M&T BANK CORP

23. Relationship with BLG and Bayview Financial

M&T holds a 20% minority interest in BLG, a privately-held commercial mortgage company. That investment hadno remaining carrying value at December 31, 2025 as a result of cumulative losses recognized and cash distributions received in prior years. Cash distributions now received from BLG are recognized as income by M&T and included in Other revenues from operations in the Consolidated Statement of Income. That income totaled $20 million in 2025, $48 million in 2024 and $20 million in 2023.

Bayview Financial, a privately-held specialty finance company, is BLG’s majority investor. In addition to their common investment in BLG, the Company and Bayview Financial conduct other business activities with each other. The Company has obtained loan servicing rights for mortgage loans from BLG and Bayview Financial having outstanding principal balances of $875 million and $1.0 billion at December 31, 2025 and 2024, respectively. Revenues from those servicing rights were $4 million, $5 million and $6 million during 2025, 2024 and 2023, respectively. The Company sub-services residential mortgage loans for Bayview Financial having outstanding principal balances of $156.9 billion and $111.5 billion at December 31, 2025 and 2024, respectively. In February 2025, the Company began sub-servicing approximately $51.7 billion of additional residential mortgage loans with contractual servicing rights held by Bayview Financial. Revenues earned for sub-servicing loans for Bayview Financial were $224 million, $123 million and $125 million in 2025, 2024 and 2023, respectively.

The Company also held $32 million and $37 million of mortgage-backed securities in its held-to-maturity portfolio at December 31, 2025 and 2024, respectively, that were securitized by Bayview Financial. The Company had various lending commitments to Bayview Financial totaling $984 million at December 31, 2025, with $635 million and $404 million of outstanding balances at December 31, 2025 and 2024, respectively. Bayview Financial also maintained $3.5 billion and $2.2 billion of deposit balances with the Company at December 31, 2025 and 2024, respectively, inclusive of deposits related to loan servicing relationships.