LOANS AND ALLOWANCE FOR CREDIT LOSSES ON LOANS

6 Months Ended

Jun. 30, 2026

LOANS AND ALLOWANCE FOR CREDIT LOSSES ON LOANS

LOANS AND ALLOWANCE FOR CREDIT LOSSES ON LOANS

4.LOANS AND ALLOWANCE FOR CREDIT LOSSES ON LOANS

The following table presents the composition of the Company's loan portfolio by portfolio segment and class:


(in thousands)		June 30, 2026			December 31, 2025

Traditional Banking:
Residential real estate:
Owner-occupied		$	1,042,149		$	1,040,080
Nonowner-occupied			275,983			283,246
Commercial real estate:
Owner-occupied			704,806			666,948
Nonowner-occupied			819,996			799,420
Multi-family			377,392			331,370
Construction & land development			215,341			238,455
Commercial & industrial			547,145			528,873
Lease financing receivables			21,572			20,523
Aircraft*			202,729			203,120
Home equity			429,812			413,638
Consumer:
Credit cards			11,422			10,711
Overdrafts			825			971
Automobile loans			645			738
Other consumer			5,692			8,204
Total Traditional Banking			4,655,509			4,546,297
Warehouse lines of credit*			614,696			754,090
Total Core Banking			5,270,205			5,300,387

*Republic Processing Group:**
Tax Refund Solutions:
Refund Advances			—			12,924
Other TRS commercial & industrial			156			19,473
Republic Credit Solutions			140,045			113,545
Total Republic Processing Group			140,201			145,942

Total loans**			5,410,406			5,446,329
Allowance for credit losses			(87,767)			(85,352)

Total loans, net		$	5,322,639		$	5,360,977

* Identifies loans to borrowers located primarily outside of the Bank’s market footprint.

** Total loans are presented inclusive of premiums, discounts and net loan origination fees and costs. See the following table for expanded detail.

The following table reconciles the contractual balances and carrying amounts of loans:


(in thousands)		June 30, 2026			December 31, 2025

Contractually receivable		$	5,419,880		$	5,454,833
Unearned income			(3,272)			(3,137)
Unamortized premiums			119			142
Unaccreted discounts			(737)			(1,003)
Other net unamortized deferred origination (fees) and costs			(5,584)			(4,506)
Carrying value of loans		$	5,410,406		$	5,446,329

Credit Quality Indicators

The following tables present loans by segment, risk category and, for nonrevolving loans, origination year. For purposes of determining origination year, loan extensions and renewals are generally considered to have originated in the year of extension or renewal unless the transaction is accounted for as a loan modification. Extensions and renewals classified as loan modifications generally retain their original origination year.


													Revolving Loans		Revolving Loans
(in thousands)	Term Loans Amortized Cost Basis by Origination Year												Amortized		Converted
As of June 30, 2026	2026		2025		2024		2023		2022		Prior		Cost Basis		to Term		Total

Residential real estate owner-occupied:
Risk Rating
Pass or not rated	$	120,350	$	121,742	$	49,579	$	177,788	$	151,938	$	391,298	$	3	$	6,320	$	1,019,018
Special Mention		—		—		—		388		1,513		713		—		—		2,614
Substandard		—		604		1,417		3,117		2,993		12,386		—		—		20,517
Doubtful		—		—		—		—		—		—		—		—		—
Total	$	120,350	$	122,346	$	50,996	$	181,293	$	156,444	$	404,397	$	3	$	6,320	$	1,042,149
YTD Gross Charge-offs	$	—	$	12	$	—	$	8	$	3	$	42	$	—	$	—	$	65

Residential real estate nonowner-occupied:
Risk Rating
Pass or not rated	$	23,924	$	17,414	$	10,523	$	39,780	$	45,221	$	134,240	$	—	$	4,301	$	275,403
Special Mention		105		—		—		—		—		—		—		—		105
Substandard		—		—		—		—		—		475		—		—		475
Doubtful		—		—		—		—		—		—		—		—		—
Total	$	24,029	$	17,414	$	10,523	$	39,780	$	45,221	$	134,715	$	—	$	4,301	$	275,983
YTD Gross Charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Commercial real estate owner-occupied:
Risk Rating
Pass or not rated	$	87,109	$	98,177	$	36,563	$	59,584	$	94,957	$	219,788	$	16,400	$	81,677	$	694,255
Special Mention		7,080		—		—		—		—		90		—		404		7,574
Substandard		—		274		—		925		—		1,778		—		—		2,977
Doubtful		—		—		—		—		—		—		—		—		—
Total	$	94,189	$	98,451	$	36,563	$	60,509	$	94,957	$	221,656	$	16,400	$	82,081	$	704,806
YTD Gross Charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Commercial real estate nonowner-occupied:
Risk Rating
Pass or not rated	$	110,290	$	70,486	$	21,747	$	92,064	$	124,827	$	272,477	$	22,210	$	89,460	$	803,561
Special Mention		—		—		—		—		16,435		—		—		—		16,435
Substandard		—		—		—		—		—		—		—		—		—
Doubtful		—		—		—		—		—		—		—		—		—
Total	$	110,290	$	70,486	$	21,747	$	92,064	$	141,262	$	272,477	$	22,210	$	89,460	$	819,996
YTD Gross Charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Commercial real estate multi-family:
Risk Rating
Pass or not rated	$	46,903	$	7,358	$	12,680	$	71,367	$	62,192	$	84,873	$	5,302	$	80,934	$	371,609
Special Mention		—		—		—		—		—		—		—		—		—
Substandard		—		4,554		—		—		1,229		—		—		—		5,783
Doubtful		—		—		—		—		—		—		—		—		—
Total	$	46,903	$	11,912	$	12,680	$	71,367	$	63,421	$	84,873	$	5,302	$	80,934	$	377,392
YTD Gross Charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Construction & land development:
Risk Rating
Pass or not rated	$	30,731	$	118,966	$	34,975	$	27,000	$	563	$	2,565	$	541	$	—	$	215,341
Special Mention		—		—		—		—		—		—		—		—		—
Substandard		—		—		—		—		—		—		—		—		—
Doubtful		—		—		—		—		—		—		—		—		—
Total	$	30,731	$	118,966	$	34,975	$	27,000	$	563	$	2,565	$	541	$	—	$	215,341
YTD Gross Charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—		—

Commercial & industrial:
Risk Rating
Pass or not rated	$	87,307	$	121,714	$	36,193	$	34,425	$	31,948	$	35,656	$	157,010	$	22,321	$	526,574
Special Mention				—		86		—		—		2,745		75		—		2,906
Substandard		15,635		—		259		60		1,329		—		38		344		17,665
Doubtful		—		—		—		—		—		—		—		—		—
Total	$	102,942	$	121,714	$	36,538	$	34,485	$	33,277	$	38,401	$	157,123	$	22,665	$	547,145
YTD Gross Charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Lease financing receivables:
Risk Rating
Pass or not rated	$	4,951	$	5,147	$	3,983	$	6,221	$	998	$	37	$	—	$	—	$	21,337
Special Mention		—		—		—		—		14		—		—		—		14
Substandard		52		—		27		60		10		72		—		—		221
Doubtful		—		—		—		—		—		—		—		—		—
Total	$	5,003	$	5,147	$	4,010	$	6,281	$	1,022	$	109	$	—	$	—	$	21,572
YTD Gross Charge-offs	$	—	$	—	$	—	$	—	$	1	$	—	$	—	$	—	$	1


													Revolving Loans		Revolving Loans
(in thousands)	Term Loans Amortized Cost Basis by Origination Year (Continued)												Amortized		Converted
As of June 30, 2026	2026		2025		2024		2023		2022		Prior		Cost Basis		to Term		Total

Aircraft:
Risk Rating
Pass or not rated	$	25,834	$	30,569	$	20,751	$	40,501	$	30,887	$	54,187	$	—	$	—	$	202,729
Special Mention		—		—		—		—		—		—		—		—		—
Substandard		—		—		—		—		—		—		—		—		—
Doubtful		—		—		—		—		—		—		—		—		—
Total	$	25,834	$	30,569	$	20,751	$	40,501	$	30,887	$	54,187	$	—	$	—	$	202,729
YTD Gross Charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Home equity:
Risk Rating
Pass or not rated	$	—	$	—	$	—	$	—	$	—	$	—	$	423,639	$	—	$	423,639
Special Mention		—		—		—		—		—		—		1,896		—		1,896
Substandard		—		—		—		—		—		—		4,277		—		4,277
Doubtful		—		—		—		—		—		—		—		—		—
Total	$	—	$	—	$	—	$	—	$	—	$	—	$	429,812	$	—	$	429,812
YTD Gross Charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	22	$	—	$	22

Consumer:
Risk Rating
Pass or not rated	$	497	$	1,310	$	3,683	$	1,446	$	34	$	458	$	11,144	$	—	$	18,572
Special Mention		—		—		—		—		—		—		—		—		—
Substandard		—		12		—		—		—		—		—		—		12
Doubtful		—		—		—		—		—		—		—		—		—
Total	$	497	$	1,322	$	3,683	$	1,446	$	34	$	458	$	11,144	$	—	$	18,584
YTD Gross Charge-offs	$	3	$	12	$	1	$	—	$	—	$	4	$	733	$	—	$	753

Warehouse:
Risk Rating
Pass or not rated	$	—	$	—	$	—	$	—	$	—	$	—	$	614,696	$	—	$	614,696
Special Mention		—		—		—		—		—		—		—		—		—
Substandard		—		—		—		—		—		—		—		—		—
Doubtful		—		—		—		—		—		—		—		—		—
Total	$	—	$	—	$	—	$	—	$	—	$	—	$	614,696	$	—	$	614,696
YTD Gross Charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

TRS:
Risk Rating
Pass or not rated	$	156	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	156
Special Mention		—		—		—		—		—		—		—		—		—
Substandard		—		—		—		—		—		—		—		—		—
Doubtful		—		—		—		—		—		—		—		—		—
Total	$	156	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	156
YTD Gross Charge-offs	$	5,665	$	774	$	—	$	—	$	—	$	—	$	—	$	—	$	6,439

RCS:
Risk Rating
Pass or not rated	$	—	$	442	$	2,152	$	3,111	$	524	$	145	$	133,671	$	—	$	140,045
Special Mention		—		—		—		—		—		—		—		—		—
Substandard		—		—		—		—		—		—		—		—		—
Doubtful		—		—		—		—		—		—		—		—		—
Total	$	—	$	442	$	2,152	$	3,111	$	524	$	145	$	133,671	$	—	$	140,045
YTD Gross Charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	8,180	$	—	$	8,180

Grand Total:
Risk Rating
Pass or not rated	$	538,052	$	593,325	$	232,829	$	553,287	$	544,089	$	1,195,724	$	1,384,616	$	285,013	$	5,326,935
Special Mention		7,185		—		86		388		17,962		3,548		1,971		404		31,544
Substandard		15,687		5,444		1,703		4,162		5,561		14,711		4,315		344		51,927
Doubtful		—		—		—		—		—		—		—		—		—
Grand Total	$	560,924	$	598,769	$	234,618	$	557,837	$	567,612	$	1,213,983	$	1,390,902	$	285,761	$	5,410,406
YTD Gross Charge-offs	$	5,668	$	798	$	1	$	8	$	4	$	46	$	8,935	$	—	$	15,460


													Revolving Loans		Revolving Loans
(in thousands)	Term Loans Amortized Cost Basis by Origination Year												Amortized		Converted
As of December 31, 2025	2025		2024		2023		2022		2021		Prior		Cost Basis		to Term		Total

Residential real estate owner-occupied:
Risk Rating
Pass or not rated	$	153,758	$	57,359	$	208,250	$	162,417	$	134,290	$	292,708	$	—	$	9,745	$	1,018,527
Special Mention		—		—		—		1,610		—		582		—		—		2,192
Substandard		182		1,063		2,185		3,130		2,729		10,072		—		—		19,361
Doubtful		—		—		—		—		—		—		—		—		—
Total	$	153,940	$	58,422	$	210,435	$	167,157	$	137,019	$	303,362	$	—	$	9,745	$	1,040,080
YTD Gross Charge-offs	$	—	$	43	$	—	$	18	$	17	$	50	$	—	$	—	$	128

Residential real estate nonowner-occupied:
Risk Rating
Pass or not rated	$	18,769	$	13,367	$	46,289	$	48,701	$	62,996	$	89,968	$	—	$	2,640	$	282,730
Special Mention		—		—		—		—		—		—		—		—		—
Substandard		—		—		—		—		—		516		—		—		516
Doubtful		—		—		—		—		—		—		—		—		—
Total	$	18,769	$	13,367	$	46,289	$	48,701	$	62,996	$	90,484	$	—	$	2,640	$	283,246
YTD Gross Charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Commercial real estate owner-occupied:
Risk Rating
Pass or not rated	$	103,994	$	40,027	$	64,149	$	101,727	$	103,722	$	162,831	$	13,894	$	56,250	$	646,594
Special Mention		752		1,112		—		—		594		9,191		—		409		12,058
Substandard		5,448		—		942		—		—		1,906		—		—		8,296
Doubtful		—		—		—		—		—		—		—		—		—
Total	$	110,194	$	41,139	$	65,091	$	101,727	$	104,316	$	173,928	$	13,894	$	56,659	$	666,948
YTD Gross Charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Commercial real estate nonowner-occupied:
Risk Rating
Pass or not rated	$	77,928	$	22,179	$	104,436	$	134,803	$	101,477	$	230,556	$	19,700	$	90,983	$	782,062
Special Mention		676		—		—		16,682		—		—		—		—		17,358
Substandard		—		—		—		—		—		—		—		—		—
Doubtful		—		—		—		—		—		—		—		—		—
Total	$	78,604	$	22,179	$	104,436	$	151,485	$	101,477	$	230,556	$	19,700	$	90,983	$	799,420
YTD Gross Charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Commercial real estate multi-family:
Risk Rating
Pass or not rated	$	11,117	$	12,841	$	49,881	$	66,953	$	45,347	$	56,668	$	4,910	$	83,653	$	331,370
Special Mention		—		—		—		—		—		—		—		—		—
Substandard		—		—		—		—		—		—		—		—		—
Doubtful		—		—		—		—		—		—		—		—		—
Total	$	11,117	$	12,841	$	49,881	$	66,953	$	45,347	$	56,668	$	4,910	$	83,653	$	331,370
YTD Gross Charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Construction & land development:
Risk Rating
Pass or not rated	$	99,673	$	47,328	$	86,555	$	593	$	522	$	3,303	$	481	$	—	$	238,455
Special Mention		—		—		—		—		—		—		—		—		—
Substandard		—		—		—		—		—		—		—		—		—
Doubtful		—		—		—		—		—		—		—		—		—
Total	$	99,673	$	47,328	$	86,555	$	593	$	522	$	3,303	$	481	$	—	$	238,455
YTD Gross Charge-offs		—		—		—		—		—		—		—		—		—

Commercial & industrial:
Risk Rating
Pass or not rated	$	139,641	$	62,991	$	44,005	$	41,331	$	17,176	$	33,515	$	153,706	$	15,935	$	508,300
Special Mention		—		569		—		—		1,556		—		64		—		2,189
Substandard		88		334		73		1,618		—		11,516		4,411		344		18,384
Doubtful		—		—		—		—		—		—		—		—		—
Total	$	139,729	$	63,894	$	44,078	$	42,949	$	18,732	$	45,031	$	158,181	$	16,279	$	528,873
YTD Gross Charge-offs		—	$	13	$	216	$	18	$	—	$	15	$	—	$	—		262

Lease financing receivables:
Risk Rating
Pass or not rated	$	5,931	$	4,909	$	7,469	$	1,433	$	190	$	83	$	—	$	—	$	20,015
Special Mention		—		—		—		—		—		—		—		—		—
Substandard		7		69		87		274		71		—		—		—		508
Doubtful		—		—		—		—		—		—		—		—		—
Total	$	5,938	$	4,978	$	7,556	$	1,707	$	261	$	83	$	—	$	—	$	20,523
YTD Gross Charge-offs		—	$	49	$	297	$	31	$	10	$	3	$	—	$	—		390


													Revolving Loans		Revolving Loans
(in thousands)	Term Loans Amortized Cost Basis by Origination Year												Amortized		Converted
As of December 31, 2025	2025		2024		2023		2022		2021		Prior		Cost Basis		to Term		Total

Aircraft:
Risk Rating
Pass or not rated	$	31,154	$	26,092	$	47,389	$	35,121	$	29,828	$	33,239	$	—	$	—	$	202,823
Special Mention		—		—		—		—		—		—		—		—		—
Substandard		—		—		—		—		297		—		—		—		297
Doubtful		—		—		—		—		—		—		—		—		—
Total	$	31,154	$	26,092	$	47,389	$	35,121	$	30,125	$	33,239	$	—	$	—	$	203,120
YTD Gross Charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Home equity:
Risk Rating
Pass or not rated	$	—	$	—	$	—	$	—	$	—	$	—	$	408,021	$	—	$	408,021
Special Mention		—		—		—		—		—		—		1,957		—		1,957
Substandard		—		—		—		—		—		—		3,660		—		3,660
Doubtful		—		—		—		—		—		—		—		—		—
Total	$	—	$	—	$	—	$	—	$	—	$	—	$	413,638	$	—	$	413,638
YTD Gross Charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	56	$	—	$	56

Consumer:
Risk Rating
Pass or not rated	$	1,799	$	3,984	$	1,840	$	58	$	25	$	566	$	12,267	$	—	$	20,539
Special Mention		—		—		—		—		—		—		—		—		—
Substandard		—		—		—		—		—		1		84		—		85
Doubtful		—		—		—		—		—		—		—		—		—
Total	$	1,799	$	3,984	$	1,840	$	58	$	25	$	567	$	12,351	$	—	$	20,624
YTD Gross Charge-offs	$	31	$	2	$	3	$	—	$	1	$	6	$	1,154	$	—	$	1,197

Warehouse:
Risk Rating
Pass or not rated	$	—	$	—	$	—	$	—	$	—	$	—	$	754,090	$	—	$	754,090
Special Mention		—		—		—		—		—		—		—		—		—
Substandard		—		—		—		—		—		—		—		—		—
Doubtful		—		—		—		—		—		—		—		—		—
Total	$	—	$	—	$	—	$	—	$	—	$	—	$	754,090	$	—	$	754,090
YTD Gross Charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

TRS:
Risk Rating
Pass or not rated	$	32,397	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	32,397
Special Mention		—		—		—		—		—		—		—		—		—
Substandard		—		—		—		—		—		—		—		—		—
Doubtful		—		—		—		—		—		—		—		—		—
Total	$	32,397	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	32,397
YTD Gross Charge-offs	$	15,501	$	9,557	$	—	$	—	$	—	$	—	$	—	$	—	$	25,058

RCS:
Risk Rating
Pass or not rated	$	862	$	3,448	$	4,490	$	674	$	42	$	310	$	103,719	$	—	$	113,545
Special Mention		—		—		—		—		—		—		—		—		—
Substandard		—		—		—		—		—		—		—		—		—
Doubtful		—		—		—		—		—		—		—		—		—
Total	$	862	$	3,448	$	4,490	$	674	$	42	$	310	$	103,719	$	—	$	113,545
YTD Gross Charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	19,131	$	—	$	19,131

Grand Total:
Risk Rating
Pass or not rated	$	677,023	$	294,525	$	664,753	$	593,811	$	495,615	$	903,747	$	1,470,788	$	259,206	$	5,359,468
Special Mention		1,428		1,681		—		18,292		2,150		9,773		2,021		409		35,754
Substandard		5,725		1,466		3,287		5,022		3,097		24,011		8,155		344		51,107
Doubtful		—		—		—		—		—		—		—		—		—
Grand Total	$	684,176	$	297,672	$	668,040	$	617,125	$	500,862	$	937,531	$	1,480,964	$	259,959	$	5,446,329
YTD Gross Charge-offs	$	15,532	$	9,664	$	516	$	67	$	28	$	74	$	20,341	$	—	$	46,222

Allowance for Credit Losses on Loans

The following table presents a rollforward of the ACLL portfolio by portfolio segment and class:


	ACLL Roll-forward
	Three Months Ended June 30,
	2026										2025
	Beginning				Charge-				Ending			Beginning			Charge-				Ending
(in thousands)	Balance		Provision		offs		Recoveries		Balance			Balance	Provision		offs		Recoveries		Balance

Traditional Banking:
Residential real estate:
Owner-occupied	$	10,609	$	192	$	(11)	$	15	$	10,805	$	10,756	$	(142)	$	(11)	$	23	$	10,626
Nonowner-occupied		3,508		(87)		—		—		3,421		4,025		(142)		—		—		3,883
Commercial real estate:
Owner-occupied		7,584		271		—		2		7,857		7,334		(191)		—		—		7,143
Nonowner-occupied		11,973		12		—		—		11,985		12,179		(230)		—		3		11,952
Multi-Family		2,812		384		—		—		3,196		2,807		(56)		—		—		2,751
Total commercial real estate		22,369		667		—		2		23,038		22,320		(477)		—		3		21,846
Construction & land development		8,256		(1,015)		—		—		7,241		8,027		698		—		—		8,725
Commercial & industrial		7,481		(22)		—		27		7,486		2,616		(143)		(18)		—		2,455
Lease financing receivables		624		(189)		—		24		459		1,054		39		(127)		17		983
Aircraft		506		1		—		—		507		554		(24)		—		—		530
Home equity		8,873		53		(22)		60		8,964		7,626		454		—		26		8,106
Consumer:
Credit cards		957		(8)		(3)		—		946		937		78		(56)		31		990
Overdrafts		701		272		(317)		138		794		687		170		(250)		49		656
Automobile loans		—		(2)		—		2		—		8		(7)		—		1		2
Other consumer		157		(5)		(7)		—		145		241		13		(8)		7		253
Total Traditional Banking		64,041		(143)		(360)		268		63,806		58,851		517		(470)		157		59,055
Warehouse lines of credit		1,571		(38)		—		—		1,533		1,421		255		—		—		1,676
Total Core Banking		65,612		(181)		(360)		268		65,339		60,272		772		(470)		157		60,731

Republic Processing Group:
Tax Refund Solutions:
Refund Advances		6,283		(1,056)		(6,367)		1,140		—		25,819		(3,934)		(24,893)		3,008		—
Other TRS commercial & industrial		61		10		(72)		2		1		162		2		(166)		2		—
Republic Credit Solutions		19,884		6,384		(4,244)		403		22,427		20,050		4,983		(4,384)		380		21,029
Total Republic Processing Group		26,228		5,338		(10,683)		1,545		22,428		46,031		1,051		(29,443)		3,390		21,029

Total	$	91,840	$	5,157	$	(11,043)	$	1,813	$	87,767	$	106,303	$	1,823	$	(29,913)	$	3,547	$	81,760


	ACLL Roll-forward
	Six Months Ended June 30,
	2026										2025
	Beginning				Charge-				Ending			Beginning			Charge-				Ending
(in thousands)	Balance		Provision		offs		Recoveries		Balance			Balance	Provision		offs		Recoveries		Balance

Traditional Banking:
Residential real estate:
Owner-occupied	$	10,844	$	(41)	$	(65)	$	67	$	10,805	$	10,849	$	(257)	$	(29)	$	63	$	10,626
Nonowner-occupied		3,542		(121)		—		—		3,421		4,140		(257)		—		—		3,883
Commercial real estate:
Owner-occupied		7,207		646		—		4		7,857		7,319		(176)		—		—		7,143
Nonowner-occupied		11,690		295		—		—		11,985		12,523		(574)		—		3		11,952
Multi-Family		2,860		336		—		—		3,196		2,714		37		—		—		2,751
Total commercial real estate		21,757		1,277		—		4		23,038		22,556		(713)		—		3		21,846
Construction & land development		8,117		(876)		—		—		7,241		8,227		498		—		—		8,725
Commercial & industrial		7,403		53		—		30		7,486		2,527		(54)		(18)		—		2,455
Lease financing receivables		718		(301)		(1)		43		459		1,117		(18)		(138)		22		983
Aircraft		507		—		—		—		507		565		(35)		—		—		530
Home equity		8,629		291		(22)		66		8,964		7,378		701		—		27		8,106
Consumer:
Credit cards		957		(6)		(6)		1		946		1,379		(347)		(92)		50		990
Overdrafts		971		344		(727)		206		794		724		269		(440)		103		656
Automobile loans		—		(4)		—		4		—		11		(11)		—		2		2
Other consumer		217		(54)		(20)		2		145		283		(28)		(24)		22		253
Total Traditional Banking		63,662		562		(841)		423		63,806		59,756		(252)		(741)		292		59,055
Warehouse lines of credit		1,882		(349)		—		—		1,533		1,374		302		—		—		1,676
Total Core Banking		65,544		213		(841)		423		65,339		61,130		50		(741)		292		60,731

Republic Processing Group:
Tax Refund Solutions:
Refund Advances		296		4,262		(6,367)		1,809		—		9,793		11,401		(24,893)		3,699		—
Other TRS commercial & industrial		37		34		(72)		2		1		68		94		(165)		3		—
Republic Credit Solutions		19,475		10,428		(8,180)		704		22,427		20,987		7,950		(8,638)		730		21,029
Total Republic Processing Group		19,808		14,724		(14,619)		2,515		22,428		30,848		19,445		(33,696)		4,432		21,029

Total	$	85,352	$	14,937	$	(15,460)	$	2,938	$	87,767	$	91,978	$	19,495	$	(34,437)	$	4,724	$	81,760

The cumulative loss rates used in estimating the Company’s ACLL as of June 30, 2026 were primarily derived from static pool analyses for each loan pool based on the Company’s loss experience from 2013 through 2026, supplemented by qualitative factor adjustments reflecting current conditions and reasonable and supportable forecasts. The ACLL model incorporates a one-year forecast period for unemployment and CRE vacancy rates.

The ACLL also includes estimated losses for loans evaluated individually, including collateral dependent loans and loans that do not share similar risk characteristics with pooled loans, such as certain loan modifications. During the second quarter of 2025, the Company implemented, as a practical expedient, a minimum loan balance threshold for individually evaluating loans with risk ratings of Special Mention or worse. The adoption of this threshold resulted in a $518,000 reduction to the Provision during the three and six months ended June 30, 2025.

Nonperforming Loans and Nonperforming Assets

The following table presents information regarding nonperforming loans, nonperforming assets, and select credit quality ratios:


(dollars in thousands)		June 30, 2026			December 31, 2025

Loans on nonaccrual status*		$	30,645		$	23,806
Loans past due 90-days-or-more and still on accrual**			83			161
Total nonperforming loans			30,728			23,967
Other real estate owned			843			1,277
Total nonperforming assets		$	31,571		$	25,244

Credit Quality Ratios - Total Company:

Nonperforming loans to total loans			0.57	%		0.44	%
Nonperforming assets to total loans (including OREO)			0.58			0.46
Nonperforming assets to total assets			0.45			0.36

Credit Quality Ratios - Core Bank:

Nonperforming loans to total loans			0.58	%		0.45	%
Nonperforming assets to total loans (including OREO)			0.60			0.47
Nonperforming assets to total assets			0.49			0.38

*	Loans on nonaccrual status include collateral-dependent loans.

**	Loans past due 90-days-or-more and still accruing consist of smaller balance consumer loans.

The following table presents nonaccrual loans and loans past due 90-days-or-more and still accruing by portfolio segment and class:


							Past Due 90-Days-or-More
		Nonaccrual					and Still Accruing Interest*
(in thousands)		June 30, 2026			December 31, 2025		June 30, 2026			December 31, 2025

Traditional Banking:
Residential real estate:
Owner-occupied		$	20,053		$	18,894	$	—		$	—
Nonowner-occupied			475			119		—			—
Commercial real estate:
Owner-occupied			722			377		—			—
Nonowner-occupied			—			—		—			—
Multi-family			4,554			—		—			—
Construction & land development			—			—		—			—
Commercial & industrial			391			344		—			—
Lease financing receivables			171			49		—			—
Aircraft			—			—		—			—
Home equity			4,268			3,727		—			—
Consumer:
Credit cards			—			—		4			—
Overdrafts			—			—		—			—
Automobile loans			—			—		—			—
Other consumer			11			296		—			—
Total Traditional Banking			30,645			23,806		4			—
Warehouse lines of credit			—			—		—			—
Total Core Banking			30,645			23,806		4			—

Republic Processing Group:
Tax Refund Solutions:
Refund Advances			—			—		—			—
Other TRS commercial & industrial			—			—		—			—
Republic Credit Solutions			—			—		79			161
Total Republic Processing Group			—			—		79			161

Total		$	30,645		$	23,806	$	83		$	161

* Loans past due 90-days-or-more and still accruing consist of smaller balance consumer loans.

The following tables present nonaccrual loans details by portfolio class:


										Three Months Ended			Six Months Ended
		As of June 30, 2026								June 30, 2026			June 30, 2026
		Nonaccrual			Nonaccrual				Total	Interest Income			Interest Income
		Loans with			Loans without				Nonaccrual	Recognized			Recognized
(in thousands)		ACLL			ACLL				Loans	on Nonaccrual Loans*			on Nonaccrual Loans*

Residential real estate:
Owner-occupied		$	353		$	19,700		$	20,053	$	288		$	527
Nonowner-occupied			367			108			475		3			20
Commercial real estate:
Owner-occupied			722			—			722		20			40
Nonowner-occupied			—			—			—		—			—
Multi-family			—			4,554			4,554		75			101
Construction & land development			—			—			—		—			—
Commercial & industrial			344			47			391		1			1
Lease financing receivables			—			171			171		—			—
Aircraft			—			—			—		—			—
Home equity			—			4,268			4,268		96			183
Consumer			—			11			11		3			3
Total		$	1,786		$	28,859		$	30,645	$	486		$	875

* Includes interest income for loans on nonaccrual as of the beginning of the period that were paid off during the period.


										Three Months Ended			Six Months Ended
		As of December 31, 2025								June 30, 2025			June 30, 2025
		Nonaccrual			Nonaccrual				Total	Interest Income			Interest Income
		Loans with			Loans without				Nonaccrual	Recognized			Recognized
(in thousands)		ACLL			ACLL				Loans	on Nonaccrual Loans*			on Nonaccrual Loans*

Residential real estate:
Owner-occupied		$	—		$	18,894		$	18,894	$	307		$	675
Nonowner-occupied			—			119			119		3			20
Commercial real estate:
Owner-occupied			377			—			377		24			72
Nonowner-occupied			—			—			—		4			8
Multi-family			—			—			—		4			4
Construction & land development			—			—			—		—			—
Commercial & industrial			344			—			344		16			21
Lease financing receivables			—			49			49		—			—
Aircraft			—			—			—		—			—
Home equity			—			3,727			3,727		104			179
Consumer			—			296			296		37			58
Total		$	721		$	23,085		$	23,806	$	499		$	1,037

* Includes interest income for loans on nonaccrual as of the beginning of the period that were paid off during the period.

Nonaccrual loans and loans past due 90 days or more and still accruing interest include smaller-balance, primarily retail, homogeneous loan portfolios. Nonaccrual loans are generally restored to accrual status when all contractually due principal and interest have been brought current, remain current for six consecutive months, and collection of future contractual payments is reasonably assured. Modified loans classified as nonaccrual are evaluated individually for restoration to accrual status based on performance under the modified terms and other relevant credit factors.

Delinquent Loans

The following tables present the aging of the recorded investment in loans by portfolio segment and class:


		30 - 59			60 - 89			90 or More
		Days			Days			Days			Total			Total
June 30, 2026 (dollars in thousands)		Delinquent			Delinquent			Delinquent*			Delinquent**			Current			Total

Traditional Banking:
Residential real estate:
Owner-occupied		$	4,526		$	1,034		$	2,851		$	8,411		$	1,033,738		$	1,042,149
Nonowner-occupied			—			237			—			237			275,746			275,983
Commercial real estate:
Owner-occupied			—			—			—			—			704,806			704,806
Nonowner-occupied			—			—			—			—			819,996			819,996
Multi-family			—			4,554			—			4,554			372,838			377,392
Construction & land development			—			—			—			—			215,341			215,341
Commercial & industrial			6			47			344			397			546,748			547,145
Lease financing receivables			577			780			145			1,502			20,070			21,572
Aircraft			—			—			—			—			202,729			202,729
Home equity			1,205			1,048			975			3,228			426,584			429,812
Consumer:
Credit cards			—			—			4			4			11,418			11,422
Overdrafts			48			16			17			81			744			825
Automobile loans			—			—			—			—			645			645
Other consumer			20			2			—			22			5,670			5,692
Total Traditional Banking			6,382			7,718			4,336			18,436			4,637,073			4,655,509
Warehouse lines of credit			—			—			—			—			614,696			614,696
Total Core Banking			6,382			7,718			4,336			18,436			5,251,769			5,270,205

Republic Processing Group:
Tax Refund Solutions:
Refund Advances			—			—			—			—			—			—
Other TRS commercial & industrial			—			—			—			—			156			156
Republic Credit Solutions			8,068			1,907			79			10,054			129,991			140,045
Total Republic Processing Group			8,068			1,907			79			10,054			130,147			140,201

Total		$	14,450		$	9,625		$	4,415		$	28,490		$	5,381,916		$	5,410,406
Delinquency ratio***			0.27	%		0.18	%		0.08	%		0.53	%

* All loans past due 90-days-or-more, excluding small balance consumer loans, were on nonaccrual status.

** Delinquent status may be determined by either the number of days past due or number of payments past due.

*** Represents total loans 30-days-or-more past due by aging category divided by total loans.


		30 - 59			60 - 89			90 or More
		Days			Days			Days			Total			Total
December 31, 2025 (dollars in thousands)		Delinquent			Delinquent			Delinquent*			Delinquent**			Current			Total

Traditional Banking:
Residential real estate:
Owner-occupied		$	4,770		$	2,140		$	2,118		$	9,028		$	1,031,052		$	1,040,080
Nonowner-occupied			—			—			—			—			283,246			283,246
Commercial real estate:
Owner-occupied			—			—			—			—			666,948			666,948
Nonowner-occupied			—			—			—			—			799,420			799,420
Multi-family			—			—			—			—			331,370			331,370
Construction & land development			—			—			—			—			238,455			238,455
Commercial & industrial			11			—			344			355			528,518			528,873
Lease financing receivables			4			—			49			53			20,470			20,523
Aircraft			—			—			—			—			203,120			203,120
Home equity			3,082			327			937			4,346			409,292			413,638
Consumer:
Credit cards			—			—			—			—			10,711			10,711
Overdrafts			67			52			4			123			848			971
Automobile loans			—			—			—			—			738			738
Other consumer			17			3			—			20			8,184			8,204
Total Traditional Banking			7,951			2,522			3,452			13,925			4,532,372			4,546,297
Warehouse lines of credit			—			—			—			—			754,090			754,090
Total Core Banking			7,951			2,522			3,452			13,925			5,286,462			5,300,387

Republic Processing Group:
Tax Refund Solutions:
Refund Advances			—			—			—			—			12,924			12,924
Other TRS commercial & industrial			—			—			—			—			19,473			19,473
Republic Credit Solutions			6,947			1,830			161			8,938			104,607			113,545
Total Republic Processing Group			6,947			1,830			161			8,938			137,004			145,942

Total		$	14,898		$	4,352		$	3,613		$	22,863		$	5,423,466		$	5,446,329
Delinquency ratio***			0.27	%		0.08	%		0.07	%		0.42	%

* All loans past due 90-days-or-more, excluding smaller balance consumer loans, were on nonaccrual status.

** Delinquent status may be determined by either the number of days past due or number of payments past due.

*** Represents total loans 30-days-or-more past due by aging category divided by total loans.

Collateral-Dependent Loans

The following table presents the amortized cost basis of collateral-dependent loans by Traditional Banking portfolio class:


	June 30, 2026					December 31, 2025
	Secured			Secured		Secured			Secured
	by Real			by Personal		by Real			by Personal
(in thousands)	Estate			Property		Estate			Property

Traditional Banking:
Residential real estate:
Owner-occupied	$	20,517		$	—	$	19,343		$	—
Nonowner-occupied		475			—		535			—
Commercial real estate:
Owner-occupied		3,387			—		8,296			—
Nonowner-occupied		—			—		—			—
Multi-family		5,783			—		—			—
Construction & land development		—			—		—			—
Commercial & industrial		—			—		—			—
Lease financing receivables		—			235		—			508
Aircraft		—			—		—			297
Home equity		4,277			—		3,659			—
Consumer		—			11		—			1
Total Traditional Banking	$	34,439		$	246	$	31,833		$	806

Collateral-Dependent Loans and Loan Modifications

When management determines that a loan is collateral dependent and foreclosure is probable, expected credit losses are measured using the fair value of the collateral as of the reporting date, adjusted for estimated selling costs, when applicable. Collateral-dependent loans are generally secured by real estate or personal property. If the fair value of the collateral, net of estimated selling costs, is insufficient to cover the recorded investment, the loan is charged down to that amount. Estimated selling costs generally range from 10% to 13% and are based on annual studies performed by the Company.

In accordance with the Bank’s charge-off policy, all or a portion of a collateral-dependent loan is charged off when the Bank concludes that the full amount of contractual principal and interest is not expected to be collected.

A loan modification occurs when, due to a borrower’s financial difficulties, the Bank grants a concession it would not otherwise consider. Most modifications involve changes to the loan’s original terms, including, depending on the borrower’s circumstances, temporary payment reductions requiring only interest and escrow payments (if applicable), reductions in the contractual interest rate, extensions of the maturity date, or a combination thereof.

The ACLL incorporates an estimate of lifetime expected credit losses using historical loss information. The Company utilizes a static pool loss rate methodology to estimate expected losses for pooled loans. From time to time, the Company modifies loans for borrowers experiencing financial difficulty through principal forgiveness, repayment term extensions, interest rate reductions, or other-than-insignificant payment delays. Because expected credit losses associated with these loans are generally captured within the ACLL methodology, loan modifications typically do not result in an immediate adjustment to the ACLL unless the loan is individually evaluated and the modification affects the specific reserve allocation. If principal forgiveness is granted, the forgiven amount is charged off against the ACLL.

Accruing modified loans are evaluated for nonaccrual classification based on the borrower’s financial condition and demonstrated ability to perform under the modified terms. Loans that are modified while on nonaccrual status generally remain on nonaccrual until sustained performance under the modified terms supports a return to accrual status.

As of June 30, 2026, and December 31, 2025, collateral dependent loans totaled $35 million and $33 million.

As of June 30, 2026 outstanding collateral dependent loan modifications to borrowers experiencing financial difficulty totaled $420,000.

Loan Modifications –2026:

During the second quarter of 2026, the Company modified two loans for borrowers experiencing financial difficulty with an aggregate amortized cost basis of $420,000, primarily consisting of a $367,000 RRE owner-occupied loan deferred 10 months and a $52,000 C&I loan extended three months.

During the first quarter of 2026, the Company modified five loans for borrowers experiencing financial difficulty with an aggregate amortized cost basis of $9 million. The modifications primarily consisted of a $7 million CRE owner-occupied loan extended seven months and a $2 million C&I loan extended 40 months. During the second quarter of 2026, the $7 million CRE owner-occupied loan was refinanced by the Bank at market terms and collateralized by additional security.

Loan Modifications –2025:

During the second quarter of 2025, the Company modified two loans for borrowers experiencing financial difficulty with an amortized cost basis of $4 million, primarily consisting of one CRE nonowner-occupied loan, with an amortized cost basis of $4 million extended 12 months.

During the fourth quarter of 2025, the Company modified seven loans for borrowers experiencing financial difficulty with an aggregate amortized cost basis of $13 million, primarily consisting of two CRE owner-occupied loans, with a total amortized cost basis of $5 million, which were extended three months and one CRE owner-occupied loan, with an amortized cost basis of $7 million, was extended six months.

During the six months ended June 30, 2026 and 2025, there were no payment defaults by borrowers experiencing financial difficulty related to loans that were modified in the prior 12 months.

Foreclosures

The following table presents the carrying amount of foreclosed RRE and CRE held by the Bank as a result of obtaining physical possession of the underlying collateral.


(in thousands)	June 30, 2026		December 31, 2025

Residential real estate	$	—	$	244
Commercial real estate		843		1,033
Total other real estate owned	$	843	$	1,277

The following table presents the recorded investment in consumer mortgage loans secured by RRE that were in the process of formal foreclosure proceedings in accordance with the requirements of the applicable jurisdictions.


(in thousands)		June 30, 2026			December 31, 2025

Recorded investment in consumer residential real estate mortgage loans in the process of foreclosure		$	4,546		$	3,148

Refund Advances

The Company’s TRS segment offered (i) its RA product during the first two months of 2026, along with its ERA product during December 2025 and the first two weeks of 2026 for the 2026 Tax Season and (ii) its RA product during the first two months of 2025, along with its ERA product during December 2024 and the first two weeks of 2025 for the 2025 Tax Season. The ERA originations during December 2025 and the first two weeks of 2026 were made in relation to estimated tax returns that were anticipated to be filed during the first quarter 2026 Tax Season, while the ERA originations during December 2024 and the first two weeks of 2025 were made in relation to estimated tax returns that were anticipated to be filed during the first quarter 2025 Tax Season. Each year, all unpaid RAs, including ERAs, are charged-off at June 30^th, and each quarter thereafter, any credits to the Provision for ERAs/RAs, are recorded as recoveries of previously charged-off accounts.

The following table presents information regarding calendar year ERA/RA activity:


		Three Months Ended					Six Months Ended
		June 30,					June 30,
(dollars in thousands)		2026		2025			2026			2025

ERAs/RAs originated		$	—	$	—		$	246,396		$	662,556
Net (credit) charge to the Provision for ERAs/RAs			(1,056)		(3,934)			4,262			11,401
Provision as a percentage of ERAs/RAs originated			NA		NA			1.73	%		1.72	%
Net ERA/RA charge-offs		$	5,227	$	21,885		$	4,558		$	21,194
Net ERA/RA charge-offs to total originations			NA		NA			1.85	%		3.20	%