BAS Case Study - March 2023

Sunny State Bank

CAPITAL RATIOS - TREND

Tier One Leverage Ratio

Total Capital Ratio

11.00%

20.00%

10.00%

17.96%

17.52%

18.00%

8.90%

8.88% 8.97%

8.55% 8.78% 8.66% 8.75%

16.85% 16.49%

8.70%

16.57%

9.00%

8.41%

8.18% 8.30%

8.24%

16.09%

16.57%

15.94%

7.96%

7.89%

15.51%

16.00%

16.52%

8.51%

8.44%

8.00%

16.15%

14.71%

15.71%

7.72%

7.74%

15.32%

7.69%

15.28%

7.00%

14.66%

14.53%

14.00%

6.00%

12.00%

2013Q4

2014Q1

2014Q2

2014Q3

2014Q4

2015Q1

2015Q2

2015Q3

2015Q4

2016Q1

2016Q2

2016Q3

2016Q4

2017Q1

2017Q2

2017Q3

2017Q4

2018Q1

2018Q2

2018Q3

2018Q4

2013Q4

2014Q1

2014Q2

2014Q3

2014Q4

2015Q1

2015Q2

2015Q3

2015Q4

2016Q1

2016Q2

2016Q3

2016Q4

2017Q1

2017Q2

2017Q3

2017Q4

2018Q1

2018Q2

2018Q3

2018Q4

Tier One Capital Ratio

Common Equity Tier One Ratio

11.00% 12.00% 13.00% 14.00% 15.00% 16.00% 17.00% 18.00%

10.00% 12.00% 14.00% 16.00% 18.00%

16.87%

16.15%

15.58%

15.45%

15.12%

14.94% 14.52%

16.57% 16.87%

16.13%

13.92% 13.86%

16.13%

15.78%

15.38%

15.78%

15.74%

14.76%

14.58%

15.38%

15.81%

13.81%

15.12%

14.94%

15.69%

15.45%

14.92%

13.92%

14.76%

14.58%

2.00% 4.00% 6.00% 8.00%

13.81%

0.00% 0.00% 0.00%

2013Q4

2014Q1

2014Q2

2014Q3

2014Q4

2015Q1

2015Q2

2015Q3

2015Q4

2016Q1

2016Q2

2016Q3

2016Q4

2017Q1

2017Q2

2017Q3

2017Q4

2018Q1

2018Q2

2018Q3

2018Q4

2013Q4

2014Q1

2014Q2

2014Q3

2014Q4

2015Q1

2015Q2

2015Q3

2015Q4

2016Q1

2016Q2

2016Q3

2016Q4

2017Q1

2017Q2

2017Q3

2017Q4

2018Q1

2018Q2

2018Q3

2018Q4

The Common Equity Tier One Ratio became a new ratio in 2015. The Community Bank Leverage Ratio framework became effective in 2020 (banks opting into this framework do not report risk-weighted assets). The horizontal dotted lines in the charts reflect Prompt Corrective Action well capitalized thresholds ■ State ■ Banks

■ All Banks

*NOTE* Banks that opt in to the CBLR framework will not have certain Capital ratios reported