| Schedule of Compliance with Regulatory Capital Requirements under Banking Regulations |
Actual and required capital levels at December 31, 2025 and 2024 are presented below (dollars in thousands): | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Minimum to be | | | | | | | | | | | | | | well | | | | | | | | | | | | | | capitalized under | | | | | | | | | Minimum for | | prompt | | | | | | | | | capital | | corrective action | | | | | Actual | | adequacy purposes | | provisions1 | | | | Amount | | Ratio | | Amount | | Ratio | | Amount | | Ratio | | December 31, 2025 | | | | | | | | | | | | | | | | | SmartFinancial: | | | | | | | | | | | | | | | | | Total Capital (to Risk Weighted Assets) | | $ | 606,158 | | 12.71 | % | $ | 381,470 | | 8.00 | % | | N/A | | N/A | | Tier 1 Capital (to Risk Weighted Assets) | | | 468,641 | | 9.83 | % | | 286,103 | | 6.00 | % | | N/A | | N/A | | Common Equity Tier 1 Capital (to Risk Weighted Assets) | | | 468,641 | | 9.83 | % | | 214,577 | | 4.50 | % | | N/A | | N/A | | Tier 1 Capital (to Average Assets)2 | | | 468,641 | | 8.30 | % | | 225,852 | | 4.00 | % | | N/A | | N/A | | | | | | | | | | | | | | | | | | | SmartBank: | | | | | | | | | | | | | | | | | Total Capital (to Risk Weighted Assets) | | $ | 586,675 | | 12.32 | % | $ | 380,891 | | 8.00 | % | $ | 476,114 | | 10.00 | % | Tier 1 Capital (to Risk Weighted Assets) | | | 547,820 | | 11.51 | % | | 285,668 | | 6.00 | % | | 380,891 | | 8.00 | % | Common Equity Tier 1 Capital (to Risk Weighted Assets) | | | 547,820 | | 11.51 | % | | 214,251 | | 4.50 | % | | 309,474 | | 6.50 | % | Tier 1 Capital (to Average Assets)2 | | | 547,820 | | 9.71 | % | | 225,566 | | 4.00 | % | | 281,957 | | 5.00 | % | | | | | | | | | | | | | | | | | | December 31, 2024 | | | | | | | | | | | | | | | | | SmartFinancial: | | | | | | | | | | | | | | | | | Total Capital (to Risk Weighted Assets) | | $ | 470,635 | | 11.10 | % | $ | 339,044 | | 8.00 | % | | N/A | | N/A | | Tier 1 Capital (to Risk Weighted Assets) | | | 413,616 | | 9.76 | % | | 254,283 | | 6.00 | % | | N/A | | N/A | | Common Equity Tier 1 Capital (to Risk Weighted Assets) | | | 413,616 | | 9.76 | % | | 190,712 | | 4.50 | % | | N/A | | N/A | | Tier 1 Capital (to Average Assets) | | | 413,616 | | 8.29 | % | | 199,585 | | 4.00 | % | | N/A | | N/A | | | | | | | | | | | | | | | | | | | SmartBank: | | | | | | | | | | | | | | | | | Total Capital (to Risk Weighted Assets) | | $ | 478,368 | | 11.30 | % | $ | 338,774 | | 8.00 | % | $ | 423,467 | | 10.00 | % | Tier 1 Capital (to Risk Weighted Assets) | | | 445,159 | | 10.51 | % | | 254,080 | | 6.00 | % | | 338,774 | | 8.00 | % | Common Equity Tier 1 Capital (to Risk Weighted Assets) | | | 445,159 | | 10.51 | % | | 190,560 | | 4.50 | % | | 275,253 | | 6.50 | % | Tier 1 Capital (to Average Assets) | | | 445,159 | | 8.94 | % | | 199,214 | | 4.00 | % | | 249,017 | | 5.00 | % |
| 1 | The prompt corrective action provisions are applicable at the Bank level only. |
| 2 | Average assets for the above calculations were based on the most recent quarter. |
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