v3.26.3
SUBSEQUENT EVENTS
9 Months Ended
Sep. 30, 2026
Subsequent Events [Abstract]  
SUBSEQUENT EVENTS SUBSEQUENT EVENTS
Subsequent to September 30, 2026, the Company began the execution of a strategic repositioning of a portion of its AFS investment security portfolio as part of its ongoing effort to optimize the balance sheet performance. The Company sold investment securities with a book value of $185.6 million with a weighted average yield of 3.13%. The sales resulted in an estimated pre-tax loss, due to non-credit events, of $13.8 million and will be included in the Company's financial results for the fourth quarter of 2026.
Net proceeds from the investment security sales will be used to purchase higher yielding AFS securities with an estimated weighted average yield of 5.20%. The sale is expected to have a nominal impact on tangible book value, as the loss was previously reflected in accumulated other comprehensive loss. The regulatory capital ratios remain above the Company's regulatory capital minimums and levels required to be categorized as well-capitalized by the Bank's regulator.