CMS Case Study

Cloyd Bank & Trust as of 12/31/2020

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Section I ‐ Executive Summary Current Position Assessment

Section IV ‐ Strategy Development Strategy Formulation Summary of Potential Strategies

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36 37 39 40 41

Executive Risk Summary

Balance Sheet Mix

Alt. CD Cash Flow Assumption

Historical Balance Sheet & NII Inventory of Liquidity Resources

Alt. Cash Extension

Alt. Cash Extension ‐ $40MM MBS/DUS Purchases

Capital Analysis

Section V ‐ Stress Test Analysis

Section II ‐ Liquidity & Cash Flow Analysis Basic Surplus Report

Alternative EVE Stress Methodology

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11 12 13 14 15 16 17 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33

Alternative EVE Graph ‐ 50% Decreased Average Life on Non‐ Maturity Deposits Alternative EVE Graph ‐ Remove Functional Costs on Deposits

44

Liquidity Projection Investment Cash Flows

45

Loan Cash Flows

Appendix

Wholesale Funding Maturities

Derivatives Market Indications

47 49 50 51 53 59 60 61 62 63 66

Time Deposit Migration

Market Rate Summary

Deposit Pricing & Activity Analysis

NII Reconciliation

Summary of Simulation Assumption Methodologies

Section III ‐ Interest Rate Risk 2 Year Net Interest Income ﴾NII﴿ Simulation ‐ 12M Ramps

Summary of Rates

Loan Cap Report 3m Comparison Loan Cap Report 12m Comparison Loan Floor Report 3m Comparison Loan Floor Report 12m Comparison Detailed Simulation Assumptions

5 Year NII Simulation ‐ 12M Ramps

5 Year NII Simulation ‐ 12M Ramps YOY Comparison 5 Year NII Simulation ‐ Alt. Ramp Scenarios 5 Year NII Simulation ‐ Alt. Ramp Scenarios Cont. 5 Year NII Simulation ‐ Rising & Falling Rate Ramp Scenarios 5 Year NII Simulation ‐ Alt. Delayed Ramp Scenarios

Balance Sheet Comparison

5 Year NII Simulation ‐ Parallel Shock Scenarios 2 Year Net Income ﴾NI﴿ Simulation ‐ 12M Ramps

Yield Curve Twist Assumptions

Yield Curve Assumptions

Economic Value of Equity ﴾EVE﴿ Summary Graphs and Charts

Core Funding Utilization

Disclaimer The information contained herein consists of data supplied by various third parties, and by the institution itself. While Darling Consulting Group ﴾DCG﴿ obtains the data from sources we believe to be reliable, we do not guarantee its accuracy. It is the responsibility of the user to independently verify all information contained in the report.

Funding Matrix

Static Gap