Capital Markets School - Case Study

C loyd B ank & Trust

EXECUTIVE SUMMARY LIQUIDITY - CASH FLOW AND FUNDS AVAILABILITY ANALYSIS AS OF 9/30/2021 BASE CASE - FORECAST

DEC-21 MAR-22 JUN-22 SEP-22 DEC-22 MAR-23 JUN-23 SEP-23

Cash In/Out Flow

245

0

0

744

250

0

0

0

Cumulative

44,237 44,237 44,237 44,981 45,231 45,231 45,231 45,231

Starting Cash Position

43,992

Gross Avail. Collateral

Weighted Haircut

Avail. Coll. (Net Haircut)

Avail. Capacity

COLLATERALIZED/SECURED FUNDING RESOURCES

Free UST / GSE Bond Collateral

352,846

4.74% 336,136 216,863 216,863 216,863 216,863 216,863 216,863 216,863 216,863 216,863

Free Non-GSE Bond Collateral

23,160

23,160 5,421

5,421

5,421

5,421

5,421

5,421

5,421

5,421

5,421

Loan Based Borrowing Capacity (FHLB)

46,532 11,532

11,532 11,532 11,532 11,532 11,532 11,532 11,532 11,532

Residential Mtg Loan Collateral (FHLB)

45,880

25.00% 34,410 11,532

11,532 11,532 11,532 11,532 11,532 11,532 11,532 11,532

Non-Residential Mtg Loan Collateral (FHLB)

24,244

50.00% 12,122

0

0

0

0

0

0

0

0

0

TOTAL PRIMARY LIQUIDITY

233,816 233,816 233,816 233,816 233,816 233,816 233,816 233,816 233,816 26.07% 26.07% 26.07% 26.07% 26.07% 26.07% 26.07% 26.07% 26.07%

Maximum Capacity

Avail. Capacity

OTHER LIQUIDITY RESOURCES

Unsecured Funding Remaining National Deposit Capacity

0

0

0

0

0

0

0

0

0

Remaining Brokered Deposit Capacity

134,525

134,525 134,525 134,525 134,525 134,525 134,525 134,525 134,525 134,525

Other Unsecured Funds (i.e. Fed Fund Lines)

31,425

31,425

31,425 31,425 31,425 31,425 31,425 31,425 31,425 31,425

Other Secured Funding Resources Other Loan Based Borrowing Capacity (FRB)

0

0

0

0

0

0

0

0

0

0

TOTAL OTHER LIQUIDITY RESOURCES

165,950 165,950 165,950 165,950 165,950 165,950 165,950 165,950 165,950 18.50% 18.50% 18.50% 18.50% 18.50% 18.50% 18.50% 18.50% 18.50%

Total Funds Availability ($000)

443,758 444,003 444,003 444,003 444,747 444,997 444,997 444,997 444,997

Total Assets ($000)

896,832 896,832 896,832 896,832 896,832 896,832 896,832 896,832 896,832

Total Funds Availability (% of Assets)

49.48% 49.51% 49.51% 49.51% 49.59% 49.62% 49.62% 49.62% 49.62%

LIQUIDITY MINIMUM (% of Assets)

5.00% 5.00% 5.00% 5.00% 5.00% 5.00% 5.00% 5.00% 5.00%

FUNDING EXCESS/(SHORTFALL)

398,916 399,161 399,161 399,161 399,905 400,155 400,155 400,155 400,155

Min / Max

Liquidity Ratios

Current

Dec-21 Mar-22 Jun-22 Sep-22 Dec-22 Mar-23 Jun-23 Sep-23

Cash + Unencumbered Coll. / Assets

29.69% 29.72% 29.72% 29.72% 29.80% 29.83% 29.83% 29.83% 29.83%

Fair Value of Securities / Assets

44.41% 44.39% 44.39% 44.39% 44.30% 44.28% 44.28% 44.28% 44.28%

Net Loans / Assets

44.11% 44.11% 44.11% 44.11% 44.11% 44.11% 44.11% 44.11% 44.11%

85.00

Net Loans / Deposits

51.66% 51.66% 51.66% 51.66% 51.66% 51.66% 51.66% 51.66% 51.66%

100.00

Brokered Deposits / Assets

0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%

15.00

Brokered Deposits / Deposits

0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%

Borrowings / Assets

2.23% 2.23% 2.23% 2.23% 2.23% 2.23% 2.23% 2.23% 2.23%

15.00

Wholesale Funds / Assets

2.23% 2.23% 2.23% 2.23% 2.23% 2.23% 2.23% 2.23% 2.23%

20.00

This scenario assesses the potential for funding gaps resulting from the Bank’s normal/planned course of business, which is currently a flat balance sheet. This scenario will serve as the 'Base Case'.

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© Darling Consulting Group 2021

12/13/2021 - 2:11 PM