| Schedule of Compliance with Regulatory Capital Requirements under Banking Regulations |
Actual and required capital levels at June 30, 2026, and December 31, 2025, 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 | | June 30, 2026 | | | | | | | | | | | | | | | | | SmartFinancial: | | | | | | | | | | | | | | | | | Total Capital (to Risk Weighted Assets) | | $ | 640,236 | | 12.64 | % | $ | 405,158 | | 8.00 | % | | N/A | | N/A | | Tier 1 Capital (to Risk Weighted Assets) | | | 494,752 | | 9.77 | % | | 303,869 | | 6.00 | % | | N/A | | N/A | | Common Equity Tier 1 Capital (to Risk Weighted Assets) | | | 494,752 | | 9.77 | % | | 227,901 | | 4.50 | % | | N/A | | N/A | | Tier 1 Capital (to Average Assets)2 | | | 494,752 | | 8.47 | % | | 233,756 | | 4.00 | % | | N/A | | N/A | | | | | | | | | | | | | | | | | | | SmartBank: | | | | | | | | | | | | | | | | | Total Capital (to Risk Weighted Assets) | | $ | 622,143 | | 12.30 | % | $ | 404,529 | | 8.00 | % | $ | 505,661 | | 10.00 | % | Tier 1 Capital (to Risk Weighted Assets) | | | 575,464 | | 11.38 | % | | 303,396 | | 6.00 | % | | 404,529 | | 8.00 | % | Common Equity Tier 1 Capital (to Risk Weighted Assets) | | | 575,464 | | 11.38 | % | | 227,547 | | 4.50 | % | | 328,679 | | 6.50 | % | Tier 1 Capital (to Average Assets)2 | | | 575,464 | | 9.86 | % | | 233,451 | | 4.00 | % | | 291,814 | | 5.00 | % | | | | | | | | | | | | | | | | | | 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) | | | 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) | | | 547,820 | | 9.71 | % | | 225,566 | | 4.00 | % | | 281,957 | | 5.00 | % |
1The prompt corrective action provisions are applicable at the Bank level only. 2Average assets for the above calculations were based on the most recent quarter.
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