or (ii) at any time without Good Reason, provided that Executive shall give Employer at least 30 days prior written notice of Executive's intent to terminate. (d) Notice of Termination. Any termination by Company and/or Bank with or without Cause and any termination by Executive shall be communicated by Notice of Termination to the other Party(is) hereto given in accordance with Section 16(e) of this Agreement. The failure by Company and/or Bank to set forth in the Notice of Termination any fact or circumstance which contributes to a showing of Cause shall not waive any right of Company and/or Bank hereunder or preclude the Company and/or Bank from asserting such fact or circumstance in enforcing its rights hereunder. The failure by Executive to set forth in the Notice of Termination any fact or circumstance which contributes to a showing of Good Reason shall not waive any right of Executive hereunder or preclude Executive from asserting such fact or circumstance in enforcing its rights hereunder. 6. Obligations of Employer upon Termination. During the Term, if Executive's employment terminates for any reason, then Bank shall pay or provide to Executive or Executive's estate, if applicable, (i) in a lump sum in cash within 30 days after the Date of Termination, the exact payment date to be determined by Bank, Executive's Base Salary through the Date of Termination to the extent not theretofore paid (the "Accrued Salary"), and (ii) to the extent not theretofore paid or provided, any other amounts or benefits required to be paid or provided or which Executive is eligible to receive under any plan, program, policy, practice, contract, or agreement of Bank and its affiliated companies and in accordance with the terms thereof, including, but not limited to, any expense reimbursements and accrued but unused vacation (which shall be paid out, if at all, in accordance with Bank's then current written policy regarding accrual and payment for unused vacation pay) (the "Other Benefits"). (a) Resignation for Good Reason; Termination Other Than for Cause, Death, or Disability. During the Term, if (x) Employer terminates Executive's employment other than for Cause, death, or Disability, or (y) Executive terminates employment for Good Reason, then, in addition to Accrued Salary and Other Benefits, and subject to Section 6(d) hereof: (i) Bank shall pay to Executive an amount equal to the Non-CIC Severance

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9 Multiple times the Severance Formula, payable in approximately equal monthly installments during the 18-month period following the Date of Termination, commencing on the first payroll date to occur after the 60th day following the Date of Termination; provided that the first such payment shall consist of all amounts payable to Executive pursuant to this Section 6(a)(i) between the Date of Termination and the first payroll date to occur after the 60th day following the Date of Termination; and (ii) if Executive elects to continue participation in any group medical, dental, vision, and/or prescription drug plan benefits to which Executive and/or Executive's eligible dependents would be entitled under COBRA, then for a period of 18 months after the Date of Termination (the "Health Benefits Continuation Period"), Bank shall pay to Executive an amount in cash equal to the COBRA cost of such coverage; provided, however, that (1) that if Executive becomes eligible to receive medical benefits under a program of a subsequent employer or otherwise (including coverage available to Executive's spouse through the spouse's employer), Bank's obligation to pay any portion of the cost of health coverage as described herein shall cease, except as otherwise provided by law; (2) the Health Benefits Continuation Period shall run concurrently with any period for which Executive is eligible to elect health coverage under COBRA; (3) the Bank-paid portion of the monthly premium for such group health benefits, determined in accordance with Code Section 4980B and the regulations thereunder, shall be treated as taxable compensation by including such amount in Executive's income in accordance with applicable rules and regulations; (4) during the Health Benefits Continuation Period, the benefits provided in any one calendar year shall not affect the amount of benefits provided in any other calendar year (other than the effect of any overall coverage benefits under the applicable plans); (5) the reimbursement of an eligible taxable expense shall be made as soon as practicable but not later than December 31 of the year following the year in which the expense was incurred; and (6) Executive's rights pursuant to this Section 6(a)(ii) shall not be subject to liquidation or exchange for another benefit. The benefit described in this Section 6(a)(ii) is referred to as the "Health Coverage Benefit." (b) Termination for Cause; Resignation by Executive other than Resignation for Good Reason; Death; Disability. If during the Term Executive's employment is terminated by Employer for Cause, by Executive other than for Good Reason, or in the event of Executive's death or Disability, then Employer shall have no further obligations to Executive or Executive's legal representatives under this Agreement, other than for Accrued Salary and Other Benefits, as applicable. (c) Termination following a Change in Control. If, within 12 months following a Change in Control, (x) Employer (or any successor to Employer) terminates Executive's employment other than for Cause, or (y) Executive terminates employment for Good Reason, then, in addition to Accrued Salary and Other Benefits, as applicable, and subject to Section 6(d) hereof and in lieu of any amounts under Section 6(a) hereof: (i) Bank (or its successor) shall pay to Executive an amount equal to the CIC Multiple times the Severance Formula, payable in a lump sum in cash on the 60th day following the Date of Termination; and (ii) if Executive elects to continue participation in any group medical, dental, vision and/or prescription drug plan benefits to which Executive and/or Executive's eligible dependents would be entitled under COBRA, then during the Health Benefits Continuation Period, Bank (or its successor) shall pay to Executive the Health Coverage Benefit. (d) Release of Claims; Restrictive Covenants. Notwithstanding the foregoing, Bank

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10 shall be obligated to provide the amounts and benefits in Sections 6(a) and (c) hereof, as applicable, only if (A) within 45 days after the Date of Termination Executive shall have executed a separation and full release of claims/covenant not to sue in the form provided by the Company (the "Release Agreement") and such Release Agreement shall not have been revoked within the revocation period specified in the Release Agreement, and (B) Executive fully complies with the obligations set forth in Section 7 hereof. For the avoidance of doubt, if Executive does not comply with the obligations set forth in Section 7 hereof, then payment of the amounts and benefits in Sections 6(a) and (c) hereof, as applicable, shall cease immediately upon Executive's breach thereof. (e) Resignations. If Executive is a member of the board of directors of Company, the board of directors of Bank, or the board of directors of any subsidiary of Company or Bank, then termination of Executive's employment hereunder for any reason whatsoever shall constitute Executive's resignation from such boards of directors and as resignation as an officer of Bank, Company, and of any of the subsidiaries for which Executive serves as an officer. 7. Restrictive Covenants. For the avoidance of doubt, the Restrictive Covenants contained in this Section 7, as well as any other provisions of this Agreement necessary to interpret or enforce the Restrictive Covenants, shall survive termination of this Agreement and/or termination of Executive's employment for any reason, and shall continue to be in full force and effect in accordance with their terms. (a) Acknowledgments. (i) Condition of Employment and Other Consideration. Executive acknowledges and agrees that Executive has received good and valuable consideration for entering into this Agreement. (ii) Access to Confidential Information, Relationships, and Goodwill. Executive acknowledges and agrees that Executive is being provided and entrusted with Confidential Information, including highly confidential customer information that is subject to extensive measures to maintain its secrecy by Employer, is not known in the trade or disclosed to the public, and would materially harm Employer's legitimate business interests if it was disclosed or used in violation of this Agreement. Executive also acknowledges and agrees that Executive is being provided and entrusted with access to Employer's customer and employee relationships and goodwill. Executive further acknowledges and agrees that the Employer would not provide access to the Confidential Information, customer and employee relationships, and goodwill in the absence of Executive's execution of and compliance with this Agreement. Executive further acknowledges and agrees that the Employer's Confidential Information, customer and employee relationships, and goodwill are valuable assets of Employer and are legitimate business interests that are properly subject to protection through the covenants contained in this Agreement. (iii) Potential Unfair Competition. Executive acknowledges and agrees that as a result of Executive's employment with Employer, Executive's knowledge of and access to Confidential Information, and relationships with Employer's customers and employees, Executive would have an unfair competitive advantage if Executive were to engage in activities in violation of this Agreement. (iv) Voluntary Execution. Executive acknowledges and affirms that Executive has executed this Agreement voluntarily, has read this Agreement carefully, and had a full and reasonable opportunity to consider this Agreement (including an opportunity to consult with legal counsel), and that Executive has not been pressured or in any way coerced, threatened, or intimidated into signing this Agreement.

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11 (b) Restriction on Disclosure and Use of Confidential Information. Executive agrees that Executive shall not, directly or indirectly, use any Confidential Information on Executive's own behalf or on behalf of any Person other than Employer, or reveal, divulge, or disclose any Confidential Information to any Person not expressly authorized by Employer to receive such Confidential Information. This obligation shall remain in effect for as long as the information or materials in question retain their status as Confidential Information. Executive further agrees to fully cooperate with Employer in maintaining the Confidential Information to the extent permitted by law. The Parties acknowledge and agree that this Agreement is not intended to, and does not, alter either Employer's rights or Executive's obligations under any state or federal statutory or common law regarding trade secrets and unfair trade practices. Anything herein to the contrary notwithstanding, Executive shall not be restricted from disclosing information that is required to be disclosed by law, court order, or other valid and appropriate legal process; provided, however, that in the event such disclosure is required by law, Executive shall provide Employer with prompt notice of such requirement so that Employer may seek an appropriate protective order prior to any such required disclosure by Executive. Executive understands and acknowledges that nothing in this section limits Executive's ability to report possible violations of federal, state, or local law or regulation to any governmental agency or entity; to communicate with any government agencies or otherwise participate in any investigation or proceeding that may be conducted by any government agencies in connection with any charge or complaint, whether filed by Executive, on Executive's behalf, or by any other individual; or to make other disclosures that are protected under the whistleblower provisions of federal, state, or local law or regulation, and Executive shall not need the prior authorization of Employer to make any such reports or disclosures and shall not be required to notify Employer that Executive has made such reports or disclosures. In addition, and anything herein to the contrary notwithstanding, Executive is hereby given notice that Executive shall not be criminally or civilly liable under any federal or state trade secret law for disclosing a trade secret (as defined by 18 U.S.C. § 1839) in confidence to a federal, state, or local government official, either directly or indirectly, or to an attorney, in either event solely for the purpose of reporting or investigating a suspected violation of law; or disclosing a trade secret (as defined by 18 U.S.C. § 1839) in a complaint or other document filed in a lawsuit or other proceeding, if such filing is made under seal. (c) Non-Competition. Except as provided herein, Executive agrees that, during the Restricted Period, Executive will not, without prior written consent of Employer, directly or indirectly (i) carry on or engage in Competitive Services within the Restricted Territory on Executive's own behalf or on behalf of any Person or any Principal or Representative of any Person, or (ii) own, manage, operate, control or participate in the ownership, management, operation or control of any business, whether in corporate, proprietorship, or partnership form or otherwise, where such business is engaged in the provision of Competitive Services within the Restricted Territory; provided that nothing herein shall prohibit Executive from being a passive owner of not more than five percent of the outstanding securities of any publicly traded company engaged in the Competitive Services, so long as Executive does not serve on the board of directors of such company and does not engage in the management of such company. (d) Non-Solicitation of Protected Customers. Executive agrees that, during the Restricted Period, Executive shall not, without the prior written consent of Employer, directly or indirectly, on Executive's own behalf or as a Principal or Representative of any Person, solicit, divert, or attempt to solicit or divert a Protected Customer for the purpose of engaging in, providing, or selling Competitive Services. (e) Non-Recruitment of Employees and Independent Contractors. Executive agrees that during the Restricted Period, Executive shall not, without the prior written consent of Employer, directly or indirectly, whether on Executive's own behalf or as a Principal or Representative of any Person, solicit or induce or attempt to solicit or induce any employee or individual independent contractor of Employer to terminate an employment relationship with Employer or to enter into employment or

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12 independent contractor relationship with Executive or any such other Person. Notwithstanding the foregoing, the provisions of this Section 7(e) shall not be violated by general advertising or solicitation not specifically targeted at employees or independent contractor of Employer, or actions taken by any person or entity with which Executive is associated if Executive is not personally involved in any manner in the matter and has not identified such employee for soliciting or hiring and has not provided any information regarding the employee's qualifications. (f) Proprietary Rights. (i) Ownership and Assignment of Protected Works. Executive agrees that any and all Confidential Information and Protected Works are the sole property of Employer, and that no compensation in addition to Executive's compensation hereunder is due to Executive for development or transfer of such Protected Works. Executive agrees that Executive shall promptly disclose in writing to Employer the existence of any Protected Works. Executive hereby assigns and agrees to assign all of Executive's rights, title, and interest in any and all Protected Works, including all patents or patent applications, and all copyrights therein, to Employer. Executive shall not be entitled to use Protected Works for Executive's own benefit or the benefit of anyone except Employer without written permission from Employer and then only subject to the terms of such permission. Executive further agrees that Executive will communicate to Employer any facts known to Executive and testify in any legal proceedings, sign all lawful papers, make all rightful oaths, execute all divisionals, continuations, continuations-in-part, foreign counterparts, or reissue applications, all assignments, all registration applications, and all other instruments or papers to carry into full force and effect the assignment, transfer, and conveyance hereby made or to be made and generally do everything possible for title to the Protected Works and all patents or copyrights or trademarks or service marks therein to be clearly and exclusively held by Employer. Executive agrees that Executive will not oppose or object in any way to applications for registration of Protected Works by Employer or others designated by Employer. Executive agrees to exercise reasonable care to avoid making Protected Works available to any third party and shall be liable to Employer for all damages and expenses, including reasonable attorneys' fees, if Protected Works are made available to third parties by Executive without the express written consent of Employer. Anything herein to the contrary notwithstanding, Executive will not be obligated to assign to Employer any Protected Work for which no equipment, supplies, facilities, or Confidential Information of Employer was used and which was developed entirely on Executive's own time, unless (A) the invention relates (1) directly to the business of Employer, or (2) to the Employer's actual or demonstrably anticipated research or development; or (B) the invention results from any work performed by Executive for Employer. Executive likewise will not be obligated to assign to Employer any Protected Work that is conceived by Executive after Executive leaves the employ of Employer, except that Executive is so obligated if the same relates to or is based on Confidential Information to which Executive had access by virtue of employment with Employer. Similarly, Executive will not be obligated to assign any Protected Work to Employer that was conceived and reduced to practice prior to Executive's employment with Employer, regardless of whether such Protected Work relates to or would be useful in the business of Employer. Executive acknowledges and agrees that there are no Protected Works conceived and reduced to practice by Executive prior to his employment with Employer. (ii) No Other Duties. Executive acknowledges and agrees that there is no other contract or duty on the part of Executive now in existence to assign Protected Works to anyone other than Employer. (iii) Works Made for Hire. Employer and Executive acknowledge that in the

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13 course of Executive's employment with Employer, Executive may from time to time create for Employer copyrightable works. Such works may consist of manuals, pamphlets, instructional materials, computer programs, software, software integration techniques, software codes, and data, technical data, photographs, drawings, logos, designs, artwork, or other copyrightable material, or portions thereof, and may be created within or without Employer's facilities and before, during or after normal business hours. All such works related to or useful in the business of Employer are specifically intended to be works made for hire by Executive, and Executive shall cooperate with Employer in the protection of Employer's copyrights in such works and, to the extent deemed desirable by Employer, the registration of such copyrights. (g) Return of Materials. Executive agrees to not retain or destroy (except as set forth below), and to immediately return to Employer on or prior to the Date of Termination, or at any other time Employer requests such return, any and all property of Employer that is the possession of Executive or subject to Executive's control, including, but not limited to, keys, credit and identification cards, equipment, customer files and information, papers, drawings, notes, manuals, specifications, designs, devices, code, email, documents, diskettes, CDs, tapes, keys, access cards, credit cards, identification cards, computers, mobile devices, other electronic media, all other files and documents relating to Employer and its business (regardless of form, but specifically including all electronic files and data of Employer), together with all Protected Works and Confidential Information belonging to Employer or that Executive received from or through his employment with Employer. Executive will not make, distribute, or retain copies of any such information or property. To the extent that Executive has electronic files or information in Executive's possession or control that belong to Employer, contain Confidential Information, or constitute Protected Works (specifically including but not limited to electronic files or information stored on personal computers, mobile devices, electronic media, or in cloud storage), on or prior to the Date of Termination, or at any other time Employer requests, Executive shall (i) provide Employer with an electronic copy of all of such files or information (in an electronic format that readily accessible by Employer); (ii) after doing so, delete all such files and information, including all copies and derivatives thereof, from all non- Employer-owned computers, mobile devices, electronic media, cloud storage, and other media, devices, and equipment, such that such files and information are permanently deleted and irretrievable; and (iii) provide a written certification to Employer that the required deletions have been completed and specifying the files and information deleted and the media source from which they were deleted. (h) Enforcement of Restrictive Covenants. For the avoidance of doubt, nothing in this Section 7(i) limits the remedies available to Employer under Section 14 hereof. (i) Rights and Remedies Upon Breach. The Parties specifically acknowledge and agree that the remedy at law for any breach of the Restrictive Covenants will be inadequate, and that in the event Executive breaches any of the Restrictive Covenants, Employer shall have the right and remedy, without the necessity of proving actual damage or posting any bond, to enjoin, preliminarily and permanently, Executive from violating the Restrictive Covenants and to have the Restrictive Covenants specifically enforced by any court of competent jurisdiction, it being agreed that any breach of the Restrictive Covenants would cause irreparable injury to Employer and that money damages would not provide an adequate remedy to Employer. Executive understands and agrees that if he materially violates any of the obligations set forth in the Restrictive Covenants, the Restricted Period shall cease to run during the pendency of any litigation over such violation, provided that such litigation was initiated during the Restricted Period. If Employer does not substantially prevail in such litigation, the Restricted Period shall be deemed to have continued to run during the litigation. Such rights and remedies shall be in addition to, and not in lieu of, any other rights and remedies available to Employer at law or in equity. Employer's ability to enforce its rights under the Restrictive Covenants or applicable law against Executive shall not be impaired in any way by the existence of a claim or cause of action on the part of Executive based on, or arising

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14 out of, this Agreement or any other event or transaction. (ii) Severability and Modification of Covenants. Executive acknowledges and agrees that each of the Restrictive Covenants is reasonable and valid in time and scope and in all other respects. The Parties agree that it is their intention that the Restrictive Covenants be enforced in accordance with their terms to the maximum extent permitted by law. Each of the Restrictive Covenants shall be considered and construed as a separate and independent covenant. should any part or provision of any of the Restrictive Covenants, or any other provision of this Section 7, be held invalid, void, or unenforceable, such invalidity, voidness, or unenforceability shall not render invalid, void, or unenforceable any other part or provision of this Agreement or such Restrictive Covenant. If any of the provisions of the Restrictive Covenants should ever be held by a court of competent jurisdiction to exceed the scope permitted by the applicable law, such provision or provisions shall be automatically modified to such lesser scope as such court may deem just and proper for the reasonable protection of Employer's legitimate business interests and may be enforced by Employer to that extent in the manner described above and all other provisions of this Agreement shall be valid and enforceable. (i) Existing Covenants. Executive represents and warrants that Executive's employment with Employer does not and will not breach any agreement that Executive has with any former employer to keep in confidence proprietary or confidential information or not to compete with any such former employer. Executive will not disclose to Employer or use on its behalf any proprietary or confidential information of any other party required to be kept confidential by Executive. (j) Disclosure of Agreement. Executive acknowledges and agrees that, during the Restricted Period, Executive will disclose the existence and terms of the Protective Covenants in Section 7 of this Agreement to any prospective employer or business partner, within the Restricted Territory prior to entering into an employment, partnership, or other business relationship with such prospective employer or business partner. Executive further agrees that Employer shall have the right to make any such prospective employer or business partner of Executive within the Restricted Territory aware of the existence and terms of the Protective Covenants in Section 7 of this Agreement. 8. Non-exclusivity of Rights. Nothing in this Agreement shall prevent or limit Executive's continuing or future participation in any employee benefit plan, program, policy, or practice provided by Employer and for which Executive may qualify, except as specifically provided herein. Amounts that are vested benefits or which Executive is otherwise entitled to receive under any plan, policy, practice, or program of Employer at or subsequent to the Date of Termination shall be payable in accordance with such plan, policy, practice, or program except as explicitly modified by this Agreement. 9. Full Settlement; No Mitigation. Employer's obligation to make the payments provided for in this Agreement and otherwise to perform its obligations hereunder shall not be affected by any set-off, counterclaim, recoupment, defense or other claim, right or action which Employer may have against Executive or others. In no event shall Executive be obligated to seek other employment or take any other action by way of mitigation of the amounts payable to Executive under any of the provisions of this Agreement and such amounts shall not be reduced whether or not Executive obtains other employment. For the avoidance of doubt, nothing in this Section 9 shall impact Employer's remedy of recoupment set forth in Section 14 hereof. 10. Mandatory Reduction of Payments in Certain Events. (a) Notwithstanding anything in this Agreement to the contrary, in the event it shall be determined that any Payment would, if paid, be subject to any Excise Tax, then, prior to the making of

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15 any Payments to or for the benefit of Executive, a calculation shall be made comparing (i) the net after-tax benefit to Executive of the Payments after payment by Executive of the Excise Tax, to (ii) the net after-tax benefit to Executive if the Payments had been limited to the extent necessary to avoid being subject to the Excise Tax. If the amount calculated under (i) above is less than the amount calculated under (ii) above, then the Payments shall be limited to the extent necessary to avoid being subject to the Excise Tax (the "Reduced Amount"). The reduction of the Payments due hereunder, if applicable, shall be made by first reducing cash Payments and then, to the extent necessary, reducing those Payments having the next highest ratio of Parachute Value to actual present value of such Payments as of the date of a Change in Control, as determined by the Determination Firm (as defined below). For purposes of this Section 10, present value shall be determined in accordance with Section 280G(d)(4) of the Code. (b) All determinations required to be made under this Section 10, including whether an Excise Tax would otherwise be imposed, whether the Payments shall be reduced, the amount of the Reduced Amount, and the assumptions to be utilized in arriving at such determinations, shall be made by a nationally recognized accounting firm or compensation consulting firm mutually acceptable to Employer and Executive (the "Determination Firm") which shall provide detailed supporting calculations to Employer and Executive within 15 business days after the receipt of notice from Executive that a Payment is due to be made, or such earlier time as is requested by Employer. All fees and expenses of the Determination Firm shall be borne solely by Employer. Any determination by the Determination Firm shall be binding upon Employer and Executive. As a result of the uncertainty in the application of Section 4999 of the Code at the time of the initial determination by the Determination Firm hereunder, it is possible that Payments which Executive was entitled to, but did not receive pursuant to Section 10(a), could have been made without the imposition of the Excise Tax ("Underpayment"), consistent with the calculations required to be made hereunder. In such event, the Determination Firm shall determine the amount of the Underpayment that has occurred and any such Underpayment shall be promptly paid by Employer to or for the benefit of Executive but no later than March 15 of the year after the year in which the Underpayment is determined to exist, which is when the legally binding right to such Underpayment arises. (c) In the event that the provisions of Code Section 280G and 4999 or any successor provisions are repealed without succession, this Section 10 shall be of no further force or effect. In the event the provisions of Code Section 280G and 4999 are modified, this Section 10 shall be modified accordingly. 11. Successors. (a) This Agreement is personal to Executive and shall not be assignable by Executive otherwise than by will or the laws of descent and distribution. This Agreement shall inure to the benefit of and be enforceable by Executive's legal representatives. (b) This Agreement can be assigned by Company and/or Bank only to a subsidiary or successor and shall be binding and inure to the benefit of Company and Bank, and their successors and assigns. The Company and/or Bank shall require any successor or assignee, whether direct or indirect, by purchase, merger, consolidation or otherwise, to all or substantially all the business or assets of the Bank, expressly and unconditionally to assume and agree to perform the Bank's obligations under this Agreement, in the same manner and to the same extent that the Bank would be required to perform if no such succession or assignment had taken place. 12. Code Section 409A. (a) General. This Agreement shall be interpreted and administered in a manner so that any amount or benefit payable hereunder shall be paid or provided in a manner that is either exempt from or compliant with the requirements of Section 409A of the Code and applicable Internal Revenue Service

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16 guidance and Treasury Regulations issued thereunder (and any applicable transition relief under Section 409A of the Code). Nevertheless, the tax treatment of the benefits provided under the Agreement is not warranted or guaranteed. Neither Company nor Bank, nor their directors, officers, employees, or advisers, shall be held liable for any taxes, interest, penalties, or other monetary amounts owed by Executive as a result of the application of Section 409A of the Code. (b) Definitional Restrictions. Notwithstanding anything in this Agreement to the contrary, to the extent that any amount or benefit that would constitute non-exempt "deferred compensation" for purposes of Section 409A of the Code ("Non-Exempt Deferred Compensation") would otherwise be payable or distributable hereunder, or a different form of payment of such Non-Exempt Deferred Compensation would be effected, such Non-Exempt Deferred Compensation will not be payable or distributable to Executive, and/or such different form of payment will not be effected, by reason of such circumstance unless the circumstances giving rise to such payment event meet any description or definition of "change in control event" or "separation from service," as the case may be, in Section 409A of the Code and applicable regulations (without giving effect to any elective provisions that may be available under such definition). This provision does not affect the dollar amount or prohibit the vesting of any Non- Exempt Deferred Compensation termination of employment, however defined. If this provision prevents the payment or distribution of any Non-Exempt Deferred Compensation, or the application of a different form of payment, then, subject to subsection (c) below, such payment or distribution shall be made at the time and in the form that would have applied absent the non- 409A-conforming event. (c) Six-Month Delay in Certain Circumstances. Notwithstanding anything in this Agreement to the contrary, if any amount or benefit that would constitute Non-Exempt Deferred Compensation would otherwise be payable or distributable under this Agreement by reason of Executive's separation from service during a period in which Executive is a specified employee (as determined by Employer in accordance with Section 409A of the Code and Treasury Regulations § 1.409A-3(i)(2)), then, subject to any permissible acceleration of payment by Employer under Treas. Reg. Section 1.409A- 3(j)(4)(ii) (domestic relations order), (j)(4)(iii) (conflicts of interest), or (j)(4)(vi) (payment of employment taxes): (i) the amount of such Non- Exempt Deferred Compensation that would otherwise be payable during the six- month period immediately following Executive's separation from service will be accumulated through and paid or provided on the first day of the seventh month following Executive's separation from service (or, if Executive dies during such period, within 30 days after Executive's death) (in either case, the "Required Delay Period"); and (ii) the normal payment or distribution schedule for any remaining payments or distributions will resume at the end of the Required Delay Period. (d) Treatment of Installment Payments. Each payment of termination benefits under this Agreement, including but not limited to Section 6, shall be considered a separate payment, as described in Treas. Reg. Section 1.409A-2(b)(2), for purposes of Section 409A of the Code. (e) Timing of Release of Claims. Whenever in this Agreement a payment or benefit is conditioned on Executive's execution of a release of claims, such release must be executed and all revocation periods shall have expired within 60 days after the Date of Termination; failing which such payment or benefit shall be forfeited. If such payment or benefit constitutes Non-Exempt Deferred Compensation, then such payment or benefit (including any installment payments) that would have otherwise been payable during such 60-day period shall be accumulated and paid on the 60th day after the Date of Termination provided such release shall have been executed and such revocation periods shall have expired. If such payment or benefit is exempt from Section 409A of the Code, Employer may elect to make or commence payment at any time during such period. (f) Timing of Reimbursements and In-kind Benefits. If Executive is entitled to be paid or reimbursed for any taxable expenses under this Agreement, and such payments or reimbursements are

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17 includible in Executive's federal gross taxable income, the amount of such expenses reimbursable in any one calendar year shall not affect the amount reimbursable in any other calendar year, and the reimbursement of an eligible expense must be made no later than December 31 of the year after the year in which the expense was incurred. No right of Executive to reimbursement of expenses under this Agreement shall be subject to liquidation or exchange for another benefit. (g) Permitted Acceleration. Employer shall have the sole authority to make any accelerated distribution permissible under Treas. Reg. Section 1.409A-3(j)(4) to Executive of deferred amounts, provided that such distribution meets the requirements of Treas. Reg. Section 1.409A-3(j)(4). 13. Regulatory Action. (a) If Executive is removed and/or permanently prohibited from participating in the conduct of Bank's affairs by an order issued under Section 8(e)(4) or 8(g)(1) of the Federal Deposit Insurance Act ("FDIA") (12 U.S.C. 1818(e)(4) and (g)(1)), all obligations of Employer under this Agreement shall terminate, as of the effective date of such order. (b) If Executive is suspended and/or temporarily prohibited from participating in the conduct of Bank's affairs by a notice served under Section 8(e)(3) or 8(g)(1) of the FDIA (12 U.S.C. 1818(e)(3) and (g)(1)), all obligations of Employer under this Agreement shall be suspended as of the date of service, unless stayed by appropriate proceedings. If the charges in the notice are dismissed, Employer shall reinstate (in whole or in part) any of its obligations which were suspended. (c) If Bank is in default (as defined in Section 3(x)(1) of the FDIA), all obligations under this Agreement shall terminate as of the date of default. (d) All obligations under this Agreement shall be terminated, except to the extent a determination is made that continuation of the Agreement is necessary for the continued operation of Bank (1) by the director of the FDIC or his or her designee (the "Director"), at the time the FDIC enters into an agreement to provide assistance to or on behalf of Bank under the authority contained in 13(c) of the FDIA; or (2) by the Director, at the time the Director approves a supervisory merger to resolve problems related to operation of Bank when Bank is determined by the Director to be in an unsafe and unsound condition. 14. Compensation Recoupment Policy. Any incentive compensation, including, but not limited to, cash-based and equity-based compensation, awarded to Executive by Employer shall be subject to any written compensation recoupment policy that the Compensation Committee may adopt from time to time that is applicable by its terms to Executive, including, but not limited to, the Company's mandatory recoupment policy as required by the listing rules of The New York Stock Exchange. In addition, the Compensation Committee may specify in any written documentation memorializing an incentive award that Executive's rights, payments, and benefits with respect to such award shall be subject to reduction, cancellation, forfeiture, or recoupment upon the occurrence of certain specified events, in addition to any otherwise applicable conditions of such award. Such events may include, but shall not be limited to: (i) termination of employment for Cause, (ii) violation of material Company or Bank policies, (iii) breach of noncompetition, confidentiality, or other restrictive covenants, (iv) other conduct by Executive that is detrimental to the business or reputation of the Employer, or (v) a later determination that the amount realized from a performance-based award was based on materially inaccurate financial statements or any other materially inaccurate performance metric criteria, whether or not Executive caused or contributed to such material inaccuracy. The reduction, cancellation, forfeiture, and recoupment rights associated with any equity awards or similar awards granted to Executive, if any, shall be as provided in the award certificate memorializing any such award.

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18 15. Indemnification. Employer shall indemnify Executive for liabilities incurred by Executive while acting in good faith as an officer to the fullest extent provided for any other officer of Employer. To the extent that Employer maintains director and officer liability insurance, such insurance shall cover Executive to the same extent as any other officer of Employer. 16. Miscellaneous. (a) Applicable Law. Employer and Executive agree that this Agreement shall be governed by and construed and interpreted in accordance with the laws of the State of Michigan without giving effect to its conflicts of law principles. The Parties agree that the exclusive forum for any action to enforce this Agreement, as well as any action relating to or arising out of this Agreement, shall be the state or federal courts of the State of Michigan. With respect to any such court action, Employee hereby (a) irrevocably submits to the personal jurisdiction of such courts; (b) consents to venue; and (c) waives any other requirement (whether imposed by statute, rule of court, or otherwise) with respect to personal jurisdiction or venue. The Parties hereto further agree that the state and federal courts of the State of Michigan are convenient forums for any dispute that may arise herefrom and that neither party shall raise as a defense that such courts are not convenient forums. (b) Non-Duplication. Notwithstanding anything to the contrary in this Agreement, and except as specifically provided below, any severance payments or benefits received by Executive pursuant to this Agreement shall be in lieu of any general severance policy or other severance plan maintained by Employer (other than a stock option, restricted stock, share or unit, performance share or unit, supplemental retirement, deferred compensation, or similar plan or agreement which may contain provisions operative on a termination of Executive's employment or may incidentally refer to accelerated vesting or accelerated payment upon a termination of employment). (c) Captions. The captions of this Agreement are not part of the provisions hereof and shall have no force or effect. (d) Amendments. This Agreement may not be amended or modified otherwise than- by a written agreement executed by the Parties or their respective successors and legal representatives. (e) Notices. All notices and other communications hereunder shall be in writing and shall be given by hand delivery to the other Party(ies) or by registered or certified mail, return receipt requested, postage prepaid, addressed as follows: If to Executive: If to Company and/or Bank: On file with Bank 3333 Deposits Drive Northeast Grand Rapids, Michigan 49546 Attention: Chief Executive Officer or to such other address as a Party shall have furnished to the other Party(ies) in writing in accordance herewith. Notice and communications shall be effective when actually received by the addressee. (f) Severability. The invalidity or unenforceability of any provision of this Agreement shall not affect the validity or enforceability of any other provision of this Agreement. (g) Withholding. Employer may withhold from any amounts payable under this Agreement such federal, state, local or foreign taxes as shall be required to be withheld pursuant to any

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19 applicable law or regulation. (h) Waivers. Failure of any Party to insist, in one or more instances, on performance by the other in strict accordance with the terms and conditions of this Agreement shall not be deemed a waiver or relinquishment of any right granted in this Agreement or of the future performance of any such term or condition or of any other term or condition of this Agreement, unless such waiver is contained in a writing signed by the Party making the waiver. (i) Entire Agreement. This Agreement contains the entire agreement between the Parties with respect to the subject matter hereof and, from and after the date hereof, this Agreement shall supersede any other agreement, written or oral, between the Parties relating to the subject matter of this Agreement, including but not limited to any prior discussions, understandings, letters, and/or agreements between the Parties, written or oral, at any time. (j) Construction. The Parties understand and agree that because they have been given the opportunity to have counsel review and revise this Agreement, the normal rule of construction to the effect that any ambiguities are to be resolved against the drafting Party shall not be employed in the interpretation of this Agreement. Instead, the language of all parts of this Agreement shall be construed as a whole, and according to its fair meaning, and not strictly for or against any Party. (k) Counterparts. This Agreement may be executed in two or more counterparts, each of which shall be deemed an original, but all of which taken together shall constitute one and the same instrument. (l) Survival. The rights and obligations of the Parties under Sections 7, 10, 12, 14, 15, 16 shall survive the expiration and/or termination of this Agreement and the termination of Executive's employment hereunder for the periods expressly designated in such sections or, if no such period is designated, for the maximum period permissible under applicable law. [signature page follows]

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20 IN WITNESS WHEREOF, the Parties hereby signify their agreement to these terms by their signatures below, as of the Effective Date. EXECUTIVE Amy M. Butler NORTHPOINTE BANK Charles A. Williams Chief Executive Officer NORTHPOINTE BANCSHARES, INC. Charles A. Williams Chief Executive Officer

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## Exhibit 10.2

![](exhibit102-northpointech001.jpg)

1 LEGAL02/46213761v2 EMPLOYMENT AGREEMENT THIS EMPLOYMENT AGREEMENT (this "Agreement") is made and entered into this 26th day of June, 2025, by and among Northpointe Bancshares, Inc. ("Company"), Northpointe Bank ("Bank"), a wholly owned subsidiary of the Company, and David J. Christel ("Executive"). Company, Bank, and Executive are sometimes referred to herein collectively as the "Parties," and each is sometimes referred to herein individually as a "Party." BACKGROUND WHEREAS, the Parties are currently party to an employment agreement dated as of March 22, 2017 (the "Prior Agreement"); WHEREAS, the Parties desire to enter a new employment agreement to memorialize the terms of Executive's employment; and WHEREAS, Employer and Executive desire to terminate the Prior Agreement effective as of the Effective Date. NOW, THEREFORE, in consideration of the payments, consents, and acknowledgements described below, in consideration of Executive's employment with Company and Bank, and in consideration of other good and valuable consideration, the receipt and sufficiency of all of which is hereby acknowledged, the Parties agree as follows: 1. Definitions. The following capitalized terms used in this Agreement shall have the meanings assigned to them below, which definitions shall apply to both the singular and the plural forms of such terms: (a) "Board of Directors" means, collectively, the board of directors of Company and the board of directors of Bank and, where appropriate, any committee or other designee thereof. (b) "Beneficial Owner" has the meaning given such term in Rule 13d-3 of the General Rules and Regulations promulgated under the Securities Exchange Act of 1934. (c) "Cause" means, in the context of the termination of this Agreement by Employer, a good faith determination by the Chief Executive Officer of Company that any of the following has occurred: (i) conduct by Executive that amounts to willful misconduct, gross neglect, or a material failure to perform Executive's duties and responsibilities hereunder, including prolonged absences without the consent of the Chief Executive Officer of Company unless otherwise excused by law or under Bank's leave policies; provided that the nature of such conduct shall be set forth in a written notice to Executive who shall have 30 business days following delivery of such notice to cure such alleged conduct, provided that such conduct is, in the reasonable discretion of the Chief Executive Officer of Company, susceptible to a cure; (ii) any willful violation of any material law, rule, or regulation applicable to banks or the banking industry generally (including but not limited to the regulations of the Board of Governors of the Federal Reserve, the FDIC, the Michigan Department of Insurance and Financial Institutions, or any other applicable regulatory authority);

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2 LEGAL02/46213761v2 (iii) the exhibition by Executive of a standard of behavior within the scope of or related to Executive's employment that is in violation of any written policy, board committee charter, or code of ethics or business conduct (or similar code) of Company or Bank to which Executive is subject; provided that the nature of such conduct shall be set forth with reasonable particularity in a written notice to Executive who shall have 30 business days following delivery of such notice to cure such alleged conduct, provided that such conduct is, in the reasonable discretion of the Chief Executive Officer of Company, susceptible to a cure; (iv) any act of fraud, misappropriation, or embezzlement by Executive, whether or not such act was committed in connection with the business of Company and/or Bank; (v) a material breach of this Agreement, including, without limitation, a breach of Section 7 hereof; provided that the nature of such breach shall be set forth with reasonable particularity in a written notice to Executive who shall have 30 business days following delivery of such notice to cure such breach, provided that such breach is, in the reasonable discretion of the Chief Executive Officer of Company, susceptible to a cure; or (vi) Executive's conviction of, or Executive's pleading guilty or nolo contendere to with respect to (a) a felony or a crime involving moral turpitude (including pleading guilty or nolo contendere to a felony or lesser charge which results from plea bargaining), whether or not such felony, crime, or lesser offense is connected with the business of Company and/or Bank, or (b) any crime in connection with the business of Company or Bank. (d) "Change in Control" means and includes any one of following events: (i) any Person becomes a Beneficial Owner, directly or indirectly, of 50% or more of the voting power of the then-outstanding securities of Company eligible to vote for the election of directors ("Company Voting Securities"); provided, however, that for purposes of this subsection (i), the following acquisitions of Company Voting Securities shall not constitute a Change in Control: (A) an acquisition directly or indirectly from the Company, including an acquisition by or through a broker, underwriter, or financial institution acquiring such securities as part of a firm commitment or similar underwriting or distribution process, (B) an acquisition by Company or Bank, (C) an acquisition by any employee benefit plan (or related trust) sponsored or maintained by Company or Bank, or (D) an acquisition pursuant to a Non-Qualifying Transaction (as defined in subsection (iii) below); or (ii) during any consecutive 12-month period, individuals who, at the beginning of such period, constitute Company's Board of Directors (the "Incumbent Directors") cease for any reason to constitute at least a majority of such Board of Directors, provided that any person becoming a director after the beginning of such 12-month period and whose election or nomination for election was approved by a vote of at least a majority of the Incumbent Directors then on the Board of Directors shall be an Incumbent Director; provided, however, that no individual initially elected or nominated as a director as a result of an actual or threatened election contest with respect to the election or removal of directors ("Election Contest") or other actual or threatened solicitation of proxies or consents by or on behalf of any Person other than the Board of Directors ("Proxy Contest"), including by reason of any agreement intended to avoid or settle any Election Contest or Proxy Contest, shall be deemed an Incumbent Director; or (iii) the consummation of a reorganization, merger, consolidation, statutory share exchange, or similar form of corporate transaction involving Company or Bank, the sale or other disposition of all or substantially all of Company's assets, or the acquisition of assets or stock

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3 LEGAL02/46213761v2 of another corporation or other entity (each, a "Transaction"), unless immediately following such Transaction: (A) all or substantially all of the individuals and entities who were the Beneficial Owners, respectively, of the outstanding Company Voting Securities immediately prior to such Transaction beneficially own, directly or indirectly, more than 50% of the voting power of the then- outstanding shares of voting securities of the entity resulting from such Transaction (including, without limitation, an entity which as a result of such Transaction owns Company or all or substantially all of Company's assets or stock either directly or through one or more subsidiaries, the "Surviving Entity") in substantially the same proportions as their ownership, immediately prior to such Transaction, of the outstanding Company Voting Securities, and (B) no person (other than (x) Company or Bank, (y) the Surviving Entity or its ultimate parent entity, or (z) any employee benefit plan (or related trust) sponsored or maintained by any of the foregoing) is the Beneficial Owner, directly or indirectly, of 50% or more of the total common stock or 50% or more of the total voting power of the outstanding voting securities eligible to elect directors of the Surviving Entity, and (C) at least a majority of the members of the board of directors of the Surviving Entity were Incumbent Directors at the time of the Board of Director's approval of the execution of the initial agreement providing for such Transaction (any Transaction which satisfies all of the criteria specified in (A), (B), and (C) above shall be deemed to be a "Non-Qualifying Transaction"). (e) "CIC Severance Multiple" shall mean two (2.0). (f) "COBRA" means the Consolidated Omnibus Budget Reconciliation Act of 1985, as amended. (g) "Code" means the Internal Revenue Code of 1986, as amended, and the rules and regulations promulgated thereunder. (h) "Compensation Committee" means the compensation committee of the board of directors of Company. (i) "Competitive Services" means engaging in the business of commercial and mortgage banking, including, without limitation, originating, underwriting, closing and selling loans, receiving deposits, as well as the business of providing any other activities, products, or services of the type routinely conducted, offered, or provided by Employer as of or during the two years immediately prior to the Date of Termination. (j) "Confidential Information" means any and all data and information relating to Employer, its activities, business, or clients that (i) is disclosed to Executive or of which Executive becomes aware because of Executive's employment with Employer; (ii) has value to Employer; and (iii) is not generally known outside of Employer. "Confidential Information" shall include, but is not limited to the following types of information regarding, related to, or concerning Employer: trade secrets (as defined by the Michigan Uniform Trade Secrets Act); financial plans and data; management planning information; business plans; operational methods; market studies; marketing plans or strategies; pricing information; product development techniques or plans; customer lists; customer files, data, and financial information; details of customer contracts; current and anticipated customer requirements; identifying and other information pertaining to business referral sources; past, current, and planned research and development; computer aided systems, software, strategies, and programs; business acquisition plans; management organization and related information (including, without limitation, data and other information concerning the compensation and benefits paid to officers, directors, employees, and management); personnel and compensation policies; new personnel acquisition plans; and other similar information. "Confidential Information" also includes combinations of information or materials which individually may be generally known outside of Employer, but for which the nature, method, or procedure for combining such information

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![](exhibit102-northpointech004.jpg)

4 LEGAL02/46213761v2 or materials is not generally known outside of Employer. In addition to data and information relating to Employer, "Confidential Information" also includes any and all data and information relating to or concerning a third party that otherwise meets the definition set forth above, that was provided or made available to Employer by such third party, and that Employer has a duty or obligation to keep confidential. This definition shall not limit any definition of "confidential information" or any equivalent term under state or federal law. "Confidential Information" shall not include information that has become generally available to the public by the act of one who has the right to disclose such information without violating any right or privilege of Employer. (k) "Date of Termination" means: (i) if Executive's employment is terminated other than by reason of death or Disability, the date of delivery of the Notice of Termination, or any later date specified in such Notice of Termination, or (ii) if Executive's employment is terminated by reason of death or Disability, the Date of Termination will be the date of death or the Disability Effective Date, as the case may be. (l) "Disability" means a condition for which benefits would be payable under any long-term disability coverage (without regard to the application of any elimination period requirement) then provided to Executive by Employer or, if no such coverage is then being provided, the inability of the Executive to perform the essential functions of Executive's job with Employer (as specified in this Agreement), with or without reasonable accommodation, for a period of at least 180 consecutive days as certified by a physician chosen by Executive and reasonably acceptable to the Employer. Notwithstanding the provisions in this Section 1(l), Disability for purposes of this Agreement must also be a disability within the meaning of Code Section 409A(a)(2)(A)(ii) and 409A(a)(2)(C) and Treas. Reg. Section 1.409A- 3(a)(2). (m) "Effective Date" means June 26, 2025. (n) "Employer" means Company and Bank, collectively. (o) "Excise Tax" means any excise tax imposed by Section 4999 of the Code. (p) "FDIC" means the Federal Deposit Insurance Corporation. (q) "Good Reason" shall mean, in the context of the termination of this Agreement by Executive: (i) a material diminution in Executive's title, authority, duties, or responsibilities which is not consented to by Executive in writing; (ii) a material diminution in Executive's base compensation (which includes Executive's Base Salary and Executive's incentive opportunities described in Section 4(b) hereof) which is not consented to by Executive in writing or made as part of across-the-board compensation reductions affecting all or substantially all similarly-situated employees; (iii) a change in the location of Executive's primary office such that Executive is required to report regularly to an office located outside of a 50-mile radius from the location of Executive's primary office as of the Effective Date, which change is not consented to by Executive in writing; (iv) a material breach of the terms of this Agreement by Employer; or

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5 LEGAL02/46213761v2 (v) Employer's failure to renew the Term. (r) "Material Contact" means contact between Executive and a customer or potential customer of Company or Bank (i) with whom or which Executive has or had substantive dealings on behalf of Company or Bank; (ii) whose dealings with Company or Bank are or were coordinated or supervised by Executive; or (iii) about whom Executive obtains Confidential Information in the ordinary course of business as a result of Executive's employment with Employer. (s) "Non-CIC Severance Multiple" shall mean one and one-half (1.5). (t) "Notice of Termination" shall mean a written notice delivered by a Party in connection with the termination of this Agreement which (i) indicates the specific termination provision in this Agreement relied upon for such termination, (ii) to the extent applicable, sets forth in reasonable detail the facts and circumstances claimed to provide a basis for termination under the provision so indicated, and (iii) specifies the Date of Termination. (u) "Parachute Value" of a Payment means the present value as of the date of the Change in Control of the portion of such Payment that constitutes a "parachute payment" under Section 280G(b)(2) of the Code, as determined by the Determination Firm (as defined in Section 10(b)) for purposes of determining whether and to what extent the Excise Tax will apply to such Payment. (v) "Payment" shall mean any benefit, payment, or distribution made or given by Employer to or for the benefit of Executive (whether paid or payable or distributed or distributable pursuant to the terms of this Agreement or otherwise). (w) "Person" means any individual or any corporation, partnership, joint venture, limited liability company, association, or other entity or enterprise. (x) "Principal or Representative" means a principal, owner, partner, shareholder, joint venturer, investor, member, trustee, director, officer, manager, employee, agent, representative, or consultant. (y) "Protected Customer" means any Person to whom Company or Bank has sold its products or services or actively solicited to sell its products or services, and with whom Executive has had Material Contact during the last 24 months of his employment with Employer. (z) "Protected Work" means any and all ideas, inventions, formulas, Confidential Information, source codes, object codes, techniques, processes, concepts, systems, programs, software, software integration techniques, hardware systems, schematics, flow charts, computer data bases, client lists, trademarks, service marks, brand names, trade names, compilations, documents, data, notes, designs, drawings, technical data, and/or training materials, including improvements thereto or derivatives therefrom, whether or not patentable, and whether or not subject to copyright or trademark or trade secret protection, conceived, developed or produced by Executive, or by others working with Executive or under the direction of Executive, during the period of Executive's employment, or conceived, produced or used or intended for use by or on behalf of Employer or its customers, but not including any such ideas, concepts, inventions, or similar processes conceived, developed or produced by Executive that are rejected by Employer.

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6 LEGAL02/46213761v2 (aa) "Restricted Period" means a period of twelve (12) months following the Date of Termination. (bb) "Restricted Territory" means a radius of 50 miles from the Bank's headquarters office in Grand Rapids, Michigan. (cc) "Restrictive Covenants" means the restrictive covenants contained in Section 7(b) through 7(j) hereof. (dd) "Severance Formula" means the sum of (A) Executive's then current Base Salary (or, in the case of a termination for Good Reason as defined in Section 1(q)(ii), the Base Salary in effect immediately prior to the diminution in Base Salary giving rise to termination), plus (B) the Monthly Incentive Compensation plus the Annual Incentive Compensation, if any, received by Executive for the fiscal year immediately preceding the fiscal year in which the Date of Termination occurs. 2. Effective Date; Term. Upon the terms and subject to the conditions set forth in this Agreement, Employer hereby employs Executive, and Executive hereby accepts such employment, for the term commencing on the Effective Date and, unless otherwise earlier terminated pursuant to Section 5 hereof, the close of business on the third anniversary of the Effective Date (the "Initial Term"). The Initial Term and any and all renewal terms, if any, are referred to together herein as the "Term." The third anniversary of the Effective Date is referred to herein as the "Term End Date." Beginning on the initial Term End Date and on each subsequent anniversary of the Term End Date thereafter, the Term shall, without further action by Executive or Employer, be extended by an additional one-year period; provided, however, that either Employer or Executive may cause the Term to cease to extend automatically, by giving written notice to the other not less than 90 days prior to the scheduled expiration of the Term. 3. Employment; Extent of Service. (a) Executive is hereby employed on the Effective Date as President, Bank Mortgage Purchase Program business unit (the "MPP"). Executive shall have the duties, responsibilities, and authority commensurate with such position and such other duties as may be assigned by the Chief Executive Officer. During the Term of this Agreement and excluding any periods of vacation or sick leave to which Executive is entitled, Executive agrees to (i) devote substantially all of Executive's business effort, time, energy, and skill to the business of Employer; (ii) faithfully, loyally, and diligently perform such duties; and (iii) diligently follow and implement all lawful management policies and decisions of Employer that are communicated to Executive. During the Term of this Agreement, Executive shall not, without the consent of Employer, be engaged in or provide services to any other business or enterprise (whether engaged in for profit or not) which interferes with his obligations to Employer under this Agreement. Executive will report directly to the Chief Executive Officer of the Company. (b) The Parties agree that, effective as of the Effective Date, the Prior Agreement shall be terminated and be null and void. 4. Compensation and Benefits. For the avoidance of doubt, the compensation and benefits provided under this Section 4 shall be in consideration of services rendered to both Company and Bank. (a) Base Salary. During the Term, Bank shall pay to Executive a base salary at the rate of $175,000 per year ("Base Salary"), less normal withholdings, payable in accordance with Bank's payroll practices. The Compensation Committee shall review Executive's Base Salary annually and may increase the Base Salary based on such review, but may not decrease the Base Salary unless (i) Executive consents in

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7 LEGAL02/46213761v2 writing to such decrease, or (ii) such decrease is made as part of across-the-board salary reductions affecting all or substantially all similarly- situated employees. Such adjusted salary then shall become Executive's Base Salary for purposes of this Agreement. (b) Incentive Compensation. During the Term, Executive shall have an opportunity to receive incentive compensation equal (i) to four percent (4%) of the [monthly] net income of the MPP, as calculated by Bank in its sole discretion and payable monthly (the "Monthly Incentive Compensation"); and (ii) if the net income of the MPP for any calendar year during the Term is at least $1,000,000, an additional incentive bonus equal to one percent (1%) of such annual net income of the MPP (the "Annual Incentive Compensation"); provided, however, that if there is a net loss with respect to the MPP for any period, then no Monthly Incentive Compensation or Annual Incentive Compensation shall be earned or payable unless and until the net income of the MPP is sufficient to offset the prior net loss. If, after any payment is made pursuant to this paragraph, there is a restatement or redetermination of the net income on which the bonus was calculated, then there shall be an adjustment (either a reduction in future compensation payable to Executive or an additional payment to Executive) such that the total payment(s) made to Executive pursuant to this Section 4(b) equals the applicable percentage of the actual net income of the MPP. Bank's calculation of the net income of the MPP shall be final and binding on Employee, absent manifest error. Executive must be employed by Company and/or Bank on December 31 of the calendar year for which the Annual Incentive Compensation is earned, and any such earned Annual Incentive Compensation will be paid by March 15 of the year following the year for which it is earned. (c) Long-Term Incentive Plans. During the Term, Executive shall be entitled to participate in any long-term equity incentive ("LTI") plans available to other Peer Executives, and on the same basis as such Peer Executives, subject to eligibility requirements and terms and conditions of each such plan; provided that nothing herein shall limit the ability of Company and/or Bank to amend, modify or terminate any such plans at any time and from time to time. The terms and conditions of Executive's LTI award, including but not limited to vesting criteria, shall be determined by the Compensation Committee in its sole discretion. (d) Retirement Plans. During the Term, Executive shall be entitled to participate in any retirement plans available to other Peer Executives, and on the same basis as such Peer Executives, subject to eligibility requirements and terms and conditions of each such plan; provided that nothing herein shall limit the ability of Bank to amend, modify, or terminate any such plans at any time and from time to time. (e) Welfare Benefit Plans. During the Term, Executive and Executive's eligible dependents shall be eligible for participation in the welfare benefit plans, practices, policies, and programs provided by Bank, if any, to the extent available to other Peer Executives and subject to eligibility requirements and terms and conditions of each such plan; provided that nothing herein shall limit the ability of Bank to amend, modify, or terminate any such benefit plans, policies, or programs at any time and from time to time. (f) Expenses. During the Term, and subject to Section 12 hereof, Executive shall be entitled to receive prompt reimbursement for all reasonable expenses incurred by Executive in the course of performing Executive's duties and responsibilities under this Agreement, in accordance with the policies, practices, and procedures of Bank to the extent available to other Peer Executives with respect to travel and other business expenses. 5. Termination of Employment. For the avoidance of doubt, if Executive's employment with Company terminates for any reason under this Section 5, Executive's employment with Bank shall be deemed terminated for the same reason, and if Executive's employment with Company terminates for any

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8 LEGAL02/46213761v2 reason under this Section 5, Executive's employment with Bank shall be deemed terminated for the same reason. (a) Termination upon Death. Executive's employment shall terminate automatically upon Executive's death. For the avoidance of doubt, termination of Executive's employment upon the death of Executive under this Section 5(a) shall not be considered a termination without Cause that would entitle Executive to severance under Section 6(a) or (c). (b) Termination by Employer. Employer may terminate Executive's employment during the Term with or without Cause on written notice to Executive, provided that the written notice of termination with respect to a termination without Cause shall be provided at least 30 days prior to the effective date of such termination. (c) Termination by Executive. Executive's employment may be terminated by Executive: (i) at any time for Good Reason, provided that (A) before terminating this Agreement and Executive's employment for Good Reason, (1) Executive shall give notice to Employer of the existence of Good Reason for termination, which notice must be given by Executive to Employer within 90 days of Executive's discovery of the existence of the condition(s) giving rise to Good Reason for termination and shall state with reasonable detail the condition(s) giving rise to Good Reason for termination, and (2) Employer shall have 60 days from the date of receipt of such notice to remedy the condition(s) giving rise to Good Reason for termination; and (B) such termination must occur within 12 months of the initial existence of the condition(s) giving rise to Good Reason for termination; or (ii) at any time without Good Reason, provided that Executive shall give Employer at least 30 days prior written notice of Executive's intent to terminate. (d) Notice of Termination. Any termination by Company and/or Bank with or without Cause and any termination by Executive shall be communicated by Notice of Termination to the other Party(is) hereto given in accordance with Section 16(e) of this Agreement. The failure by Company and/or Bank to set forth in the Notice of Termination any fact or circumstance which contributes to a showing of Cause shall not waive any right of Company and/or Bank hereunder or preclude the Company and/or Bank from asserting such fact or circumstance in enforcing its rights hereunder. The failure by Executive to set forth in the Notice of Termination any fact or circumstance which contributes to a showing of Good Reason shall not waive any right of Executive hereunder or preclude Executive from asserting such fact or circumstance in enforcing its rights hereunder. 6. Obligations of Employer upon Termination. During the Term, if Executive's employment terminates for any reason, then Bank shall pay or provide to Executive or Executive's estate, if applicable, (i) in a lump sum in cash within 30 days after the Date of Termination, the exact payment date to be determined by Bank, Executive's Base Salary through the Date of Termination to the extent not theretofore paid (the "Accrued Salary"), and (ii) to the extent not theretofore paid or provided, any other amounts or benefits required to be paid or provided or which Executive is eligible to receive under any plan, program, policy, practice, contract, or agreement of Bank and its affiliated companies and in accordance with the terms thereof, including, but not limited to, any expense reimbursements and accrued but unused vacation (which shall be paid out, if at all, in accordance with Bank's then current written policy regarding accrual and payment for unused vacation pay) (the "Other Benefits"). (a) Resignation for Good Reason; Termination Other Than for Cause, Death, or

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9 LEGAL02/46213761v2 Disability. During the Term, if (x) Employer terminates Executive's employment other than for Cause, death, or Disability, or (y) Executive terminates employment for Good Reason, then, in addition to Accrued Salary and Other Benefits, and subject to Section 6(d) hereof: (i) Bank shall pay to Executive an amount equal to the Non-CIC Severance Multiple times the Severance Formula, payable in approximately equal monthly installments during the 18-month period following the Date of Termination, commencing on the first payroll date to occur after the 60th day following the Date of Termination; provided that the first such payment shall consist of all amounts payable to Executive pursuant to this Section 6(a)(i) between the Date of Termination and the first payroll date to occur after the 60th day following the Date of Termination; and (ii) if Executive elects to continue participation in any group medical, dental, vision, and/or prescription drug plan benefits to which Executive and/or Executive's eligible dependents would be entitled under COBRA, then for a period of 18 months after the Date of Termination (the "Health Benefits Continuation Period"), Bank shall pay to Executive an amount in cash equal to the COBRA cost of such coverage; provided, however, that (1) that if Executive becomes eligible to receive medical benefits under a program of a subsequent employer or otherwise (including coverage available to Executive's spouse through the spouse's employer), Bank's obligation to pay any portion of the cost of health coverage as described herein shall cease, except as otherwise provided by law; (2) the Health Benefits Continuation Period shall run concurrently with any period for which Executive is eligible to elect health coverage under COBRA; (3) the Bank-paid portion of the monthly premium for such group health benefits, determined in accordance with Code Section 4980B and the regulations thereunder, shall be treated as taxable compensation by including such amount in Executive's income in accordance with applicable rules and regulations; (4) during the Health Benefits Continuation Period, the benefits provided in any one calendar year shall not affect the amount of benefits provided in any other calendar year (other than the effect of any overall coverage benefits under the applicable plans); (5) the reimbursement of an eligible taxable expense shall be made as soon as practicable but not later than December 31 of the year following the year in which the expense was incurred; and (6) Executive's rights pursuant to this Section 6(a)(ii) shall not be subject to liquidation or exchange for another benefit. The benefit described in this Section 6(a)(ii) is referred to as the "Health Coverage Benefit." (b) Termination for Cause; Resignation by Executive other than Resignation for Good Reason; Death; Disability. If during the Term Executive's employment is terminated by Employer for Cause, by Executive other than for Good Reason, or in the event of Executive's death or Disability, then Employer shall have no further obligations to Executive or Executive's legal representatives under this Agreement, other than for Accrued Salary and Other Benefits, as applicable. (c) Termination following a Change in Control. If, within 12 months following a Change in Control, (x) Employer (or any successor to Employer) terminates Executive's employment other than for Cause, or (y) Executive terminates employment for Good Reason, then, in addition to Accrued Salary and Other Benefits, as applicable, and subject to Section 6(d) hereof and in lieu of any amounts under Section 6(a) hereof: (i) Bank (or its successor) shall pay to Executive an amount equal to the CIC Multiple times the Severance Formula, payable in a lump sum in cash on the 60th day following the Date of Termination; and (ii) if Executive elects to continue participation in any group medical, dental,

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10 LEGAL02/46213761v2 vision and/or prescription drug plan benefits to which Executive and/or Executive's eligible dependents would be entitled under COBRA, then during the Health Benefits Continuation Period, Bank (or its successor) shall pay to Executive the Health Coverage Benefit. (d) Release of Claims; Restrictive Covenants. Notwithstanding the foregoing, Bank shall be obligated to provide the amounts and benefits in Sections 6(a) and (c) hereof, as applicable, only if (A) within 45 days after the Date of Termination Executive shall have executed a separation and full release of claims/covenant not to sue in the form provided by the Company (the "Release Agreement") and such Release Agreement shall not have been revoked within the revocation period specified in the Release Agreement, and (B) Executive fully complies with the obligations set forth in Section 7 hereof. For the avoidance of doubt, if Executive does not comply with the obligations set forth in Section 7 hereof, then payment of the amounts and benefits in Sections 6(a) and (c) hereof, as applicable, shall cease immediately upon Executive's breach thereof. (e) Resignations. If Executive is a member of the board of directors of Company, the board of directors of Bank, or the board of directors of any subsidiary of Company or Bank, then termination of Executive's employment hereunder for any reason whatsoever shall constitute Executive's resignation from such boards of directors and as resignation as an officer of Bank, Company, and of any of the subsidiaries for which Executive serves as an officer. 7. Restrictive Covenants. For the avoidance of doubt, the Restrictive Covenants contained in this Section 7, as well as any other provisions of this Agreement necessary to interpret or enforce the Restrictive Covenants, shall survive termination of this Agreement and/or termination of Executive's employment for any reason, and shall continue to be in full force and effect in accordance with their terms. (a) Acknowledgments. (i) Condition of Employment and Other Consideration. Executive acknowledges and agrees that Executive has received good and valuable consideration for entering into this Agreement. (ii) Access to Confidential Information, Relationships, and Goodwill. Executive acknowledges and agrees that Executive is being provided and entrusted with Confidential Information, including highly confidential customer information that is subject to extensive measures to maintain its secrecy by Employer, is not known in the trade or disclosed to the public, and would materially harm Employer's legitimate business interests if it was disclosed or used in violation of this Agreement. Executive also acknowledges and agrees that Executive is being provided and entrusted with access to Employer's customer and employee relationships and goodwill. Executive further acknowledges and agrees that the Employer would not provide access to the Confidential Information, customer and employee relationships, and goodwill in the absence of Executive's execution of and compliance with this Agreement. Executive further acknowledges and agrees that the Employer's Confidential Information, customer and employee relationships, and goodwill are valuable assets of Employer and are legitimate business interests that are properly subject to protection through the covenants contained in this Agreement. (iii) Potential Unfair Competition. Executive acknowledges and agrees that as a result of Executive's employment with Employer, Executive's knowledge of and access to Confidential Information, and relationships with Employer's customers and employees, Executive would have an unfair competitive advantage if Executive were to engage in activities in violation of this Agreement.

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11 LEGAL02/46213761v2 (iv) Voluntary Execution. Executive acknowledges and affirms that Executive has executed this Agreement voluntarily, has read this Agreement carefully, and had a full and reasonable opportunity to consider this Agreement (including an opportunity to consult with legal counsel), and that Executive has not been pressured or in any way coerced, threatened, or intimidated into signing this Agreement. (b) Restriction on Disclosure and Use of Confidential Information. Executive agrees that Executive shall not, directly or indirectly, use any Confidential Information on Executive's own behalf or on behalf of any Person other than Employer, or reveal, divulge, or disclose any Confidential Information to any Person not expressly authorized by Employer to receive such Confidential Information. This obligation shall remain in effect for as long as the information or materials in question retain their status as Confidential Information. Executive further agrees to fully cooperate with Employer in maintaining the Confidential Information to the extent permitted by law. The Parties acknowledge and agree that this Agreement is not intended to, and does not, alter either Employer's rights or Executive's obligations under any state or federal statutory or common law regarding trade secrets and unfair trade practices. Anything herein to the contrary notwithstanding, Executive shall not be restricted from disclosing information that is required to be disclosed by law, court order, or other valid and appropriate legal process; provided, however, that in the event such disclosure is required by law, Executive shall provide Employer with prompt notice of such requirement so that Employer may seek an appropriate protective order prior to any such required disclosure by Executive. Executive understands and acknowledges that nothing in this section limits Executive's ability to report possible violations of federal, state, or local law or regulation to any governmental agency or entity; to communicate with any government agencies or otherwise participate in any investigation or proceeding that may be conducted by any government agencies in connection with any charge or complaint, whether filed by Executive, on Executive's behalf, or by any other individual; or to make other disclosures that are protected under the whistleblower provisions of federal, state, or local law or regulation, and Executive shall not need the prior authorization of Employer to make any such reports or disclosures and shall not be required to notify Employer that Executive has made such reports or disclosures. In addition, and anything herein to the contrary notwithstanding, Executive is hereby given notice that Executive shall not be criminally or civilly liable under any federal or state trade secret law for disclosing a trade secret (as defined by 18 U.S.C. § 1839) in confidence to a federal, state, or local government official, either directly or indirectly, or to an attorney, in either event solely for the purpose of reporting or investigating a suspected violation of law; or disclosing a trade secret (as defined by 18 U.S.C. § 1839) in a complaint or other document filed in a lawsuit or other proceeding, if such filing is made under seal. (c) Non-Competition. Except as provided herein, Executive agrees that, during the Restricted Period, Executive will not, without prior written consent of Employer, directly or indirectly (i) carry on or engage in Competitive Services within the Restricted Territory on Executive's own behalf or on behalf of any Person or any Principal or Representative of any Person, or (ii) own, manage, operate, control or participate in the ownership, management, operation or control of any business, whether in corporate, proprietorship, or partnership form or otherwise, where such business is engaged in the provision of Competitive Services within the Restricted Territory; provided that nothing herein shall prohibit Executive from being a passive owner of not more than five percent of the outstanding securities of any publicly traded company engaged in the Competitive Services, so long as Executive does not serve on the board of directors of such company and does not engage in the management of such company. (d) Non-Solicitation of Protected Customers. Executive agrees that, during the Restricted Period, Executive shall not, without the prior written consent of Employer, directly or indirectly, on Executive's own behalf or as a Principal or Representative of any Person, solicit, divert, or attempt to solicit or divert a Protected Customer for the purpose of engaging in, providing, or selling Competitive Services.

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12 LEGAL02/46213761v2 (e) Non-Recruitment of Employees and Independent Contractors. Executive agrees that during the Restricted Period, Executive shall not, without the prior written consent of Employer, directly or indirectly, whether on Executive's own behalf or as a Principal or Representative of any Person, solicit or induce or attempt to solicit or induce any employee or individual independent contractor of Employer to terminate an employment relationship with Employer or to enter into employment or independent contractor relationship with Executive or any such other Person. Notwithstanding the foregoing, the provisions of this Section 7(e) shall not be violated by general advertising or solicitation not specifically targeted at employees or independent contractor of Employer, or actions taken by any person or entity with which Executive is associated if Executive is not personally involved in any manner in the matter and has not identified such employee for soliciting or hiring and has not provided any information regarding the employee's qualifications. (f) Proprietary Rights. (i) Ownership and Assignment of Protected Works. Executive agrees that any and all Confidential Information and Protected Works are the sole property of Employer, and that no compensation in addition to Executive's compensation hereunder is due to Executive for development or transfer of such Protected Works. Executive agrees that Executive shall promptly disclose in writing to Employer the existence of any Protected Works. Executive hereby assigns and agrees to assign all of Executive's rights, title, and interest in any and all Protected Works, including all patents or patent applications, and all copyrights therein, to Employer. Executive shall not be entitled to use Protected Works for Executive's own benefit or the benefit of anyone except Employer without written permission from Employer and then only subject to the terms of such permission. Executive further agrees that Executive will communicate to Employer any facts known to Executive and testify in any legal proceedings, sign all lawful papers, make all rightful oaths, execute all divisionals, continuations, continuations-in-part, foreign counterparts, or reissue applications, all assignments, all registration applications, and all other instruments or papers to carry into full force and effect the assignment, transfer, and conveyance hereby made or to be made and generally do everything possible for title to the Protected Works and all patents or copyrights or trademarks or service marks therein to be clearly and exclusively held by Employer. Executive agrees that Executive will not oppose or object in any way to applications for registration of Protected Works by Employer or others designated by Employer. Executive agrees to exercise reasonable care to avoid making Protected Works available to any third party and shall be liable to Employer for all damages and expenses, including reasonable attorneys' fees, if Protected Works are made available to third parties by Executive without the express written consent of Employer. Anything herein to the contrary notwithstanding, Executive will not be obligated to assign to Employer any Protected Work for which no equipment, supplies, facilities, or Confidential Information of Employer was used and which was developed entirely on Executive's own time, unless (A) the invention relates (1) directly to the business of Employer, or (2) to the Employer's actual or demonstrably anticipated research or development; or (B) the invention results from any work performed by Executive for Employer. Executive likewise will not be obligated to assign to Employer any Protected Work that is conceived by Executive after Executive leaves the employ of Employer, except that Executive is so obligated if the same relates to or is based on Confidential Information to which Executive had access by virtue of employment with Employer. Similarly, Executive will not be obligated to assign any Protected Work to Employer that was conceived and reduced to practice prior to Executive's employment with Employer, regardless of whether such Protected Work relates to or would be useful in the business of Employer. Executive acknowledges and agrees that there are no Protected Works conceived and reduced to practice by Executive prior to his employment with Employer.

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13 LEGAL02/46213761v2 (ii) No Other Duties. Executive acknowledges and agrees that there is no other contract or duty on the part of Executive now in existence to assign Protected Works to anyone other than Employer. (iii) Works Made for Hire. Employer and Executive acknowledge that in the course of Executive's employment with Employer, Executive may from time to time create for Employer copyrightable works. Such works may consist of manuals, pamphlets, instructional materials, computer programs, software, software integration techniques, software codes, and data, technical data, photographs, drawings, logos, designs, artwork, or other copyrightable material, or portions thereof, and may be created within or without Employer's facilities and before, during or after normal business hours. All such works related to or useful in the business of Employer are specifically intended to be works made for hire by Executive, and Executive shall cooperate with Employer in the protection of Employer's copyrights in such works and, to the extent deemed desirable by Employer, the registration of such copyrights. (g) Return of Materials. Executive agrees to not retain or destroy (except as set forth below), and to immediately return to Employer on or prior to the Date of Termination, or at any other time Employer requests such return, any and all property of Employer that is the possession of Executive or subject to Executive's control, including, but not limited to, keys, credit and identification cards, equipment, customer files and information, papers, drawings, notes, manuals, specifications, designs, devices, code, email, documents, diskettes, CDs, tapes, keys, access cards, credit cards, identification cards, computers, mobile devices, other electronic media, all other files and documents relating to Employer and its business (regardless of form, but specifically including all electronic files and data of Employer), together with all Protected Works and Confidential Information belonging to Employer or that Executive received from or through his employment with Employer. Executive will not make, distribute, or retain copies of any such information or property. To the extent that Executive has electronic files or information in Executive's possession or control that belong to Employer, contain Confidential Information, or constitute Protected Works (specifically including but not limited to electronic files or information stored on personal computers, mobile devices, electronic media, or in cloud storage), on or prior to the Date of Termination, or at any other time Employer requests, Executive shall (i) provide Employer with an electronic copy of all of such files or information (in an electronic format that readily accessible by Employer); (ii) after doing so, delete all such files and information, including all copies and derivatives thereof, from all non- Employer-owned computers, mobile devices, electronic media, cloud storage, and other media, devices, and equipment, such that such files and information are permanently deleted and irretrievable; and (iii) provide a written certification to Employer that the required deletions have been completed and specifying the files and information deleted and the media source from which they were deleted. (h) Enforcement of Restrictive Covenants. For the avoidance of doubt, nothing in this Section 7(i) limits the remedies available to Employer under Section 14 hereof. (i) Rights and Remedies Upon Breach. The Parties specifically acknowledge and agree that the remedy at law for any breach of the Restrictive Covenants will be inadequate, and that in the event Executive breaches any of the Restrictive Covenants, Employer shall have the right and remedy, without the necessity of proving actual damage or posting any bond, to enjoin, preliminarily and permanently, Executive from violating the Restrictive Covenants and to have the Restrictive Covenants specifically enforced by any court of competent jurisdiction, it being agreed that any breach of the Restrictive Covenants would cause irreparable injury to Employer and that money damages would not provide an adequate remedy to Employer. Executive understands and agrees that if he materially violates any of the obligations set forth in the Restrictive Covenants, the Restricted Period shall cease to run during the pendency of any litigation over such violation, provided that such litigation was initiated during the Restricted Period. If Employer does not

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14 LEGAL02/46213761v2 substantially prevail in such litigation, the Restricted Period shall be deemed to have continued to run during the litigation. Such rights and remedies shall be in addition to, and not in lieu of, any other rights and remedies available to Employer at law or in equity. Employer's ability to enforce its rights under the Restrictive Covenants or applicable law against Executive shall not be impaired in any way by the existence of a claim or cause of action on the part of Executive based on, or arising out of, this Agreement or any other event or transaction. (ii) Severability and Modification of Covenants. Executive acknowledges and agrees that each of the Restrictive Covenants is reasonable and valid in time and scope and in all other respects. The Parties agree that it is their intention that the Restrictive Covenants be enforced in accordance with their terms to the maximum extent permitted by law. Each of the Restrictive Covenants shall be considered and construed as a separate and independent covenant. should any part or provision of any of the Restrictive Covenants, or any other provision of this Section 7, be held invalid, void, or unenforceable, such invalidity, voidness, or unenforceability shall not render invalid, void, or unenforceable any other part or provision of this Agreement or such Restrictive Covenant. If any of the provisions of the Restrictive Covenants should ever be held by a court of competent jurisdiction to exceed the scope permitted by the applicable law, such provision or provisions shall be automatically modified to such lesser scope as such court may deem just and proper for the reasonable protection of Employer's legitimate business interests and may be enforced by Employer to that extent in the manner described above and all other provisions of this Agreement shall be valid and enforceable. (i) Existing Covenants. Executive represents and warrants that Executive's employment with Employer does not and will not breach any agreement that Executive has with any former employer to keep in confidence proprietary or confidential information or not to compete with any such former employer. Executive will not disclose to Employer or use on its behalf any proprietary or confidential information of any other party required to be kept confidential by Executive. (j) Disclosure of Agreement. Executive acknowledges and agrees that, during the Restricted Period, Executive will disclose the existence and terms of the Protective Covenants in Section 7 of this Agreement to any prospective employer or business partner, within the Restricted Territory prior to entering into an employment, partnership, or other business relationship with such prospective employer or business partner. Executive further agrees that Employer shall have the right to make any such prospective employer or business partner of Executive within the Restricted Territory aware of the existence and terms of the Protective Covenants in Section 7 of this Agreement. 8. Non-exclusivity of Rights. Nothing in this Agreement shall prevent or limit Executive's continuing or future participation in any employee benefit plan, program, policy, or practice provided by Employer and for which Executive may qualify, except as specifically provided herein. Amounts that are vested benefits or which Executive is otherwise entitled to receive under any plan, policy, practice, or program of Employer at or subsequent to the Date of Termination shall be payable in accordance with such plan, policy, practice, or program except as explicitly modified by this Agreement. 9. Full Settlement; No Mitigation. Employer's obligation to make the payments provided for in this Agreement and otherwise to perform its obligations hereunder shall not be affected by any set-off, counterclaim, recoupment, defense or other claim, right or action which Employer may have against Executive or others. In no event shall Executive be obligated to seek other employment or take any other action by way of mitigation of the amounts payable to Executive under any of the provisions of this Agreement and such amounts shall not be reduced whether or not Executive obtains other employment. For the avoidance of doubt, nothing in this Section 9 shall impact Employer's remedy of recoupment set forth in Section 14 hereof.

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15 LEGAL02/46213761v2 10. Mandatory Reduction of Payments in Certain Events. (a) Notwithstanding anything in this Agreement to the contrary, in the event it shall be determined that any Payment would, if paid, be subject to any Excise Tax, then, prior to the making of any Payments to or for the benefit of Executive, a calculation shall be made comparing (i) the net after-tax benefit to Executive of the Payments after payment by Executive of the Excise Tax, to (ii) the net after-tax benefit to Executive if the Payments had been limited to the extent necessary to avoid being subject to the Excise Tax. If the amount calculated under (i) above is less than the amount calculated under (ii) above, then the Payments shall be limited to the extent necessary to avoid being subject to the Excise Tax (the "Reduced Amount"). The reduction of the Payments due hereunder, if applicable, shall be made by first reducing cash Payments and then, to the extent necessary, reducing those Payments having the next highest ratio of Parachute Value to actual present value of such Payments as of the date of a Change in Control, as determined by the Determination Firm (as defined below). For purposes of this Section 10, present value shall be determined in accordance with Section 280G(d)(4) of the Code. (b) All determinations required to be made under this Section 10, including whether an Excise Tax would otherwise be imposed, whether the Payments shall be reduced, the amount of the Reduced Amount, and the assumptions to be utilized in arriving at such determinations, shall be made by a nationally recognized accounting firm or compensation consulting firm mutually acceptable to Employer and Executive (the "Determination Firm") which shall provide detailed supporting calculations to Employer and Executive within 15 business days after the receipt of notice from Executive that a Payment is due to be made, or such earlier time as is requested by Employer. All fees and expenses of the Determination Firm shall be borne solely by Employer. Any determination by the Determination Firm shall be binding upon Employer and Executive. As a result of the uncertainty in the application of Section 4999 of the Code at the time of the initial determination by the Determination Firm hereunder, it is possible that Payments which Executive was entitled to, but did not receive pursuant to Section 10(a), could have been made without the imposition of the Excise Tax ("Underpayment"), consistent with the calculations required to be made hereunder. In such event, the Determination Firm shall determine the amount of the Underpayment that has occurred and any such Underpayment shall be promptly paid by Employer to or for the benefit of Executive but no later than March 15 of the year after the year in which the Underpayment is determined to exist, which is when the legally binding right to such Underpayment arises. (c) In the event that the provisions of Code Section 280G and 4999 or any successor provisions are repealed without succession, this Section 10 shall be of no further force or effect. In the event the provisions of Code Section 280G and 4999 are modified, this Section 10 shall be modified accordingly. 11. Successors. (a) This Agreement is personal to Executive and shall not be assignable by Executive otherwise than by will or the laws of descent and distribution. This Agreement shall inure to the benefit of and be enforceable by Executive's legal representatives. (b) This Agreement can be assigned by Company and/or Bank only to a subsidiary or successor and shall be binding and inure to the benefit of Company and Bank, and their successors and assigns. The Company and/or Bank shall require any successor or assignee, whether direct or indirect, by purchase, merger, consolidation or otherwise, to all or substantially all the business or assets of the Bank, expressly and unconditionally to assume and agree to perform the Bank's obligations under this Agreement, in the same manner and to the same extent that the Bank would be required to perform if no such succession or assignment had taken place.

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16 LEGAL02/46213761v2 12. Code Section 409A. (a) General. This Agreement shall be interpreted and administered in a manner so that any amount or benefit payable hereunder shall be paid or provided in a manner that is either exempt from or compliant with the requirements of Section 409A of the Code and applicable Internal Revenue Service guidance and Treasury Regulations issued thereunder (and any applicable transition relief under Section 409A of the Code). Nevertheless, the tax treatment of the benefits provided under the Agreement is not warranted or guaranteed. Neither Company nor Bank, nor their directors, officers, employees, or advisers, shall be held liable for any taxes, interest, penalties, or other monetary amounts owed by Executive as a result of the application of Section 409A of the Code. (b) Definitional Restrictions. Notwithstanding anything in this Agreement to the contrary, to the extent that any amount or benefit that would constitute non-exempt "deferred compensation" for purposes of Section 409A of the Code ("Non-Exempt Deferred Compensation") would otherwise be payable or distributable hereunder, or a different form of payment of such Non-Exempt Deferred Compensation would be effected, such Non-Exempt Deferred Compensation will not be payable or distributable to Executive, and/or such different form of payment will not be effected, by reason of such circumstance unless the circumstances giving rise to such payment event meet any description or definition of "change in control event" or "separation from service," as the case may be, in Section 409A of the Code and applicable regulations (without giving effect to any elective provisions that may be available under such definition). This provision does not affect the dollar amount or prohibit the vesting of any Non- Exempt Deferred Compensation termination of employment, however defined. If this provision prevents the payment or distribution of any Non-Exempt Deferred Compensation, or the application of a different form of payment, then, subject to subsection (c) below, such payment or distribution shall be made at the time and in the form that would have applied absent the non- 409A-conforming event. (c) Six-Month Delay in Certain Circumstances. Notwithstanding anything in this Agreement to the contrary, if any amount or benefit that would constitute Non-Exempt Deferred Compensation would otherwise be payable or distributable under this Agreement by reason of Executive's separation from service during a period in which Executive is a specified employee (as determined by Employer in accordance with Section 409A of the Code and Treasury Regulations § 1.409A-3(i)(2)), then, subject to any permissible acceleration of payment by Employer under Treas. Reg. Section 1.409A- 3(j)(4)(ii) (domestic relations order), (j)(4)(iii) (conflicts of interest), or (j)(4)(vi) (payment of employment taxes): (i) the amount of such Non- Exempt Deferred Compensation that would otherwise be payable during the six- month period immediately following Executive's separation from service will be accumulated through and paid or provided on the first day of the seventh month following Executive's separation from service (or, if Executive dies during such period, within 30 days after Executive's death) (in either case, the "Required Delay Period"); and (ii) the normal payment or distribution schedule for any remaining payments or distributions will resume at the end of the Required Delay Period. (d) Treatment of Installment Payments. Each payment of termination benefits under this Agreement, including but not limited to Section 6, shall be considered a separate payment, as described in Treas. Reg. Section 1.409A-2(b)(2), for purposes of Section 409A of the Code. (e) Timing of Release of Claims. Whenever in this Agreement a payment or benefit is conditioned on Executive's execution of a release of claims, such release must be executed and all revocation periods shall have expired within 60 days after the Date of Termination; failing which such payment or benefit shall be forfeited. If such payment or benefit constitutes Non-Exempt Deferred Compensation, then such payment or benefit (including any installment payments) that would have otherwise been payable during such 60-day period shall be accumulated and paid on the 60th day after the Date of Termination provided such release shall have been executed and such revocation periods shall have

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17 LEGAL02/46213761v2 expired. If such payment or benefit is exempt from Section 409A of the Code, Employer may elect to make or commence payment at any time during such period. (f) Timing of Reimbursements and In-kind Benefits. If Executive is entitled to be paid or reimbursed for any taxable expenses under this Agreement, and such payments or reimbursements are includible in Executive's federal gross taxable income, the amount of such expenses reimbursable in any one calendar year shall not affect the amount reimbursable in any other calendar year, and the reimbursement of an eligible expense must be made no later than December 31 of the year after the year in which the expense was incurred. No right of Executive to reimbursement of expenses under this Agreement shall be subject to liquidation or exchange for another benefit. (g) Permitted Acceleration. Employer shall have the sole authority to make any accelerated distribution permissible under Treas. Reg. Section 1.409A-3(j)(4) to Executive of deferred amounts, provided that such distribution meets the requirements of Treas. Reg. Section 1.409A-3(j)(4). 13. Regulatory Action. (a) If Executive is removed and/or permanently prohibited from participating in the conduct of Bank's affairs by an order issued under Section 8(e)(4) or 8(g)(1) of the Federal Deposit Insurance Act ("FDIA") (12 U.S.C. 1818(e)(4) and (g)(1)), all obligations of Employer under this Agreement shall terminate, as of the effective date of such order. (b) If Executive is suspended and/or temporarily prohibited from participating in the conduct of Bank's affairs by a notice served under Section 8(e)(3) or 8(g)(1) of the FDIA (12 U.S.C. 1818(e)(3) and (g)(1)), all obligations of Employer under this Agreement shall be suspended as of the date of service, unless stayed by appropriate proceedings. If the charges in the notice are dismissed, Employer shall reinstate (in whole or in part) any of its obligations which were suspended. (c) If Bank is in default (as defined in Section 3(x)(1) of the FDIA), all obligations under this Agreement shall terminate as of the date of default. (d) All obligations under this Agreement shall be terminated, except to the extent a determination is made that continuation of the Agreement is necessary for the continued operation of Bank (1) by the director of the FDIC or his or her designee (the "Director"), at the time the FDIC enters into an agreement to provide assistance to or on behalf of Bank under the authority contained in 13(c) of the FDIA; or (2) by the Director, at the time the Director approves a supervisory merger to resolve problems related to operation of Bank when Bank is determined by the Director to be in an unsafe and unsound condition. 14. Compensation Recoupment Policy. Any incentive compensation, including, but not limited to, cash-based and equity-based compensation, awarded to Executive by Employer shall be subject to any written compensation recoupment policy that the Compensation Committee may adopt from time to time that is applicable by its terms to Executive, including, but not limited to, the Company's mandatory recoupment policy as required by the listing rules of The New York Stock Exchange. In addition, the Compensation Committee may specify in any written documentation memorializing an incentive award that Executive's rights, payments, and benefits with respect to such award shall be subject to reduction, cancellation, forfeiture, or recoupment upon the occurrence of certain specified events, in addition to any otherwise applicable conditions of such award. Such events may include, but shall not be limited to: (i) termination of employment for Cause, (ii) violation of material Company or Bank policies, (iii) breach of noncompetition, confidentiality, or other restrictive covenants, (iv) other conduct by Executive that is detrimental to the business or reputation of the Employer, or (v) a later determination that the amount realized from a performance-based award was based on materially inaccurate financial statements or any

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18 LEGAL02/46213761v2 other materially inaccurate performance metric criteria, whether or not Executive caused or contributed to such material inaccuracy. The reduction, cancellation, forfeiture, and recoupment rights associated with any equity awards or similar awards granted to Executive, if any, shall be as provided in the award certificate memorializing any such award. 15. Indemnification. Employer shall indemnify Executive for liabilities incurred by Executive while acting in good faith as an officer to the fullest extent provided for any other officer of Employer. To the extent that Employer maintains director and officer liability insurance, such insurance shall cover Executive to the same extent as any other officer of Employer. 16. Miscellaneous. (a) Applicable Law. Employer and Executive agree that this Agreement shall be governed by and construed and interpreted in accordance with the laws of the State of Michigan without giving effect to its conflicts of law principles. The Parties agree that the exclusive forum for any action to enforce this Agreement, as well as any action relating to or arising out of this Agreement, shall be the state or federal courts of the State of Michigan. With respect to any such court action, Employee hereby (a) irrevocably submits to the personal jurisdiction of such courts; (b) consents to venue; and (c) waives any other requirement (whether imposed by statute, rule of court, or otherwise) with respect to personal jurisdiction or venue. The Parties hereto further agree that the state and federal courts of the State of Michigan are convenient forums for any dispute that may arise herefrom and that neither party shall raise as a defense that such courts are not convenient forums. (b) Non-Duplication. Notwithstanding anything to the contrary in this Agreement, and except as specifically provided below, any severance payments or benefits received by Executive pursuant to this Agreement shall be in lieu of any general severance policy or other severance plan maintained by Employer (other than a stock option, restricted stock, share or unit, performance share or unit, supplemental retirement, deferred compensation, or similar plan or agreement which may contain provisions operative on a termination of Executive's employment or may incidentally refer to accelerated vesting or accelerated payment upon a termination of employment). (c) Captions. The captions of this Agreement are not part of the provisions hereof and shall have no force or effect. (d) Amendments. This Agreement may not be amended or modified otherwise than- by a written agreement executed by the Parties or their respective successors and legal representatives. (e) Notices. All notices and other communications hereunder shall be in writing and shall be given by hand delivery to the other Party(ies) or by registered or certified mail, return receipt requested, postage prepaid, addressed as follows: If to Executive: If to Company and/or Bank: On file with Bank 3333 Deposits Drive Northeast Grand Rapids, Michigan 49546 Attention: Chief Executive Officer or to such other address as a Party shall have furnished to the other Party(ies) in writing in accordance herewith. Notice and communications shall be effective when actually received by the addressee.

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19 LEGAL02/46213761v2 (f) Severability. The invalidity or unenforceability of any provision of this Agreement shall not affect the validity or enforceability of any other provision of this Agreement. (g) Withholding. Employer may withhold from any amounts payable under this Agreement such federal, state, local or foreign taxes as shall be required to be withheld pursuant to any applicable law or regulation. (h) Waivers. Failure of any Party to insist, in one or more instances, on performance by the other in strict accordance with the terms and conditions of this Agreement shall not be deemed a waiver or relinquishment of any right granted in this Agreement or of the future performance of any such term or condition or of any other term or condition of this Agreement, unless such waiver is contained in a writing signed by the Party making the waiver. (i) Entire Agreement. This Agreement contains the entire agreement between the Parties with respect to the subject matter hereof and, from and after the date hereof, this Agreement shall supersede any other agreement, written or oral, between the Parties relating to the subject matter of this Agreement, including but not limited to any prior discussions, understandings, letters, and/or agreements between the Parties, written or oral, at any time (expressly including, but not limited to, the Prior Agreement). (j) Construction. The Parties understand and agree that because they have been given the opportunity to have counsel review and revise this Agreement, the normal rule of construction to the effect that any ambiguities are to be resolved against the drafting Party shall not be employed in the interpretation of this Agreement. Instead, the language of all parts of this Agreement shall be construed as a whole, and according to its fair meaning, and not strictly for or against any Party. (k) Counterparts. This Agreement may be executed in two or more counterparts, each of which shall be deemed an original, but all of which taken together shall constitute one and the same instrument. (l) Survival. The rights and obligations of the Parties under Sections 7, 10, 12, 14, 15, 16 shall survive the expiration and/or termination of this Agreement and the termination of Executive's employment hereunder for the periods expressly designated in such sections or, if no such period is designated, for the maximum period permissible under applicable law. [signature page follows]

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20 LEGAL02/46213761v2 IN WITNESS WHEREOF, the Parties hereby signify their agreement to these terms by their signatures below, as of the Effective Date. EXECUTIVE David J. Christel NORTHPOINTE BANK Charles A. Williams Chief Executive Officer NORTHPOINTE BANCSHARES, INC. Charles A. Williams Chief Executive Officer

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## Exhibit 10.3

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1 LEGAL02/46201309v1 EMPLOYMENT AGREEMENT THIS EMPLOYMENT AGREEMENT (this "Agreement") is made and entered into this 26th day of June, 2025, by and among Northpointe Bancshares, Inc. ("Company"), Northpointe Bank ("Bank"), a wholly owned subsidiary of the Company, and Kevin J. Comps ("Executive"). Company, Bank, and Executive are sometimes referred to herein collectively as the "Parties," and each is sometimes referred to herein individually as a "Party." BACKGROUND WHEREAS, the Parties are currently party to an employment agreement dated as of October 1, 2020 (the "Prior Agreement"); WHEREAS, the Parties desire to enter a new employment agreement to memorialize the terms of Executive's employment; and WHEREAS, Employer and Executive desire to terminate the Prior Agreement effective as of the Effective Date. NOW, THEREFORE, in consideration of the payments, consents, and acknowledgements described below, in consideration of Executive's employment with Company and Bank, and in consideration of other good and valuable consideration, the receipt and sufficiency of all of which is hereby acknowledged, the Parties agree as follows: 1. Definitions. The following capitalized terms used in this Agreement shall have the meanings assigned to them below, which definitions shall apply to both the singular and the plural forms of such terms: (a) "Board of Directors" means, collectively, the board of directors of Company and the board of directors of Bank and, where appropriate, any committee or other designee thereof. (b) "Beneficial Owner" has the meaning given such term in Rule 13d-3 of the General Rules and Regulations promulgated under the Securities Exchange Act of 1934. (c) "Cause" means, in the context of the termination of this Agreement by Employer, a good faith determination by the Chief Executive Officer of Company that any of the following has occurred: (i) conduct by Executive that amounts to willful misconduct, gross neglect, or a material failure to perform Executive's duties and responsibilities hereunder, including prolonged absences without the consent of the Chief Executive Officer of Company unless otherwise excused by law or under Bank's leave policies; provided that the nature of such conduct shall be set forth in a written notice to Executive who shall have 30 business days following delivery of such notice to cure such alleged conduct, provided that such conduct is, in the reasonable discretion of the Chief Executive Officer of Company, susceptible to a cure; (ii) any willful violation of any material law, rule, or regulation applicable to banks or the banking industry generally (including but not limited to the regulations of the Board of Governors of the Federal Reserve, the FDIC, the Michigan Department of Insurance and Financial Institutions, or any other applicable regulatory authority);

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2 LEGAL02/46201309v1 (iii) the exhibition by Executive of a standard of behavior within the scope of or related to Executive's employment that is in violation of any written policy, board committee charter, or code of ethics or business conduct (or similar code) of Company or Bank to which Executive is subject; provided that the nature of such conduct shall be set forth with reasonable particularity in a written notice to Executive who shall have 30 business days following delivery of such notice to cure such alleged conduct, provided that such conduct is, in the reasonable discretion of the Chief Executive Officer of Company, susceptible to a cure; (iv) any act of fraud, misappropriation, or embezzlement by Executive, whether or not such act was committed in connection with the business of Company and/or Bank; (v) a material breach of this Agreement, including, without limitation, a breach of Section 7 hereof; provided that the nature of such breach shall be set forth with reasonable particularity in a written notice to Executive who shall have 30 business days following delivery of such notice to cure such breach, provided that such breach is, in the reasonable discretion of the Chief Executive Officer of Company, susceptible to a cure; or (vi) Executive's conviction of, or Executive's pleading guilty or nolo contendere to with respect to (a) a felony or a crime involving moral turpitude (including pleading guilty or nolo contendere to a felony or lesser charge which results from plea bargaining), whether or not such felony, crime, or lesser offense is connected with the business of Company and/or Bank, or (b) any crime in connection with the business of Company or Bank. (d) "Change in Control" means and includes any one of following events: (i) any Person becomes a Beneficial Owner, directly or indirectly, of 50% or more of the voting power of the then-outstanding securities of Company eligible to vote for the election of directors ("Company Voting Securities"); provided, however, that for purposes of this subsection (i), the following acquisitions of Company Voting Securities shall not constitute a Change in Control: (A) an acquisition directly or indirectly from the Company, including an acquisition by or through a broker, underwriter, or financial institution acquiring such securities as part of a firm commitment or similar underwriting or distribution process, (B) an acquisition by Company or Bank, (C) an acquisition by any employee benefit plan (or related trust) sponsored or maintained by Company or Bank, or (D) an acquisition pursuant to a Non-Qualifying Transaction (as defined in subsection (iii) below); or (ii) during any consecutive 12-month period, individuals who, at the beginning of such period, constitute Company's Board of Directors (the "Incumbent Directors") cease for any reason to constitute at least a majority of such Board of Directors, provided that any person becoming a director after the beginning of such 12-month period and whose election or nomination for election was approved by a vote of at least a majority of the Incumbent Directors then on the Board of Directors shall be an Incumbent Director; provided, however, that no individual initially elected or nominated as a director as a result of an actual or threatened election contest with respect to the election or removal of directors ("Election Contest") or other actual or threatened solicitation of proxies or consents by or on behalf of any Person other than the Board of Directors ("Proxy Contest"), including by reason of any agreement intended to avoid or settle any Election Contest or Proxy Contest, shall be deemed an Incumbent Director; or (iii) the consummation of a reorganization, merger, consolidation, statutory share exchange, or similar form of corporate transaction involving Company or Bank, the sale or other disposition of all or substantially all of Company's assets, or the acquisition of assets or stock

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3 LEGAL02/46201309v1 of another corporation or other entity (each, a "Transaction"), unless immediately following such Transaction: (A) all or substantially all of the individuals and entities who were the Beneficial Owners, respectively, of the outstanding Company Voting Securities immediately prior to such Transaction beneficially own, directly or indirectly, more than 50% of the voting power of the then- outstanding shares of voting securities of the entity resulting from such Transaction (including, without limitation, an entity which as a result of such Transaction owns Company or all or substantially all of Company's assets or stock either directly or through one or more subsidiaries, the "Surviving Entity") in substantially the same proportions as their ownership, immediately prior to such Transaction, of the outstanding Company Voting Securities, and (B) no person (other than (x) Company or Bank, (y) the Surviving Entity or its ultimate parent entity, or (z) any employee benefit plan (or related trust) sponsored or maintained by any of the foregoing) is the Beneficial Owner, directly or indirectly, of 50% or more of the total common stock or 50% or more of the total voting power of the outstanding voting securities eligible to elect directors of the Surviving Entity, and (C) at least a majority of the members of the board of directors of the Surviving Entity were Incumbent Directors at the time of the Board of Director's approval of the execution of the initial agreement providing for such Transaction (any Transaction which satisfies all of the criteria specified in (A), (B), and (C) above shall be deemed to be a "Non-Qualifying Transaction"). (e) "CIC Severance Multiple" shall mean two (2.0). (f) "COBRA" means the Consolidated Omnibus Budget Reconciliation Act of 1985, as amended. (g) "Code" means the Internal Revenue Code of 1986, as amended, and the rules and regulations promulgated thereunder. (h) "Compensation Committee" means the compensation committee of the board of directors of Company. (i) "Competitive Services" means engaging in the business of commercial and mortgage banking, including, without limitation, originating, underwriting, closing and selling loans, receiving deposits, as well as the business of providing any other activities, products, or services of the type routinely conducted, offered, or provided by Employer as of or during the two years immediately prior to the Date of Termination. (j) "Confidential Information" means any and all data and information relating to Employer, its activities, business, or clients that (i) is disclosed to Executive or of which Executive becomes aware because of Executive's employment with Employer; (ii) has value to Employer; and (iii) is not generally known outside of Employer. "Confidential Information" shall include, but is not limited to the following types of information regarding, related to, or concerning Employer: trade secrets (as defined by the Michigan Uniform Trade Secrets Act); financial plans and data; management planning information; business plans; operational methods; market studies; marketing plans or strategies; pricing information; product development techniques or plans; customer lists; customer files, data, and financial information; details of customer contracts; current and anticipated customer requirements; identifying and other information pertaining to business referral sources; past, current, and planned research and development; computer aided systems, software, strategies, and programs; business acquisition plans; management organization and related information (including, without limitation, data and other information concerning the compensation and benefits paid to officers, directors, employees, and management); personnel and compensation policies; new personnel acquisition plans; and other similar information. "Confidential Information" also includes combinations of information or materials which individually may be generally known outside of Employer, but for which the nature, method, or procedure for combining such information

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4 LEGAL02/46201309v1 or materials is not generally known outside of Employer. In addition to data and information relating to Employer, "Confidential Information" also includes any and all data and information relating to or concerning a third party that otherwise meets the definition set forth above, that was provided or made available to Employer by such third party, and that Employer has a duty or obligation to keep confidential. This definition shall not limit any definition of "confidential information" or any equivalent term under state or federal law. "Confidential Information" shall not include information that has become generally available to the public by the act of one who has the right to disclose such information without violating any right or privilege of Employer. (k) "Date of Termination" means: (i) if Executive's employment is terminated other than by reason of death or Disability, the date of delivery of the Notice of Termination, or any later date specified in such Notice of Termination, or (ii) if Executive's employment is terminated by reason of death or Disability, the Date of Termination will be the date of death or the Disability Effective Date, as the case may be. (l) "Disability" means a condition for which benefits would be payable under any long-term disability coverage (without regard to the application of any elimination period requirement) then provided to Executive by Employer or, if no such coverage is then being provided, the inability of the Executive to perform the essential functions of Executive's job with Employer (as specified in this Agreement), with or without reasonable accommodation, for a period of at least 180 consecutive days as certified by a physician chosen by Executive and reasonably acceptable to the Employer. Notwithstanding the provisions in this Section 1(l), Disability for purposes of this Agreement must also be a disability within the meaning of Code Section 409A(a)(2)(A)(ii) and 409A(a)(2)(C) and Treas. Reg. Section 1.409A- 3(a)(2). (m) "Effective Date" means June 26, 2025. (n) "Employer" means Company and Bank, collectively. (o) "Excise Tax" means any excise tax imposed by Section 4999 of the Code. (p) "FDIC" means the Federal Deposit Insurance Corporation. (q) "Good Reason" shall mean, in the context of the termination of this Agreement by Executive: (i) a material diminution in Executive's title, authority, duties, or responsibilities which is not consented to by Executive in writing; (ii) a material diminution in Executive's base compensation (which includes Executive's Base Salary and Target Annual Bonus opportunity) which is not consented to by Executive in writing or made as part of across-the-board compensation reductions affecting all or substantially all similarly-situated employees; (iii) a change in the location of Executive's primary office such that Executive is required to report regularly to an office located outside of a 50-mile radius from the location of Executive's primary office as of the Effective Date, which change is not consented to by Executive in writing; (iv) a material breach of the terms of this Agreement by Employer; or

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5 LEGAL02/46201309v1 (v) Employer's failure to renew the Term. (r) "Material Contact" means contact between Executive and a customer or potential customer of Company or Bank (i) with whom or which Executive has or had substantive dealings on behalf of Company or Bank; (ii) whose dealings with Company or Bank are or were coordinated or supervised by Executive; or (iii) about whom Executive obtains Confidential Information in the ordinary course of business as a result of Executive's employment with Employer. (s) "Non-CIC Severance Multiple" shall mean one and one half (1.5). (t) "Notice of Termination" shall mean a written notice delivered by a Party in connection with the termination of this Agreement which (i) indicates the specific termination provision in this Agreement relied upon for such termination, (ii) to the extent applicable, sets forth in reasonable detail the facts and circumstances claimed to provide a basis for termination under the provision so indicated, and (iii) specifies the Date of Termination. (u) "Parachute Value" of a Payment means the present value as of the date of the Change in Control of the portion of such Payment that constitutes a "parachute payment" under Section 280G(b)(2) of the Code, as determined by the Determination Firm (as defined in Section 10(b)) for purposes of determining whether and to what extent the Excise Tax will apply to such Payment. (v) "Payment" shall mean any benefit, payment, or distribution made or given by Employer to or for the benefit of Executive (whether paid or payable or distributed or distributable pursuant to the terms of this Agreement or otherwise). (w) "Person" means any individual or any corporation, partnership, joint venture, limited liability company, association, or other entity or enterprise. (x) "Principal or Representative" means a principal, owner, partner, shareholder, joint venturer, investor, member, trustee, director, officer, manager, employee, agent, representative, or consultant. (y) "Protected Customer" means any Person to whom Company or Bank has sold its products or services or actively solicited to sell its products or services, and with whom Executive has had Material Contact during the last 24 months of his employment with Employer. (z) "Protected Work" means any and all ideas, inventions, formulas, Confidential Information, source codes, object codes, techniques, processes, concepts, systems, programs, software, software integration techniques, hardware systems, schematics, flow charts, computer data bases, client lists, trademarks, service marks, brand names, trade names, compilations, documents, data, notes, designs, drawings, technical data, and/or training materials, including improvements thereto or derivatives therefrom, whether or not patentable, and whether or not subject to copyright or trademark or trade secret protection, conceived, developed or produced by Executive, or by others working with Executive or under the direction of Executive, during the period of Executive's employment, or conceived, produced or used or intended for use by or on behalf of Employer or its customers, but not including any such ideas, concepts, inventions, or similar processes conceived, developed or produced by Executive that are rejected by Employer.

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6 LEGAL02/46201309v1 (aa) "Restricted Period" means a period of twelve (12) months following the Date of Termination. (bb) "Restricted Territory" means a radius of 50 miles from the Bank's headquarters office in Grand Rapids, Michigan. (cc) "Restrictive Covenants" means the restrictive covenants contained in Section 7(b) through 7(j) hereof. (dd) "Severance Formula" means the sum of (A) Executive's then current Base Salary (or, in the case of a termination for Good Reason as defined in Section 1(q)(ii), the Base Salary in effect immediately prior to the diminution in Base Salary giving rise to termination), plus (B) the greater of Executive's Target Annual Bonus for the fiscal year in which the Date of Termination occurs or the average Annual Bonus received by Executive for the three fiscal years immediately preceding the fiscal year in which the Date of Termination occurs. 2. Effective Date; Term. Upon the terms and subject to the conditions set forth in this Agreement, Employer hereby employs Executive, and Executive hereby accepts such employment, for the term commencing on the Effective Date and, unless otherwise earlier terminated pursuant to Section 5 hereof, the close of business on the third anniversary of the Effective Date (the "Initial Term"). The Initial Term and any and all renewal terms, if any, are referred to together herein as the "Term." The third anniversary of the Effective Date is referred to herein as the "Term End Date." Beginning on the initial Term End Date and on each subsequent anniversary of the Term End Date thereafter, the Term shall, without further action by Executive or Employer, be extended by an additional one-year period; provided, however, that either Employer or Executive may cause the Term to cease to extend automatically, by giving written notice to the other not less than 90 days prior to the scheduled expiration of the Term. 3. Employment; Extent of Service. (a) Executive is hereby employed on the Effective Date as the President of Company and Bank. Executive shall have the duties, responsibilities, and authority commensurate with such position and such other duties as may be assigned by the Chief Executive Officer. During the Term of this Agreement and excluding any periods of vacation or sick leave to which Executive is entitled, Executive agrees to (i) devote substantially all of Executive's business effort, time, energy, and skill to the business of Employer; (ii) faithfully, loyally, and diligently perform such duties; and (iii) diligently follow and implement all lawful management policies and decisions of Employer that are communicated to Executive. During the Term of this Agreement, Executive shall not, without the consent of Employer, be engaged in or provide services to any other business or enterprise (whether engaged in for profit or not) which interferes with his obligations to Employer under this Agreement. Executive will report directly to the Chief Executive Officer of the Company. (b) The Parties agree that, effective as of the Effective Date, the Prior Agreement shall be terminated and be null and void. 4. Compensation and Benefits. For the avoidance of doubt, the compensation and benefits provided under this Section 4 shall be in consideration of services rendered to both Company and Bank. (a) Base Salary. During the Term, Bank shall pay to Executive a base salary at the rate of $400,000 per year ("Base Salary"), less normal withholdings, payable in accordance with Bank's payroll practices. The Compensation Committee shall review Executive's Base Salary annually and may increase the

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7 LEGAL02/46201309v1 Base Salary based on such review, but may not decrease the Base Salary unless (i) Executive consents in writing to such decrease, or (ii) such decrease is made as part of across-the-board salary reductions affecting all or substantially all similarly- situated employees. Such adjusted salary then shall become Executive's Base Salary for purposes of this Agreement. (b) Annual Bonus. During the Term, Executive shall have an opportunity to participate in any short-term or cash incentive plans available to other Bank employees similarly situated to Executive ("Peer Executives") and based upon the achievement of performance goals established from year to year by the Compensation Committee (the "Annual Bonus"). Executive's initial target Annual Bonus shall be equal to 100% of Base Salary. Except as otherwise provided in Section 6(a)(i) and Section 6(c)(i) hereof, Executive must be employed by Company and/or Bank on the date the Annual Bonus, if any, is paid in order to receive the Annual Bonus. The Annual Bonus will be paid by March 15 of the year following the year for which it is earned. For purposes of this Agreement, Executive's target Annual Bonus opportunity for any given fiscal year is referred to as the "Target Annual Bonus." (c) Long-Term Incentive Plans. During the Term, Executive shall be entitled to participate in any long-term equity incentive ("LTI") plans available to other Peer Executives, and on the same basis as such Peer Executives, subject to eligibility requirements and terms and conditions of each such plan; provided that nothing herein shall limit the ability of Company and/or Bank to amend, modify or terminate any such plans at any time and from time to time. The terms and conditions of Executive's LTI award, including but not limited to vesting criteria, shall be determined by the Compensation Committee in its sole discretion. (d) Retirement Plans. During the Term, Executive shall be entitled to participate in any retirement plans available to other Peer Executives, and on the same basis as such Peer Executives, subject to eligibility requirements and terms and conditions of each such plan; provided that nothing herein shall limit the ability of Bank to amend, modify, or terminate any such plans at any time and from time to time. (e) Welfare Benefit Plans. During the Term, Executive and Executive's eligible dependents shall be eligible for participation in the welfare benefit plans, practices, policies, and programs provided by Bank, if any, to the extent available to other Peer Executives and subject to eligibility requirements and terms and conditions of each such plan; provided that nothing herein shall limit the ability of Bank to amend, modify, or terminate any such benefit plans, policies, or programs at any time and from time to time. (f) Expenses. During the Term, and subject to Section 12 hereof, Executive shall be entitled to receive prompt reimbursement for all reasonable expenses incurred by Executive in the course of performing Executive's duties and responsibilities under this Agreement, in accordance with the policies, practices, and procedures of Bank to the extent available to other Peer Executives with respect to travel and other business expenses. 5. Termination of Employment. For the avoidance of doubt, if Executive's employment with Company terminates for any reason under this Section 5, Executive's employment with Bank shall be deemed terminated for the same reason, and if Executive's employment with Company terminates for any reason under this Section 5, Executive's employment with Bank shall be deemed terminated for the same reason. (a) Termination upon Death. Executive's employment shall terminate automatically upon Executive's death. For the avoidance of doubt, termination of Executive's employment upon the death of Executive under this Section 5(a) shall not be considered a termination without Cause that would entitle

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8 LEGAL02/46201309v1 Executive to severance under Section 6(a) or (c). (b) Termination by Employer. Employer may terminate Executive's employment during the Term with or without Cause on written notice to Executive, provided that the written notice of termination with respect to a termination without Cause shall be provided at least 30 days prior to the effective date of such termination. (c) Termination by Executive. Executive's employment may be terminated by Executive: (i) at any time for Good Reason, provided that (A) before terminating this Agreement and Executive's employment for Good Reason, (1) Executive shall give notice to Employer of the existence of Good Reason for termination, which notice must be given by Executive to Employer within 90 days of Executive's discovery of the existence of the condition(s) giving rise to Good Reason for termination and shall state with reasonable detail the condition(s) giving rise to Good Reason for termination, and (2) Employer shall have 60 days from the date of receipt of such notice to remedy the condition(s) giving rise to Good Reason for termination; and (B) such termination must occur within 12 months of the initial existence of the condition(s) giving rise to Good Reason for termination; or (ii) at any time without Good Reason, provided that Executive shall give Employer at least 30 days prior written notice of Executive's intent to terminate. (d) Notice of Termination. Any termination by Company and/or Bank with or without Cause and any termination by Executive shall be communicated by Notice of Termination to the other Party(is) hereto given in accordance with Section 16(e) of this Agreement. The failure by Company and/or Bank to set forth in the Notice of Termination any fact or circumstance which contributes to a showing of Cause shall not waive any right of Company and/or Bank hereunder or preclude the Company and/or Bank from asserting such fact or circumstance in enforcing its rights hereunder. The failure by Executive to set forth in the Notice of Termination any fact or circumstance which contributes to a showing of Good Reason shall not waive any right of Executive hereunder or preclude Executive from asserting such fact or circumstance in enforcing its rights hereunder. 6. Obligations of Employer upon Termination. During the Term, if Executive's employment terminates for any reason, then Bank shall pay or provide to Executive or Executive's estate, if applicable, (i) in a lump sum in cash within 30 days after the Date of Termination, the exact payment date to be determined by Bank, Executive's Base Salary through the Date of Termination to the extent not theretofore paid (the "Accrued Salary"), and (ii) to the extent not theretofore paid or provided, any other amounts or benefits required to be paid or provided or which Executive is eligible to receive under any plan, program, policy, practice, contract, or agreement of Bank and its affiliated companies and in accordance with the terms thereof, including, but not limited to, any expense reimbursements and accrued but unused vacation (which shall be paid out, if at all, in accordance with Bank's then current written policy regarding accrual and payment for unused vacation pay) (the "Other Benefits"). (a) Resignation for Good Reason; Termination Other Than for Cause, Death, or Disability. During the Term, if (x) Employer terminates Executive's employment other than for Cause, death, or Disability, or (y) Executive terminates employment for Good Reason, then, in addition to Accrued Salary and Other Benefits, and subject to Section 6(d) hereof: (i) Bank shall pay to Executive in a lump sum in cash a prorated Annual Bonus for the year in which the Date of Termination occurs based on the level of achievement of applicable

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9 LEGAL02/46201309v1 performance metrics (with such pro rata portion determined by multiplying the earned Annual Bonus by a fraction, the numerator of which shall be the number of months elapsed in the applicable calendar year prior to the Date of Termination, and the denominator shall be twelve (12)) (the "Prorated Annual Bonus"), payable at the same time that annual bonuses are paid to Peer Executives, subject to Section 12 hereof; (ii) Bank shall pay to Executive an amount equal to the Non-CIC Severance Multiple times the Severance Formula, payable in approximately equal monthly installments during the 18-month period following the Date of Termination, commencing on the first payroll date to occur after the 60th day following the Date of Termination; provided that the first such payment shall consist of all amounts payable to Executive pursuant to this Section 6(a)(ii) between the Date of Termination and the first payroll date to occur after the 60th day following the Date of Termination; and (iii) if Executive elects to continue participation in any group medical, dental, vision, and/or prescription drug plan benefits to which Executive and/or Executive's eligible dependents would be entitled under COBRA, then for a period of 18 months after the Date of Termination (the "Health Benefits Continuation Period"), Bank shall pay to Executive an amount in cash equal to the COBRA cost of such coverage; provided, however, that (1) that if Executive becomes eligible to receive medical benefits under a program of a subsequent employer or otherwise (including coverage available to Executive's spouse through the spouse's employer), Bank's obligation to pay any portion of the cost of health coverage as described herein shall cease, except as otherwise provided by law; (2) the Health Benefits Continuation Period shall run concurrently with any period for which Executive is eligible to elect health coverage under COBRA; (3) the Bank-paid portion of the monthly premium for such group health benefits, determined in accordance with Code Section 4980B and the regulations thereunder, shall be treated as taxable compensation by including such amount in Executive's income in accordance with applicable rules and regulations; (4) during the Health Benefits Continuation Period, the benefits provided in any one calendar year shall not affect the amount of benefits provided in any other calendar year (other than the effect of any overall coverage benefits under the applicable plans); (5) the reimbursement of an eligible taxable expense shall be made as soon as practicable but not later than December 31 of the year following the year in which the expense was incurred; and (6) Executive's rights pursuant to this Section 6(a)(iii) shall not be subject to liquidation or exchange for another benefit. The benefit described in this Section 6(a)(iii) is referred to as the "Health Coverage Benefit." (b) Termination for Cause; Resignation by Executive other than Resignation for Good Reason; Death; Disability. If during the Term Executive's employment is terminated by Employer for Cause, by Executive other than for Good Reason, or in the event of Executive's death or Disability, then Employer shall have no further obligations to Executive or Executive's legal representatives under this Agreement, other than for Accrued Salary and Other Benefits, as applicable. (c) Termination following a Change in Control. If, within 12 months following a Change in Control, (x) Employer (or any successor to Employer) terminates Executive's employment other than for Cause, or (y) Executive terminates employment for Good Reason, then, in addition to Accrued Salary and Other Benefits, as applicable, and subject to Section 6(d) hereof and in lieu of any amounts under Section 6(a) hereof: (i) Bank shall pay to Executive in a lump sum in cash the Prorated Annual Bonus, payable at the same time that annual bonuses are paid to Peer Executives, subject to Section 12 hereof;

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10 LEGAL02/46201309v1 (ii) Bank (or its successor) shall pay to Executive an amount equal to the CIC Multiple times the Severance Formula, payable in a lump sum in cash on the 60th day following the Date of Termination; and (iii) if Executive elects to continue participation in any group medical, dental, vision and/or prescription drug plan benefits to which Executive and/or Executive's eligible dependents would be entitled under COBRA, then during the Health Benefits Continuation Period, Bank (or its successor) shall pay to Executive the Health Coverage Benefit. (d) Release of Claims; Restrictive Covenants. Notwithstanding the foregoing, Bank shall be obligated to provide the amounts and benefits in Sections 6(a) and (c) hereof, as applicable, only if (A) within 45 days after the Date of Termination Executive shall have executed a separation and full release of claims/covenant not to sue in the form provided by the Company (the "Release Agreement") and such Release Agreement shall not have been revoked within the revocation period specified in the Release Agreement, and (B) Executive fully complies with the obligations set forth in Section 7 hereof. For the avoidance of doubt, if Executive does not comply with the obligations set forth in Section 7 hereof, then payment of the amounts and benefits in Sections 6(a) and (c) hereof, as applicable, shall cease immediately upon Executive's breach thereof. (e) Resignations. If Executive is a member of the board of directors of Company, the board of directors of Bank, or the board of directors of any subsidiary of Company or Bank, then termination of Executive's employment hereunder for any reason whatsoever shall constitute Executive's resignation from such boards of directors and as resignation as an officer of Bank, Company, and of any of the subsidiaries for which Executive serves as an officer. 7. Restrictive Covenants. For the avoidance of doubt, the Restrictive Covenants contained in this Section 7, as well as any other provisions of this Agreement necessary to interpret or enforce the Restrictive Covenants, shall survive termination of this Agreement and/or termination of Executive's employment for any reason, and shall continue to be in full force and effect in accordance with their terms. (a) Acknowledgments. (i) Condition of Employment and Other Consideration. Executive acknowledges and agrees that Executive has received good and valuable consideration for entering into this Agreement. (ii) Access to Confidential Information, Relationships, and Goodwill. Executive acknowledges and agrees that Executive is being provided and entrusted with Confidential Information, including highly confidential customer information that is subject to extensive measures to maintain its secrecy by Employer, is not known in the trade or disclosed to the public, and would materially harm Employer's legitimate business interests if it was disclosed or used in violation of this Agreement. Executive also acknowledges and agrees that Executive is being provided and entrusted with access to Employer's customer and employee relationships and goodwill. Executive further acknowledges and agrees that the Employer would not provide access to the Confidential Information, customer and employee relationships, and goodwill in the absence of Executive's execution of and compliance with this Agreement. Executive further acknowledges and agrees that the Employer's Confidential Information, customer and employee relationships, and goodwill are valuable assets of Employer and are legitimate business interests that are properly subject to protection through the covenants contained in this Agreement. (iii) Potential Unfair Competition. Executive acknowledges and agrees that as

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11 LEGAL02/46201309v1 a result of Executive's employment with Employer, Executive's knowledge of and access to Confidential Information, and relationships with Employer's customers and employees, Executive would have an unfair competitive advantage if Executive were to engage in activities in violation of this Agreement. (iv) Voluntary Execution. Executive acknowledges and affirms that Executive has executed this Agreement voluntarily, has read this Agreement carefully, and had a full and reasonable opportunity to consider this Agreement (including an opportunity to consult with legal counsel), and that Executive has not been pressured or in any way coerced, threatened, or intimidated into signing this Agreement. (b) Restriction on Disclosure and Use of Confidential Information. Executive agrees that Executive shall not, directly or indirectly, use any Confidential Information on Executive's own behalf or on behalf of any Person other than Employer, or reveal, divulge, or disclose any Confidential Information to any Person not expressly authorized by Employer to receive such Confidential Information. This obligation shall remain in effect for as long as the information or materials in question retain their status as Confidential Information. Executive further agrees to fully cooperate with Employer in maintaining the Confidential Information to the extent permitted by law. The Parties acknowledge and agree that this Agreement is not intended to, and does not, alter either Employer's rights or Executive's obligations under any state or federal statutory or common law regarding trade secrets and unfair trade practices. Anything herein to the contrary notwithstanding, Executive shall not be restricted from disclosing information that is required to be disclosed by law, court order, or other valid and appropriate legal process; provided, however, that in the event such disclosure is required by law, Executive shall provide Employer with prompt notice of such requirement so that Employer may seek an appropriate protective order prior to any such required disclosure by Executive. Executive understands and acknowledges that nothing in this section limits Executive's ability to report possible violations of federal, state, or local law or regulation to any governmental agency or entity; to communicate with any government agencies or otherwise participate in any investigation or proceeding that may be conducted by any government agencies in connection with any charge or complaint, whether filed by Executive, on Executive's behalf, or by any other individual; or to make other disclosures that are protected under the whistleblower provisions of federal, state, or local law or regulation, and Executive shall not need the prior authorization of Employer to make any such reports or disclosures and shall not be required to notify Employer that Executive has made such reports or disclosures. In addition, and anything herein to the contrary notwithstanding, Executive is hereby given notice that Executive shall not be criminally or civilly liable under any federal or state trade secret law for disclosing a trade secret (as defined by 18 U.S.C. § 1839) in confidence to a federal, state, or local government official, either directly or indirectly, or to an attorney, in either event solely for the purpose of reporting or investigating a suspected violation of law; or disclosing a trade secret (as defined by 18 U.S.C. § 1839) in a complaint or other document filed in a lawsuit or other proceeding, if such filing is made under seal. (c) Non-Competition. Except as provided herein, Executive agrees that, during the Restricted Period, Executive will not, without prior written consent of Employer, directly or indirectly (i) carry on or engage in Competitive Services within the Restricted Territory on Executive's own behalf or on behalf of any Person or any Principal or Representative of any Person, or (ii) own, manage, operate, control or participate in the ownership, management, operation or control of any business, whether in corporate, proprietorship, or partnership form or otherwise, where such business is engaged in the provision of Competitive Services within the Restricted Territory; provided that nothing herein shall prohibit Executive from being a passive owner of not more than five percent of the outstanding securities of any publicly traded company engaged in the Competitive Services, so long as Executive does not serve on the board of directors of such company and does not engage in the management of such company.

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12 LEGAL02/46201309v1 (d) Non-Solicitation of Protected Customers. Executive agrees that, during the Restricted Period, Executive shall not, without the prior written consent of Employer, directly or indirectly, on Executive's own behalf or as a Principal or Representative of any Person, solicit, divert, or attempt to solicit or divert a Protected Customer for the purpose of engaging in, providing, or selling Competitive Services. (e) Non-Recruitment of Employees and Independent Contractors. Executive agrees that during the Restricted Period, Executive shall not, without the prior written consent of Employer, directly or indirectly, whether on Executive's own behalf or as a Principal or Representative of any Person, solicit or induce or attempt to solicit or induce any employee or individual independent contractor of Employer to terminate an employment relationship with Employer or to enter into employment or independent contractor relationship with Executive or any such other Person. Notwithstanding the foregoing, the provisions of this Section 7(e) shall not be violated by general advertising or solicitation not specifically targeted at employees or independent contractor of Employer, or actions taken by any person or entity with which Executive is associated if Executive is not personally involved in any manner in the matter and has not identified such employee for soliciting or hiring and has not provided any information regarding the employee's qualifications. (f) Proprietary Rights. (i) Ownership and Assignment of Protected Works. Executive agrees that any and all Confidential Information and Protected Works are the sole property of Employer, and that no compensation in addition to Executive's compensation hereunder is due to Executive for development or transfer of such Protected Works. Executive agrees that Executive shall promptly disclose in writing to Employer the existence of any Protected Works. Executive hereby assigns and agrees to assign all of Executive's rights, title, and interest in any and all Protected Works, including all patents or patent applications, and all copyrights therein, to Employer. Executive shall not be entitled to use Protected Works for Executive's own benefit or the benefit of anyone except Employer without written permission from Employer and then only subject to the terms of such permission. Executive further agrees that Executive will communicate to Employer any facts known to Executive and testify in any legal proceedings, sign all lawful papers, make all rightful oaths, execute all divisionals, continuations, continuations-in-part, foreign counterparts, or reissue applications, all assignments, all registration applications, and all other instruments or papers to carry into full force and effect the assignment, transfer, and conveyance hereby made or to be made and generally do everything possible for title to the Protected Works and all patents or copyrights or trademarks or service marks therein to be clearly and exclusively held by Employer. Executive agrees that Executive will not oppose or object in any way to applications for registration of Protected Works by Employer or others designated by Employer. Executive agrees to exercise reasonable care to avoid making Protected Works available to any third party and shall be liable to Employer for all damages and expenses, including reasonable attorneys' fees, if Protected Works are made available to third parties by Executive without the express written consent of Employer. Anything herein to the contrary notwithstanding, Executive will not be obligated to assign to Employer any Protected Work for which no equipment, supplies, facilities, or Confidential Information of Employer was used and which was developed entirely on Executive's own time, unless (A) the invention relates (1) directly to the business of Employer, or (2) to the Employer's actual or demonstrably anticipated research or development; or (B) the invention results from any work performed by Executive for Employer. Executive likewise will not be obligated to assign to Employer any Protected Work that is conceived by Executive after Executive leaves the employ of Employer, except that Executive is so obligated if the same relates to or is based on Confidential Information to which Executive had access by virtue of employment with Employer. Similarly,

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13 LEGAL02/46201309v1 Executive will not be obligated to assign any Protected Work to Employer that was conceived and reduced to practice prior to Executive's employment with Employer, regardless of whether such Protected Work relates to or would be useful in the business of Employer. Executive acknowledges and agrees that there are no Protected Works conceived and reduced to practice by Executive prior to his employment with Employer. (ii) No Other Duties. Executive acknowledges and agrees that there is no other contract or duty on the part of Executive now in existence to assign Protected Works to anyone other than Employer. (iii) Works Made for Hire. Employer and Executive acknowledge that in the course of Executive's employment with Employer, Executive may from time to time create for Employer copyrightable works. Such works may consist of manuals, pamphlets, instructional materials, computer programs, software, software integration techniques, software codes, and data, technical data, photographs, drawings, logos, designs, artwork, or other copyrightable material, or portions thereof, and may be created within or without Employer's facilities and before, during or after normal business hours. All such works related to or useful in the business of Employer are specifically intended to be works made for hire by Executive, and Executive shall cooperate with Employer in the protection of Employer's copyrights in such works and, to the extent deemed desirable by Employer, the registration of such copyrights. (g) Return of Materials. Executive agrees to not retain or destroy (except as set forth below), and to immediately return to Employer on or prior to the Date of Termination, or at any other time Employer requests such return, any and all property of Employer that is the possession of Executive or subject to Executive's control, including, but not limited to, keys, credit and identification cards, equipment, customer files and information, papers, drawings, notes, manuals, specifications, designs, devices, code, email, documents, diskettes, CDs, tapes, keys, access cards, credit cards, identification cards, computers, mobile devices, other electronic media, all other files and documents relating to Employer and its business (regardless of form, but specifically including all electronic files and data of Employer), together with all Protected Works and Confidential Information belonging to Employer or that Executive received from or through his employment with Employer. Executive will not make, distribute, or retain copies of any such information or property. To the extent that Executive has electronic files or information in Executive's possession or control that belong to Employer, contain Confidential Information, or constitute Protected Works (specifically including but not limited to electronic files or information stored on personal computers, mobile devices, electronic media, or in cloud storage), on or prior to the Date of Termination, or at any other time Employer requests, Executive shall (i) provide Employer with an electronic copy of all of such files or information (in an electronic format that readily accessible by Employer); (ii) after doing so, delete all such files and information, including all copies and derivatives thereof, from all non- Employer-owned computers, mobile devices, electronic media, cloud storage, and other media, devices, and equipment, such that such files and information are permanently deleted and irretrievable; and (iii) provide a written certification to Employer that the required deletions have been completed and specifying the files and information deleted and the media source from which they were deleted. (h) Enforcement of Restrictive Covenants. For the avoidance of doubt, nothing in this Section 7(i) limits the remedies available to Employer under Section 14 hereof. (i) Rights and Remedies Upon Breach. The Parties specifically acknowledge and agree that the remedy at law for any breach of the Restrictive Covenants will be inadequate, and that in the event Executive breaches any of the Restrictive Covenants, Employer shall have the right and remedy, without the necessity of proving actual damage or posting any bond, to enjoin, preliminarily and permanently, Executive from violating the Restrictive Covenants and to have the

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14 LEGAL02/46201309v1 Restrictive Covenants specifically enforced by any court of competent jurisdiction, it being agreed that any breach of the Restrictive Covenants would cause irreparable injury to Employer and that money damages would not provide an adequate remedy to Employer. Executive understands and agrees that if he materially violates any of the obligations set forth in the Restrictive Covenants, the Restricted Period shall cease to run during the pendency of any litigation over such violation, provided that such litigation was initiated during the Restricted Period. If Employer does not substantially prevail in such litigation, the Restricted Period shall be deemed to have continued to run during the litigation. Such rights and remedies shall be in addition to, and not in lieu of, any other rights and remedies available to Employer at law or in equity. Employer's ability to enforce its rights under the Restrictive Covenants or applicable law against Executive shall not be impaired in any way by the existence of a claim or cause of action on the part of Executive based on, or arising out of, this Agreement or any other event or transaction. (ii) Severability and Modification of Covenants. Executive acknowledges and agrees that each of the Restrictive Covenants is reasonable and valid in time and scope and in all other respects. The Parties agree that it is their intention that the Restrictive Covenants be enforced in accordance with their terms to the maximum extent permitted by law. Each of the Restrictive Covenants shall be considered and construed as a separate and independent covenant. should any part or provision of any of the Restrictive Covenants, or any other provision of this Section 7, be held invalid, void, or unenforceable, such invalidity, voidness, or unenforceability shall not render invalid, void, or unenforceable any other part or provision of this Agreement or such Restrictive Covenant. If any of the provisions of the Restrictive Covenants should ever be held by a court of competent jurisdiction to exceed the scope permitted by the applicable law, such provision or provisions shall be automatically modified to such lesser scope as such court may deem just and proper for the reasonable protection of Employer's legitimate business interests and may be enforced by Employer to that extent in the manner described above and all other provisions of this Agreement shall be valid and enforceable. (i) Existing Covenants. Executive represents and warrants that Executive's employment with Employer does not and will not breach any agreement that Executive has with any former employer to keep in confidence proprietary or confidential information or not to compete with any such former employer. Executive will not disclose to Employer or use on its behalf any proprietary or confidential information of any other party required to be kept confidential by Executive. (j) Disclosure of Agreement. Executive acknowledges and agrees that, during the Restricted Period, Executive will disclose the existence and terms of the Protective Covenants in Section 7 of this Agreement to any prospective employer or business partner, within the Restricted Territory prior to entering into an employment, partnership, or other business relationship with such prospective employer or business partner. Executive further agrees that Employer shall have the right to make any such prospective employer or business partner of Executive within the Restricted Territory aware of the existence and terms of the Protective Covenants in Section 7 of this Agreement. 8. Non-exclusivity of Rights. Nothing in this Agreement shall prevent or limit Executive's continuing or future participation in any employee benefit plan, program, policy, or practice provided by Employer and for which Executive may qualify, except as specifically provided herein. Amounts that are vested benefits or which Executive is otherwise entitled to receive under any plan, policy, practice, or program of Employer at or subsequent to the Date of Termination shall be payable in accordance with such plan, policy, practice, or program except as explicitly modified by this Agreement. 9. Full Settlement; No Mitigation. Employer's obligation to make the payments provided for in this Agreement and otherwise to perform its obligations hereunder shall not be affected by any set-off,

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15 LEGAL02/46201309v1 counterclaim, recoupment, defense or other claim, right or action which Employer may have against Executive or others. In no event shall Executive be obligated to seek other employment or take any other action by way of mitigation of the amounts payable to Executive under any of the provisions of this Agreement and such amounts shall not be reduced whether or not Executive obtains other employment. For the avoidance of doubt, nothing in this Section 9 shall impact Employer's remedy of recoupment set forth in Section 14 hereof. 10. Mandatory Reduction of Payments in Certain Events. (a) Notwithstanding anything in this Agreement to the contrary, in the event it shall be determined that any Payment would, if paid, be subject to any Excise Tax, then, prior to the making of any Payments to or for the benefit of Executive, a calculation shall be made comparing (i) the net after-tax benefit to Executive of the Payments after payment by Executive of the Excise Tax, to (ii) the net after-tax benefit to Executive if the Payments had been limited to the extent necessary to avoid being subject to the Excise Tax. If the amount calculated under (i) above is less than the amount calculated under (ii) above, then the Payments shall be limited to the extent necessary to avoid being subject to the Excise Tax (the "Reduced Amount"). The reduction of the Payments due hereunder, if applicable, shall be made by first reducing cash Payments and then, to the extent necessary, reducing those Payments having the next highest ratio of Parachute Value to actual present value of such Payments as of the date of a Change in Control, as determined by the Determination Firm (as defined below). For purposes of this Section 10, present value shall be determined in accordance with Section 280G(d)(4) of the Code. (b) All determinations required to be made under this Section 10, including whether an Excise Tax would otherwise be imposed, whether the Payments shall be reduced, the amount of the Reduced Amount, and the assumptions to be utilized in arriving at such determinations, shall be made by a nationally recognized accounting firm or compensation consulting firm mutually acceptable to Employer and Executive (the "Determination Firm") which shall provide detailed supporting calculations to Employer and Executive within 15 business days after the receipt of notice from Executive that a Payment is due to be made, or such earlier time as is requested by Employer. All fees and expenses of the Determination Firm shall be borne solely by Employer. Any determination by the Determination Firm shall be binding upon Employer and Executive. As a result of the uncertainty in the application of Section 4999 of the Code at the time of the initial determination by the Determination Firm hereunder, it is possible that Payments which Executive was entitled to, but did not receive pursuant to Section 10(a), could have been made without the imposition of the Excise Tax ("Underpayment"), consistent with the calculations required to be made hereunder. In such event, the Determination Firm shall determine the amount of the Underpayment that has occurred and any such Underpayment shall be promptly paid by Employer to or for the benefit of Executive but no later than March 15 of the year after the year in which the Underpayment is determined to exist, which is when the legally binding right to such Underpayment arises. (c) In the event that the provisions of Code Section 280G and 4999 or any successor provisions are repealed without succession, this Section 10 shall be of no further force or effect. In the event the provisions of Code Section 280G and 4999 are modified, this Section 10 shall be modified accordingly. 11. Successors. (a) This Agreement is personal to Executive and shall not be assignable by Executive otherwise than by will or the laws of descent and distribution. This Agreement shall inure to the benefit of and be enforceable by Executive's legal representatives. (b) This Agreement can be assigned by Company and/or Bank only to a subsidiary or successor and shall be binding and inure to the benefit of Company and Bank, and their successors and

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16 LEGAL02/46201309v1 assigns. The Company and/or Bank shall require any successor or assignee, whether direct or indirect, by purchase, merger, consolidation or otherwise, to all or substantially all the business or assets of the Bank, expressly and unconditionally to assume and agree to perform the Bank's obligations under this Agreement, in the same manner and to the same extent that the Bank would be required to perform if no such succession or assignment had taken place. 12. Code Section 409A. (a) General. This Agreement shall be interpreted and administered in a manner so that any amount or benefit payable hereunder shall be paid or provided in a manner that is either exempt from or compliant with the requirements of Section 409A of the Code and applicable Internal Revenue Service guidance and Treasury Regulations issued thereunder (and any applicable transition relief under Section 409A of the Code). Nevertheless, the tax treatment of the benefits provided under the Agreement is not warranted or guaranteed. Neither Company nor Bank, nor their directors, officers, employees, or advisers, shall be held liable for any taxes, interest, penalties, or other monetary amounts owed by Executive as a result of the application of Section 409A of the Code. (b) Definitional Restrictions. Notwithstanding anything in this Agreement to the contrary, to the extent that any amount or benefit that would constitute non-exempt "deferred compensation" for purposes of Section 409A of the Code ("Non-Exempt Deferred Compensation") would otherwise be payable or distributable hereunder, or a different form of payment of such Non-Exempt Deferred Compensation would be effected, such Non-Exempt Deferred Compensation will not be payable or distributable to Executive, and/or such different form of payment will not be effected, by reason of such circumstance unless the circumstances giving rise to such payment event meet any description or definition of "change in control event" or "separation from service," as the case may be, in Section 409A of the Code and applicable regulations (without giving effect to any elective provisions that may be available under such definition). This provision does not affect the dollar amount or prohibit the vesting of any Non- Exempt Deferred Compensation termination of employment, however defined. If this provision prevents the payment or distribution of any Non-Exempt Deferred Compensation, or the application of a different form of payment, then, subject to subsection (c) below, such payment or distribution shall be made at the time and in the form that would have applied absent the non- 409A-conforming event. (c) Six-Month Delay in Certain Circumstances. Notwithstanding anything in this Agreement to the contrary, if any amount or benefit that would constitute Non-Exempt Deferred Compensation would otherwise be payable or distributable under this Agreement by reason of Executive's separation from service during a period in which Executive is a specified employee (as determined by Employer in accordance with Section 409A of the Code and Treasury Regulations § 1.409A-3(i)(2)), then, subject to any permissible acceleration of payment by Employer under Treas. Reg. Section 1.409A- 3(j)(4)(ii) (domestic relations order), (j)(4)(iii) (conflicts of interest), or (j)(4)(vi) (payment of employment taxes): (i) the amount of such Non- Exempt Deferred Compensation that would otherwise be payable during the six- month period immediately following Executive's separation from service will be accumulated through and paid or provided on the first day of the seventh month following Executive's separation from service (or, if Executive dies during such period, within 30 days after Executive's death) (in either case, the "Required Delay Period"); and (ii) the normal payment or distribution schedule for any remaining payments or distributions will resume at the end of the Required Delay Period. (d) Treatment of Installment Payments. Each payment of termination benefits under this Agreement, including but not limited to Section 6, shall be considered a separate payment, as described in Treas. Reg. Section 1.409A-2(b)(2), for purposes of Section 409A of the Code. (e) Timing of Release of Claims. Whenever in this Agreement a payment or benefit is

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17 LEGAL02/46201309v1 conditioned on Executive's execution of a release of claims, such release must be executed and all revocation periods shall have expired within 60 days after the Date of Termination; failing which such payment or benefit shall be forfeited. If such payment or benefit constitutes Non-Exempt Deferred Compensation, then such payment or benefit (including any installment payments) that would have otherwise been payable during such 60-day period shall be accumulated and paid on the 60th day after the Date of Termination provided such release shall have been executed and such revocation periods shall have expired. If such payment or benefit is exempt from Section 409A of the Code, Employer may elect to make or commence payment at any time during such period. (f) Timing of Reimbursements and In-kind Benefits. If Executive is entitled to be paid or reimbursed for any taxable expenses under this Agreement, and such payments or reimbursements are includible in Executive's federal gross taxable income, the amount of such expenses reimbursable in any one calendar year shall not affect the amount reimbursable in any other calendar year, and the reimbursement of an eligible expense must be made no later than December 31 of the year after the year in which the expense was incurred. No right of Executive to reimbursement of expenses under this Agreement shall be subject to liquidation or exchange for another benefit. (g) Permitted Acceleration. Employer shall have the sole authority to make any accelerated distribution permissible under Treas. Reg. Section 1.409A-3(j)(4) to Executive of deferred amounts, provided that such distribution meets the requirements of Treas. Reg. Section 1.409A-3(j)(4). 13. Regulatory Action. (a) If Executive is removed and/or permanently prohibited from participating in the conduct of Bank's affairs by an order issued under Section 8(e)(4) or 8(g)(1) of the Federal Deposit Insurance Act ("FDIA") (12 U.S.C. 1818(e)(4) and (g)(1)), all obligations of Employer under this Agreement shall terminate, as of the effective date of such order. (b) If Executive is suspended and/or temporarily prohibited from participating in the conduct of Bank's affairs by a notice served under Section 8(e)(3) or 8(g)(1) of the FDIA (12 U.S.C. 1818(e)(3) and (g)(1)), all obligations of Employer under this Agreement shall be suspended as of the date of service, unless stayed by appropriate proceedings. If the charges in the notice are dismissed, Employer shall reinstate (in whole or in part) any of its obligations which were suspended. (c) If Bank is in default (as defined in Section 3(x)(1) of the FDIA), all obligations under this Agreement shall terminate as of the date of default. (d) All obligations under this Agreement shall be terminated, except to the extent a determination is made that continuation of the Agreement is necessary for the continued operation of Bank (1) by the director of the FDIC or his or her designee (the "Director"), at the time the FDIC enters into an agreement to provide assistance to or on behalf of Bank under the authority contained in 13(c) of the FDIA; or (2) by the Director, at the time the Director approves a supervisory merger to resolve problems related to operation of Bank when Bank is determined by the Director to be in an unsafe and unsound condition. 14. Compensation Recoupment Policy. Any incentive compensation, including, but not limited to, cash-based and equity-based compensation, awarded to Executive by Employer shall be subject to any written compensation recoupment policy that the Compensation Committee may adopt from time to time that is applicable by its terms to Executive, including, but not limited to, the Company's mandatory recoupment policy as required by the listing rules of The New York Stock Exchange. In addition, the Compensation Committee may specify in any written documentation memorializing an incentive award that Executive's rights, payments, and benefits with respect to such award shall be subject to reduction,

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18 LEGAL02/46201309v1 cancellation, forfeiture, or recoupment upon the occurrence of certain specified events, in addition to any otherwise applicable conditions of such award. Such events may include, but shall not be limited to: (i) termination of employment for Cause, (ii) violation of material Company or Bank policies, (iii) breach of noncompetition, confidentiality, or other restrictive covenants, (iv) other conduct by Executive that is detrimental to the business or reputation of the Employer, or (v) a later determination that the amount realized from a performance-based award was based on materially inaccurate financial statements or any other materially inaccurate performance metric criteria, whether or not Executive caused or contributed to such material inaccuracy. The reduction, cancellation, forfeiture, and recoupment rights associated with any equity awards or similar awards granted to Executive, if any, shall be as provided in the award certificate memorializing any such award. 15. Indemnification. Employer shall indemnify Executive for liabilities incurred by Executive while acting in good faith as an officer to the fullest extent provided for any other officer of Employer. To the extent that Employer maintains director and officer liability insurance, such insurance shall cover Executive to the same extent as any other officer of Employer. 16. Miscellaneous. (a) Applicable Law. Employer and Executive agree that this Agreement shall be governed by and construed and interpreted in accordance with the laws of the State of Michigan without giving effect to its conflicts of law principles. The Parties agree that the exclusive forum for any action to enforce this Agreement, as well as any action relating to or arising out of this Agreement, shall be the state or federal courts of the State of Michigan. With respect to any such court action, Employee hereby (a) irrevocably submits to the personal jurisdiction of such courts; (b) consents to venue; and (c) waives any other requirement (whether imposed by statute, rule of court, or otherwise) with respect to personal jurisdiction or venue. The Parties hereto further agree that the state and federal courts of the State of Michigan are convenient forums for any dispute that may arise herefrom and that neither party shall raise as a defense that such courts are not convenient forums. (b) Non-Duplication. Notwithstanding anything to the contrary in this Agreement, and except as specifically provided below, any severance payments or benefits received by Executive pursuant to this Agreement shall be in lieu of any general severance policy or other severance plan maintained by Employer (other than a stock option, restricted stock, share or unit, performance share or unit, supplemental retirement, deferred compensation, or similar plan or agreement which may contain provisions operative on a termination of Executive's employment or may incidentally refer to accelerated vesting or accelerated payment upon a termination of employment). (c) Captions. The captions of this Agreement are not part of the provisions hereof and shall have no force or effect. (d) Amendments. This Agreement may not be amended or modified otherwise than- by a written agreement executed by the Parties or their respective successors and legal representatives. (e) Notices. All notices and other communications hereunder shall be in writing and shall be given by hand delivery to the other Party(ies) or by registered or certified mail, return receipt requested, postage prepaid, addressed as follows: If to Executive: If to Company and/or Bank: On file with Bank 3333 Deposits Drive Northeast Grand Rapids, Michigan 49546

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19 LEGAL02/46201309v1 Attention: Chief Executive Officer or to such other address as a Party shall have furnished to the other Party(ies) in writing in accordance herewith. Notice and communications shall be effective when actually received by the addressee. (f) Severability. The invalidity or unenforceability of any provision of this Agreement shall not affect the validity or enforceability of any other provision of this Agreement. (g) Withholding. Employer may withhold from any amounts payable under this Agreement such federal, state, local or foreign taxes as shall be required to be withheld pursuant to any applicable law or regulation. (h) Waivers. Failure of any Party to insist, in one or more instances, on performance by the other in strict accordance with the terms and conditions of this Agreement shall not be deemed a waiver or relinquishment of any right granted in this Agreement or of the future performance of any such term or condition or of any other term or condition of this Agreement, unless such waiver is contained in a writing signed by the Party making the waiver. (i) Entire Agreement. This Agreement contains the entire agreement between the Parties with respect to the subject matter hereof and, from and after the date hereof, this Agreement shall supersede any other agreement, written or oral, between the Parties relating to the subject matter of this Agreement, including but not limited to any prior discussions, understandings, letters, and/or agreements between the Parties, written or oral, at any time (expressly including, but not limited to, the Prior Agreement). (j) Construction. The Parties understand and agree that because they have been given the opportunity to have counsel review and revise this Agreement, the normal rule of construction to the effect that any ambiguities are to be resolved against the drafting Party shall not be employed in the interpretation of this Agreement. Instead, the language of all parts of this Agreement shall be construed as a whole, and according to its fair meaning, and not strictly for or against any Party. (k) Counterparts. This Agreement may be executed in two or more counterparts, each of which shall be deemed an original, but all of which taken together shall constitute one and the same instrument. (l) Survival. The rights and obligations of the Parties under Sections 7, 10, 12, 14, 15, 16 shall survive the expiration and/or termination of this Agreement and the termination of Executive's employment hereunder for the periods expressly designated in such sections or, if no such period is designated, for the maximum period permissible under applicable law. [signature page follows]

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20 LEGAL02/46201309v1 IN WITNESS WHEREOF, the Parties hereby signify their agreement to these terms by their signatures below, as of the Effective Date. EXECUTIVE Kevin J. Comps NORTHPOINTE BANK Charles A. Williams Chief Executive Officer NORTHPOINTE BANCSHARES, INC. Charles A. Williams Chief Executive Officer

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## Exhibit 10.4

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1 LEGAL02/46213467v2 EMPLOYMENT AGREEMENT THIS EMPLOYMENT AGREEMENT (this "Agreement") is made and entered into this 26th day of June, 2025, by and among Northpointe Bancshares, Inc. ("Company"), Northpointe Bank ("Bank"), a wholly owned subsidiary of the Company, and Brad T. Howes ("Executive"). Company, Bank, and Executive are sometimes referred to herein collectively as the "Parties," and each is sometimes referred to herein individually as a "Party." BACKGROUND WHEREAS, the Parties desire to enter an employment agreement to memorialize the terms of Executive's employment. NOW, THEREFORE, in consideration of the payments, consents, and acknowledgements described below, in consideration of Executive's employment with Company and Bank, and in consideration of other good and valuable consideration, the receipt and sufficiency of all of which is hereby acknowledged, the Parties agree as follows: 1. Definitions. The following capitalized terms used in this Agreement shall have the meanings assigned to them below, which definitions shall apply to both the singular and the plural forms of such terms: (a) "Board of Directors" means, collectively, the board of directors of Company and the board of directors of Bank and, where appropriate, any committee or other designee thereof. (b) "Beneficial Owner" has the meaning given such term in Rule 13d-3 of the General Rules and Regulations promulgated under the Securities Exchange Act of 1934. (c) "Cause" means, in the context of the termination of this Agreement by Employer, a good faith determination by the Chief Executive Officer of Company that any of the following has occurred: (i) conduct by Executive that amounts to willful misconduct, gross neglect, or a material failure to perform Executive's duties and responsibilities hereunder, including prolonged absences without the consent of the Chief Executive Officer of Company unless otherwise excused by law or under Bank's leave policies; provided that the nature of such conduct shall be set forth in a written notice to Executive who shall have 30 business days following delivery of such notice to cure such alleged conduct, provided that such conduct is, in the reasonable discretion of the Chief Executive Officer of Company, susceptible to a cure; (ii) any willful violation of any material law, rule, or regulation applicable to banks or the banking industry generally (including but not limited to the regulations of the Board of Governors of the Federal Reserve, the FDIC, the Michigan Department of Insurance and Financial Institutions, or any other applicable regulatory authority); (iii) the exhibition by Executive of a standard of behavior within the scope of or related to Executive's employment that is in violation of any written policy, board committee charter, or code of ethics or business conduct (or similar code) of Company or Bank to which Executive is subject; provided that the nature of such conduct shall be set forth with reasonable particularity in a written notice to Executive who shall have 30 business days following delivery of

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2 LEGAL02/46213467v2 such notice to cure such alleged conduct, provided that such conduct is, in the reasonable discretion of the Chief Executive Officer of Company, susceptible to a cure; (iv) any act of fraud, misappropriation, or embezzlement by Executive, whether or not such act was committed in connection with the business of Company and/or Bank; (v) a material breach of this Agreement, including, without limitation, a breach of Section 7 hereof; provided that the nature of such breach shall be set forth with reasonable particularity in a written notice to Executive who shall have 30 business days following delivery of such notice to cure such breach, provided that such breach is, in the reasonable discretion of the Chief Executive Officer of Company, susceptible to a cure; or (vi) Executive's conviction of, or Executive's pleading guilty or nolo contendere to with respect to (a) a felony or a crime involving moral turpitude (including pleading guilty or nolo contendere to a felony or lesser charge which results from plea bargaining), whether or not such felony, crime, or lesser offense is connected with the business of Company and/or Bank, or (b) any crime in connection with the business of Company or Bank. (d) "Change in Control" means and includes any one of following events: (i) any Person becomes a Beneficial Owner, directly or indirectly, of 50% or more of the voting power of the then-outstanding securities of Company eligible to vote for the election of directors ("Company Voting Securities"); provided, however, that for purposes of this subsection (i), the following acquisitions of Company Voting Securities shall not constitute a Change in Control: (A) an acquisition directly or indirectly from the Company, including an acquisition by or through a broker, underwriter, or financial institution acquiring such securities as part of a firm commitment or similar underwriting or distribution process, (B) an acquisition by Company or Bank, (C) an acquisition by any employee benefit plan (or related trust) sponsored or maintained by Company or Bank, or (D) an acquisition pursuant to a Non-Qualifying Transaction (as defined in subsection (iii) below); or (ii) during any consecutive 12-month period, individuals who, at the beginning of such period, constitute Company's Board of Directors (the "Incumbent Directors") cease for any reason to constitute at least a majority of such Board of Directors, provided that any person becoming a director after the beginning of such 12-month period and whose election or nomination for election was approved by a vote of at least a majority of the Incumbent Directors then on the Board of Directors shall be an Incumbent Director; provided, however, that no individual initially elected or nominated as a director as a result of an actual or threatened election contest with respect to the election or removal of directors ("Election Contest") or other actual or threatened solicitation of proxies or consents by or on behalf of any Person other than the Board of Directors ("Proxy Contest"), including by reason of any agreement intended to avoid or settle any Election Contest or Proxy Contest, shall be deemed an Incumbent Director; or (iii) the consummation of a reorganization, merger, consolidation, statutory share exchange, or similar form of corporate transaction involving Company or Bank, the sale or other disposition of all or substantially all of Company's assets, or the acquisition of assets or stock of another corporation or other entity (each, a "Transaction"), unless immediately following such Transaction: (A) all or substantially all of the individuals and entities who were the Beneficial Owners, respectively, of the outstanding Company Voting Securities immediately prior to such Transaction beneficially own, directly or indirectly, more than 50% of the voting power of the then- outstanding shares of voting securities of the entity resulting from such Transaction (including,

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3 LEGAL02/46213467v2 without limitation, an entity which as a result of such Transaction owns Company or all or substantially all of Company's assets or stock either directly or through one or more subsidiaries, the "Surviving Entity") in substantially the same proportions as their ownership, immediately prior to such Transaction, of the outstanding Company Voting Securities, and (B) no person (other than (x) Company or Bank, (y) the Surviving Entity or its ultimate parent entity, or (z) any employee benefit plan (or related trust) sponsored or maintained by any of the foregoing) is the Beneficial Owner, directly or indirectly, of 50% or more of the total common stock or 50% or more of the total voting power of the outstanding voting securities eligible to elect directors of the Surviving Entity, and (C) at least a majority of the members of the board of directors of the Surviving Entity were Incumbent Directors at the time of the Board of Director's approval of the execution of the initial agreement providing for such Transaction (any Transaction which satisfies all of the criteria specified in (A), (B), and (C) above shall be deemed to be a "Non-Qualifying Transaction"). (e) "CIC Severance Multiple" shall mean one and one-half (1.5). (f) "COBRA" means the Consolidated Omnibus Budget Reconciliation Act of 1985, as amended. (g) "Code" means the Internal Revenue Code of 1986, as amended, and the rules and regulations promulgated thereunder. (h) "Compensation Committee" means the compensation committee of the board of directors of Company. (i) "Competitive Services" means engaging in the business of commercial and mortgage banking, including, without limitation, originating, underwriting, closing and selling loans, receiving deposits, as well as the business of providing any other activities, products, or services of the type routinely conducted, offered, or provided by Employer as of or during the two years immediately prior to the Date of Termination. (j) "Confidential Information" means any and all data and information relating to Employer, its activities, business, or clients that (i) is disclosed to Executive or of which Executive becomes aware because of Executive's employment with Employer; (ii) has value to Employer; and (iii) is not generally known outside of Employer. "Confidential Information" shall include, but is not limited to the following types of information regarding, related to, or concerning Employer: trade secrets (as defined by the Michigan Uniform Trade Secrets Act); financial plans and data; management planning information; business plans; operational methods; market studies; marketing plans or strategies; pricing information; product development techniques or plans; customer lists; customer files, data, and financial information; details of customer contracts; current and anticipated customer requirements; identifying and other information pertaining to business referral sources; past, current, and planned research and development; computer aided systems, software, strategies, and programs; business acquisition plans; management organization and related information (including, without limitation, data and other information concerning the compensation and benefits paid to officers, directors, employees, and management); personnel and compensation policies; new personnel acquisition plans; and other similar information. "Confidential Information" also includes combinations of information or materials which individually may be generally known outside of Employer, but for which the nature, method, or procedure for combining such information or materials is not generally known outside of Employer. In addition to data and information relating to Employer, "Confidential Information" also includes any and all data and information relating to or concerning a third party that otherwise meets the definition set forth above, that was provided or made available to Employer by such third party, and that Employer has a duty or obligation to keep confidential. This definition shall not limit any definition of "confidential information" or any equivalent term under state

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4 LEGAL02/46213467v2 or federal law. "Confidential Information" shall not include information that has become generally available to the public by the act of one who has the right to disclose such information without violating any right or privilege of Employer. (k) "Date of Termination" means: (i) if Executive's employment is terminated other than by reason of death or Disability, the date of delivery of the Notice of Termination, or any later date specified in such Notice of Termination, or (ii) if Executive's employment is terminated by reason of death or Disability, the Date of Termination will be the date of death or the Disability Effective Date, as the case may be. (l) "Disability" means a condition for which benefits would be payable under any long-term disability coverage (without regard to the application of any elimination period requirement) then provided to Executive by Employer or, if no such coverage is then being provided, the inability of the Executive to perform the essential functions of Executive's job with Employer (as specified in this Agreement), with or without reasonable accommodation, for a period of at least 180 consecutive days as certified by a physician chosen by Executive and reasonably acceptable to the Employer. Notwithstanding the provisions in this Section 1(l), Disability for purposes of this Agreement must also be a disability within the meaning of Code Section 409A(a)(2)(A)(ii) and 409A(a)(2)(C) and Treas. Reg. Section 1.409A- 3(a)(2). (m) "Effective Date" means June 26, 2025. (n) "Employer" means Company and Bank, collectively. (o) "Excise Tax" means any excise tax imposed by Section 4999 of the Code. (p) "FDIC" means the Federal Deposit Insurance Corporation. (q) "Good Reason" shall mean, in the context of the termination of this Agreement by Executive: (i) a material diminution in Executive's title, authority, duties, or responsibilities which is not consented to by Executive in writing; (ii) a material diminution in Executive's base compensation (which includes Executive's Base Salary and Target Annual Bonus opportunity) which is not consented to by Executive in writing or made as part of across-the-board compensation reductions affecting all or substantially all similarly-situated employees; (iii) a change in the location of Executive's primary office such that Executive is required to report regularly to an office located outside of a 50-mile radius from the location of Executive's primary office as of the Effective Date, which change is not consented to by Executive in writing; (iv) a material breach of the terms of this Agreement by Employer; or (v) Employer's failure to renew the Term. (r) "Material Contact" means contact between Executive and a customer or potential customer of Company or Bank (i) with whom or which Executive has or had substantive dealings on behalf of Company or Bank; (ii) whose dealings with Company or Bank are or were coordinated or supervised by

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5 LEGAL02/46213467v2 Executive; or (iii) about whom Executive obtains Confidential Information in the ordinary course of business as a result of Executive's employment with Employer. (s) "Non-CIC Severance Multiple" shall mean one (1.0). (t) "Notice of Termination" shall mean a written notice delivered by a Party in connection with the termination of this Agreement which (i) indicates the specific termination provision in this Agreement relied upon for such termination, (ii) to the extent applicable, sets forth in reasonable detail the facts and circumstances claimed to provide a basis for termination under the provision so indicated, and (iii) specifies the Date of Termination. (u) "Parachute Value" of a Payment means the present value as of the date of the Change in Control of the portion of such Payment that constitutes a "parachute payment" under Section 280G(b)(2) of the Code, as determined by the Determination Firm (as defined in Section 10(b)) for purposes of determining whether and to what extent the Excise Tax will apply to such Payment. (v) "Payment" shall mean any benefit, payment, or distribution made or given by Employer to or for the benefit of Executive (whether paid or payable or distributed or distributable pursuant to the terms of this Agreement or otherwise). (w) "Person" means any individual or any corporation, partnership, joint venture, limited liability company, association, or other entity or enterprise. (x) "Principal or Representative" means a principal, owner, partner, shareholder, joint venturer, investor, member, trustee, director, officer, manager, employee, agent, representative, or consultant. (y) "Protected Customer" means any Person to whom Company or Bank has sold its products or services or actively solicited to sell its products or services, and with whom Executive has had Material Contact during the last 24 months of his employment with Employer. (z) "Protected Work" means any and all ideas, inventions, formulas, Confidential Information, source codes, object codes, techniques, processes, concepts, systems, programs, software, software integration techniques, hardware systems, schematics, flow charts, computer data bases, client lists, trademarks, service marks, brand names, trade names, compilations, documents, data, notes, designs, drawings, technical data, and/or training materials, including improvements thereto or derivatives therefrom, whether or not patentable, and whether or not subject to copyright or trademark or trade secret protection, conceived, developed or produced by Executive, or by others working with Executive or under the direction of Executive, during the period of Executive's employment, or conceived, produced or used or intended for use by or on behalf of Employer or its customers, but not including any such ideas, concepts, inventions, or similar processes conceived, developed or produced by Executive that are rejected by Employer.

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6 LEGAL02/46213467v2 (aa) "Restricted Period" means a period of twelve (12) months following the Date of Termination. (bb) "Restricted Territory" means a radius of 50 miles from the Bank's headquarters office in Grand Rapids, Michigan. (cc) "Restrictive Covenants" means the restrictive covenants contained in Section 7(b) through 7(j) hereof. (dd) "Severance Formula" means the sum of (A) Executive's then current Base Salary (or, in the case of a termination for Good Reason as defined in Section 1(q)(ii), the Base Salary in effect immediately prior to the diminution in Base Salary giving rise to termination), plus (B) the greater of Executive's Target Annual Bonus for the fiscal year in which the Date of Termination occurs or the average Annual Bonus received by Executive for the three fiscal years immediately preceding the fiscal year in which the Date of Termination occurs. 2. Effective Date; Term. Upon the terms and subject to the conditions set forth in this Agreement, Employer hereby employs Executive, and Executive hereby accepts such employment, for the term commencing on the Effective Date and, unless otherwise earlier terminated pursuant to Section 5 hereof, the close of business on the third anniversary of the Effective Date (the "Initial Term"). The Initial Term and any and all renewal terms, if any, are referred to together herein as the "Term." The third anniversary of the Effective Date is referred to herein as the "Term End Date." Beginning on the initial Term End Date and on each subsequent anniversary of the Term End Date thereafter, the Term shall, without further action by Executive or Employer, be extended by an additional one-year period; provided, however, that either Employer or Executive may cause the Term to cease to extend automatically, by giving written notice to the other not less than 90 days prior to the scheduled expiration of the Term. 3. Employment; Extent of Service. Executive is hereby employed on the Effective Date as Executive Vice President, Chief Financial Officer of Company and Bank. Executive shall have the duties, responsibilities, and authority commensurate with such position and such other duties as may be assigned by the Chief Executive Officer. During the Term of this Agreement and excluding any periods of vacation or sick leave to which Executive is entitled, Executive agrees to (i) devote substantially all of Executive's business effort, time, energy, and skill to the business of Employer; (ii) faithfully, loyally, and diligently perform such duties; and (iii) diligently follow and implement all lawful management policies and decisions of Employer that are communicated to Executive. During the Term of this Agreement, Executive shall not, without the consent of Employer, be engaged in or provide services to any other business or enterprise (whether engaged in for profit or not) which interferes with his obligations to Employer under this Agreement. Executive will report directly to the President of the Company. 4. Compensation and Benefits. For the avoidance of doubt, the compensation and benefits provided under this Section 4 shall be in consideration of services rendered to both Company and Bank. (a) Base Salary. During the Term, Bank shall pay to Executive a base salary at the rate of $300,000 per year ("Base Salary"), less normal withholdings, payable in accordance with Bank's payroll practices. The Compensation Committee shall review Executive's Base Salary annually and may increase the Base Salary based on such review, but may not decrease the Base Salary unless (i) Executive consents in writing to such decrease, or (ii) such decrease is made as part of across-the-board salary reductions affecting all or substantially all similarly- situated employees. Such adjusted salary then shall become Executive's Base Salary for purposes of this Agreement.

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7 LEGAL02/46213467v2 (b) Annual Bonus. During the Term, Executive shall have an opportunity to participate in any short-term or cash incentive plans available to other Bank employees similarly situated to Executive ("Peer Executives") and based upon the achievement of performance goals established from year to year by the Compensation Committee (the "Annual Bonus"). Executive's initial target Annual Bonus shall be equal to 50% of Base Salary. Except as otherwise provided in Section 6(a)(i) and Section 6(c)(i) hereof, Executive must be employed by Company and/or Bank on the date the Annual Bonus, if any, is paid in order to receive the Annual Bonus. The Annual Bonus will be paid by March 15 of the year following the year for which it is earned. For purposes of this Agreement, Executive's target Annual Bonus opportunity for any given fiscal year is referred to as the "Target Annual Bonus." (c) Long-Term Incentive Plans. During the Term, Executive shall be entitled to participate in any long-term equity incentive ("LTI") plans available to other Peer Executives, and on the same basis as such Peer Executives, subject to eligibility requirements and terms and conditions of each such plan; provided that nothing herein shall limit the ability of Company and/or Bank to amend, modify or terminate any such plans at any time and from time to time. The terms and conditions of Executive's LTI award, including but not limited to vesting criteria, shall be determined by the Compensation Committee in its sole discretion. (d) Retirement Plans. During the Term, Executive shall be entitled to participate in any retirement plans available to other Peer Executives, and on the same basis as such Peer Executives, subject to eligibility requirements and terms and conditions of each such plan; provided that nothing herein shall limit the ability of Bank to amend, modify, or terminate any such plans at any time and from time to time. (e) Welfare Benefit Plans. During the Term, Executive and Executive's eligible dependents shall be eligible for participation in the welfare benefit plans, practices, policies, and programs provided by Bank, if any, to the extent available to other Peer Executives and subject to eligibility requirements and terms and conditions of each such plan; provided that nothing herein shall limit the ability of Bank to amend, modify, or terminate any such benefit plans, policies, or programs at any time and from time to time. (f) Expenses. During the Term, and subject to Section 12 hereof, Executive shall be entitled to receive prompt reimbursement for all reasonable expenses incurred by Executive in the course of performing Executive's duties and responsibilities under this Agreement, in accordance with the policies, practices, and procedures of Bank to the extent available to other Peer Executives with respect to travel and other business expenses. 5. Termination of Employment. For the avoidance of doubt, if Executive's employment with Company terminates for any reason under this Section 5, Executive's employment with Bank shall be deemed terminated for the same reason, and if Executive's employment with Company terminates for any reason under this Section 5, Executive's employment with Bank shall be deemed terminated for the same reason. (a) Termination upon Death. Executive's employment shall terminate automatically upon Executive's death. For the avoidance of doubt, termination of Executive's employment upon the death of Executive under this Section 5(a) shall not be considered a termination without Cause that would entitle Executive to severance under Section 6(a) or (c). (b) Termination by Employer. Employer may terminate Executive's employment during the Term with or without Cause on written notice to Executive, provided that the written notice of termination with respect to a termination without Cause shall be provided at least 30 days prior to the

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8 LEGAL02/46213467v2 effective date of such termination. (c) Termination by Executive. Executive's employment may be terminated by Executive: (i) at any time for Good Reason, provided that (A) before terminating this Agreement and Executive's employment for Good Reason, (1) Executive shall give notice to Employer of the existence of Good Reason for termination, which notice must be given by Executive to Employer within 90 days of Executive's discovery of the existence of the condition(s) giving rise to Good Reason for termination and shall state with reasonable detail the condition(s) giving rise to Good Reason for termination, and (2) Employer shall have 60 days from the date of receipt of such notice to remedy the condition(s) giving rise to Good Reason for termination; and (B) such termination must occur within 12 months of the initial existence of the condition(s) giving rise to Good Reason for termination; or (ii) at any time without Good Reason, provided that Executive shall give Employer at least 30 days prior written notice of Executive's intent to terminate. (d) Notice of Termination. Any termination by Company and/or Bank with or without Cause and any termination by Executive shall be communicated by Notice of Termination to the other Party(is) hereto given in accordance with Section 16(e) of this Agreement. The failure by Company and/or Bank to set forth in the Notice of Termination any fact or circumstance which contributes to a showing of Cause shall not waive any right of Company and/or Bank hereunder or preclude the Company and/or Bank from asserting such fact or circumstance in enforcing its rights hereunder. The failure by Executive to set forth in the Notice of Termination any fact or circumstance which contributes to a showing of Good Reason shall not waive any right of Executive hereunder or preclude Executive from asserting such fact or circumstance in enforcing its rights hereunder. 6. Obligations of Employer upon Termination. During the Term, if Executive's employment terminates for any reason, then Bank shall pay or provide to Executive or Executive's estate, if applicable, (i) in a lump sum in cash within 30 days after the Date of Termination, the exact payment date to be determined by Bank, Executive's Base Salary through the Date of Termination to the extent not theretofore paid (the "Accrued Salary"), and (ii) to the extent not theretofore paid or provided, any other amounts or benefits required to be paid or provided or which Executive is eligible to receive under any plan, program, policy, practice, contract, or agreement of Bank and its affiliated companies and in accordance with the terms thereof, including, but not limited to, any expense reimbursements and accrued but unused vacation (which shall be paid out, if at all, in accordance with Bank's then current written policy regarding accrual and payment for unused vacation pay) (the "Other Benefits"). (a) Resignation for Good Reason; Termination Other Than for Cause, Death, or Disability. During the Term, if (x) Employer terminates Executive's employment other than for Cause, death, or Disability, or (y) Executive terminates employment for Good Reason, then, in addition to Accrued Salary and Other Benefits, and subject to Section 6(d) hereof: (i) Bank shall pay to Executive in a lump sum in cash a prorated Annual Bonus for the year in which the Date of Termination occurs based on the level of achievement of applicable performance metrics (with such pro rata portion determined by multiplying the earned Annual Bonus by a fraction, the numerator of which shall be the number of months elapsed in the applicable calendar year prior to the Date of Termination, and the denominator shall be twelve (12)) (the "Prorated Annual Bonus"), payable at the same time that annual bonuses are paid to Peer Executives, subject to Section 12 hereof;

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9 LEGAL02/46213467v2 (ii) Bank shall pay to Executive an amount equal to the Non-CIC Severance Multiple times the Severance Formula, payable in approximately equal monthly installments during the 18-month period following the Date of Termination, commencing on the first payroll date to occur after the 60th day following the Date of Termination; provided that the first such payment shall consist of all amounts payable to Executive pursuant to this Section 6(a)(ii) between the Date of Termination and the first payroll date to occur after the 60th day following the Date of Termination; and (iii) if Executive elects to continue participation in any group medical, dental, vision, and/or prescription drug plan benefits to which Executive and/or Executive's eligible dependents would be entitled under COBRA, then for a period of 18 months after the Date of Termination (the "Health Benefits Continuation Period"), Bank shall pay to Executive an amount in cash equal to the COBRA cost of such coverage; provided, however, that (1) that if Executive becomes eligible to receive medical benefits under a program of a subsequent employer or otherwise (including coverage available to Executive's spouse through the spouse's employer), Bank's obligation to pay any portion of the cost of health coverage as described herein shall cease, except as otherwise provided by law; (2) the Health Benefits Continuation Period shall run concurrently with any period for which Executive is eligible to elect health coverage under COBRA; (3) the Bank-paid portion of the monthly premium for such group health benefits, determined in accordance with Code Section 4980B and the regulations thereunder, shall be treated as taxable compensation by including such amount in Executive's income in accordance with applicable rules and regulations; (4) during the Health Benefits Continuation Period, the benefits provided in any one calendar year shall not affect the amount of benefits provided in any other calendar year (other than the effect of any overall coverage benefits under the applicable plans); (5) the reimbursement of an eligible taxable expense shall be made as soon as practicable but not later than December 31 of the year following the year in which the expense was incurred; and (6) Executive's rights pursuant to this Section 6(a)(iii) shall not be subject to liquidation or exchange for another benefit. The benefit described in this Section 6(a)(iii) is referred to as the "Health Coverage Benefit." (b) Termination for Cause; Resignation by Executive other than Resignation for Good Reason; Death; Disability. If during the Term Executive's employment is terminated by Employer for Cause, by Executive other than for Good Reason, or in the event of Executive's death or Disability, then Employer shall have no further obligations to Executive or Executive's legal representatives under this Agreement, other than for Accrued Salary and Other Benefits, as applicable. (c) Termination following a Change in Control. If, within 12 months following a Change in Control, (x) Employer (or any successor to Employer) terminates Executive's employment other than for Cause, or (y) Executive terminates employment for Good Reason, then, in addition to Accrued Salary and Other Benefits, as applicable, and subject to Section 6(d) hereof and in lieu of any amounts under Section 6(a) hereof: (i) Bank shall pay to Executive in a lump sum in cash the Prorated Annual Bonus, payable at the same time that annual bonuses are paid to Peer Executives, subject to Section 12 hereof; (ii) Bank (or its successor) shall pay to Executive an amount equal to the CIC Multiple times the Severance Formula, payable in a lump sum in cash on the 60th day following the Date of Termination; and (iii) if Executive elects to continue participation in any group medical, dental,

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10 LEGAL02/46213467v2 vision and/or prescription drug plan benefits to which Executive and/or Executive's eligible dependents would be entitled under COBRA, then during the Health Benefits Continuation Period, Bank (or its successor) shall pay to Executive the Health Coverage Benefit. (d) Release of Claims; Restrictive Covenants. Notwithstanding the foregoing, Bank shall be obligated to provide the amounts and benefits in Sections 6(a) and (c) hereof, as applicable, only if (A) within 45 days after the Date of Termination Executive shall have executed a separation and full release of claims/covenant not to sue in the form provided by the Company (the "Release Agreement") and such Release Agreement shall not have been revoked within the revocation period specified in the Release Agreement, and (B) Executive fully complies with the obligations set forth in Section 7 hereof. For the avoidance of doubt, if Executive does not comply with the obligations set forth in Section 7 hereof, then payment of the amounts and benefits in Sections 6(a) and (c) hereof, as applicable, shall cease immediately upon Executive's breach thereof. (e) Resignations. If Executive is a member of the board of directors of Company, the board of directors of Bank, or the board of directors of any subsidiary of Company or Bank, then termination of Executive's employment hereunder for any reason whatsoever shall constitute Executive's resignation from such boards of directors and as resignation as an officer of Bank, Company, and of any of the subsidiaries for which Executive serves as an officer. 7. Restrictive Covenants. For the avoidance of doubt, the Restrictive Covenants contained in this Section 7, as well as any other provisions of this Agreement necessary to interpret or enforce the Restrictive Covenants, shall survive termination of this Agreement and/or termination of Executive's employment for any reason, and shall continue to be in full force and effect in accordance with their terms. (a) Acknowledgments. (i) Condition of Employment and Other Consideration. Executive acknowledges and agrees that Executive has received good and valuable consideration for entering into this Agreement. (ii) Access to Confidential Information, Relationships, and Goodwill. Executive acknowledges and agrees that Executive is being provided and entrusted with Confidential Information, including highly confidential customer information that is subject to extensive measures to maintain its secrecy by Employer, is not known in the trade or disclosed to the public, and would materially harm Employer's legitimate business interests if it was disclosed or used in violation of this Agreement. Executive also acknowledges and agrees that Executive is being provided and entrusted with access to Employer's customer and employee relationships and goodwill. Executive further acknowledges and agrees that the Employer would not provide access to the Confidential Information, customer and employee relationships, and goodwill in the absence of Executive's execution of and compliance with this Agreement. Executive further acknowledges and agrees that the Employer's Confidential Information, customer and employee relationships, and goodwill are valuable assets of Employer and are legitimate business interests that are properly subject to protection through the covenants contained in this Agreement. (iii) Potential Unfair Competition. Executive acknowledges and agrees that as a result of Executive's employment with Employer, Executive's knowledge of and access to Confidential Information, and relationships with Employer's customers and employees, Executive would have an unfair competitive advantage if Executive were to engage in activities in violation of this Agreement.

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11 LEGAL02/46213467v2 (iv) Voluntary Execution. Executive acknowledges and affirms that Executive has executed this Agreement voluntarily, has read this Agreement carefully, and had a full and reasonable opportunity to consider this Agreement (including an opportunity to consult with legal counsel), and that Executive has not been pressured or in any way coerced, threatened, or intimidated into signing this Agreement. (b) Restriction on Disclosure and Use of Confidential Information. Executive agrees that Executive shall not, directly or indirectly, use any Confidential Information on Executive's own behalf or on behalf of any Person other than Employer, or reveal, divulge, or disclose any Confidential Information to any Person not expressly authorized by Employer to receive such Confidential Information. This obligation shall remain in effect for as long as the information or materials in question retain their status as Confidential Information. Executive further agrees to fully cooperate with Employer in maintaining the Confidential Information to the extent permitted by law. The Parties acknowledge and agree that this Agreement is not intended to, and does not, alter either Employer's rights or Executive's obligations under any state or federal statutory or common law regarding trade secrets and unfair trade practices. Anything herein to the contrary notwithstanding, Executive shall not be restricted from disclosing information that is required to be disclosed by law, court order, or other valid and appropriate legal process; provided, however, that in the event such disclosure is required by law, Executive shall provide Employer with prompt notice of such requirement so that Employer may seek an appropriate protective order prior to any such required disclosure by Executive. Executive understands and acknowledges that nothing in this section limits Executive's ability to report possible violations of federal, state, or local law or regulation to any governmental agency or entity; to communicate with any government agencies or otherwise participate in any investigation or proceeding that may be conducted by any government agencies in connection with any charge or complaint, whether filed by Executive, on Executive's behalf, or by any other individual; or to make other disclosures that are protected under the whistleblower provisions of federal, state, or local law or regulation, and Executive shall not need the prior authorization of Employer to make any such reports or disclosures and shall not be required to notify Employer that Executive has made such reports or disclosures. In addition, and anything herein to the contrary notwithstanding, Executive is hereby given notice that Executive shall not be criminally or civilly liable under any federal or state trade secret law for disclosing a trade secret (as defined by 18 U.S.C. § 1839) in confidence to a federal, state, or local government official, either directly or indirectly, or to an attorney, in either event solely for the purpose of reporting or investigating a suspected violation of law; or disclosing a trade secret (as defined by 18 U.S.C. § 1839) in a complaint or other document filed in a lawsuit or other proceeding, if such filing is made under seal. (c) Non-Competition. Except as provided herein, Executive agrees that, during the Restricted Period, Executive will not, without prior written consent of Employer, directly or indirectly (i) carry on or engage in Competitive Services within the Restricted Territory on Executive's own behalf or on behalf of any Person or any Principal or Representative of any Person, or (ii) own, manage, operate, control or participate in the ownership, management, operation or control of any business, whether in corporate, proprietorship, or partnership form or otherwise, where such business is engaged in the provision of Competitive Services within the Restricted Territory; provided that nothing herein shall prohibit Executive from being a passive owner of not more than five percent of the outstanding securities of any publicly traded company engaged in the Competitive Services, so long as Executive does not serve on the board of directors of such company and does not engage in the management of such company. (d) Non-Solicitation of Protected Customers. Executive agrees that, during the Restricted Period, Executive shall not, without the prior written consent of Employer, directly or indirectly, on Executive's own behalf or as a Principal or Representative of any Person, solicit, divert, or attempt to solicit or divert a Protected Customer for the purpose of engaging in, providing, or selling Competitive Services.

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12 LEGAL02/46213467v2 (e) Non-Recruitment of Employees and Independent Contractors. Executive agrees that during the Restricted Period, Executive shall not, without the prior written consent of Employer, directly or indirectly, whether on Executive's own behalf or as a Principal or Representative of any Person, solicit or induce or attempt to solicit or induce any employee or individual independent contractor of Employer to terminate an employment relationship with Employer or to enter into employment or independent contractor relationship with Executive or any such other Person. Notwithstanding the foregoing, the provisions of this Section 7(e) shall not be violated by general advertising or solicitation not specifically targeted at employees or independent contractor of Employer, or actions taken by any person or entity with which Executive is associated if Executive is not personally involved in any manner in the matter and has not identified such employee for soliciting or hiring and has not provided any information regarding the employee's qualifications. (f) Proprietary Rights. (i) Ownership and Assignment of Protected Works. Executive agrees that any and all Confidential Information and Protected Works are the sole property of Employer, and that no compensation in addition to Executive's compensation hereunder is due to Executive for development or transfer of such Protected Works. Executive agrees that Executive shall promptly disclose in writing to Employer the existence of any Protected Works. Executive hereby assigns and agrees to assign all of Executive's rights, title, and interest in any and all Protected Works, including all patents or patent applications, and all copyrights therein, to Employer. Executive shall not be entitled to use Protected Works for Executive's own benefit or the benefit of anyone except Employer without written permission from Employer and then only subject to the terms of such permission. Executive further agrees that Executive will communicate to Employer any facts known to Executive and testify in any legal proceedings, sign all lawful papers, make all rightful oaths, execute all divisionals, continuations, continuations-in-part, foreign counterparts, or reissue applications, all assignments, all registration applications, and all other instruments or papers to carry into full force and effect the assignment, transfer, and conveyance hereby made or to be made and generally do everything possible for title to the Protected Works and all patents or copyrights or trademarks or service marks therein to be clearly and exclusively held by Employer. Executive agrees that Executive will not oppose or object in any way to applications for registration of Protected Works by Employer or others designated by Employer. Executive agrees to exercise reasonable care to avoid making Protected Works available to any third party and shall be liable to Employer for all damages and expenses, including reasonable attorneys' fees, if Protected Works are made available to third parties by Executive without the express written consent of Employer. Anything herein to the contrary notwithstanding, Executive will not be obligated to assign to Employer any Protected Work for which no equipment, supplies, facilities, or Confidential Information of Employer was used and which was developed entirely on Executive's own time, unless (A) the invention relates (1) directly to the business of Employer, or (2) to the Employer's actual or demonstrably anticipated research or development; or (B) the invention results from any work performed by Executive for Employer. Executive likewise will not be obligated to assign to Employer any Protected Work that is conceived by Executive after Executive leaves the employ of Employer, except that Executive is so obligated if the same relates to or is based on Confidential Information to which Executive had access by virtue of employment with Employer. Similarly, Executive will not be obligated to assign any Protected Work to Employer that was conceived and reduced to practice prior to Executive's employment with Employer, regardless of whether such Protected Work relates to or would be useful in the business of Employer. Executive acknowledges and agrees that there are no Protected Works conceived and reduced to practice by Executive prior to his employment with Employer.

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13 LEGAL02/46213467v2 (ii) No Other Duties. Executive acknowledges and agrees that there is no other contract or duty on the part of Executive now in existence to assign Protected Works to anyone other than Employer. (iii) Works Made for Hire. Employer and Executive acknowledge that in the course of Executive's employment with Employer, Executive may from time to time create for Employer copyrightable works. Such works may consist of manuals, pamphlets, instructional materials, computer programs, software, software integration techniques, software codes, and data, technical data, photographs, drawings, logos, designs, artwork, or other copyrightable material, or portions thereof, and may be created within or without Employer's facilities and before, during or after normal business hours. All such works related to or useful in the business of Employer are specifically intended to be works made for hire by Executive, and Executive shall cooperate with Employer in the protection of Employer's copyrights in such works and, to the extent deemed desirable by Employer, the registration of such copyrights. (g) Return of Materials. Executive agrees to not retain or destroy (except as set forth below), and to immediately return to Employer on or prior to the Date of Termination, or at any other time Employer requests such return, any and all property of Employer that is the possession of Executive or subject to Executive's control, including, but not limited to, keys, credit and identification cards, equipment, customer files and information, papers, drawings, notes, manuals, specifications, designs, devices, code, email, documents, diskettes, CDs, tapes, keys, access cards, credit cards, identification cards, computers, mobile devices, other electronic media, all other files and documents relating to Employer and its business (regardless of form, but specifically including all electronic files and data of Employer), together with all Protected Works and Confidential Information belonging to Employer or that Executive received from or through his employment with Employer. Executive will not make, distribute, or retain copies of any such information or property. To the extent that Executive has electronic files or information in Executive's possession or control that belong to Employer, contain Confidential Information, or constitute Protected Works (specifically including but not limited to electronic files or information stored on personal computers, mobile devices, electronic media, or in cloud storage), on or prior to the Date of Termination, or at any other time Employer requests, Executive shall (i) provide Employer with an electronic copy of all of such files or information (in an electronic format that readily accessible by Employer); (ii) after doing so, delete all such files and information, including all copies and derivatives thereof, from all non- Employer-owned computers, mobile devices, electronic media, cloud storage, and other media, devices, and equipment, such that such files and information are permanently deleted and irretrievable; and (iii) provide a written certification to Employer that the required deletions have been completed and specifying the files and information deleted and the media source from which they were deleted. (h) Enforcement of Restrictive Covenants. For the avoidance of doubt, nothing in this Section 7(i) limits the remedies available to Employer under Section 14 hereof. (i) Rights and Remedies Upon Breach. The Parties specifically acknowledge and agree that the remedy at law for any breach of the Restrictive Covenants will be inadequate, and that in the event Executive breaches any of the Restrictive Covenants, Employer shall have the right and remedy, without the necessity of proving actual damage or posting any bond, to enjoin, preliminarily and permanently, Executive from violating the Restrictive Covenants and to have the Restrictive Covenants specifically enforced by any court of competent jurisdiction, it being agreed that any breach of the Restrictive Covenants would cause irreparable injury to Employer and that money damages would not provide an adequate remedy to Employer. Executive understands and agrees that if he materially violates any of the obligations set forth in the Restrictive Covenants, the Restricted Period shall cease to run during the pendency of any litigation over such violation, provided that such litigation was initiated during the Restricted Period. If Employer does not

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14 LEGAL02/46213467v2 substantially prevail in such litigation, the Restricted Period shall be deemed to have continued to run during the litigation. Such rights and remedies shall be in addition to, and not in lieu of, any other rights and remedies available to Employer at law or in equity. Employer's ability to enforce its rights under the Restrictive Covenants or applicable law against Executive shall not be impaired in any way by the existence of a claim or cause of action on the part of Executive based on, or arising out of, this Agreement or any other event or transaction. (ii) Severability and Modification of Covenants. Executive acknowledges and agrees that each of the Restrictive Covenants is reasonable and valid in time and scope and in all other respects. The Parties agree that it is their intention that the Restrictive Covenants be enforced in accordance with their terms to the maximum extent permitted by law. Each of the Restrictive Covenants shall be considered and construed as a separate and independent covenant. should any part or provision of any of the Restrictive Covenants, or any other provision of this Section 7, be held invalid, void, or unenforceable, such invalidity, voidness, or unenforceability shall not render invalid, void, or unenforceable any other part or provision of this Agreement or such Restrictive Covenant. If any of the provisions of the Restrictive Covenants should ever be held by a court of competent jurisdiction to exceed the scope permitted by the applicable law, such provision or provisions shall be automatically modified to such lesser scope as such court may deem just and proper for the reasonable protection of Employer's legitimate business interests and may be enforced by Employer to that extent in the manner described above and all other provisions of this Agreement shall be valid and enforceable. (i) Existing Covenants. Executive represents and warrants that Executive's employment with Employer does not and will not breach any agreement that Executive has with any former employer to keep in confidence proprietary or confidential information or not to compete with any such former employer. Executive will not disclose to Employer or use on its behalf any proprietary or confidential information of any other party required to be kept confidential by Executive. (j) Disclosure of Agreement. Executive acknowledges and agrees that, during the Restricted Period, Executive will disclose the existence and terms of the Protective Covenants in Section 7 of this Agreement to any prospective employer or business partner, within the Restricted Territory prior to entering into an employment, partnership, or other business relationship with such prospective employer or business partner. Executive further agrees that Employer shall have the right to make any such prospective employer or business partner of Executive within the Restricted Territory aware of the existence and terms of the Protective Covenants in Section 7 of this Agreement. 8. Non-exclusivity of Rights. Nothing in this Agreement shall prevent or limit Executive's continuing or future participation in any employee benefit plan, program, policy, or practice provided by Employer and for which Executive may qualify, except as specifically provided herein. Amounts that are vested benefits or which Executive is otherwise entitled to receive under any plan, policy, practice, or program of Employer at or subsequent to the Date of Termination shall be payable in accordance with such plan, policy, practice, or program except as explicitly modified by this Agreement. 9. Full Settlement; No Mitigation. Employer's obligation to make the payments provided for in this Agreement and otherwise to perform its obligations hereunder shall not be affected by any set-off, counterclaim, recoupment, defense or other claim, right or action which Employer may have against Executive or others. In no event shall Executive be obligated to seek other employment or take any other action by way of mitigation of the amounts payable to Executive under any of the provisions of this Agreement and such amounts shall not be reduced whether or not Executive obtains other employment. For the avoidance of doubt, nothing in this Section 9 shall impact Employer's remedy of recoupment set forth in Section 14 hereof.

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![](exhibit104-northpointeho015.jpg)

15 LEGAL02/46213467v2 10. Mandatory Reduction of Payments in Certain Events. (a) Notwithstanding anything in this Agreement to the contrary, in the event it shall be determined that any Payment would, if paid, be subject to any Excise Tax, then, prior to the making of any Payments to or for the benefit of Executive, a calculation shall be made comparing (i) the net after-tax benefit to Executive of the Payments after payment by Executive of the Excise Tax, to (ii) the net after-tax benefit to Executive if the Payments had been limited to the extent necessary to avoid being subject to the Excise Tax. If the amount calculated under (i) above is less than the amount calculated under (ii) above, then the Payments shall be limited to the extent necessary to avoid being subject to the Excise Tax (the "Reduced Amount"). The reduction of the Payments due hereunder, if applicable, shall be made by first reducing cash Payments and then, to the extent necessary, reducing those Payments having the next highest ratio of Parachute Value to actual present value of such Payments as of the date of a Change in Control, as determined by the Determination Firm (as defined below). For purposes of this Section 10, present value shall be determined in accordance with Section 280G(d)(4) of the Code. (b) All determinations required to be made under this Section 10, including whether an Excise Tax would otherwise be imposed, whether the Payments shall be reduced, the amount of the Reduced Amount, and the assumptions to be utilized in arriving at such determinations, shall be made by a nationally recognized accounting firm or compensation consulting firm mutually acceptable to Employer and Executive (the "Determination Firm") which shall provide detailed supporting calculations to Employer and Executive within 15 business days after the receipt of notice from Executive that a Payment is due to be made, or such earlier time as is requested by Employer. All fees and expenses of the Determination Firm shall be borne solely by Employer. Any determination by the Determination Firm shall be binding upon Employer and Executive. As a result of the uncertainty in the application of Section 4999 of the Code at the time of the initial determination by the Determination Firm hereunder, it is possible that Payments which Executive was entitled to, but did not receive pursuant to Section 10(a), could have been made without the imposition of the Excise Tax ("Underpayment"), consistent with the calculations required to be made hereunder. In such event, the Determination Firm shall determine the amount of the Underpayment that has occurred and any such Underpayment shall be promptly paid by Employer to or for the benefit of Executive but no later than March 15 of the year after the year in which the Underpayment is determined to exist, which is when the legally binding right to such Underpayment arises. (c) In the event that the provisions of Code Section 280G and 4999 or any successor provisions are repealed without succession, this Section 10 shall be of no further force or effect. In the event the provisions of Code Section 280G and 4999 are modified, this Section 10 shall be modified accordingly. 11. Successors. (a) This Agreement is personal to Executive and shall not be assignable by Executive otherwise than by will or the laws of descent and distribution. This Agreement shall inure to the benefit of and be enforceable by Executive's legal representatives. (b) This Agreement can be assigned by Company and/or Bank only to a subsidiary or successor and shall be binding and inure to the benefit of Company and Bank, and their successors and assigns. The Company and/or Bank shall require any successor or assignee, whether direct or indirect, by purchase, merger, consolidation or otherwise, to all or substantially all the business or assets of the Bank, expressly and unconditionally to assume and agree to perform the Bank's obligations under this Agreement, in the same manner and to the same extent that the Bank would be required to perform if no such succession or assignment had taken place.

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16 LEGAL02/46213467v2 12. Code Section 409A. (a) General. This Agreement shall be interpreted and administered in a manner so that any amount or benefit payable hereunder shall be paid or provided in a manner that is either exempt from or compliant with the requirements of Section 409A of the Code and applicable Internal Revenue Service guidance and Treasury Regulations issued thereunder (and any applicable transition relief under Section 409A of the Code). Nevertheless, the tax treatment of the benefits provided under the Agreement is not warranted or guaranteed. Neither Company nor Bank, nor their directors, officers, employees, or advisers, shall be held liable for any taxes, interest, penalties, or other monetary amounts owed by Executive as a result of the application of Section 409A of the Code. (b) Definitional Restrictions. Notwithstanding anything in this Agreement to the contrary, to the extent that any amount or benefit that would constitute non-exempt "deferred compensation" for purposes of Section 409A of the Code ("Non-Exempt Deferred Compensation") would otherwise be payable or distributable hereunder, or a different form of payment of such Non-Exempt Deferred Compensation would be effected, such Non-Exempt Deferred Compensation will not be payable or distributable to Executive, and/or such different form of payment will not be effected, by reason of such circumstance unless the circumstances giving rise to such payment event meet any description or definition of "change in control event" or "separation from service," as the case may be, in Section 409A of the Code and applicable regulations (without giving effect to any elective provisions that may be available under such definition). This provision does not affect the dollar amount or prohibit the vesting of any Non- Exempt Deferred Compensation termination of employment, however defined. If this provision prevents the payment or distribution of any Non-Exempt Deferred Compensation, or the application of a different form of payment, then, subject to subsection (c) below, such payment or distribution shall be made at the time and in the form that would have applied absent the non- 409A-conforming event. (c) Six-Month Delay in Certain Circumstances. Notwithstanding anything in this Agreement to the contrary, if any amount or benefit that would constitute Non-Exempt Deferred Compensation would otherwise be payable or distributable under this Agreement by reason of Executive's separation from service during a period in which Executive is a specified employee (as determined by Employer in accordance with Section 409A of the Code and Treasury Regulations § 1.409A-3(i)(2)), then, subject to any permissible acceleration of payment by Employer under Treas. Reg. Section 1.409A- 3(j)(4)(ii) (domestic relations order), (j)(4)(iii) (conflicts of interest), or (j)(4)(vi) (payment of employment taxes): (i) the amount of such Non- Exempt Deferred Compensation that would otherwise be payable during the six- month period immediately following Executive's separation from service will be accumulated through and paid or provided on the first day of the seventh month following Executive's separation from service (or, if Executive dies during such period, within 30 days after Executive's death) (in either case, the "Required Delay Period"); and (ii) the normal payment or distribution schedule for any remaining payments or distributions will resume at the end of the Required Delay Period. (d) Treatment of Installment Payments. Each payment of termination benefits under this Agreement, including but not limited to Section 6, shall be considered a separate payment, as described in Treas. Reg. Section 1.409A-2(b)(2), for purposes of Section 409A of the Code. (e) Timing of Release of Claims. Whenever in this Agreement a payment or benefit is conditioned on Executive's execution of a release of claims, such release must be executed and all revocation periods shall have expired within 60 days after the Date of Termination; failing which such payment or benefit shall be forfeited. If such payment or benefit constitutes Non-Exempt Deferred Compensation, then such payment or benefit (including any installment payments) that would have otherwise been payable during such 60-day period shall be accumulated and paid on the 60th day after the Date of Termination provided such release shall have been executed and such revocation periods shall have

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17 LEGAL02/46213467v2 expired. If such payment or benefit is exempt from Section 409A of the Code, Employer may elect to make or commence payment at any time during such period. (f) Timing of Reimbursements and In-kind Benefits. If Executive is entitled to be paid or reimbursed for any taxable expenses under this Agreement, and such payments or reimbursements are includible in Executive's federal gross taxable income, the amount of such expenses reimbursable in any one calendar year shall not affect the amount reimbursable in any other calendar year, and the reimbursement of an eligible expense must be made no later than December 31 of the year after the year in which the expense was incurred. No right of Executive to reimbursement of expenses under this Agreement shall be subject to liquidation or exchange for another benefit. (g) Permitted Acceleration. Employer shall have the sole authority to make any accelerated distribution permissible under Treas. Reg. Section 1.409A-3(j)(4) to Executive of deferred amounts, provided that such distribution meets the requirements of Treas. Reg. Section 1.409A-3(j)(4). 13. Regulatory Action. (a) If Executive is removed and/or permanently prohibited from participating in the conduct of Bank's affairs by an order issued under Section 8(e)(4) or 8(g)(1) of the Federal Deposit Insurance Act ("FDIA") (12 U.S.C. 1818(e)(4) and (g)(1)), all obligations of Employer under this Agreement shall terminate, as of the effective date of such order. (b) If Executive is suspended and/or temporarily prohibited from participating in the conduct of Bank's affairs by a notice served under Section 8(e)(3) or 8(g)(1) of the FDIA (12 U.S.C. 1818(e)(3) and (g)(1)), all obligations of Employer under this Agreement shall be suspended as of the date of service, unless stayed by appropriate proceedings. If the charges in the notice are dismissed, Employer shall reinstate (in whole or in part) any of its obligations which were suspended. (c) If Bank is in default (as defined in Section 3(x)(1) of the FDIA), all obligations under this Agreement shall terminate as of the date of default. (d) All obligations under this Agreement shall be terminated, except to the extent a determination is made that continuation of the Agreement is necessary for the continued operation of Bank (1) by the director of the FDIC or his or her designee (the "Director"), at the time the FDIC enters into an agreement to provide assistance to or on behalf of Bank under the authority contained in 13(c) of the FDIA; or (2) by the Director, at the time the Director approves a supervisory merger to resolve problems related to operation of Bank when Bank is determined by the Director to be in an unsafe and unsound condition. 14. Compensation Recoupment Policy. Any incentive compensation, including, but not limited to, cash-based and equity-based compensation, awarded to Executive by Employer shall be subject to any written compensation recoupment policy that the Compensation Committee may adopt from time to time that is applicable by its terms to Executive, including, but not limited to, the Company's mandatory recoupment policy as required by the listing rules of The New York Stock Exchange. In addition, the Compensation Committee may specify in any written documentation memorializing an incentive award that Executive's rights, payments, and benefits with respect to such award shall be subject to reduction, cancellation, forfeiture, or recoupment upon the occurrence of certain specified events, in addition to any otherwise applicable conditions of such award. Such events may include, but shall not be limited to: (i) termination of employment for Cause, (ii) violation of material Company or Bank policies, (iii) breach of noncompetition, confidentiality, or other restrictive covenants, (iv) other conduct by Executive that is detrimental to the business or reputation of the Employer, or (v) a later determination that the amount realized from a performance-based award was based on materially inaccurate financial statements or any

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18 LEGAL02/46213467v2 other materially inaccurate performance metric criteria, whether or not Executive caused or contributed to such material inaccuracy. The reduction, cancellation, forfeiture, and recoupment rights associated with any equity awards or similar awards granted to Executive, if any, shall be as provided in the award certificate memorializing any such award. 15. Indemnification. Employer shall indemnify Executive for liabilities incurred by Executive while acting in good faith as an officer to the fullest extent provided for any other officer of Employer. To the extent that Employer maintains director and officer liability insurance, such insurance shall cover Executive to the same extent as any other officer of Employer. 16. Miscellaneous. (a) Applicable Law. Employer and Executive agree that this Agreement shall be governed by and construed and interpreted in accordance with the laws of the State of Michigan without giving effect to its conflicts of law principles. The Parties agree that the exclusive forum for any action to enforce this Agreement, as well as any action relating to or arising out of this Agreement, shall be the state or federal courts of the State of Michigan. With respect to any such court action, Employee hereby (a) irrevocably submits to the personal jurisdiction of such courts; (b) consents to venue; and (c) waives any other requirement (whether imposed by statute, rule of court, or otherwise) with respect to personal jurisdiction or venue. The Parties hereto further agree that the state and federal courts of the State of Michigan are convenient forums for any dispute that may arise herefrom and that neither party shall raise as a defense that such courts are not convenient forums. (b) Non-Duplication. Notwithstanding anything to the contrary in this Agreement, and except as specifically provided below, any severance payments or benefits received by Executive pursuant to this Agreement shall be in lieu of any general severance policy or other severance plan maintained by Employer (other than a stock option, restricted stock, share or unit, performance share or unit, supplemental retirement, deferred compensation, or similar plan or agreement which may contain provisions operative on a termination of Executive's employment or may incidentally refer to accelerated vesting or accelerated payment upon a termination of employment). (c) Captions. The captions of this Agreement are not part of the provisions hereof and shall have no force or effect. (d) Amendments. This Agreement may not be amended or modified otherwise than- by a written agreement executed by the Parties or their respective successors and legal representatives. (e) Notices. All notices and other communications hereunder shall be in writing and shall be given by hand delivery to the other Party(ies) or by registered or certified mail, return receipt requested, postage prepaid, addressed as follows: If to Executive: If to Company and/or Bank: On file with Bank 3333 Deposits Drive Northeast Grand Rapids, Michigan 49546 Attention: Chief Executive Officer or to such other address as a Party shall have furnished to the other Party(ies) in writing in accordance herewith. Notice and communications shall be effective when actually received by the addressee.

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![](exhibit104-northpointeho019.jpg)

19 LEGAL02/46213467v2 (f) Severability. The invalidity or unenforceability of any provision of this Agreement shall not affect the validity or enforceability of any other provision of this Agreement. (g) Withholding. Employer may withhold from any amounts payable under this Agreement such federal, state, local or foreign taxes as shall be required to be withheld pursuant to any applicable law or regulation. (h) Waivers. Failure of any Party to insist, in one or more instances, on performance by the other in strict accordance with the terms and conditions of this Agreement shall not be deemed a waiver or relinquishment of any right granted in this Agreement or of the future performance of any such term or condition or of any other term or condition of this Agreement, unless such waiver is contained in a writing signed by the Party making the waiver. (i) Entire Agreement. This Agreement contains the entire agreement between the Parties with respect to the subject matter hereof and, from and after the date hereof, this Agreement shall supersede any other agreement, written or oral, between the Parties relating to the subject matter of this Agreement, including but not limited to any prior discussions, understandings, letters, and/or agreements between the Parties, written or oral, at any time. (j) Construction. The Parties understand and agree that because they have been given the opportunity to have counsel review and revise this Agreement, the normal rule of construction to the effect that any ambiguities are to be resolved against the drafting Party shall not be employed in the interpretation of this Agreement. Instead, the language of all parts of this Agreement shall be construed as a whole, and according to its fair meaning, and not strictly for or against any Party. (k) Counterparts. This Agreement may be executed in two or more counterparts, each of which shall be deemed an original, but all of which taken together shall constitute one and the same instrument. (l) Survival. The rights and obligations of the Parties under Sections 7, 10, 12, 14, 15, 16 shall survive the expiration and/or termination of this Agreement and the termination of Executive's employment hereunder for the periods expressly designated in such sections or, if no such period is designated, for the maximum period permissible under applicable law. [signature page follows]

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20 LEGAL02/46213467v2 IN WITNESS WHEREOF, the Parties hereby signify their agreement to these terms by their signatures below, as of the Effective Date. EXECUTIVE Brad T. Howes NORTHPOINTE BANK Charles A. Williams Chief Executive Officer NORTHPOINTE BANCSHARES, INC. Charles A. Williams Chief Executive Officer

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## Exhibit 31.1

**EXHIBIT 31.1**

**Certification Pursuant to Section 302 of**

**the Sarbanes-Oxley Act of 2002**

I, Charles A. Williams, certify that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.I have reviewed this report on Form 10-Q of Northpointe Bancshares, Inc.;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a.designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b.designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c.evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d.disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of registrant's board of directors (or persons performing the equivalent functions):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a.all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b.any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

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| | | |
|:---|:---|:---|
| Date: | August 13, 2025 | |
| | | /s/ Charles A. Williams |
| | | Charles A. Williams |
| | | Chief Executive Officer |

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## Exhibit 31.2

**EXHIBIT 31.2**

**Certification Pursuant to Section 302 of**

**the Sarbanes-Oxley Act of 2002**

I, Brad T. Howes, certify that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.I have reviewed this report on Form 10-Q of Northpointe Bancshares, Inc.;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a.Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b.Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c.Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d.Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of registrant's board of directors (or persons performing the equivalent functions):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

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| | | |
|:---|:---|:---|
| Date: | August 13, 2025 | |
| | | /s/ Brad T. Howes |
| | | Brad T. Howes |
| | | Chief Financial Officer |

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## Exhibit 32.1

**EXHIBIT 32.1**

Pursuant to 18 U.S.C. § 1350, each of the undersigned hereby certifies in his capacity as an officer of Northpointe Bancshares, Inc. (the "Company") that the Annual Report of the Company on Form 10-Q for the quarter ended June 30, 2025 fully complies with the requirements of Section 13(a) of the Securities Exchange Act of 1934 and that the information contained in such report fairly presents, in all material respects, the financial condition of the Company at the end of such period and the results of operations of the Company for such period.

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| | | |
|:---|:---|:---|
| | | /s/ Charles A. Williams |
| | | Charles A. Williams<br>Chief Executive Officer<br>/s/ Brad T. Howes |
| | | Brad T. Howes |
| | | Chief Financial Officer |
| Date: | August 13, 2025 | |

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