The Bank and the Bancorp are subject to various regulatory capital requirements administered by the federal banking agencies. Failure to meet the minimum capital requirements can result in certain mandatory, and possibly additional discretionary, actions by regulators that, if undertaken, could have a direct material effect on Customers’ financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Bank and the Bancorp must meet specific capital guidelines that involve quantitative measures of their assets, liabilities and certain off-balance sheet items, as calculated under the regulatory accounting practices. The capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings and other factors. Prompt corrective action provisions are not applicable to bank holding companies.

Generally, to comply with the regulatory definition of adequately capitalized, or well capitalized, respectively, or to comply with the Basel III capital requirements, an institution must at least maintain the common equity Tier 1, Tier 1 and total risk-based capital ratios and the Tier 1 leverage ratio in excess of the related minimum ratios as set forth in the following table:


					Minimum Capital Levels to be Classified as:
	Actual				Adequately Capitalized				Well Capitalized				Basel III Compliant
(dollars in thousands)	Amount		Ratio		Amount		Ratio		Amount		Ratio		Amount		Ratio
As of March 31, 2026:
Common equity Tier 1 capital (to risk-weighted assets)
Customers Bancorp, Inc.	$	2,193,602	12.893	%	$	765,633	4.500	%	N/A		N/A		$	1,190,985	7.000	%
Customers Bank	$	2,341,612	13.784	%	$	764,460	4.500	%	$	1,104,220	6.500	%	$	1,189,160	7.000	%
Tier 1 capital (to risk-weighted assets)
Customers Bancorp, Inc.	$	2,193,602	12.893	%	$	1,020,844	6.000	%	N/A		N/A		$	1,446,196	8.500	%
Customers Bank	$	2,341,612	13.784	%	$	1,019,280	6.000	%	$	1,359,040	8.000	%	$	1,443,980	8.500	%
Total capital (to risk-weighted assets)
Customers Bancorp, Inc.	$	2,532,424	14.884	%	$	1,361,126	8.000	%	N/A		N/A		$	1,786,478	10.500	%
Customers Bank	$	2,508,820	14.768	%	$	1,359,040	8.000	%	$	1,698,800	10.000	%	$	1,783,740	10.500	%
Tier 1 capital (to average assets)
Customers Bancorp, Inc.	$	2,193,602	8.768	%	$	1,000,743	4.000	%	N/A		N/A		$	1,000,743	4.000	%
Customers Bank	$	2,341,612	9.367	%	$	999,964	4.000	%	$	1,249,955	5.000	%	$	999,964	4.000	%
As of December 31, 2025:
Common equity Tier 1 capital (to risk-weighted assets)
Customers Bancorp, Inc.	$	2,164,010	12.992	%	$	749,547	4.500	%	N/A		N/A		$	1,165,962	7.000	%
Customers Bank	$	2,203,933	13.252	%	$	748,412	4.500	%	$	1,081,040	6.500	%	$	1,164,197	7.000	%
Tier 1 capital (to risk-weighted assets)
Customers Bancorp, Inc.	$	2,164,010	12.992	%	$	999,396	6.000	%	N/A		N/A		$	1,415,811	8.500	%
Customers Bank	$	2,203,933	13.252	%	$	997,883	6.000	%	$	1,330,510	8.000	%	$	1,413,667	8.500	%
Total capital (to risk-weighted assets)
Customers Bancorp, Inc.	$	2,563,309	15.389	%	$	1,332,528	8.000	%	N/A		N/A		$	1,748,943	10.500	%
Customers Bank	$	2,431,744	14.621	%	$	1,330,510	8.000	%	$	1,663,138	10.000	%	$	1,746,295	10.500	%
Tier 1 capital (to average assets)
Customers Bancorp, Inc.	$	2,164,010	8.724	%	$	992,221	4.000	%	N/A		N/A		$	992,221	4.000	%
Customers Bank	$	2,203,933	8.895	%	$	991,061	4.000	%	$	1,238,827	5.000	%	$	991,061	4.000	%

The Basel III Capital Rules require that we maintain a 2.500% capital conservation buffer with respect to each of common equity Tier 1, Tier 1 and total capital to risk-weighted assets, which provides for capital levels that exceed the minimum risk-based capital adequacy requirements. A financial institution with a conservation buffer of less than the required amount is subject to limitations on capital distributions, including dividend payments and stock repurchases, and certain discretionary bonus payments to executive officers.