Dime Commercial Bancshares, Inc. /NY/

Previous wording

Although management believes that it uses the best information available to establish the Allowance for Credit Loss, management assesses the sensitivity of key quantitative assumptions including macroeconomic forecasts and prepayment rate assumptions. Changes in quantitative inputs may not occur in the same direction or magnitude across all segments of our loan portfolio and deterioration in some quantitative inputs may offset improvement in others.

Current wording

rate assumptions. Changes in quantitative inputs may not occur in the same direction or magnitude across all segments of our loan portfolio and deterioration in some quantitative inputs may offset improvement in others.

Previous wording

Total deposits (including mortgage escrow deposits) decreased $164.1 million during the six months ended June 30, 2026, compared to an increase of $54.0 million during the six months ended June 30, 2025. The decrease in deposits during the current period was primarily due to decreases in savings accounts, CDs and interest-bearing checking accounts, partially offset by an increase in money market accounts and non-interest-bearing checking deposits.

Current wording

Total deposits (including mortgage escrow deposits) increased $297.2 million during the nine months ended September 30, 2026, compared to an increase of $375.5 million during the nine months ended September 30, 2025. The increase in deposits during the current period was primarily due to increases in money market accounts and non-interest-bearing checking deposits, partially offset by a decrease in interest-bearing checking deposits, and savings accounts.

Previous wording

In the event that the Bank should require funds beyond its ability or desire to generate them internally, additional sources of funds are available through a borrowing line at the FHLBNY, borrowing capacity at the AFX, lines of credit with unaffiliated correspondent banks, and various brokered deposit sources. At June 30, 2026, the Bank had remaining borrowing capacity of $1.61 billion through the FHLBNY, subject to customary minimum FHLBNY common stock ownership requirements (i.e., 4.5% of the Bank’s outstanding FHLBNY borrowings). The Bank also had access to the Federal Reserve Bank (“FRB”) Discount Window.** **At June 30, 2026, an available line of credit totaling $335.4 million was in place at the FRB backed by investment securities with no advances drawn. Additionally, at June 30, 2026, a line of credit totaling $3.88 billion was in place at the FRB secured by certain qualifying one-to-four family residential mortgage loans, construction loans and commercial real estate loans with no amounts drawn.

Current wording

In the event that the Bank should require funds beyond its ability or desire to generate them internally, additional sources of funds are available through a borrowing line at the FHLBNY, borrowing capacity at the AFX, lines of credit with unaffiliated correspondent banks, and various brokered deposit sources. At September 30, 2026, the Bank had remaining borrowing capacity of $1.55 billion through the FHLBNY, subject to customary minimum FHLBNY common stock ownership requirements (i.e., 4.5% of the Bank’s outstanding FHLBNY borrowings). The Bank also had access to the Federal Reserve Bank (“FRB”) Discount Window.** **At September 30, 2026, an available line of credit totaling $304.4 million was in place at the FRB backed by investment securities with no advances drawn. Additionally, at September 30, 2026, a line of credit totaling $4.19 billion was in place at the FRB secured by certain qualifying one-to-four family residential mortgage loans, construction loans and commercial real estate loans with no amounts drawn.

Previous wording

The Bank reduced its outstanding FHLBNY advances by $123.0 million during the six months ended June 30, 2026, compared to a reduction of $100.0 million during the six months ended June 30, 2025. See Note 12. “FHLBNY Advances” for further information.

Current wording

The Bank reduced its outstanding FHLBNY advances by $173.0 million during the nine months ended September 30, 2026, compared to a reduction of $100.0 million during the nine months ended September 30, 2025. See Note 12. “FHLBNY Advances” for further information.

Previous wording

Subordinated debentures totaled $231.2 million at June 30, 2026 compared to $272.5 million at December 31, 2025. See Note 13. “Subordinated Debentures” to our Consolidated Financial Statements for further information.

Current wording

Subordinated debentures totaled $231.3 million at September 30, 2026 compared to $272.5 million at December 31, 2025. See Note 13. “Subordinated Debentures” to our Consolidated Financial Statements for further information.

Previous wording

During the six months ended June 30, 2026 and 2025, business loan originations excluding new lines were $318.4 million and $173.7 million, respectively. During the six months ended June 30, 2026 and 2025, real estate loan originations excluding new lines (excluding owner-occupied commercial real estate) totaled $157.3 million and $125.1 million, respectively.

Current wording

During the nine months ended September 30, 2026 and 2025, business loan originations excluding new lines were $516.1 million and $279.5 million, respectively. During the nine months ended September 30, 2026 and 2025, real estate loan originations excluding new lines (excluding owner-occupied commercial real estate) totaled $334.2 million and $196.3 million, respectively.

Previous wording

During the six months ended June 30, 2026 and 2025, the Company did not repurchase any shares of its common stock. As of June 30, 2026, 1,566,947 shares remained available for purchase under the authorized share repurchase programs. See “Part II - Item 2. Other Information - Unregistered Sales of Equity Securities, Use of Proceeds and Issuer Purchases of Equity Securities” for additional information about repurchases of common stock.

Current wording

During the nine months ended September 30, 2026, the Company resumed activity under its share repurchase program. The Company repurchased 298,003 shares of common stock for $12.2 million during the quarter ended September 30, 2026. The timing and amount of any future repurchases will depend on market conditions, capital requirements, and other factors deemed relevant by management and the Board of Directors. As of September 30, 2026, 1,268,944 shares remained available for purchase under the authorized share repurchase programs. See “Part II - Item 2. Other Information - Unregistered Sales of Equity Securities, Use of Proceeds and Issuer Purchases of Equity Securities” for additional information about repurchases of common stock.

Previous wording

The Company paid $3.6 million in cash dividends on its preferred stock during the six months ended June 30, 2026 and 2025, respectively.

Current wording

The Company paid $5.5 million in cash dividends on its preferred stock during the nine months ended September 30, 2026 and 2025, respectively.

Previous wording

The Company paid $21.6 million and $21.4 million in cash dividends on its common stock during the six months ended June 30, 2026 and 2025, respectively.

Current wording

The Company paid $32.3 million and $32.2 million in cash dividends on its common stock during the nine months ended September 30, 2026 and 2025, respectively.

Previous wording

As part of its loan origination business, the Bank generally has outstanding commitments to extend credit to borrowers, which are originated pursuant to its regular underwriting standards. Available lines of credit may not be drawn on or may expire prior to funding, in whole or in part, and amounts are not estimates of future cash flows. As of June 30, 2026, the Bank had $199.9 million of firm loan commitments that were accepted by the borrowers.

Current wording

As part of its loan origination business, the Bank generally has outstanding commitments to extend credit to borrowers, which are originated pursuant to its regular underwriting standards. Available lines of credit may not be drawn on or may expire prior to funding, in whole or in part, and amounts are not estimates of future cash flows. As of September 30, 2026, the Bank had $189.5 million of firm loan commitments that were accepted by the borrowers.

Previous wording

Non-owner occupied commercial real estate loans and multifamily residential and residential mixed-use loans have collectively represented the largest percentage of the Company’s loan portfolio, accounting for 55% and 59% of total loans held for investment as of June 30, 2026 and December 31, 2025, respectively. Non-owner occupied commercial real estate loans represented 26% and 27% of total loans held for investment as of June 30, 2026 and December 31, 2025, respectively. Multifamily residential and residential mixed-use loans represented 29% and 32% of total loans held for investment as of June 30, 2026 and December 31, 2025, respectively. The Company expects that non-owner occupied commercial real estate loans and multifamily residential and residential mixed-use loans will continue to be a significant portion of the Company’s total loan portfolio.

Current wording

Non-owner occupied commercial real estate loans and multifamily residential and residential mixed-use loans have collectively represented the largest percentage of the Company’s loan portfolio, accounting for 52% and 59% of total loans held for investment as of September 30, 2026 and December 31, 2025, respectively. Non-owner occupied commercial real estate loans represented 25% and 27% of total loans held for investment as of September 30, 2026 and December 31, 2025, respectively. Multifamily residential and residential mixed-use loans represented 27% and 32% of total loans held for investment as of September 30, 2026 and December 31, 2025, respectively. The Company expects that non-owner

Previous wording

We generally initiate foreclosure proceedings on real estate loans when a loan enters non-accrual status based upon non-payment, unless the borrower is paying in accordance with an agreed upon modified payment agreement. We obtain an updated appraisal upon the commencement of legal action to calculate a potential collateral shortfall and to reserve appropriately for the potential loss. If a foreclosure action is instituted and the loan is not brought current, paid in full, or refinanced before the foreclosure action is completed, the property securing the loan is transferred to Other Real Estate Owned (“OREO”) status. We generally attempt to utilize all available remedies, such as note sales in lieu of foreclosure, in an effort to resolve non-accrual loans and OREO properties as quickly and prudently as possible in consideration of market conditions, the physical condition of the property and any other mitigating circumstances. We have not initiated any expected or imminent foreclosure proceedings that are likely to have a material adverse impact on our consolidated financial statements for the three and six months ended June 30, 2026. In the event that a non-accrual loan is subsequently brought current, it is returned to accrual status once the doubt concerning collectability has been removed and the borrower has demonstrated performance in accordance with the loan terms and has made at least six months of payments.

Current wording

We generally initiate foreclosure proceedings on real estate loans when a loan enters non-accrual status based upon non-payment, unless the borrower is paying in accordance with an agreed upon modified payment agreement. We obtain an updated appraisal upon the commencement of legal action to calculate a potential collateral shortfall and to reserve appropriately for the potential loss. If a foreclosure action is instituted and the loan is not brought current, paid in full, or refinanced before the foreclosure action is completed, the property securing the loan is transferred to Other Real Estate Owned (“OREO”) status. We generally attempt to utilize all available remedies, such as note sales in lieu of foreclosure, in an effort to resolve non-accrual loans and OREO properties as quickly and prudently as possible in consideration of market conditions, the physical condition of the property and any other mitigating circumstances. We have not initiated any expected or imminent foreclosure proceedings that are likely to have a material adverse impact on our consolidated financial statements for the three and nine months ended September 30, 2026. In the event that a non-accrual loan is subsequently brought current, it is returned to accrual status once the doubt concerning collectability has been removed and the borrower has demonstrated performance in accordance with the loan terms and has made at least six months of payments.

Previous wording

There was no carrying value of OREO properties on our Consolidated Statement of Financial Condition at June 30, 2026 or December 31, 2025. We did not recognize any provision for losses on OREO properties during the six months ended June 30, 2026 or 2025.

Current wording

There was no carrying value of OREO properties on our Consolidated Statement of Financial Condition at September 30, 2026 or December 31, 2025. We did not recognize any provision for losses on OREO properties during the nine months ended September 30, 2026 or 2025.

Previous wording

At June 30, 2026, there were $86.2 million of loans that were past due between 30 and 59 days, compared to $28.8 million at December 31, 2025. The 30 to 59-day delinquency levels fluctuate monthly and are generally considered a less accurate indicator of near-term credit quality trends than non-accrual loans.

Current wording

At September 30, 2026, there were $11.2 million of loans that were past due between 30 and 59 days, compared to $28.8 million at December 31, 2025. The 30 to 59-day delinquency levels fluctuate monthly and are generally considered a less accurate indicator of near-term credit quality trends than non-accrual loans.

Previous wording

At June 30, 2026, there were $24.1 million of loans that were past due between 60 and 89 days, compared to $30.1 million at December 31, 2025. The 60 to 89-day delinquency levels fluctuate monthly and are generally considered a less accurate indicator of near-term credit quality trends than non-accrual loans.

Current wording

At September 30, 2026, there were $23.2 million of loans that were past due between 60 and 89 days, compared to $30.1 million at December 31, 2025. The 60 to 89-day delinquency levels fluctuate monthly and are generally considered a less accurate indicator of near-term credit quality trends than non-accrual loans.

Previous wording

The Bank maintains a reserve, recorded in other liabilities, associated with unfunded loan commitments accepted by the borrower. The amount of our reserve was $2.6 million and $2.2 million at June 30, 2026 and December 31, 2025, respectively. This reserve is determined based upon the outstanding volume of unfunded loan commitments at each period end. Any increases or reductions in this reserve are recognized in provision for credit losses.

Current wording

The Bank maintains a reserve, recorded in other liabilities, associated with unfunded loan commitments accepted by the borrower. The amount of our reserve was $3.0 million and $2.2 million at September 30, 2026 and December 31, 2025, respectively. This reserve is determined based upon the outstanding volume of unfunded loan commitments at each period end. Any increases or reductions in this reserve are recognized in provision for credit losses.

Previous wording

Provision for credit losses for the six months ended June 30, 2026 and 2025 was $26.2 million and $18.8 million, respectively. The $26.2 million credit loss provision for the six months ended June 30, 2026 was attributable to charge-offs, provisioning for individually analyzed loans and growth in the business loan portfolio. Included in the provision for credit losses for the six months ended June 30, 2025 was $1.8 million of provision related to one available-for-sale corporate security. The remainder of the credit loss provision for the six months ended June 30, 2025 was attributable to updates in the macroeconomic forecast and to the loss driver models.

Current wording

Provision for credit losses for the nine months ended September 30, 2026 and 2025 was $40.0 million and $32.1 million, respectively. The $40.0 million credit loss provision for the nine months ended September 30, 2026 was attributable to charge-offs, provisioning for individually analyzed loans and growth in the business loan portfolio. Included in the provision for credit losses for the nine months ended September 30, 2025 was $2.1 million of provision related to one available-for-sale corporate security. The remainder of the credit loss provision for the nine months ended September 30, 2025 was attributable to updates in the macroeconomic forecast, updated loss driver models, and charge-offs on loans.

Previous wording

For a further discussion of the allowance for credit losses and related activity during the six months ended June 30, 2026 and 2025, please see Note 6 “Securities” and Note 7 “Loans Held for Investment, Net” to the condensed Consolidated Financial Statements.

Current wording

For a further discussion of the allowance for credit losses and related activity during the nine months ended September 30, 2026 and 2025, please see Note 6 “Securities” and Note 7 “Loans Held for Investment, Net” to the condensed Consolidated Financial Statements.

Previous wording

Assets*.*Assets totaled $15.04 billion at June 30, 2026, $298.7 million below their level at December 31, 2025, primarily due to decreases of $419.4 million in cash and due from banks, and $61.4 million in the loan portfolio, partially offset by increases of $185.0 million in total securities and $16.3 million in BOLI.

Current wording

Assets*.*Assets totaled $15.55 billion at September 30, 2026, $205.2 million above their level at December 31, 2025, primarily due to increases of $182.0 million in total securities, and $148.8 million in the loan portfolio, partially offset by a decrease of $169.2 million in cash and due from banks.

Previous wording

Loan originations, excluding new lines, totaled $475.7 million for the six-month period ended June 30, 2026.

Current wording

Loan originations, excluding new lines, totaled $850.5 million for the nine-month period ended September 30, 2026.

Previous wording

Total investment securities increased $185.0 million during the six months ended June 30, 2026, to $1.60 billion at period end, primarily due to purchases of $285.2 million, offset by proceeds from principal payments, calls and maturities of $89.8 million, an increase in unrealized losses of $6.4 million and proceeds from the sale of available for sale securities of $4.0 million. There were no transfers to or from securities held-to-maturity during the six months ended June 30, 2026.

Current wording

Total investment securities increased $182.0 million during the nine months ended September 30, 2026, to $1.60 billion at period end, primarily due to purchases of $357.3 million, partially offset by proceeds from principal payments, calls and maturities of $138.9 million, an increase in unrealized losses of $32.4 million and proceeds from the sale of available for sale securities of $4.0 million. There were no transfers to or from securities held-to-maturity during the nine months ended September 30, 2026.

Previous wording

Liabilities*.*Total liabilities decreased $343.4 million during the six months ended June 30, 2026, to $13.52 billion at period end, primarily due to decreases of $164.1 million in deposits (including mortgage escrow accounts), $123.0 million in FHLBNY advances and $41.3 million in subordinated debt.

Current wording

Liabilities*.*Total liabilities increased $158.2 million during the nine months ended September 30, 2026, to $14.02 billion at period end, primarily due to increases of $297.2 million in deposits (including mortgage escrow accounts) and $48.2 million in derivative cash collateral, partially offset by decreases of $173.0 million in FHLBNY advances and $41.2 million in subordinated debt.

Previous wording

Stockholders’ Equity*.*Stockholders’ equity increased $44.7 million during the six months ended June 30, 2026, to $1.52 billion at period end, primarily due to net income of $69.4 million, partially offset by common stock dividends of $21.8 million, and preferred stock dividends of $3.6 million.

Current wording

Stockholders’ Equity*.*Stockholders’ equity increased $47.0 million during the nine months ended September 30, 2026, to $1.52 billion at period end, primarily due to net income of $111.0 million, partially offset by common stock dividends of $32.8 million, and preferred stock dividends of $5.5 million andrepurchases of shares of common stock of $12.2 million.

Previous wording

*General.*Net income was $34.8 million during the three months ended June 30, 2026, compared to net income of $29.7 million for the three months ended June 30, 2025. During the three months ended June 30, 2026, net interest income increased by $17.1 million, the credit loss provision increased by $4.7 million, non-interest expense increased by $4.4 million, income tax expense increased by $2.6 million, and non-interest income decreased by $329 thousand, compared to the three months ended June 30, 2025.

Current wording

*General.*Net income was $41.6 million during the three months ended September 30, 2026, compared to net income of $27.7 million for the three months ended September 30, 2025. During the three months ended September 30, 2026, net interest income increased by $17.8 million, non-interest expense increased by $3.3 million, income tax expense increased by $2.1 million, non-interest income increased by $1.9 million, and the credit loss provision increased by $518 thousand, compared to the three months ended September 30, 2025.

Previous wording

The discussion of net interest income for the three months ended June 30, 2026 and 2025 should be read in conjunction with the following tables, which set forth certain information related to the Consolidated Statements of Operations for those periods, and which also present the average yield on assets and average cost of liabilities for the periods indicated. The average yields and costs were derived by dividing income or expense by the average balance of their related assets or liabilities during the periods represented. Average balances were derived from average daily balances. No tax-equivalent adjustments have been made for interest income exempt from federal, state, and local taxation. The yields include loan fees consisting of amortization of loan origination and commitment fees and certain direct and indirect origination costs, prepayment fees, and late charges that are considered adjustments to yields. Net loan fees included in interest income were $1.7 million during the three months ended June 30, 2026, compared to $1.1 million during the three months ended June 30, 2025. The increase in net loan fees was primarily due to increases in deferred fees and prepayment penalties on loans in 2026.

Current wording

The discussion of net interest income for the three months ended September 30, 2026 and 2025 should be read in conjunction with the following tables, which set forth certain information related to the Consolidated Statements of Operations for those periods, and which also present the average yield on assets and average cost of liabilities for the periods indicated. The average yields and costs were derived by dividing income or expense by the average balance of their related assets or liabilities during the periods represented. Average balances were derived from average daily balances. No tax-equivalent adjustments have been made for interest income exempt from federal, state, and local taxation. The yields include loan fees consisting of amortization of loan origination and commitment fees and certain direct and indirect origination costs, prepayment fees, and late charges that are considered adjustments to yields. Net loan fees included in interest income were $2.2 million during the three months ended September 30, 2026, compared to $946 thousand during the three months ended September 30, 2025. The increase in net loan fees was primarily due to increases in deferred fees and prepayment penalties on loans in 2026.

Previous wording

Net interest income. Net interest income was $115.2 million during the three months ended June 30, 2026, an increase of $17.1 million from the three months ended June 30, 2025. Average interest-earning assets were $14.09 billion for the three months ended June 30, 2026, an increase of $891.3 million from $13.20 billion for the three months ended June 30, 2025. The net interest margin was 3.28% during the three months ended June 30, 2026, up from 2.98% during the three months ended June 30, 2025.

Current wording

Net interest income. Net interest income was $121.2 million during the three months ended September 30, 2026, an increase of $17.8 million from the three months ended September 30, 2025. Average interest-earning assets were $14.36 billion for the three months ended September 30, 2026, an increase of $726.9 million from $13.64 billion for the three months ended September 30, 2025. The net interest margin was 3.35% during the three months ended September 30, 2026, up from 3.01% during the three months ended September 30, 2025.

Previous wording

*Interest Income.*Interest income was $175.3 million during the three months ended June 30, 2026, compared to $167.5 million during the three months ended June 30, 2025. During the three months ended June 30, 2026, interest income increased $7.7 million from the three months ended June 30, 2025, primarily reflecting increases in interest income of $9.9 million on business loans, $6.1 million on other short-term investments, $3.2 million on securities and $1.1 million on one-to-four family residential and coop/condo apartment loans, partially offset by a decrease in interest income of $6.5 million on multifamily residential and residential mixed-use loans, $4.7 million on non-owner-occupied commercial real estate loans and $1.3 million of ADC loans.

Current wording

*Interest Income.*Interest income was $183.4 million during the three months ended September 30, 2026, compared to $175.5 million during the three months ended September 30, 2025. During the three months ended September 30, 2026, interest income increased $7.8 million from the three months ended September 30, 2025, primarily reflecting increases in interest income of $12.4 million on business loans, $4.1 million on securities, $1.7 million on other short-term investments, and $1.5 million on one-to-four family residential and coop/condo apartment loans, partially offset by decreases in interest income of $6.6 million on multifamily residential and residential mixed-use loans, $3.7 million on non-owner-occupied commercial real estate loans and $1.5 million on ADC loans.

Previous wording

The increased interest income on business loans was due to a $690.7 million increase in the average balances, partially offset by an 18-basis point decrease in the yield of such loans in the period. The increased interest income on other short-term investments, which is comprised of cash and due from banks and restricted stock, was related to a $845.8 million increase in the average balances, partially offset by a 67-basis point decrease in the yield of such investments in the period. The increased interest income on securities was related to a $220.9 million increase in average balances and a 34-basis point increase in the yield of such securities in the period. The increased interest income on one-to-four family residential and coop/condo apartment loans was related to a $82.9 million increase in the average balance and a 4-basis point increase in the yield of such loans in the period. The decreased interest income on multifamily residential and residential mixed-use loans was related to a $545.6 million decrease in the average balance and a 4-basis point decrease in the yield of such loans in the period. The decreased interest income on non-owner-occupied commercial real estate loans reflected a $359.4 million decrease in the average balance, partially offset by a 1-basis point increase in the yield of such loans in the period. The decreased interest income on ADC loans reflected a $45.4 million decrease in the average balance and a 130-basis point decrease in the yield of such loans in the period.

Current wording

The increased interest income on business loans was due to a $841.2 million increase in the average balances, partially offset by a 20-basis point decrease in the yield of such loans in the period. The increased interest income on securities was related to a $300.5 million increase in average balances and a 37-basis point increase in the yield of such securities in the period. The increased interest income on other short-term investments, which is comprised of cash and due from banks and restricted stock, was related to a $437.3 million increase in the average balances, partially offset by a 62-basis point decrease in the yield of such investments in the period. The increased interest income on one-to-four family residential and coop/condo apartment loans was related to an $87.9 million increase in the average balance and a 15-basis point increase in the yield of such loans in the period. The decreased interest income on multifamily residential and residential mixed-use loans was related to a $532.7 million decrease in the average balance and a 5-basis point decrease in the yield of such loans in the period. The decreased interest income on non-owner-occupied commercial real estate loans reflected a $342.6 million decrease in the average balance, partially offset by a 12-basis point increase in the yield of such loans in the period. The decreased interest income on ADC loans reflected a $66.2 million decrease in the average balance and a 43-basis point decrease in the yield of such loans in the period.

Previous wording

*Interest Expense.*Interest expense was $60.1 million during the three months ended June 30, 2026, compared to $69.5 million during the three months ended June 30, 2025. During the three months ended June 30, 2026, interest expense decreased $9.4 million, primarily reflecting a decrease in interest expense of $8.0 million on deposits.

Current wording

*Interest Expense.*Interest expense was $62.2 million during the three months ended September 30, 2026, compared to $72.1 million during the three months ended September 30, 2025. During the three months ended September 30, 2026, interest expense decreased $10.0 million, primarily reflecting a decrease in interest expense of $8.7 million on deposits.

Previous wording

The decreased interest expense on deposits was primarily due to a 59-basis point decrease in rates paid on savings accounts and a $241.1 million decrease in average balances of such deposits in the period, a 64-basis point decrease in rates paid on money market accounts, partially offset by a $621.3 million increase in average balances of such deposits, and a 20-basis point decrease in rates paid on interest-bearing checking accounts, partially offset by a $97.3 million increase in the average balance of such deposits.

Current wording

The decreased interest expense on deposits was primarily due to a 52-basis point decrease in rates paid on savings accounts and a $186.1 million decrease in average balances of such deposits in the period, a 31-basis point decrease in rates paid on certificates of deposit and a $64.6 million decrease in average balances of such deposits, a 59-basis point decrease in rates paid on money market accounts, partially offset by a $548.1 million increase in average balances of such deposits, and a 34-basis point decrease in rates paid on interest-bearing checking accounts, partially offset by a $12.9 million increase in the average balance of such deposits.

Previous wording

Provision for Credit Losses. We recorded a credit loss provision of $13.9 million and $9.2 million during the three months ended June 30, 2026 and 2025, respectively. The $13.9 million credit loss provision for the three months ended June 30, 2026, was attributable to charge-offs, provisioning for individually analyzed loans and growth in the business loan portfolio. The $9.2 million credit loss provision for the three months ended June 30, 2025, was primarily attributable to updates in the macroeconomic forecast and to the loss driver models.

Current wording

Provision for Credit Losses. We recorded a credit loss provision of $13.8 million and $13.3 million during the three months ended September 30, 2026 and 2025, respectively. The $13.8 million credit loss provision for the three months ended September 30, 2026, was attributable to charge-offs, provisioning for individually analyzed loans and growth in the business loan portfolio. The $13.3 million credit loss provision for the three months ended September 30, 2025, was primarily attributable to charge-offs on loans.

Previous wording

*Non-Interest Income.*Non-interest income totaled $11.3 million for the three months ended June 30, 2026, compared to $11.6 million for the same period in 2025. The decrease was primarily driven by a $2.0 million loss on sale of loans and other assets during the three months ended June 30, 2026, partially offset by an increase of $1.8 million in service charges and other fees and an $852 thousand increase in BOLI income.

Current wording

*Non-Interest Income.*Non-interest income totaled $14.1 million for the three months ended September 30, 2026, compared to $12.2 million for the same period in 2025. The increase was primarily driven by a $1.7 million in service charges and other fees and lower loss on sale of loans and other assets during the three months ended September 30, 2026, partially offset by a decrease of $1.4 million in other income.

Previous wording

*Non-Interest Expense.*Non-interest expense totaled $64.7 million for the three months ended June 30, 2026, compared to $60.3 million for the same period in 2025. The increase was primarily driven by $3.6 million of salaries and employee benefits.

Current wording

*Non-Interest Expense.*Non-interest expense totaled $65.5 million for the three months ended September 30, 2026, compared to $62.2 million for the same period in 2025. The increase was primarily driven by increases of $1.0 million of data processing costs, $968 thousand in severance expense and $959 thousand in salaries and employee benefits.

Previous wording

Income Tax Expense. Income tax expense was $13.1 million during the three months ended June 30, 2026, compared to income tax expense of $10.5 million during the three months ended June 30, 2025. The reported effective tax rate for the three months ended June 30, 2026 and 2025 was 27.3%, and 26.1%, respectively.

Current wording

*Income Tax Expense.*Income tax expense was $14.5 million during the three months ended September 30, 2026, compared to income tax expense of $12.4 million during the three months ended September 30, 2025. The reported effective tax rate for the three months ended September 30, 2026 and 2025 was 25.8%, and 31.0%, respectively.

Previous wording

Comparison of Operating Results for the Six Months Ended June 30, 2026 and 2025

Current wording

Comparison of Operating Results for the Nine Months Ended September 30, 2026 and 2025

Previous wording

*General.*Net income was $69.4 million during the six months ended June 30, 2026, compared to net income of $51.2 million for the six months ended June 30, 2025. During the six months ended June 30, 2026, net interest income increased by $35.1 million, credit loss provision increased by $7.3 million, non-interest income increased by $1.4 million, non-interest expense increased by $1.6 million and income tax expense increased by $9.3 million, compared to the six months ended June 30, 2025.

Current wording

*General.*Net income was $111.0 million during the nine months ended September 30, 2026, compared to net income of $78.8 million for the nine months ended September 30, 2025. During the nine months ended September 30, 2026, net interest income increased by $52.9 million, income tax expense increased by $11.3 million, credit loss provision increased by $7.9 million, non-interest expense increased by $4.9 million, and non-interest income increased by $3.3 million, compared to the nine months ended September 30, 2025.

Previous wording

The discussion of net interest income for the six months ended June 30, 2026 and 2025 should be read in conjunction with the following tables, which set forth certain information related to the Consolidated Statements of Operations for those periods, and which also present the average yield on assets and average cost of liabilities for the periods indicated. The average yields and costs were derived by dividing income or expense by the average balance of their related assets or liabilities during the periods represented. Average balances were derived from average daily balances. No tax-equivalent adjustments have been made for interest income exempt from federal, state, and local taxation. The yields include loan fees consisting of amortization of loan origination and commitment fees and certain direct and indirect origination costs, prepayment fees, and late charges that are considered adjustments to yields. Net loan fees included in interest income were $3.2 million during the six months ended June 30, 2026, compared to $2.3 million during the six months ended June 30, 2025. The increase in net loan fees was primarily due to increases in deferred fees and prepayment penalty fees on loans in 2026.

Current wording

The discussion of net interest income for the nine months ended September 30, 2026 and 2025 should be read in conjunction with the following tables, which set forth certain information related to the Consolidated Statements of Operations for those periods, and which also present the average yield on assets and average cost of liabilities for the periods indicated. The average yields and costs were derived by dividing income or expense by the average balance of their related assets or liabilities during the periods represented. Average balances were derived from average daily balances. No tax-equivalent adjustments have been made for interest income exempt from federal, state, and local taxation. The yields include loan fees consisting of amortization of loan origination and commitment fees and certain direct and indirect origination costs, prepayment fees, and late charges that are considered adjustments to yields. Net loan fees included in interest income were $5.4 million during the nine months ended September 30, 2026, compared to $3.2 million during the nine months ended September 30, 2025. The increase in net loan fees was primarily due to increases in deferred fees and prepayment penalty fees on loans in 2026.

Previous wording

Net interest income. Net interest income was $227.4 million during the six months ended June 30, 2026, an increase of $35.1 million from the six months ended June 30, 2025. Average interest-earning assets were $14.14 billion for the six months ended June 30, 2026, an increase of $1.06 billion from $13.08 billion for the six months ended June 30, 2025. Net interest margin was 3.24% during the six months ended June 30, 2026, up from 2.96% during the six months ended June 30, 2025.

Current wording

Net interest income. Net interest income was $348.7 million during the nine months ended September 30, 2026, an increase of $52.9 million from the nine months ended September 30, 2025. Average interest-earning assets were $14.22 billion for the nine months ended September 30, 2026, an increase of $950.5 million from $13.27 billion for the nine months ended September 30, 2025. Net interest margin was 3.28% during the nine months ended September 30, 2026, up from 2.98% during the nine months ended September 30, 2025.

Previous wording

*Interest Income.*Interest income was $348.7 million during the six months ended June 30, 2026, compared to $329.4 million during the six months ended June 30, 2025. During the six months ended June 30, 2026, interest income increased $19.2 million from the six months ended June 30, 2025, primarily reflecting increases in interest income of $17.3 million on business loans, $16.8 million on other short-term investments, $4.6 million on securities, and $2.4 million on one-to-four family loans, partially offset by decreases in interest income of $11.2 million on multifamily loans, $8.5 million on non-owner-occupied loans, and $2.1 million on acquisition, development and construction loans.

Current wording

*Interest Income.*Interest income was $532.0 million during the nine months ended September 30, 2026, compared to $505.0 million during the nine months ended September 30, 2025. During the nine months ended September 30, 2026, interest income increased $27.1 million from the nine months ended September 30, 2025, primarily reflecting increases in interest income of $29.7 million on business loans, $18.5 million on other short-term investments, $8.7 million on securities, and $3.9 million on one-to-four family loans, partially offset by decreases in interest income of $17.8 million on multifamily residential and residential mixed-use loans, $12.3 million on non-owner-occupied commercial real estate loans, and $3.7 million on acquisition, development and construction loans.

Previous wording

The increased interest income on business loans was due to a $609.1 million increase in the average balances, partially offset by a 17-basis point decrease in the yield of such loans in the period. The increased interest income on other short-term investments was related to a $1.08 billion increase in the average balances, partially offset by a 69-basis point decrease in the yield of such investments in the period. The increased interest income on securities was related to a $150.3 million increase in the average balances and a 28-basis point increase in the yield of such securities in the period. The increased interest income on one-to-four family loans was related to a $81.3 million increase in the average balances and a 9-basis point increase in the yield of such loans in the period. The decreased interest income on multifamily residential and residential mixed-use loans was related to a $489.6 million decrease in the average balance and a 1-basis point decrease in the yield of such loans in the period. The decreased interest income on non-owner-occupied commercial real estate loans reflected a $331.8 million decrease in the average balance, partially offset by a 1-basis point increase in the yield of such loans in the period. The decreased interest income on acquisition, development and construction loan income reflected a $38.6 million decrease in the average balance and a 95-basis point decrease in the yield of such loans in the period.

Current wording

The increased interest income on business loans was due to a $688.1 million increase in the average balances, partially offset by an 18-basis point decrease in the yield of such loans in the period. The increased interest income on other short-term investments was related to a $864.3 million increase in the average balances, partially offset by a 66-basis point decrease in the yield of such investments in the period. The increased interest income on securities was related to a $200.9 million increase in the average balances and a 32-basis point increase in the yield of such securities in the period. The increased interest income on one-to-four family loans was related to an $83.5 million increase in the average balances and a 12-basis point increase in the yield of such loans in the period. The decreased interest income on multifamily residential and residential mixed-use loans was related to a $504.1 million decrease in the average balance and a 2-basis point decrease in the yield of such loans in the period. The decreased interest income on non-owner-occupied commercial real estate loans reflected a $336.3 million decrease in the average balance, partially offset by a 4-basis point increase in the yield of such loans in the period. The decreased interest income on acquisition, development and construction loan income reflected a $47.9 million decrease in the average balance and an 80-basis point decrease in the yield of such loans in the period.