SEC Filing Document

Company: Forbright, Inc.
Ticker: 
CIK: 1925062
Filing Type: DRS
Document Type: DRS
Date Filed: 2026-02-13
Accession Number: 0001628279-26-000183
Exchange: 
SIC Code: 6022
SIC Description: State Commercial Banks
URL: https://www.sec.gov/Archives/edgar/data/1925062/000162827926000183/filename1.htm

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Document Content:

•Doubtful - Assets in this category have all the weaknesses inherent in one classified Substandard with the added characteristic that the weaknesses make collection or liquidation in full on the basis of currently existing facts, conditions and values, highly questionable and improbable. The possibility of loss is extremely high, but because of certain important and reasonably specific pending factors which may work to the advantage and strengthening of the asset, its classification as an estimated loss is deferred until its more exact status may be determined. The Company periodically reviews and, if necessary, updates the credit quality indicator assigned to each of its loans on a case-by-case basis. Loans Held for Investment at Amortized Cost The following table presents by class, credit quality and year of origination, the recorded investment in the Company’s loans held for investment at amortized cost as of and for the year ended December 31, 2024:

December 31, 2024
(in thousands) 2024 2023 2022 2021 2020 Prior Revolving Loans Revolving Loans Converted to Term Total
Commercial Real Estate:
Acceptable risk (or better) $	342,064 $	53,878 $	437,395 $	192,064 $	89,493 $	13,123 $	— $	— $	1,128,017
Higher risk 53,089 — 131,300 173,619 41,913 10,623 998 — 411,542
Special mention 7,034 — — 66,847 24,744 4,537 — — 103,162
Substandard — — 7,160 44,694 — — — — 51,854
Doubtful — — — — — — — — —
Total $	402,187 $	53,878 $	575,855 $	477,224 $	156,150 $	28,283 $	998 $	— $	1,694,575
Gross charge-offs $	— $	— $	2,714 $	13,509 $	272 $	— $	— $	— $	16,495
Commercial:
Acceptable risk (or better) $	214,807 $	80,368 $	293,709 $	50,384 $	1,440 $	1,070 $	1,159,501 $	— $	1,801,279
Higher risk 485 40,085 40,321 534 — 2,282 25,519 — 109,226
Special mention 67 — 181 302 — — 1,776 — 2,326
Substandard 63 19 19,652 26,292 — — 17,121 — 63,147
Doubtful 2,152 — — — — — — — 2,152
Total $	217,574 $	120,472 $	353,863 $	77,512 $	1,440 $	3,352 $	1,203,917 $	— $	1,978,130
Gross charge-offs $	— $	378 $	6,221 $	750 $	— $	10 $	— $	— $	7,359
Residential Real Estate:
Acceptable risk (or better) $	3,726 $	3,196 $	14,800 $	17,019 $	9,725 $	12,879 $	1,863 $	— $	63,208
Higher risk — — 622 1,303 1,134 4,418 — — 7,477
Special mention — — — — — — — — —
Substandard — — — — — 352 — — 352
Doubtful — — — — — — — — —
Total $	3,726 $	3,196 $	15,422 $	18,322 $	10,859 $	17,649 $	1,863 $	— $	71,037
Gross charge-offs $	— $	— $	— $	— $	— $	— $	— $	— $	—
Consumer:
Acceptable risk (or better) $	— $	— $	— $	— $	— $	— $	89 $	— $	89
Higher risk — — — — — 28 1 — 29
Special mention — — — — — — — — —
Substandard — — — — — — 8 — 8
Doubtful — — — — — — — — —
Total $	— $	— $	— $	— $	— $	28 $	98 $	— $	126
Gross charge-offs $	— $	— $	1,343 $	1,077 $	33 $	— $	1,176 $	— $	3,629
Solar:
Acceptable risk (or better) $	2,588 $	4,426 $	64,263 $	138,991 $	7,766 $	1,309 $	— $	— $	219,343
Higher risk — — — — — — — — —
Special mention — — — — — — — — —
Substandard — — 275 487 — — — — 762
Doubtful — — — — — — — — —
Total $	2,588 $	4,426 $	64,538 $	139,478 $	7,766 $	1,309 $	— $	— $	220,105
Gross charge-offs $	— $	— $	3,832 $	4,851 $	35 $	31 $	— $	— $	8,749
Total loans $	626,075 $	181,972 $	1,009,678 $	712,536 $	176,215 $	50,621 $	1,206,876 $	— $	3,963,973
Total gross charge-offs $	— $	378 $	14,110 $	20,187 $	340 $	41 $	1,176 $	— $	36,232

The following table presents information on loans held for investment at amortized cost on non-accrual status and loans 90 days or more past due and still accruing as of December 31, 2024:

December 31, 2024
(in thousands) Commercial Real Estate Commercial Residential Real Estate Consumer Solar Total
Loans 90 days or more past due and still accruing $	— $	— $	— $	— $	— $	—
Non-accrual loans with no allowance for credit losses $	44,694 $	12,692 $	— $	— $	— $	57,386
Non-accrual loans $	44,694 $	12,789 $	352 $	8 $	762 $	58,605
Contractual Interest Income on Non-accrual Loans while on Non-accrual Status $	3,555 $	1,480 $	30 $	383 $	741 $	6,189

No interest income was recognized on non-accrual loans while on non-accrual status for the year ended December 31, 2024. At the time a loan is designated as non-accrual, the Company reverses any related accrued interest from interest income. During the year ended December 31, 2024, the Company reversed $1.7 million of accrued interest from interest income related to loans designated as non-accrual.

The following table presents by class, an aging analysis and the recorded investments in past due loans, excluding non-accrual loans, held for investment at amortized cost as of December 31, 2024:

December 31, 2024
(in thousands) Commercial Real Estate Commercial Residential Real Estate Consumer Solar Total
Past due loans:
30 - 59 days past due $	— $	1,369 $	508 $	— $	1,396 $	3,273
60 - 89 days past due 576 1,022 — 7 888 2,493
90 or more days past due — 97 299 8 762 1,166
Total past due loans 576 2,488 807 15 3,046 6,932
Current loans 1,693,999 1,975,642 70,230 111 217,059 3,957,041
Total $	1,694,575 $	1,978,130 $	71,037 $	126 $	220,105 $	3,963,973

The following table presents by class and by collateral type, the recorded investment of collateral-dependent loans where the borrower is experiencing financial difficulty as of December 31, 2024, for which repayment is expected to be provided substantially through the operation or sale of the collateral:

December 31, 2024
(in thousands) Commercial Real Estate Commercial Residential Real Estate Total
Collateral type:
Real estate $	44,694 $	— $	352 $	45,046
Business assets — 10,252 — 10,252
Total $	44,694 $	10,252 $	352 $	55,298

See Note 1 – Significant Accounting Policies for more information on the Company’s accounting policy for modifications.

The following table presents by class and by type of modification, the recorded investment and financial effect of modification as of December 31, 2024, in the Company’s loans that were both modified and experiencing financial difficulty during the year ended December 31, 2024:

December 31, 2024

(dollars in thousands) Term Extension Total Modification to Loan Class Ratio Weighted-Average Term Extension
Commercial $	1,971 $	1,971 0.1	% 19.2 months
Total $	1,971 $	1,971

As of December 31, 2024, there were no unfunded loan commitments on modifications for borrowers experiencing financial difficulty.

The Company closely monitors the performance of loans that are modified to borrowers experiencing financial difficulty to understand the effectiveness of its modification efforts. The following table presents the performance of such loans that have been modified in the twelve months preceding the dates indicated:

December 31, 2024
(in thousands) Commercial Total
Past due loans:
30 - 59 days past due $	— $	—
60 - 89 days past due — —
90 or more days past due — —
Total past due loans — —

Current loans (1) 1,971 1,971
Total $	1,971 $	1,971

(1)Of the loans reported as current, $1.9 million of Commercial loans were on non-accrual status as of December 31, 2024.

During the year ended December 31, 2024, $67 thousand of Commercial loans to borrowers experiencing financial difficulty had a payment default in the twelve months subsequent to modifications made in the form of a payment delay.

Loans Held for Investment at Fair Value

The following table presents by class and by credit quality indicator, the recorded investment in the Company’s loans held for investment at fair value as of December 31, 2024:

December 31, 2024
(in thousands) Commercial Total
Acceptable risk (or better) $	4,231 $	4,231
Higher risk 1,058 1,058
Special mention 1,020 1,020
Substandard 772 772
Doubtful — —
Total $	7,081 $	7,081

The following table presents, by class, information on loans held for investment at fair value on non-accrual status and loans 90 days or more past due and still accruing as of December 31, 2024: