Bank Analysis School - Case Study & Resources

LIQUIDITY - LOAN COMMITMENTS

Sunny State Bank

Loan Commitments / Total Assets (Bank vs. Peer)

10.0%

9.5%

9.0%

9.0%

8.6%

Metrics

8.5%

Bank

8.0%

State

All Banks

7.5%

7.1%

7.1%

7.0%

6.7%

6.7%

20 X9 Q4

20 X0Q4

20 X1 Q4

20 X2 Q4

20 X3 Q4

20 X4 Q4

20 X5 Q4

Loan Commitments / Total Assets (By Loan Type)

10%

8%

Metrics

6%

Other (Ag)

HELOCs

4%

Credit Cards

CRE

2%

20 X9 Q4

20 X0 Q4

20 X1 Q4

20 X2 Q4

201 X3 Q4

20 X4 Q4

20 X5 Q4

Unfunded loan commitments include unused balances on agricultural operating loans, construction loans, HELOCs, etc. When borrowers draw on the lines of credit, the cash outflows could negatively impact a bank's liquidity position.