SEC Filing Document

Company: Forbright, Inc.
Ticker: 
CIK: 1925062
Filing Type: DRS/A
Document Type: DRS/A
Date Filed: 2026-04-08
Accession Number: 0001628279-26-000459
Exchange: 
SIC Code: 6022
SIC Description: State Commercial Banks
URL: https://www.sec.gov/Archives/edgar/data/1925062/000162827926000459/filename1.htm

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Reporting (Topic 280): Improvements to Reportable Segment Disclosures. The amendments enhance reportable segment disclosure requirements, primarily through expanded disclosures about significant segment expenses and other segment items on an annual and interim basis. The Company adopted ASU 2023-07 effective January 1, 2024. The adoption did not change the Company’s reportable segments, nor did it have an impact on the Company’s consolidated financial position, results of operations, or cash flows. In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures, which requires the disclosure of disaggregated information about an entity’s income tax rate reconciliation as well as income taxes paid and income tax expense. The Company adopted the standard on January 1, 2025, on a prospective basis. The adoption did not have a material impact on the Company’s consolidated financial statements. See Note 17 – Income Taxes for more information. Accounting Standards Pending Adoption

In November 2024, the FASB issued ASU 2024-03, Income Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures (Topic 220): Disaggregation of Income Statement Expenses, which requires the disaggregated disclosure of certain income statement categories. The amendments are effective for fiscal years beginning after December 15, 2026, with early adoption permitted. The amendments should be applied either prospectively to financial statements issued for reporting periods after the effective date, or retrospectively to any or all prior periods presented in the financial statements. The Company is in the process of evaluating the impact of this pronouncement, but does not anticipate it having a material impact on it’s disclosures.

In September 2025, the FASB issued ASU 2025-06, Intangibles-Goodwill and Other-Internal-Use Software (Subtopic 350-40): Targeted Improvements to the Accounting for Internal-Use Software, which modernizes the rules for capitalizing internal-use software. The amendments are effective for fiscal years beginning after December 15, 2027, with early adoption permitted. The amendments can be applied using a prospective approach, a retrospective approach, or a modified approach that bases the adoption of the amendments on the completion status of the software project as of the adoption date. The Company is in the process of evaluating the impact of this pronouncement.

In November 2025, the FASB issued ASU 2025-08, Financial Instruments-Credit Losses (Topic 326): Purchased Loans, which provides targeted improvements to the accounting for purchased loans, including clarification on the recognition and measurement of credit losses for acquired financial assets. The amendments are effective for fiscal years beginning after December 15, 2026, with early adoption permitted. The amendments should be applied prospectively to loans acquired after the initial adoption date. The Company is in the process of evaluating the impact of this pronouncement.

Other accounting standards that have been issued or proposed by the FASB or other standards-setting bodies are not expected to have a material, if any, impact on the Company’s consolidated financial statements.

NOTE 2 – CASH, CASH EQUIVALENTS AND RESTRICTED CASH

Regulation D of the Federal Reserve Act requires the Company to maintain reserve balances with the Federal Reserve Bank based principally on the type and amount of the Company’s deposits, however, in March 2020, the Federal Reserve Board took action to reduce the reserve requirement percentage to zero for all balances. Balances maintained with the Federal Reserve Bank are included in Interest-bearing deposits with banks in the Consolidated Balance Sheets.

The following schedule presents the composition of the Company’s cash, cash equivalents and restricted cash as of December 31, 2025 and 2024:

(in thousands) December 31, 2025 December 31, 2024
Cash, due from banks and restricted cash:
Cash and due from banks $	16,040 $	26,230
Restricted cash 2,201 1,969
Total cash, due from banks and restricted cash 18,241 28,199
Interest-bearing deposits with banks:
Interest-bearing deposits with the Federal Reserve Bank 601,555 1,132,335
Interest-bearing deposits with other banks 28,919 19,448
Total interest-bearing deposits with banks 630,474 1,151,783
Total cash, cash equivalents and restricted cash $	648,715 $	1,179,982

NOTE 3 – INVESTMENT SECURITIES

Investment Securities Available-For-Sale

Investment securities available-for-sale as of December 31, 2025 and 2024, consisted of the following securities:

December 31, 2025
(in thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Allowance for Credit Losses Fair Value
U.S. Treasury and government agencies $	953,981 $	4,366 $	— $	— $	958,347

Commercial agency mortgage-backed 135,588 1,004 (522) — 136,070

Residential agency mortgage-backed 138,262 1,077 (262) — 139,077
Municipal bonds 9,485 46 (896) — 8,635

Other 13,496 — (738) — 12,758
Total investment securities available-for-sale $	1,250,812 $	6,493 $	(2,418) $	— $	1,254,887
December 31, 2024
(in thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Allowance for Credit Losses Fair Value
U.S. Treasury and government agencies $	1,388,715 $	2,429 $	(463) $	— $	1,390,681

Commercial agency mortgage-backed 36,812 313 (548) — 36,577

Residential agency mortgage-backed 16,540 — (369) — 16,171
Municipal bonds 9,493 33 (1,234) — 8,292

Other 20,504 21 (778) — 19,747
Total investment securities available-for-sale $	1,472,064 $	2,796 $	(3,392) $	— $	1,471,468

The tables above exclude accrued interest receivables of $13.4 million and $4.9 million as of December 31, 2025 and 2024, respectively.

Expected maturities may differ from contractual maturities because issuers may have the right to call or prepay obligations without penalties. The amortized cost and fair value of investment securities available-for-sale as of December 31, 2025 and 2024, by contractual maturity are presented in the following table:

December 31, 2025 December 31, 2024
(in thousands) Amortized Cost Fair Value Amortized Cost Fair Value
U.S. Treasury and government agencies:
One year or less $	520,293 $	521,605 $	1,388,715 $	1,390,681
One to five years 433,688 436,742 — —
Five to ten years — — — —
After ten years — — — —

Commercial agency mortgage-backed:
One year or less — — — —
One to five years 18,794 19,261 15,776 15,861
Five to ten years 13,396 13,612 16,352 16,283
After ten years 103,398 103,197 4,684 4,433

Residential agency mortgage-backed:
One year or less — — — —
One to five years 109 107 205 197
Five to ten years — — — —
After ten years 138,153 138,970 16,335 15,974
Municipal bonds:
One year or less — — — —
One to five years 2,081 2,096 2,082 2,056
Five to ten years 994 894 995 842
After ten years 6,410 5,645 6,416 5,394

Other:
One year or less — — — —
One to five years — — 6,743 6,762
Five to ten years 5,000 4,537 5,000 4,484
After ten years 8,496 8,221 8,761 8,501

During the year ended December 31, 2025, the Company sold thirteen investment securities available-for-sale with an aggregate cost basis of $1.2 billion and sales proceeds of $1.2 billion. The Company realized gross gains of $1.1 million and no gross losses, on the sales. During the year ended December 31, 2024, the Company sold fourteen investment securities available-for-sale with an aggregate cost basis of $801.7 million and sales proceeds of $801.9 million. The Company realized gross gains and losses of $293 thousand and $57 thousand, respectively, on the sales. There were no transfers of investment securities from available-for-sale to held-to-maturity during the years ended December 31, 2025 and 2024.

As of December 31, 2025, the Company had no pledged available-for-sale U.S. Treasury and government agency securities to secure FHLB advances. There were no outstanding FHLB advances as of December 31, 2025.

As of December 31, 2024, the Company pledged $950 million of available-for-sale U.S. Treasury and government agency securities with an aggregate amortized cost and fair value of $941.1 million and $942.4 million, respectively, to secure FHLB advances. There were outstanding FHLB advances of $700 million as of December 31, 2024, related to these pledged assets.

See Note 10 – Borrowed Funds for more information on the outstanding FHLB advances.

As of December 31, 2025 and 2024, there were no holdings of investment securities available-for-sale of any one issuer, other than the U.S. Government and its agencies, in an amount greater than 10% of stockholders’ equity.

Information pertaining to investment securities available-for-sale with gross unrealized losses as of December 31, 2025 and 2024, aggregated by investment category and length of time that individual securities have been in a continuous loss position, are presented in the following tables:

December 31, 2025
12 Months or Less 12 Months or More Total
(in thousands) Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses
U.S. Treasury and government agencies $	— $	— $	— $	— $	— $	—

Commercial agency mortgage-backed 59,754 (237) 8,901 (285) 68,655 (522)

Residential agency mortgage-backed 49,759 (170) 719 (92) 50,478 (262)
Municipal bonds 1,978 (13) 5,541 (883) 7,519 (896)