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Loans and Allowance for Credit Losses

12 Months Ended

Dec. 31, 2024

Loans and Allowance for Credit Losses

Note 3: Loans and Allowance for Credit Losses

The Company adopted ASU 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, effective January 1, 2021. The guidance replaces the incurred loss methodology with an expected loss methodology that is referred to as the CECL methodology. The measurement of expected credit losses under the CECL methodology is applicable to financial assets measured at amortized cost, including loan receivables. It also applies to off-balance sheet credit exposures not accounted for as insurance, including loan commitments, standby letters of credits, financial guarantees, and other similar instruments.

Classes of loans at December 31, 2024 and 2023, included:


	December 31,		December 31,
	2024		2023

	(In Thousands)
One- to four-family residential construction	$	30,533	$	29,628
Subdivision construction		19,861		23,359
Land development		42,504		48,015
Commercial construction		352,793		703,407
Owner occupied one- to four-family residential		710,446		769,260
Non-owner occupied one- to four-family residential		122,901		121,275
Commercial real estate		1,543,742		1,521,032
Other residential		1,549,249		942,071
Commercial business		208,947		318,050
Industrial revenue bonds		11,344		12,047
Consumer auto		25,787		28,343
Consumer other		27,905		28,978
Home equity lines of credit		115,836		115,883
		4,761,848		4,661,348
Allowance for credit losses		(64,760)		(64,670)
Deferred loan fees and gains, net		(6,695)		(7,058)
	$	4,690,393	$	4,589,620

Classes of loans by aging were as follows as of the dates indicated:


	December 31, 2024
													Total Loans
					Over 90						Total		> 90 Days Past
	30-59 Days		60-89 Days		Days		Total Past				Loans		Due and
	Past Due		Past Due		Past Due		Due		Current		Receivable		Still Accruing

	(In Thousands)
One- to four-family residential construction	$	12	$	—	$	—	$	12	$	30,521	$	30,533	$	—
Subdivision construction		—		—		—		—		19,861		19,861		—
Land development		—		—		464		464		42,040		42,504		—
Commercial construction		—		—		—		—		352,793		352,793		—
Owner occupied one- to four- family residential		1,704		816		950		3,470		706,976		710,446		—
Non-owner occupied one- to four-family residential		642		—		1,681		2,323		120,578		122,901		—
Commercial real estate		—		—		77		77		1,543,665		1,543,742		—
Other residential		—		—		—		—		1,549,249		1,549,249		—
Commercial business		—		—		245		245		208,702		208,947		—
Industrial revenue bonds		—		—		139		139		11,205		11,344		—
Consumer auto		39		1		—		40		25,747		25,787		—
Consumer other		145		4		17		166		27,739		27,905		—
Home equity lines of credit		63		56		—		119		115,717		115,836		—

Total	$	2,605	$	877	$	3,573	$	7,055	$	4,754,793	$	4,761,848	$	—


	December 31, 2023
													Total Loans
					Over 90						Total		> 90 Days Past
	30-59 Days		60-89 Days		Days		Total Past				Loans		Due and
	Past Due		Past Due		Past Due		Due		Current		Receivable		Still Accruing

	(In Thousands)
One- to four-family residential construction	$	—	$	—	$	—	$	—	$	29,628	$	29,628	$	—
Subdivision construction		—		—		—		—		23,359		23,359		—
Land development		—		—		384		384		47,631		48,015		—
Commercial construction		—		—		—		—		703,407		703,407		—
Owner occupied one- to four- family residential		2,778		125		722		3,625		765,635		769,260		—
Non-owner occupied one- to four-family residential		—		—		—		—		121,275		121,275		—
Commercial real estate		187		92		10,552		10,831		1,510,201		1,521,032		—
Other residential		9,572		—		—		9,572		932,499		942,071		—
Commercial business		—		—		31		31		318,019		318,050		—
Industrial revenue bonds		—		—		—		—		12,047		12,047		—
Consumer auto		116		65		8		189		28,154		28,343		—
Consumer other		137		—		42		179		28,799		28,978		—
Home equity lines of credit		335		26		9		370		115,513		115,883		—

Total	$	13,125	$	308	$	11,748	$	25,181	$	4,636,167	$	4,661,348	$	—

Loans are placed on nonaccrual status at 90 days past due and interest is considered a loss unless the loan is well secured and in the process of collection. Payments received on nonaccrual loans are applied to principal until the loans are returned to accrual status. Loans are returned to accrual status when all payments contractually due are brought current, payment performance is sustained for a period of time, generally six months, and future payments are reasonably assured. With the exception of consumer loans, charge-offs on loans are recorded when available information indicates a loan is not fully collectible and the loss is reasonably quantifiable. Consumer loans are charged-off at specified delinquency dates consistent with regulatory guidelines.

Nonaccruing loans are summarized as follows:


	December 31,		December 31,
	2024		2023

	(In Thousands)

One- to four-family residential construction	$	—	$	—
Subdivision construction		—		—
Land development		464		384
Commercial construction		—		—
Owner occupied one- to four-family residential		950		722
Non-owner occupied one- to four-family residential		1,681		—
Commercial real estate		77		10,552
Other residential		—		—
Commercial business		245		31
Industrial revenue bonds		139		—
Consumer auto		—		8
Consumer other		17		42
Home equity lines of credit		—		9
Total nonaccruing loans	$	3,573	$	11,748

No interest income was recorded on these loans for the years ended December 31, 2024 and 2023, respectively.

Nonaccrual loans for which there is no related allowance for credit losses as of December 31, 2024 had an amortized cost of $2.2 million. These loans are individually assessed and do not require an allowance due to being adequately collateralized under the collateral-dependent valuation method. A collateral-dependent loan is a financial asset for which the repayment is expected to be provided substantially through the operation or sale of the collateral when the borrower is experiencing financial difficulty based on the Company’s assessment as of the reporting date. Collateral-dependent loans are identified primarily by a classified risk rating with a loan balance equal to or greater than $100,000, including, but not limited to, any loan in process of foreclosure or repossession.

The following table presents the activity in the allowance for credit losses by portfolio segment for the years ended December 31, 2024, 2023 and 2022.


	One- to Four-
	Family
	Residential
	and		Other		Commercial		Commercial		Commercial
	Construction		Residential		Real Estate		Construction		Business		Consumer		Total

	(In Thousands)

Allowance for credit losses
Balance, January 1, 2024	$	9,820	$	13,370	$	28,171	$	2,844	$	6,935	$	3,530	$	64,670
Provision (credit) charged to expense		(570)		2,224		1,931		(202)		(2,526)		843		1,700
Losses charged off		(64)		—		(1,300)		(101)		(243)		(1,492)		(3,200)
Recoveries		38		—		—		194		490		868		1,590
Balance, December 31, 2024	$	9,224	$	15,594	$	28,802	$	2,735	$	4,656	$	3,749	$	64,760

Allowance for credit losses
Balance, January 1, 2023	$	11,171	$	12,110	$	27,096	$	2,865	$	5,822	$	4,416	$	63,480
Provision (credit) charged to expense		(1,390)		1,260		930		(27)		1,909		(432)		2,250
Losses charged off		(31)		—		—		—		(1,037)		(1,754)		(2,822)
Recoveries		70		—		145		6		241		1,300		1,762
Balance, December 31, 2023	$	9,820	$	13,370	$	28,171	$	2,844	$	6,935	$	3,530	$	64,670

Allowance for credit losses
Balance, January 1, 2022	$	9,364	$	10,502	$	28,604	$	2,797	$	4,142	$	5,345	$	60,754
Provision (credit) charged to expense		1,652		1,498		(1,465)		152		1,491		(328)		3,000
Losses charged off		(40)		—		(44)		(84)		(51)		(1,950)		(2,169)
Recoveries		195		110		1		—		240		1,349		1,895
Balance, December 31, 2022	$	11,171	$	12,110	$	27,096	$	2,865	$	5,822	$	4,416	$	63,480

The following table presents the activity in the allowance for unfunded commitments by portfolio segment for the years ended December 31, 2024, 2023 and 2022.


	One- to Four-
	Family
	Residential
	and		Other		Commercial		Commercial		Commercial
	Construction		Residential		Real Estate		Construction		Business		Consumer		Total

	(In Thousands)
Allowance for unfunded commitments
Balance, January 1, 2024	$	706	$	4,006	$	619	$	741	$	959	$	456	$	7,487
Provision (credit) charged to expense		(87)		827		34		(245)		509		(22)		1,016
Balance, December 31, 2024	$	619	$	4,833	$	653	$	496	$	1,468	$	434	$	8,503

Allowance for unfunded commitments
Balance, January 1, 2023	$	736	$	8,624	$	416	$	802	$	1,734	$	504	$	12,816
Provision (credit) charged to expense		(30)		(4,618)		203		(61)		(775)		(48)		(5,329)
Balance, December 31, 2023	$	706	$	4,006	$	619	$	741	$	959	$	456	$	7,487

Allowance for unfunded commitments
Balance, January 1, 2022	$	687	$	5,703	$	367	$	908	$	1,582	$	382	$	9,629
Provision (credit) charged to expense		49		2,921		49		(106)		152		122		3,187
Balance, December 31, 2022	$	736	$	8,624	$	416	$	802	$	1,734	$	504	$	12,816

The portfolio segments used in the preceding tables correspond to the loan classes used in all other tables in Note 3 as follows:

●

The one- to four-family residential and construction segment includes the one- to four-family residential construction, subdivision construction, owner occupied one- to four-family residential and non-owner occupied one- to four-family residential classes.

●

The other residential (multi-family) segment corresponds to the other residential (multi-family) class.

●

The commercial real estate segment includes the commercial real estate and industrial revenue bonds classes.

●

The commercial construction segment includes the land development and commercial construction classes.

●

The commercial business segment corresponds to the commercial business class.

●

The consumer segment includes the consumer auto, consumer other and home equity lines of credit classes.

The weighted average interest rate on loans receivable at December 31, 2024 and 2023, was 6.08% and 6.25%, respectively.

Loans serviced for others are not included in the accompanying consolidated statements of financial condition. The unpaid principal balance of loans serviced for others at December 31, 2024, was $397.0 million, consisting of $301.4 million of commercial loan participations sold to other financial institutions and $95.6 million of residential mortgage loans sold. The unpaid principal balance of loans serviced for others at December 31, 2023, was $439.9 million, consisting of $334.6 million of commercial loan participations sold to other financial institutions and $105.3 million of residential mortgage loans sold. In addition, available lines of credit on these loans were $34.0 million and $123.6 million at December 31, 2024 and 2023, respectively.

The following tables present the amortized cost basis of collateral-dependent loans by class of loans at the dates indicated:


	December 31, 2024
	Principal		Specific
	Balance		Allowance

	(In Thousands)

One- to four-family residential construction	$	—	$	—
Subdivision construction		—		—
Land development		464		12
Commercial construction		—		—
Owner occupied one- to four-family residential		1,677		—
Non-owner occupied one- to four-family residential		1,681		261
Commercial real estate		4,253		—
Other residential		—		—
Commercial business		245		245
Industrial revenue bonds		139		—
Consumer auto		—		—
Consumer other		—		—
Home equity lines of credit		1,390		—

Total	$	9,849	$	518



	December 31, 2023
	Principal		Specific
	Balance		Allowance

	(In Thousands)

One- to four-family residential construction	$	—	$	—
Subdivision construction		—		—
Land development		384		—
Commercial construction		—		—
Owner occupied one- to four-family residential		691		29
Non-owner occupied one- to four-family residential		—		—
Commercial real estate		10,548		1,200
Other residential		7,162		—
Commercial business		—		—
Industrial revenue bonds		—		—
Consumer auto		—		—
Consumer other		—		—
Home equity lines of credit		—		—

Total	$	18,785	$	1,229

For loans that were nonaccruing, interest of approximately $681,000, $509,000 and $292,000 would have been recognized on an accrual basis during the years ended December 31, 2024, 2023 and 2022, respectively.

Modified Loans. In March 2022, the FASB issued ASU 2022-02, Financial Instruments – Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures. ASU 2022-02 eliminates the troubled debt restructuring (TDR) recognition and measurement guidance and, instead, requires that an entity evaluate whether the loan modification represents a new loan or a continuation of an existing loan. It also enhances disclosure requirements and introduces new disclosure requirements related to certain modifications of receivables made to borrowers experiencing financial difficulty. Adoption of this ASU on January 1, 2023 did not have a material impact on the Company’s results of operations, financial position or liquidity, but resulted in additional disclosure requirements related to gross charge offs by vintage year and the removal of TDR disclosures, replaced by additional disclosures on the types of modifications of loans to borrowers experiencing financial difficulties. The Company has adopted this update prospectively. Loan modifications are reported if concessions have been granted to borrowers that are experiencing financial difficulty.

The estimate of lifetime expected losses utilized in the allowance for credit losses model is developed using average historical loss on loans with similar risk characteristics, which includes losses from modifications of loans to borrowers experiencing financial difficulty. As a result, a charge to the allowance for credit losses is generally not recorded upon modification. For modifications to loans made to borrowers experiencing financial difficulty that are adversely classified, the Company determines the allowance for credit losses on an individual basis, using the same process that it utilizes for other adversely classified loans. If collection efforts have begun and the modified loan is subsequently deemed collateral-dependent, the loan is placed on nonaccrual status and the allowance for credit losses is determined based on an individual evaluation. If necessary, the loan is charged down to fair market value less estimated sales costs.

The following tables show, as of the dates indicated, the composition of loan modifications made to loans to borrowers experiencing financial difficulty, by the loan class and type of concessions granted. Each of the types of concessions granted comprised 2% or less of their respective classes of loan portfolios at December 31, 2024 and December 31, 2023. During the year ended December 31, 2024, principal forgiveness of $295,000 was completed on consumer loans and a land development loan, compared to principal forgiveness of $563,000 completed on commercial business loans and consumer loans during the year ended December 31, 2023.


	Amortized Cost Basis at December 31, 2024
	Interest Rate		Term				Total
	Reduction		Extension		Combination		Modifications

	(In Thousands)
Construction and land development	$	—	$	—	$	—	$	—
One- to four-family residential		—		—		—		—
Other residential		—		2,709		—		2,709
Commercial real estate		—		70		—		70
Commercial business		—		—		—		—
Consumer		—		31		—		31
	$	—	$	2,810	$	—	$	2,810


	Amortized Cost Basis at December 31, 2023
	Interest Rate		Term				Total
	Reduction		Extension		Combination		Modifications

	(In Thousands)
Construction and land development	$	—	$	—	$	1,553	$	1,553
One- to four-family residential		—		—		—		—
Other residential		—		2,750		—		2,750
Commercial real estate		—		77		20,365		20,442
Commercial business		—		—		—		—
Consumer		5		7		—		12
	$	5	$	2,834	$	21,918	$	24,757

The Company closely monitors the performance of loans to borrowers experiencing financial difficulty that are modified to understand the effectiveness of its modification efforts. The following table depicts the performance of loans (under modified terms) at December 31, 2024 and at December 31, 2023, respectively:


	December 31, 2024
			30-89 Days		Over 90 Days
	Current		Past Due		Past Due		Total

	(In Thousands)

Construction and land development	$	—	$	—	$	—	$	—
One- to four-family residential		—		—		—		—
Other residential		2,709		—		—		2,709
Commercial real estate		70		—		—		70
Commercial business		—		—		—		—
Consumer		31		—		—		31
	$	2,810	$	—	$	—	$	2,810


	December 31, 2023
			30-89 Days		Over 90 Days
	Current		Past Due		Past Due		Total

	(In Thousands)

Construction and land development	$	1,553	$	—	$	—	$	1,553
One- to four-family residential		—		—		—		—
Other residential		2,750		—		—		2,750
Commercial real estate		12,384		—		8,058		20,442
Commercial business		—		—		—		—
Consumer		12		—		—		12
	$	16,699	$	—	$	8,058	$	24,757

Loan Risk Ratings. The Company utilizes an internal risk rating system comprised of a series of grades to categorize loans according to perceived risk associated with the expectation of debt repayment. The analysis of the borrower’s ability to repay considers specific information, including but not limited to current financial information, historical payment experience, industry information and collateral levels and types. A risk rating is assigned at loan origination and then monitored throughout the contractual term for possible risk rating changes.

Satisfactory loans range from Excellent to Moderate Risk, but generally are loans supported by strong recent financial statements. The character and capacity of the borrower are solid, including reasonable project performance, good industry experience, liquidity and/or net worth. The probability of financial deterioration seems unlikely. Repayment is expected from approved sources over a reasonable period of time.

Watch loans are identified when the borrower has capacity to perform according to terms; however, elements of uncertainty exist. Margins of debt service coverage may be narrow, historical patterns of financial performance may be erratic, collateral margins may be diminished or the borrower may be a new and/or thinly capitalized company. Some management weakness on the part of the borrower may also exist, the borrower may have somewhat limited access to other financial institutions, and that access may diminish in difficult economic times.

Special Mention loans have weaknesses that deserve management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of repayment prospects or the Bank’s credit position at some future date. This is a transitional grade closely monitored for improvement or deterioration.

The Substandard rating is applied to loans where the borrower exhibits well-defined weaknesses that jeopardize its continued performance and are of a severity that the distinct possibility of default exists. Loans are placed on “nonaccrual” when management does not expect to collect payments consistent with acceptable and agreed upon terms of repayment.

Doubtful loans have all the weaknesses inherent to those classified Substandard with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, highly questionable and improbable.

The Loss category is used when loans are considered uncollectable and no longer included as an asset.

All loans are analyzed for risk rating updates regularly. For larger loans, rating assessments may be more frequent if relevant information is obtained earlier through debt covenant monitoring or overall relationship management. Smaller loans are monitored as identified by the loan officer based on the risk profile of the individual borrower or if the loan becomes past due related to credit issues. Loans rated Watch, Special Mention, Substandard or Doubtful are subject to formal quarterly review and continuous monitoring processes. In addition to the regular monitoring performed by the lending personnel and credit committees, loans are subject to review by the credit review department, which verifies the appropriateness of the risk ratings for the loans chosen as part of its risk-based review plan.

The following tables present a summary of loans by category and risk rating separated by origination and loan class as of December 31, 2024 and December 31, 2023.


	Term Loans by Origination Year
													Revolving
December 31, 2024	2024		2023		2022		2021		2020		Prior		Loans		Total

	(In Thousands)
One- to four-family residential construction
Satisfactory (1-4)	$	11,750	$	8,961	$	822	$	—	$	—	$	—	$	9,000	$	30,533
Watch (5)		—		—		—		—		—		—		—		—
Special Mention (6)		—		—		—		—		—		—		—		—
Classified (7-9)		—		—		—		—		—		—		—		—
Total		11,750		8,961		822		—		—		—		9,000		30,533
Current Period Gross Charge Offs		—		—		—		—		—		—		—		—

Subdivision construction
Satisfactory (1-4)		711		182		136		17,609		29		205		989		19,861
Watch (5)		—		—		—		—		—		—		—		—
Special Mention (6)		—		—		—		—		—		—		—		—
Classified (7-9)		—		—		—		—		—		—		—		—
Total		711		182		136		17,609		29		205		989		19,861
Current Period Gross Charge Offs		—		—		—		—		—		—		—		—

Construction and land development
Satisfactory (1-4)		18,282		6,112		2,722		5,210		3,105		4,236		2,373		42,040
Watch (5)		—		—		—		—		—		—		—		—
Special Mention (6)		—		—		—		—		—		—		—		—
Classified (7-9)		—		—		—		—		464		—		—		464
Total		18,282		6,112		2,722		5,210		3,569		4,236		2,373		42,504
Current Period Gross Charge Offs		—		—		—		—		—		101		—		101

Other construction
Satisfactory (1-4)		78,337		52,046		189,389		33,021		—		—		—		352,793
Watch (5)		—		—		—		—		—		—		—		—
Special Mention (6)		—		—		—		—		—		—		—		—
Classified (7-9)		—		—		—		—		—		—		—		—
Total		78,337		52,046		189,389		33,021		—		—		—		352,793
Current Period Gross Charge Offs		—		—		—		—		—		—		—		—

One- to four-family residential
Satisfactory (1-4)		42,931		59,973		304,054		176,759		91,238		153,392		426		828,773
Watch (5)		—		—		—		—		145		597		—		742
Special Mention (6)		—		—		—		—		—		—		—		—
Classified (7-9)		—		628		387		129		—		1,178		1,510		3,832
Total		42,931		60,601		304,441		176,888		91,383		155,167		1,936		833,347
Current Period Gross Charge Offs		—		49		—		—		—		16		—		65

Other residential (multi-family)
Satisfactory (1-4)		66,028		92,268		552,183		506,902		179,094		146,712		3,352		1,546,539
Watch (5)		—		—		—		—		—		2,710		—		2,710
Special Mention (6)		—		—		—		—		—		—		—		—
Classified (7-9)		—		—		—		—		—		—		—		—
Total		66,028		92,268		552,183		506,902		179,094		149,422		3,352		1,549,249
Current Period Gross Charge Offs		—		—		—		—		—		—		—		—

Commercial real estate
Satisfactory (1-4)		97,512		81,282		320,442		217,049		96,246		682,549		35,937		1,531,017
Watch (5)		—		—		—		—		—		7,879		—		7,879
Special Mention (6)		—		—		—		—		—		438		—		438
Classified (7-9)		—		—		—		77		—		4,331		—		4,408
Total		97,512		81,282		320,442		217,126		96,246		695,197		35,937		1,543,742
Current Period Gross Charge Offs		—		—		54		10		—		1,236		—		1,300

Commercial business
Satisfactory (1-4)		21,179		29,846		28,678		20,301		7,646		44,908		62,015		214,573
Watch (5)		—		—		1,005		3,296		—		—		—		4,301
Special Mention (6)		—		—		995		—		38		—		—		1,033
Classified (7-9)		—		245		—		—		—		139		—		384
Total		21,179		30,091		30,678		23,597		7,684		45,047		62,015		220,291
Current Period Gross Charge Offs		—		—		—		4		27		164		48		243

Consumer
Satisfactory (1-4)		17,391		9,234		6,147		2,618		1,151		10,478		120,653		167,672
Watch (5)		—		—		5		—		4		194		107		310
Special Mention (6)		—		—		—		—		—		—		—		—
Classified (7-9)		1		9		11		20		—		53		1,452		1,546
Total		17,392		9,243		6,163		2,638		1,155		10,725		122,212		169,528
Current Period Gross Charge Offs		13		105		122		32		4		1,161		54		1,491

Combined
Satisfactory (1-4)		354,121		339,904		1,404,573		979,469		378,509		1,042,480		234,745		4,733,801
Watch (5)		—		—		1,010		3,296		149		11,380		107		15,942
Special Mention (6)		—		—		995		—		38		438		—		1,471
Classified (7-9)		1		882		398		226		464		5,701		2,962		10,634
Total	$	354,122	$	340,786	$	1,406,976	$	982,991	$	379,160	$	1,059,999	$	237,814	$	4,761,848
Current Period Gross Charge Offs	$	13	$	154	$	176	$	46	$	31	$	2,678	$	102	$	3,200


	Term Loans by Origination Year
													Revolving
December 31, 2023	2023		2022		2021		2020		2019		Prior		Loans		Total

	(In Thousands)

One- to four-family residential construction
Satisfactory (1-4)	$	12,528	$	9,878	$	41	$	—	$	—	$	—	$	7,181	$	29,628
Watch (5)		—		—		—		—		—		—		—		—
Special Mention (6)		—		—		—		—		—		—		—		—
Classified (7-9)		—		—		—		—		—		—		—		—
Total		12,528		9,878		41		—		—		—		7,181		29,628
Current Period Gross Charge Offs		—		—		—		—		—		—		—		—

Subdivision construction
Satisfactory (1-4)		532		1,022		21,333		43		64		365		—		23,359
Watch (5)		—		—		—		—		—		—		—		—
Special Mention (6)		—		—		—		—		—		—		—		—
Classified (7-9)		—		—		—		—		—		—		—		—
Total		532		1,022		21,333		43		64		365		—		23,359
Current Period Gross Charge Offs		—		—		—		—		—		—		—		—

Construction and land development
Satisfactory (1-4)		14,860		12,564		5,658		3,682		5,458		4,531		878		47,631
Watch (5)		—		—		—		—		—		—		—		—
Special Mention (6)		—		—		—		—		—		—		—		—
Classified (7-9)		—		—		—		—		—		—		384		384
Total		14,860		12,564		5,658		3,682		5,458		4,531		1,262		48,015
Current Period Gross Charge Offs		—		—		—		—		—		—		—		—

Other construction
Satisfactory (1-4)		60,895		422,727		203,918		15,867		—		—		—		703,407
Watch (5)		—		—		—		—		—		—		—		—
Special Mention (6)		—		—		—		—		—		—		—		—
Classified (7-9)		—		—		—		—		—		—		—		—
Total		60,895		422,727		203,918		15,867		—		—		—		703,407
Current Period Gross Charge Offs		—		—		—		—		—		—		—		—

One- to four-family residential
Satisfactory (1-4)		66,733		330,489		203,781		108,232		60,288		118,570		483		888,576
Watch (5)		—		—		—		—		171		862		46		1,079
Special Mention (6)		—		—		—		—		—		—		—		—
Classified (7-9)		—		—		543		148		—		189		—		880
Total		66,733		330,489		204,324		108,380		60,459		119,621		529		890,535
Current Period Gross Charge Offs		—		—		—		—		—		11		20		31

Other residential (multi-family)
Satisfactory (1-4)		18,795		108,389		391,516		180,916		108,173		111,462		3,335		922,586
Watch (5)		—		—		—		—		—		—		—		—
Special Mention (6)		—		—		—		—		—		12,322		—		12,322
Classified (7-9)		—		—		—		—		—		7,163		—		7,163
Total		18,795		108,389		391,516		180,916		108,173		130,947		3,335		942,071
Current Period Gross Charge Offs		—		—		—		—		—		—		—		—

Commercial real estate
Satisfactory (1-4)		53,158		284,738		237,822		103,393		161,680		624,515		35,276		1,500,582
Watch (5)		—		—		—		—		154		5,348		—		5,502
Special Mention (6)		—		—		—		—		—		4,396		—		4,396
Classified (7-9)		—		—		—		—		—		10,552		—		10,552
Total		53,158		284,738		237,822		103,393		161,834		644,811		35,276		1,521,032
Current Period Gross Charge Offs		—		—		—		—		—		—		—		—

Commercial business
Satisfactory (1-4)		58,551		92,224		30,361		15,371		10,043		55,044		57,177		318,771
Watch (5)		—		—		—		—		—		1,369		—		1,369
Special Mention (6)		—		1,186		3,840		—		—		—		4,900		9,926
Classified (7-9)		—		—		4		27		—		—		—		31
Total		58,551		93,410		34,205		15,398		10,043		56,413		62,077		330,097
Current Period Gross Charge Offs		—		7		—		—		—		1,030		—		1,037

Consumer
Satisfactory (1-4)		16,629		12,010		6,163		2,811		828		12,089		122,166		172,696
Watch (5)		—		3		21		6		3		201		154		388
Special Mention (6)		—		—		—		—		—		—		8		8
Classified (7-9)		—		42		12		—		—		49		9		112
Total		16,629		12,055		6,196		2,817		831		12,339		122,337		173,204
Current Period Gross Charge Offs		4		135		24		3		18		1,493		77		1,754

Combined
Satisfactory (1-4)		302,681		1,274,041		1,100,593		430,315		346,534		926,576		226,496		4,607,236
Watch (5)		—		3		21		6		328		7,780		200		8,338
Special Mention (6)		—		1,186		3,840		—		—		16,718		4,908		26,652
Classified (7-9)		—		42		559		175		—		17,953		393		19,122
Total	$	302,681	$	1,275,272	$	1,105,013	$	430,496	$	346,862	$	969,027	$	231,997	$	4,661,348
Current Period Gross Charge Offs	$	4	$	142	$	24	$	3	$	18	$	2,534	$	97	$	2,822

Certain of the Bank’s real estate loans are pledged as collateral for borrowings as set forth in Notes 8 and 10.

Certain directors and executive officers of the Company and the Bank, and their affiliates, are customers of and had transactions with the Bank in the ordinary course of business. Except for the interest rates on loans secured by personal residences, in the opinion of management, all loans included in such transactions were made on substantially the same terms as those prevailing at the time for comparable transactions with unrelated parties. Generally, residential first mortgage loans and home equity lines of credit to all employees and directors have been granted at interest rates equal to the Bank’s cost of funds, subject to annual adjustments in the case of residential first mortgage loans and monthly adjustments in the case of home equity lines of credit. At December 31, 2024 and 2023, loans outstanding to these directors and executive officers, and their related interests, are summarized as follows:


	2024		2023

	(In Thousands)

Balance, beginning of year	$	16,026	$	7,950
New loans		7,446		10,694
Payments		(15,127)		(2,618)

Balance, end of year	$	8,345	$	16,026