Large Bank Examination Workshop February 2026

Basel III Capital Components

Total Capital =

Common Equity Tier 1 Capital + Additional Tier 1 Capital

Tier 1 Capital

+ Tier 2 Capital

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Common Equity Tier 1 Capital Common Equity Tier 1 Capital is the sum of the following: 1. Common equity tier 1 capital instruments and related surplus (net of treasury stock), plus 2. Retained earnings, plus 3. Accumulated other comprehensive income (AOCI), plus 4. Minority interests in common equity tier 1 instruments in unconsolidated financial institutions Minus • Regulatory adjustments and deductions

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