Bank Analysis School - Case Study & Resources

POSSIBLE LENDING CONCENTRATIONS (% of Tier 1 Capital + ALLL)

Sunny State Bank

Possible Concentrations (% of Tier One Capital + ALLL)

Quarter

20 X5 Q4

Agricultural

Commercial

CRE

100%

80%

55%

60%

40%

33%

22%

20%

Concentration Levels Over Time

100%

60%

20%

20% 100% Agricultural Commercial CRE 60% 100% 60%

20%

20 X9Q4

20 X0Q4

20 X1Q 4

20 X2Q4

20 X3Q4

20 X4Q4

20 X5Q4 Possible Conc. Qtr

The horizontal dotted lines correspond to the concentration threshold of 100% of Tier One Capital and reserves. Note that for this calculation CRE does not include owner occupied properties.

20 X5Q4