Americas – Page 52 – NewzIntel.com

MIL-OSI USA: New Jersey Construction Company Owner Sentenced for Tax Evasion

Source: US State of California

A New Jersey construction company owner was sentenced yesterday to 15 months in prison for evading employment tax penalties assessed against him.

The following is according to court documents and statements made in court: Joseph Caravella, of Randolph, owned several masonry companies in New Jersey. From 2008 to 2016, the IRS assessed approximately $650,000 in Trust Fund Recovery penalties against Caravella for causing three masonry businesses that he owned to not pay their federal employment taxes. The timely payment of federal employment taxes is critical to the functioning of the U.S. government because, for example, they are the primary source of funding for Social Security and Medicare. The federal income taxes that are withheld from employees’ wages also account for a significant portion of all federal income taxes collected each year. Congress empowered the IRS to impose a penalty equal to the amount of the unpaid taxes — called a Trust Fund Recovery Penalty — against any responsible individual who fails to ensure that these taxes are paid timely. Caravella pleaded guilty to attempting to evade these Trust Fund Recovery penalties.

From around March 2008 through April 2019, Caravella sought to evade the payment of these penalties by placing companies that he controlled in the names of nominee owners and avoiding the use of a bank account in his own name to prevent the IRS from levying the funds. Also during that time, Caravella continued to cause his businesses not to pay employment taxes, resulting in an additional loss of $1.2 million to the IRS.

In total, Carvalla caused a tax loss to the IRS of $1,885,519.39.

Acting Deputy Assistant Attorney General Karen E. Kelly of the Justice Department’s Tax Division and U.S. Attorney Alina Habba for the District of New Jersey made the announcement.

IRS Criminal Investigation is investigating the case.

Trial Attorney Hayter L. Whitman of the Tax Division and Assistant U.S. Attorney Christopher Fell for the District of New Jersey are prosecuting the case.

MIL OSI USA News –

July 24, 2025

MIL-OSI USA: Justice Department Supports Seattle’s Motion to Terminate Police Department Consent Decree

Source: US State of California

The Justice Department’s Civil Rights Division today announced that it has filed a response in support of the City of Seattle’s Motion to Terminate the Consent Decree in United States v. City of Seattle. The decree required reforms in the Seattle Police Department’s practices regarding use of force, crisis intervention, stops and detentions, supervision and accountability. With support from the Justice Department, the Seattle Police Department (SPD) achieved sustained substantial compliance.

The Justice Department brought this case pursuant to the Violent Crime Control and Law Enforcement Act of 1994 and the Omnibus Crime Control and Safe Streets Act of 1968. The U.S. Attorney’s Office’s Civil Division and the Special Litigation Section of the U.S. Department of Justice’s Civil Rights Division jointly investigated and found that the Seattle Police Department (SPD) had engaged in a pattern or practice of unnecessary or excessive force that violated the Constitution and federal law. The U.S. District Court for the Western District of Washington entered the consent decree in 2012.

“We congratulate the Seattle Police Department on its achievement of sustained substantial compliance with this thirteen-year-old consent decree,” said Assistant Attorney General Harmeet K. Dhillon of the Justice Department’s Civil Rights Division. “This Civil Rights Division will continue to work with police departments across the country to help make America’s communities safe again.”

“The U.S. Attorney’s Office, Western District of Washington, believes the district court should terminate the consent decree and monitorship, which have been in place for 13 years,” said Acting U.S. Attorney Teal Luthy Miller for the Western District of Washington. “Seattle has been held up as an example of successful police reform and has done recent work on its crowd control policies and accountability systems. We trust it will continue to lead the way on constitutional policing.”

MIL OSI USA News –

July 24, 2025

MIL-OSI USA: Colorado Man Pleads Guilty to Sexually Exploiting a Minor and Possessing Child Sexual Abuse Material

Source: US State of North Dakota

A Colorado man pleaded guilty today to sexually exploiting a minor and possessing child sexual abuse material (CSAM).

According to court documents, Wesley Chambers, 34, of Fort Collins, sexually abused a minor for years and recorded the abuse. Law enforcement found more than 200 sexually explicit videos and photographs of the minor on Chambers’ cell phone, and more than 20,000 photographs and 2,500 videos of the sexual abuse and exploitation of other minors.

Chambers pleaded guilty to two counts of sexually exploiting a child and one count of possessing material depicting the sexual exploitation of minors. As part of his plea agreement, the defendant also admitted to accessing child pornography on the dark web, including “hurtcore” sites. He is scheduled to be sentenced on Oct. 22 and faces a mandatory minimum penalty of 15 years in prison and a maximum penalty of 70 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

Acting Assistant Attorney General Matthew R. Galeotti of the Justice Department’s Criminal Division, U.S. Attorney Peter McNeilly for the District of Colorado, Assistant Director Jose A. Perez of the FBI Criminal Investigative Division, and Special Agent in Charge Mark Michalek of the FBI Denver Field Office made the announcement.

The FBI’s Child Exploitation Operational Unit and the FBI Denver Field Office investigated the case.

Trial Attorney Rachel L. Rothberg of the Justice Department’s Child Exploitation and Obscenity Section (CEOS) and Assistant U.S. Attorney Alecia L. Riewerts for the District of Colorado are prosecuting the case.

This case was brought as part of Project Safe Childhood, a nationwide initiative launched by the Department of Justice in May 2006 to combat the epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, visit www.justice.gov/psc.

MIL OSI USA News –

July 24, 2025

MIL-OSI USA: In Advance of Comic-Con Weekend, Attorney General Bonta, Comic-Con International Raise Awareness, Provide Tips to Combat Human Trafficking

Source: US State of California

The San Diego Human Trafficking Task Force will be conducting operations to tackle human trafficking by working to reduce the demand for commercial sexual exploitation

SAN DIEGO – California Attorney General Rob Bonta and Comic-Con International today partnered together to raise awareness of human trafficking and provide resources for the public to assist in the fight to combat human trafficking. Events like Comic-Con, which bring thousands of people together, are a perfect opportunity to raise awareness of human trafficking, a crime that comes in many forms, including sex trafficking, forced labor, and domestic servitude resulting from force, fraud, or coercion. Everyone can play a role in stopping this unlawful activity by being aware of the signs and reporting any suspicious activity, whether you’re living or staying in San Diego, attending Comic-Con, or participating in festivities during Comic-Con weekend.

“Comic-Con is an incredible event that brings people from all over the world together in San Diego to celebrate creativity, art, and community – we’re grateful to Comic-Con International for using their platform in partnership with my office to raise awareness of human trafficking,” said Attorney General Rob Bonta. “Human trafficking is a terrible crime where perpetrators profit from the control and exploitation of men, women, and children for sex or labor through force, fraud, or coercion. Everyone has a role to play in putting a stop to human trafficking: We urge the public to know the signs — and if you see something, say something. The California Department of Justice’s San Diego Human Trafficking Task Force will be conducting operations during Comic-Con, and the public can help by reporting any suspicious activity they may see. We wish everyone a safe, happy, and creative Comic-Con weekend.”

“Safety of our attendees is always our primary focus,” said David Glanzer, Chief Communications and Strategy Officer for Comic-Con. “We join and applaud the efforts of California Attorney General Rob Bonta in keeping citizens safe, especially during Comic-Con weekend.”

Human trafficking is among the world’s fastest growing criminal enterprises and is estimated to be a $150 billion per year global industry. Human trafficking is not only a crime, but a violation of a person’s human rights and dignity. Perpetrators of human trafficking profit from the control and exploitation of men, women, and children for sex or labor through force, fraud, or coercion. Victims of human trafficking are protected under federal and California law. The California Department of Justice’s San Diego Human Trafficking Task Force (SDHTTF) will be conducting operations to reduce demand for commercial sexual exploitation during Comic-Con. The SDHTTF takes a survivor-oriented approach and works with victim advocate groups that offer a wide range of services for survivors of human trafficking.

Below are some facts and resources about human trafficking for the public to know:

Victims of human trafficking are often hidden in plain sight. Learn the signs and how to report suspected trafficking.
Forced or coerced commercial sex work is still human trafficking. Demand is a driving force in the scope of the problem, and sex buyers may unknowingly contribute to human trafficking by engaging in Solicitation Penal Code 647(b)(2). Solicitation is a crime subject to jail time and monetary penalties.
Forced labor can happen anywhere. This includes hotels, lodgings, and entertainment industries.
If you or someone you know is being forced to engage in any activity and cannot leave, you can call the National Human Trafficking Hotline at 1-888-373-7888 to access help and services.
If you are, or someone else, is in immediate danger, call 9-1-1.

SDHTTF is a cooperative effort involving the California Department of Justice, California Highway Patrol, Federal Bureau of Investigation, Homeland Security Investigations, National City Police Department, San Diego City Attorney’s Office, San Diego County District Attorney’s Office, San Diego County Probation Department, San Diego County Sheriff’s Department, San Diego Police Department, Southwest Border High Intensity Drug Trafficking Area, and the U.S. Attorney’s Office for the Southern District of California. In addition to serving as the lead agency on the SDHTTF, the California Department of Justice has two regional Human Trafficking and Sexual Predator Apprehension Teams serving Northern California and Southern California.

General information and resources to support survivors of human trafficking are available here. To access resources for San Diego County, please see SDHTTF’s resource list here.

MIL OSI USA News –

July 24, 2025

MIL-OSI Security: FEDERAL JURY CONVICTS PANAMA CITY FELON OF DRUG TRAFFICKING AND ILLEGAL FIREARMS CHARGES

Source: United States Bureau of Alcohol Tobacco Firearms and Explosives (ATF)

PENSACOLA, FLORIDA – Jarrel Daniel Rivaz, 35, of Panama City, was found guilty by a federal jury of possession with intent to distribute 500 grams or more of cocaine and marijuana, possession of a firearm in furtherance of drug trafficking, and possession of a firearm and ammunition by a convicted felon on Tuesday morning, July 22, 2025. The verdict was announced by John P. Heekin, United States Attorney for the Northern District of Florida.

U.S. Attorney Heekin said: “Fulfilling the promise of President Donald J. Trump and Attorney General Pam Bondi to Take Back America from violent criminals and drug traffickers requires close collaboration between our federal, state, and local law enforcement partners like we saw in this case. I am deeply appreciative of the outstanding work of the Bay County Sheriff’s Office and the ATF to get this criminal off our streets, and my office will continue to aggressively prosecute these cases to keep our communities safe from the predations of drug traffickers like this defendant.”

Evidence admitted at trial established that on December 21, 2023, during a search warrant executed at the defendant’s house in Panama City, law enforcement found and seized over 900 grams of cocaine, a large quantity of marijuana, two firearms, and ammunition. One of the firearms was found loaded in a locked shed in the same bag as some of the marijuana. Rivaz had previously been convicted of a felony drug trafficking offense in New York under the name “Gerald Walker.”

Sentencing is scheduled for October 16, 2025, at 10 a.m. in Pensacola before United States District Judge T. Kent Wetherell II. Rivaz faces a minimum mandatory term of 10 years’ imprisonment and a maximum possible sentence of life.

The verdict was the result of a joint investigation by the Bay County Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms and Explosives. The case is being prosecuted by Assistant United States Attorneys Ward Narramore and Alicia Forbes.

This case is part of Operation Take Back America (https://www.justice.gov/dag/media/1393746/dl?inline ) a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations (TCOs), and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces (OCDETFs) and Project Safe Neighborhood (PSN).

The United States Attorney’s Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.

MIL Security OSI –

July 24, 2025

MIL-OSI: Silvaco Announces Date of Second Quarter 2025 Financial Results Conference Call

Source: GlobeNewswire (MIL-OSI)

SANTA CLARA, Calif., July 23, 2025 (GLOBE NEWSWIRE) — Silvaco Group, Inc. (Nasdaq: SVCO, “Silvaco”), a provider of TCAD, EDA software, and SIP solutions that enable innovative semiconductor design and digital twin modeling through AI software and automation, will release its financial results for the second quarter ended June 30, 2025, after the market close on Wednesday, August 6, 2025. The company will host a conference call at 5:00 p.m. Eastern time to discuss its second quarter 2025 results and full year 2025 outlook.

A press release highlighting the Company’s results along with supplemental financial results will be available at https://investors.silvaco.com/ along with an earnings presentation to accompany management’s prepared remarks. An archived replay of the conference call will be available on this website for a limited time after the call. Participants who want to join the call and ask a question may register for the call here to receive the dial-in numbers and unique PIN.

Date: Wednesday, August 6, 2025
Time: 5:00 p.m. Eastern time
Webcast: Here (live and replay)

About Silvaco
Silvaco is a provider of TCAD, EDA software, and SIP solutions that enable semiconductor design and AI through software and innovation. Silvaco’s solutions are used for process and device development across display, power devices, automotive, memory, high-performance compute, foundries, photonics, internet of things, and 5G/6G mobile markets for complex SoC design. Silvaco is headquartered in Santa Clara, California, and has a global presence with offices located in North America, Europe, Brazil, China, Japan, Korea, Singapore, and Taiwan.

Safe Harbor Statement
This press release contains forward-looking statements based on Silvaco Group, Inc.’s current expectations. The words “believe”, “estimate”, “expect”, “intend”, “anticipate”, “plan”, “project”, “will”, and similar phrases as they relate to Silvaco Group, Inc. are intended to identify such forward-looking statements. These forward-looking statements reflect the current views and assumptions of Silvaco Group, Inc. and are subject to various risks and uncertainties that could cause actual results to differ materially from expectations.

Investor Contact:
Greg McNiff
investors@silvaco.com

Media Contact:
Tiffany Behany
press@silvaco.com

The MIL Network –

July 24, 2025

MIL-OSI: Origin Bancorp, Inc. Reports Earnings for Second Quarter 2025

Source: GlobeNewswire (MIL-OSI)

RUSTON, La., July 23, 2025 (GLOBE NEWSWIRE) — Origin Bancorp, Inc. (NYSE: OBK) (“Origin,” “we,” “our” or the “Company”), the holding company for Origin Bank (the “Bank”), today announced net income of $14.6 million, or $0.47 diluted earnings per share (“EPS”) for the quarter ended June 30, 2025, compared to net income of $22.4 million, or $0.71 diluted earnings per share, for the quarter ended March 31, 2025. Pre-tax, pre-provision (“PTPP”)⁽¹⁾ earnings were $21.5 million for the quarter ended June 30, 2025, compared to $32.0 million for the linked quarter.

“During the second quarter, we continued to successfully execute on Optimize Origin, our plan to deliver elite level financial performance for Origin and our shareholders,” said Drake Mills, chairman, president and CEO of Origin Bancorp, Inc. “Throughout the first half of the year, we have created efficiencies within our branch network, improved the overall profitability of our commercial banking team, restructured our mortgage business, and taken multiple actions to optimize our balance sheet. As we head into the back half of 2025, we are well-positioned in the nation’s most dynamic growth markets; and I have full confidence that our employees will continue delivering exceptional value to our customers, communities, and shareholders.”

⁽¹⁾ PTPP earnings is a non-GAAP financial measure, please see the last few pages of this document for a reconciliation of this alternative financial measure to its most directly comparable GAAP measure.

Optimize Origin

In January 2025, we announced our initiative to drive elite financial performance and enhance our award-winning culture.
Built on three primary pillars:
- Productivity, Delivery & Efficiency
- Balance Sheet Optimization
- Culture & Employee Engagement
Established near term target of greater than a 1% ROAA run rate by 4Q25 and an ultimate target of top quartile ROAA.
Near term target is being achieved in part by branch consolidation, headcount reduction, securities optimization, capital optimization, cash/liquidity management, mortgage restructuring, as well as other opportunistic efficiency optimizations throughout the organization.
We believe the actions we have taken will drive earnings improvement of approximately $34.2 million annually on a pre-tax pre-provision basis – an increase of approximately $10.8 million since the last quarterly update, due to additional benefits from increasing our Argent Financial ownership and further securities portfolio optimization.

Financial Highlights

Net interest income was $82.1 million for the quarter ended June 30, 2025, reflecting an increase of $3.7 million, or 4.7%, compared to the linked quarter and is at its highest level in the previous nine quarters.
Our fully tax equivalent net interest margin (“NIM-FTE”) expanded 17 basis points to 3.61% for the quarter ended June 30, 2025, compared to the quarter ended March 31, 2025. The increase was primarily driven by an eight-basis point increase in the yield earned on average interest-earning assets and a five-basis point decline in the rate paid on average interest-bearing liabilities.
As part of our bond portfolio optimization strategy, we sold available-for-sale investment securities with a book value of $215.8 million and realized a loss of $14.4 million during the quarter ended June 30, 2025. This transaction, net of the increase in interest income, negatively impacted diluted EPS by $0.35, but contributed approximately two basis points to our NIM-FTE for the quarter ended June 30, 2025, with an estimated twelve-month total positive impact to NIM-FTE of six basis points.
Total loans held for investment (“LHFI”) were $7.68 billion at June 30, 2025, reflecting an increase of $98.9 million, or 1.3%, compared to March 31, 2025. LHFI, excluding mortgage warehouse lines of credit (“MW LOC”), were $7.11 billion at June 30, 2025, reflecting a decrease of $71.7 million, or 1.0%, compared to March 31, 2025.
During the quarter ended June 30, 2025, we repurchased 136,399 shares of our common stock at an average price of $31.84 per share. Also, in July 2025, our board of directors approved a stock repurchase program authorizing the purchase of up to $50.0 million of the Company’s outstanding common stock over the next three years, replacing the existing plan which expires this month.
Book value per common share was $38.62 at June 30, 2025, reflecting an increase of $0.85, or 2.3%, compared to March 31, 2025 and $3.39, or 9.6%, compared to June 30, 2024. Tangible book value per common share⁽¹⁾ was $33.33 at June 30, 2025, reflecting an increase of $0.90, or 2.8%, compared to March 31, 2025 and $3.56, or 12.0%, compared to June 30, 2024.
As part of our Optimize Origin initiatives, we purchased additional shares of Argent Financial on July 1, 2025, which allowed us to reach the 20% ownership threshold. This will change our accounting methodology on this investment to the equity method, which will result in an increase in noninterest income.

⁽¹⁾ Tangible book value per common share is a non-GAAP financial measure, please see the last few pages of this document for a reconciliation of this alternative financial measure to its most directly comparable GAAP measure.

Results of Operations for the Quarter Ended June 30, 2025

Net Interest Income and Net Interest Margin

Net interest income for the quarter ended June 30, 2025, was $82.1 million, an increase of $3.7 million, or 4.7%, compared to the quarter ended March 31, 2025. The increase was primarily driven by a $4.1 million increase in interest income earned on LHFI and decreases of $1.6 million and $1.1 million in interest expense paid on interest-bearing deposits and subordinated debentures, respectively, partially offset by a $3.0 million decrease in interest income earned on interest-earning balances due from banks and a $1.1 million increase in interest expense on FHLB advances and other borrowings.

The increase in average LHFI principal balances and the impact of one more calendar day during the quarter ended June 30, 2025, resulted in interest income increases of $3.1 million and $1.3 million, respectively, when compared to the quarter ended March 31, 2025. The increase in average LHFI principal balances was primarily driven by increases of $191.1 million and $64.1 million in MW LOC and commercial and industrial loans, respectively, partially offset by a decrease of $77.1 million in total average real estate loan balances.

The $1.6 million decrease in interest expense on interest-bearing deposits was mainly due to a $232.8 million decrease in average interest-bearing deposits balance, during the quarter ended June 30, 2025, when compared to the quarter ended March 31, 2025. Due primarily to the seasonality of the deposits, interest-bearing public fund average deposit balances decreased $163.5 million during the quarter ended June 30, 2025.

The $1.1 million decrease in interest expense on subordinated debentures was primarily driven by the redemption of $70.0 million in subordinated debentures during the quarter ended March 31, 2025, in conjunction with our Optimize Origin initiatives.

The $3.0 million decrease in interest income earned on average interest-earning balances due from banks was primarily driven by a $267.4 million decrease in average interest-earning balances due from banks.

The $97.8 million increase in average FHLB advances and other borrowings balance contributed $664,000 to the total $1.1 million increase in interest expense on FHLB advances and other borrowings during the quarter ended June 30, 2025. The remaining increase was primarily driven by an increase in the average rate paid on FHLB advances and other borrowings rising to 4.36% for the quarter ended June 30, 2025, from 2.75% for the quarter ended March 31, 2025. The average short-term FHLB balances were $98.4 million for the quarter ended June 30, 2025, compared to zero for the quarter ended March 31, 2025.

The Federal Reserve Board sets various benchmark rates, including the federal funds rate, and thereby influences the general market rates of interest, including the loan and deposit rates offered by financial institutions. On September 18, 2024, the Federal Reserve reduced the federal funds target rate range by 50 basis points, to a range of 4.75% to 5.00%, marking the first rate reduction since early 2020. Subsequently, it implemented two additional reductions, with the current federal funds target range set to 4.25% to 4.50% on December 18, 2024. In total, the federal funds target range has decreased 100 basis points from its recent cycle high.

Our NIM-FTE was 3.61% for the quarter ended June 30, 2025, representing 17- and 44-basis-point increases compared to the linked quarter and the quarter ended June 30, 2024, respectively. The yield earned on interest-earning assets for the quarter ended June 30, 2025, was 5.87%, an increase of eight basis points compared to the linked quarter and a decrease of 17 basis points compared to the quarter ended June 30, 2024. The average rate paid on total interest-bearing liabilities for the quarter ended June 30, 2025, was 3.25%, representing a decrease of five- and 73-basis points compared to the linked quarter and the quarter ended June 30, 2024, respectively. Additionally, total loans represented 83.6% of average interest-earning assets during the quarter ended June 30, 2025, up from 80.8% during the quarter ended March 31, 2025, providing a favorable shift in the asset mix that contributed to the margin improvement.

During the quarter ended June 30, 2025, we executed a bond portfolio optimization strategy aimed at enhancing long-term yields and improving overall portfolio performance. This strategy involved selling lower-yielding available-for-sale investment securities and using the proceeds to purchase higher-yielding available-for-sale investment securities. As a result, we replaced securities with a total book value of $215.8 million and a weighted average yield of 2.60% with new securities totaling $201.8 million with a weighted average yield of 5.23%, realizing a loss of $14.4 million. The weighted average duration of the securities portfolio increased to 4.52 years as of June 30, 2025, compared to 4.10 years as of March 31, 2025. As part of the strategy, we also entered into interest rate swaps designated as fair value hedges on seven of these purchased securities with a total book value of $41.3 million, to help reduce potential volatility in the fair value of these securities due to changes in market rates. While this transaction resulted in a $0.35 negative impact to diluted EPS during the quarter ended June 30, 2025, due to the realized loss net of the increase in interest income, we believe the trade-off in yield represents an attractive opportunity. This transaction is expected to generate an estimated annual increase in net interest income of $5.6 million, with an estimated earn-back period of 2.6 years and an estimated twelve-month total positive impact to NIM-FTE of six basis points. We will continue to evaluate and identify any additional opportunities that may present themselves to maximize our return on our securities portfolio.

Credit Quality

The table below includes key credit quality information:

	At and For the Three Months Ended									Change			% Change
(Dollars in thousands, unaudited)	June 30, 2025			March 31, 2025			June 30, 2024			Linked Quarter			Linked Quarter
Past due LHFI⁽¹⁾	$	67,626		$	72,774		$	66,276		$	(5,148	)	7.1	%
Past due 30 to 89 days and still accruing		12,495			42,587			17,080			(30,092	)	70.7
Allowance for loan credit losses (“ALCL”)		92,426			92,011			100,865			415		0.5
Classified loans		127,637			127,676			118,254			(39	)	—
Total nonperforming LHFI		85,315			81,368			75,812			3,947		4.9
Provision for credit losses		2,862			3,444			5,231			(582	)	16.9
Net charge-offs		2,300			2,728			2,946			(428	)	15.7
Credit quality ratios⁽²⁾:
ALCL to nonperforming LHFI		108.33	%		113.08	%		133.05	%	(4.75) %			N/A
ALCL to total LHFI		1.20			1.21			1.27			(0.01	)	N/A
ALCL to total LHFI, adjusted⁽³⁾		1.29			1.28			1.34			0.01		N/A
Classified loans to total LHFI		1.66			1.68			1.49			(0.02	)	N/A
Nonperforming LHFI to LHFI		1.11			1.07			0.95			0.04		N/A
Net charge-offs to total average LHFI (annualized)		0.12			0.15			0.15			(0.03	)	N/A

___________________________

	N/A = Not applicable.
⁽¹⁾	Past due LHFI are defined as loans 30 days or more past due and includes past due nonperforming loans.
⁽²⁾	Please see the Loan Data schedule at the back of this document for additional information.
⁽³⁾	The ALCL to total LHFI, adjusted, is calculated by excluding the ALCL for MW LOC loans from the total LHFI ALCL in the numerator and excluding the MW LOC loans from the LHFI in the denominator. Due to their low-risk profile, MW LOC loans require a disproportionately low allocation of the ALCL.

Loans past due 30-89 days and still accruing decreased $30.1 million for the current quarter compared to the linked quarter. The decrease was primarily driven by three loan relationships totaling $10.7 million that were paid off in the current quarter. Also contributing to the decrease in loans 30-89 days past due and still accruing were three loan relationships that are now over 90 days past due and nonperforming totaling $10.6 million and two loan relationships that are now no longer past due totaling $3.0 million.

Nonperforming LHFI increased $3.9 million for the current quarter compared to the linked quarter, evidenced by an increase in the percentage of nonperforming LHFI to LHFI to 1.11% compared to 1.07% for the linked quarter. The increase in nonperforming loans was primarily driven by four relationships totaling $12.9 million at June 30, 2025. The increase was partially offset by $3.6 million in payments from two relationships and further reduced by total charge-offs of $2.9 million.

Our results included a credit loss provision expense of $2.9 million during the quarter ended June 30, 2025, which includes a $2.7 million provision for loan credit losses, compared to provision for loan credit losses of $3.7 million for the linked quarter. Net charge-offs decreased $428,000 for the quarter ended June 30, 2025, when compared to the quarter ended March 31, 2025, primarily due to total charge-offs of $4.8 million in the linked quarter, consisting primarily of two commercial and industrial loan relationships with charge-offs totaling $2.6 million, with no comparably sized charge-offs during the current quarter.

Noninterest Income

Noninterest income for the quarter ended June 30, 2025, was $1.4 million, a decrease of $14.2 million, or 91.2%, from the linked quarter, primarily driven by a $14.4 million loss on sales of securities, net, and a $1.3 million decrease in insurance commission and fee income, respectively, in the current quarter. These decreases were partially offset by an increase of $902,000 in swap fee income.

The loss on sales of securities, net, during the current quarter was due to the execution of the bond portfolio optimization strategy discussed above.

The decrease in insurance commission and fee income was primarily driven by a seasonal increase in annual contingency fee income recognized in the first quarter with no comparable increase in the current quarter.

The increase in swap fee income was due to both an attractive interest rate environment which is increasingly conducive to facilitating back-to-back swaps for our customers and an increased focus on the marketing of customer swaps as part of Optimize Origin.

Noninterest Expense

Noninterest expense for the quarter ended June 30, 2025, was $62.0 million, a decrease of $85,000, or 0.1% from the linked quarter. The decrease was primarily driven by a decrease of $1.4 million in occupancy and equipment, net, that was partially offset by increases of $549,000 and $475,000 in salaries and employee benefit expense and data processing expense, respectively.

The $1.4 million decrease in occupancy and equipment, net was primarily due to cost incurred in the linked quarter in connection with the closure of banking centers as a part of Optimize Origin.

The $549,000 increase in salaries and employee benefit expense was primarily due to the adjustment of the incentive compensation accrual which drove the salaries and employee benefit expense lower during the linked quarter.

The $475,000 increase in data processing expense was primarily due to higher loan workflow software costs during the current quarter compared to the linked quarter.

Financial Condition

Loans

Total LHFI at June 30, 2025, were $7.68 billion, an increase of $98.9 million, or 1.3%, from $7.59 billion at March 31, 2025, and a decrease of $274.7 million, or 3.5%, compared to June 30, 2024.
The primary drivers of the increase during the quarter ended June 30, 2025, compared to the linked quarter, were increases in MW LOC, multi-family real estate and owner occupied commercial real estate of $170.6 million, $40.1 million and $34.8 million, respectively. These increases were partially offset by decreases of $144.9 million and $10.9 million in construction/land/land development loans and commercial and industrial loans, respectively.

Securities

Total securities at June 30, 2025 were $1.14 billion, a decrease of $34.9 million, or 3.0%, from $1.18 billion at March 31, 2025, and a decrease of $34.1 million, or 2.9%, compared to June 30, 2024.
The decrease in securities was primarily due to maturities of short-term investments and net sales of available for sale securities during the current quarter.
In connection with Optimize Origin, we made a strategic decision to replace lower yielding available-for-sale securities with a total book value of $215.8 million with higher-yielding securities totaling $201.8 million. Additional details about this transaction is disclosed above in the Net Interest Income and Net Interest Margin section of this release.
Accumulated other comprehensive loss, net of taxes, primarily associated with unrealized losses within the available for sale portfolio, was $73.6 million at June 30, 2025, a decrease of $16.9 million, or 18.6%, from the linked quarter.
The weighted average effective duration for the total securities portfolio was 4.52 years as of June 30, 2025, compared to 4.10 years as of March 31, 2025.

Deposits

Total deposits at June 30, 2025, were $8.12 billion, a decrease of $215.4 million, or 2.6%, compared to March 31, 2025, and a decrease of $387.8 million, or 4.6%, from June 30, 2024. Seasonality in our public fund deposits drove $99.7 million of the current quarter decline when compared to March 31, 2025.
The decrease in total deposits at June 30, 2025, compared to the linked quarter was primarily due to decreases of $159.0 million, $57.3 million and $47.1 million in interest-bearing demand deposits, time deposits (excluding brokered time deposits) and noninterest-bearing deposits, respectively. The decrease was partially offset by an increase of $92.6 million in money market deposits.
At June 30, 2025 and March 31, 2025, noninterest-bearing deposits as a percentage of total deposits were 22.7%. At June 30, 2024, noninterest-bearing deposits as a percentage of total deposits were 21.9%.

Borrowings

FHLB advances and other borrowings at June 30, 2025, were $127.8 million, an increase of $115.4 million from $12.5 million at March 31, 2025, and an increase of $87.1 million compared to June 30, 2024. The increase in the current quarter compared to the linked quarter is primarily due to an increase in FHLB short-term borrowings of $115.0 million used primarily to meet current liquidity needs.
Average FHLB advances were $104.5 million for the quarter ended June 30, 2025, an increase of $98.3 million from $6.2 million for the quarter ended March 31, 2025 and an increase of $68.8 million from June 30, 2024.

Conference Call

Origin will hold a conference call to discuss its second quarter 2025 results on Thursday, July 24, 2025, at 8:00 a.m. Central Time (9:00 a.m. Eastern Time). To participate in the live conference call, please dial +1 (929) 272-1574 (U.S. Local / International 1); +1 (857) 999-3259 (U.S. Local / International 2); +1 (888) 700-7550 (U.S. Toll Free), enter Conference ID: 05905 and request to be joined into the Origin Bancorp, Inc. (OBK) call. A simultaneous audio-only webcast may be accessed via Origin’s website at www.origin.bank under the investor relations, News & Events, Events & Presentations link or directly by visiting https://dealroadshow.com/e/ORIGINQ2.

If you are unable to participate during the live webcast, the webcast will be archived on the Investor Relations section of Origin’s website at www.origin.bank, under Investor Relations, News & Events, Events & Presentations.

About Origin

Origin Bancorp, Inc. is a financial holding company headquartered in Ruston, Louisiana. Origin’s wholly owned bank subsidiary, Origin Bank, was founded in 1912 in Choudrant, Louisiana. Deeply rooted in Origin’s history is a culture committed to providing personalized relationship banking to businesses, municipalities, and personal clients to enrich the lives of the people in the communities it serves. Origin provides a broad range of financial services and currently operates more than 55 locations in Dallas/Fort Worth, East Texas, Houston, North Louisiana, Mississippi, South Alabama and the Florida Panhandle. For more information, visit www.origin.bank.

Non-GAAP Financial Measures

Origin reports its results in accordance with generally accepted accounting principles in the United States of America (“GAAP”). However, management believes that certain supplemental non-GAAP financial measures may provide meaningful information to investors that is useful in understanding Origin’s results of operations and underlying trends in its business. However, non-GAAP financial measures are supplemental and should be viewed in addition to, and not as an alternative for, Origin’s reported results prepared in accordance with GAAP. The following are the non-GAAP measures used in this release: PTPP earnings, PTPP ROAA, tangible book value per common share, ROATCE, and core efficiency ratio.

Please see the last few pages of this release for reconciliations of non-GAAP measures to the most directly comparable financial measures calculated in accordance with GAAP.

Forward-Looking Statements

This press release contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include information regarding Origin Bancorp, Inc’s (“Origin”, “we”, “our” or the “Company”) future financial performance, business and growth strategies, projected plans and objectives, and any expected purchases of its outstanding common stock, and related transactions and other projections based on macroeconomic and industry trends, including changes to interest rates by the Federal Reserve and the resulting impact on Origin’s results of operations, estimated forbearance amounts and expectations regarding the Company’s liquidity, including in connection with advances obtained from the FHLB, which are all subject to change and may be inherently unreliable due to the multiple factors that impact broader economic and industry trends, and any such changes may be material. Such forward-looking statements are based on various facts and derived utilizing important assumptions and current expectations, estimates and projections about Origin and its subsidiaries, any of which may change over time and some of which may be beyond Origin’s control. Statements or statistics preceded by, followed by or that otherwise include the words “assumes,” “anticipates,” “believes,” “estimates,” “expects,” “foresees,” “intends,” “plans,” “projects,” and similar expressions or future or conditional verbs such as “could,” “may,” “might,” “should,” “will,” and “would” and variations of such terms are generally forward-looking in nature and not historical facts, although not all forward-looking statements include the foregoing words. Further, certain factors that could affect Origin’s future results and cause actual results to differ materially from those expressed in the forward-looking statements include, but are not limited to: (1) the impact of current and future economic conditions generally and in the financial services industry, nationally and within Origin’s primary market areas, including the impact of tariffs, as well as the financial stress on borrowers and changes to customer and client behavior as a result of the foregoing; (2) changes in benchmark interest rates and the resulting impacts on net interest income; (3) deterioration of Origin’s asset quality; (4) factors that can impact the performance of Origin’s loan portfolio, including real estate values and liquidity in Origin’s primary market areas; (5) the financial health of Origin’s commercial borrowers and the success of construction projects that Origin finances; (6) changes in the value of collateral securing Origin’s loans; (7) the impact of generative artificial intelligence; (8) Origin’s ability to anticipate interest rate changes and manage interest rate risk; (9) the impact of heightened regulatory requirements, reduced debit interchange and overdraft income and the possibility of facing related adverse business consequences if our total assets grow in excess of $10 billion as of December 31 of any calendar year; (10) the effectiveness of Origin’s risk management framework and quantitative models; (11) Origin’s inability to receive dividends from Origin Bank and to service debt, pay dividends to Origin’s common stockholders, repurchase Origin’s shares of common stock and satisfy obligations as they become due; (12) the impact of labor pressures; (13) changes in Origin’s operation or expansion strategy or Origin’s ability to prudently manage its growth and execute its strategy; (14) changes in management personnel; (15) Origin’s ability to maintain important customer relationships, reputation or otherwise avoid liquidity risks; (16) increasing costs as Origin grows deposits; (17) operational risks associated with Origin’s business; (18) significant turbulence or a disruption in the capital or financial markets and the effect of market disruption and interest rate volatility on our investment securities; (19) increased competition in the financial services industry, particularly from regional and national institutions, as well as from fintech companies; (20) compliance with governmental and regulatory requirements and changes in laws, rules, regulations, interpretations or policies relating to financial institutions; (21) periodic changes to the extensive body of accounting rules and best practices; (22) further government intervention in the U.S. financial system; (23) a deterioration of the credit rating for U.S. long-term sovereign debt; (24) Origin’s ability to comply with applicable capital and liquidity requirements, including its ability to generate liquidity internally or raise capital on favorable terms, including continued access to the debt and equity capital markets; (25) natural disasters and other adverse weather events, pandemics, acts of terrorism, war, and other matters beyond Origin’s control; (26) developments in our mortgage banking business, including loan modifications, general demand, and the effects of judicial or regulatory requirements or guidance; (27) fraud or misconduct by internal or external actors (including Origin employees); (28) cybersecurity threats or security breaches and the cost of defending against them; (29) Origin’s ability to maintain adequate internal controls over financial and non-financial reporting; and (30) potential claims, damages, penalties, fines, costs and reputational damage resulting from pending or future litigation, regulatory proceedings and enforcement actions. For a discussion of these and other risks that may cause actual results to differ from expectations, please refer to the sections titled “Cautionary Note Regarding Forward-Looking Statements” and “Risk Factors” in Origin’s most recent Annual Report on Form 10-K filed with the Securities and Exchange Commission and any updates to those sections set forth in Origin’s subsequent Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. If one or more events related to these or other risks or uncertainties materialize, or if Origin’s underlying assumptions prove to be incorrect, actual results may differ materially from what Origin anticipates. Accordingly, you should not place undue reliance on any forward-looking statements. Any forward-looking statement speaks only as of the date on which it is made, and Origin does not undertake any obligation to publicly update or review any forward-looking statement, whether as a result of new information, future developments or otherwise.

New risks and uncertainties arise from time to time, and it is not possible for Origin to predict those events or how they may affect Origin. In addition, Origin cannot assess the impact of each factor on Origin’s business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements. All forward-looking statements, expressed or implied, included in this communication are expressly qualified in their entirety by this cautionary statement. This cautionary statement should also be considered in connection with any subsequent written or oral forward-looking statements that Origin or persons acting on Origin’s behalf may issue. Annualized, pro forma, adjusted, projected, and estimated numbers are used for illustrative purposes only, are not forecasts, and may not reflect actual results.

This press release contains projected financial information with respect to Origin, including with respect to certain goals and strategic initiatives of Origin and the anticipated benefits thereof. This projected financial information constitutes forward-looking information and is for illustrative purposes only and should not be relied upon as necessarily being indicative of future results. The assumptions and estimates underlying such projected financial information are inherently uncertain and are subject to significant business, economic (including interest rate), competitive, and other risks and uncertainties. Actual results may differ materially from the results contemplated by the projected financial information contained herein and the inclusion of such projected financial information in this release should not be regarded as a representation by any person that such actions will be taken or accomplished or that the results reflected in such projected financial information with respect thereto will be achieved.

Contact:

Investor Relations
Chris Reigelman
318-497-3177
chris@origin.bank

Media Contact
Ryan Kilpatrick
318-232-7472
rkilpatrick@origin.bank

Origin Bancorp, Inc.
Selected Quarterly Financial Data
(Unaudited)

	Three Months Ended
	June 30, 2025			March 31, 2025			December 31, 2024			September 30, 2024			June 30, 2024

Income statement and share amounts	(Dollars in thousands, except per share amounts)
Net interest income	$	82,136		$	78,459		$	78,349		$	74,804		$	73,890
Provision (benefit) for credit losses		2,862			3,444			(5,398	)		4,603			5,231
Noninterest income (loss)		1,368			15,602			(330	)		15,989			22,465
Noninterest expense		61,983			62,068			65,422			62,521			64,388
Income before income tax expense		18,659			28,549			17,995			23,669			26,736
Income tax expense		4,012			6,138			3,725			5,068			5,747
Net income	$	14,647		$	22,411		$	14,270		$	18,601		$	20,989
PTPP earnings⁽¹⁾	$	21,521		$	31,993		$	12,597		$	28,272		$	31,967
Basic earnings per common share		0.47			0.72			0.46			0.60			0.68
Diluted earnings per common share		0.47			0.71			0.46			0.60			0.67
Dividends declared per common share		0.15			0.15			0.15			0.15			0.15
Weighted average common shares outstanding – basic		31,192,622			31,205,752			31,155,486			31,130,293			31,042,527
Weighted average common shares outstanding – diluted		31,327,818			31,412,010			31,308,805			31,239,877			31,131,829

Balance sheet data
Total LHFI	$	7,684,446		$	7,585,526		$	7,573,713		$	7,956,790		$	7,959,171
Total LHFI excluding MW LOC		7,109,698			7,181,395			7,224,632			7,461,602			7,452,666
Total assets		9,678,158			9,750,372			9,678,702			9,965,986			9,947,182
Total deposits		8,123,036			8,338,412			8,223,120			8,486,568			8,510,842
Total stockholders’ equity		1,205,769			1,180,177			1,145,245			1,145,673			1,095,894

Performance metrics and capital ratios
Yield on LHFI		6.33	%		6.33	%		6.47	%		6.67	%		6.58	%
Yield on interest-earnings assets		5.87			5.79			5.91			6.09			6.04
Cost of interest-bearing deposits		3.20			3.23			3.61			4.01			3.95
Cost of total deposits		2.47			2.52			2.79			3.14			3.08
NIM – fully tax equivalent (“FTE”)		3.61			3.44			3.33			3.18			3.17
Return on average assets (annualized) (“ROAA”)		0.60			0.93			0.57			0.74			0.84
PTPP ROAA (annualized)⁽¹⁾		0.89			1.32			0.50			1.13			1.28
Return on average stockholders’ equity (annualized) (“ROAE”)		4.94			7.79			4.94			6.57			7.79
Return on average tangible common equity (annualized) (“ROATCE”)⁽¹⁾		5.74			9.09			5.78			7.74			9.25
Book value per common share	$	38.62		$	37.77		$	36.71		$	36.76		$	35.23
Tangible book value per common share⁽¹⁾		33.33			32.43			31.38			31.37			29.77
Efficiency ratio⁽²⁾		74.23	%		65.99	%		83.85	%		68.86	%		66.82	%
Core efficiency ratio⁽¹⁾		73.77			65.33			82.79			67.48			65.55
Common equity tier 1 to risk-weighted assets⁽³⁾		13.47			13.57			13.32			12.46			12.15
Tier 1 capital to risk-weighted assets⁽³⁾		13.66			13.77			13.52			12.64			12.33
Total capital to risk-weighted assets⁽³⁾		15.68			15.81			16.44			15.45			15.16
Tier 1 leverage ratio⁽³⁾		11.70			11.47			11.08			10.93			10.70

__________________________

⁽¹⁾	PTPP earnings, PTPP ROAA, tangible book value per common share, ROATCE, and core efficiency ratio are either non-GAAP financial measures or use a non-GAAP contributor in the formula. For a reconciliation of these alternative financial measures to their most directly comparable GAAP measures, please see the last few pages of this release.
⁽²⁾	Calculated by dividing noninterest expense by the sum of net interest income plus noninterest income.
⁽³⁾	June 30, 2025, ratios are estimated and calculated at the Company level, which is subject to the capital adequacy requirements of the Federal Reserve Board.

Origin Bancorp, Inc.
Selected Year-To-Date Financial Data
(Unaudited)

	Six Months Ended June 30, 2025
(Dollars in thousands, except per share amounts)		2025			2024

Income statement and share amounts
Net interest income	$	160,595		$	147,213
Provision for credit losses		6,306			8,243
Noninterest income		16,970			39,720
Noninterest expense		124,051			123,095
Income before income tax expense		47,208			55,595
Income tax expense		10,150			11,974
Net income	$	37,058		$	43,621
PTPP earnings⁽¹⁾	$	53,514		$	63,838
Basic earnings per common share		1.19			1.41
Diluted earnings per common share		1.18			1.40
Dividends declared per common share		0.30			0.30
Weighted average common shares outstanding – basic		31,199,151			31,011,930
Weighted average common shares outstanding – diluted		31,375,804			31,110,747

Performance metrics
Yield on LHFI		6.33	%		6.58	%
Yield on interest-earning assets		5.83			6.01
Cost of interest-bearing deposits		3.21			3.90
Cost of total deposits		2.49			3.04
NIM-FTE		3.52			3.18
ROAA (annualized)		0.77			0.88
PTPP ROAA (annualized)⁽¹⁾		1.11			1.29
ROAE (annualized)		6.34			8.17
ROATCE (annualized)⁽¹⁾		7.38			9.73
Efficiency ratio⁽²⁾		69.86			65.85
Core efficiency ratio⁽¹⁾		69.29			65.40

____________________________

⁽¹⁾	PTPP earnings, PTPP ROAA, ROATCE, and core efficiency ratio are either non-GAAP financial measures or use a non-GAAP contributor in the formula. For a reconciliation of these alternative financial measures to their most directly comparable GAAP measures, please see the last few pages of this release.
⁽²⁾	Calculated by dividing noninterest expense by the sum of net interest income plus noninterest income.

Origin Bancorp, Inc.
Consolidated Quarterly Statements of Income
(Unaudited)

	Three Months Ended
	June 30, 2025			March 31, 2025			December 31, 2024			September 30, 2024		June 30, 2024

Interest and dividend income	(Dollars in thousands, except per share amounts)
Interest and fees on loans	$	121,239		$	117,075		$	127,021		$	133,195	$	129,879
Investment securities-taxable		7,692			8,076			6,651			6,536		6,606
Investment securities-nontaxable		1,425			968			964			905		893
Interest and dividend income on assets held in other financial institutions		4,281			6,424			5,197			3,621		4,416
Total interest and dividend income		134,637			132,543			139,833			144,257		141,794
Interest expense
Interest-bearing deposits		50,152			51,779			59,511			67,051		65,469
FHLB advances and other borrowings		1,216			96			88			482		514
Subordinated indebtedness		1,133			2,209			1,885			1,920		1,921
Total interest expense		52,501			54,084			61,484			69,453		67,904
Net interest income		82,136			78,459			78,349			74,804		73,890
Provision (benefit) for credit losses		2,862			3,444			(5,398	)		4,603		5,231
Net interest income after provision (benefit) for credit losses		79,274			75,015			83,747			70,201		68,659
Noninterest income
Insurance commission and fee income		6,661			7,927			5,441			6,928		6,665
Service charges and fees		4,927			4,716			4,801			4,664		4,862
Other fee income		2,809			2,301			2,152			2,114		2,404
Mortgage banking revenue		1,369			915			1,151			1,153		1,878
Swap fee income		1,435			533			116			106		44
(Loss) gain on sales of securities, net		(14,448	)		—			(14,617	)		221		—
Limited partnership investment (loss) income		(1,909	)		(1,692	)		(62	)		375		68
Change in fair value of equity investments		—			—			—			—		5,188
Other income		524			902			688			428		1,356
Total noninterest income (loss)		1,368			15,602			(330	)		15,989		22,465
Noninterest expense
Salaries and employee benefits		38,280			37,731			36,405			38,491		38,109
Occupancy and equipment, net		7,187			8,544			7,913			6,298		7,009
Data processing		3,432			2,957			3,414			3,470		3,468
Office and operations		3,337			2,972			2,883			2,984		3,072
Intangible asset amortization		1,768			1,761			1,800			1,905		2,137
Regulatory assessments		1,345			1,392			1,535			1,791		1,842
Advertising and marketing		1,158			1,133			1,929			1,449		1,328
Professional services		1,285			1,250			2,064			2,012		1,303
Electronic banking		1,359			1,354			1,377			1,308		1,238
Loan-related expenses		669			599			431			751		1,077
Franchise tax expense		688			675			884			721		815
Other expenses		1,475			1,700			4,787			1,341		2,990
Total noninterest expense		61,983			62,068			65,422			62,521		64,388
Income before income tax expense		18,659			28,549			17,995			23,669		26,736
Income tax expense		4,012			6,138			3,725			5,068		5,747
Net income	$	14,647		$	22,411		$	14,270		$	18,601	$	20,989

Origin Bancorp, Inc.
Consolidated Balance Sheets
(Unaudited)

(Dollars in thousands)	June 30, 2025			March 31, 2025			December 31, 2024			September 30, 2024			June 30, 2024
Assets
Cash and due from banks	$	113,918		$	112,888		$	132,991		$	159,337		$	137,615
Interest-bearing deposits in banks		220,193			373,314			337,258			161,854			150,435
Total cash and cash equivalents		334,111			486,202			470,249			321,191			288,050
Securities:
AFS		1,126,721			1,161,368			1,102,528			1,160,965			1,160,048
Held to maturity, net of allowance for credit losses		11,093			11,094			11,095			11,096			11,616
Securities carried at fair value through income		6,218			6,512			6,512			6,533			6,499
Total securities		1,144,032			1,178,974			1,120,135			1,178,594			1,178,163
Non-marketable equity securities held in other financial institutions		75,181			71,754			71,643			67,068			64,010
Loans held for sale		8,878			10,191			10,494			7,631			18,291
LHFI		7,684,446			7,585,526			7,573,713			7,956,790			7,959,171
Less: ALCL		92,426			92,011			91,060			95,989			100,865
LHFI, net of ALCL		7,592,020			7,493,515			7,482,653			7,860,801			7,858,306
Premises and equipment, net		122,618			123,847			126,620			126,751			121,562
Cash surrender value of bank-owned life insurance		41,265			41,021			40,840			40,602			40,365
Goodwill		128,679			128,679			128,679			128,679			128,679
Other intangible assets, net		36,444			38,212			37,473			39,272			41,177
Accrued interest receivable and other assets		194,930			177,977			189,916			195,397			208,579
Total assets	$	9,678,158		$	9,750,372		$	9,678,702		$	9,965,986		$	9,947,182
Liabilities and Stockholders’ Equity
Noninterest-bearing deposits	$	1,841,684		$	1,888,808		$	1,900,651		$	1,893,767		$	1,866,622
Interest-bearing deposits excluding brokered interest-bearing deposits, if any		5,450,710			5,536,636			5,301,243			5,137,940			4,984,817
Time deposits		805,642			862,968			941,000			1,023,252			1,022,589
Brokered deposits		25,000			50,000			80,226			431,609			636,814
Total deposits		8,123,036			8,338,412			8,223,120			8,486,568			8,510,842
FHLB advances and other borrowings		127,843			12,488			12,460			30,446			40,737
Subordinated indebtedness		89,657			89,599			159,943			159,861			159,779
Accrued expenses and other liabilities		131,853			129,696			137,934			143,438			139,930
Total liabilities		8,472,389			8,570,195			8,533,457			8,820,313			8,851,288
Stockholders’ equity:
Common stock		156,124			156,220			155,988			155,837			155,543
Additional paid-in capital		537,819			538,790			537,366			535,662			532,950
Retained earnings		585,387			575,578			557,920			548,419			534,585
Accumulated other comprehensive loss		(73,561	)		(90,411	)		(106,029	)		(94,245	)		(127,184	)
Total stockholders’ equity		1,205,769			1,180,177			1,145,245			1,145,673			1,095,894
Total liabilities and stockholders’ equity	$	9,678,158		$	9,750,372		$	9,678,702		$	9,965,986		$	9,947,182

Origin Bancorp, Inc.
Loan Data
(Unaudited)

	At and For the Three Months Ended
	June 30, 2025			March 31, 2025			December 31, 2024			September 30, 2024			June 30, 2024

LHFI	(Dollars in thousands)
Owner occupied commercial real estate	$	972,788		$	937,985		$	975,947		$	991,671		$	959,850
Non-owner occupied commercial real estate		1,455,771			1,445,864			1,501,484			1,533,093			1,563,152
Construction/land/land development		653,748			798,609			864,011			991,545			1,017,389
Residential real estate – single family		1,465,535			1,465,192			1,432,129			1,414,013			1,421,027
Multi-family real estate		529,899			489,765			425,460			434,317			398,202
Total real estate loans		5,077,741			5,137,415			5,199,031			5,364,639			5,359,620
Commercial and industrial		2,011,178			2,022,085			2,002,634			2,074,037			2,070,947
MW LOC		574,748			404,131			349,081			495,188			506,505
Consumer		20,779			21,895			22,967			22,926			22,099
Total LHFI		7,684,446			7,585,526			7,573,713			7,956,790			7,959,171
Less: ALCL		92,426			92,011			91,060			95,989			100,865
LHFI, net	$	7,592,020		$	7,493,515		$	7,482,653		$	7,860,801		$	7,858,306

Nonperforming assets⁽¹⁾
Nonperforming LHFI
Commercial real estate	$	12,814		$	5,465		$	4,974		$	2,776		$	2,196
Construction/land/land development		17,720			17,694			18,505			26,291			26,336
Residential real estate⁽²⁾		37,996			40,749			36,221			14,313			13,493
Commercial and industrial		16,655			17,325			15,120			20,486			33,608
Consumer		130			135			182			407			179
Total nonperforming LHFI		85,315			81,368			75,002			64,273			75,812
Other real estate owned/repossessed assets		1,991			1,990			3,635			6,043			6,827
Total nonperforming assets	$	87,306		$	83,358		$	78,637		$	70,316		$	82,639
Classified assets	$	129,628		$	129,666		$	122,417		$	113,529		$	125,081
Past due LHFI⁽³⁾		67,626			72,774			42,437			38,838			66,276
Past due 30 to 89 days and still accruing		12,495			42,587			18,015			20,170			17,080

Allowance for loan credit losses
Balance at beginning of period	$	92,011		$	91,060		$	95,989		$	100,865		$	98,375
Provision (benefit) for loan credit losses		2,715			3,679			(5,489	)		4,644			5,436
Loans charged off		3,700			4,848			2,025			11,226			3,706
Loan recoveries		1,400			2,120			2,585			1,706			760
Net charge-offs (recoveries)		2,300			2,728			(560	)		9,520			2,946
Balance at end of period	$	92,426		$	92,011		$	91,060		$	95,989		$	100,865

Credit quality ratios
Total nonperforming assets to total assets		0.90	%		0.85	%		0.81	%		0.71	%		0.83	%
Nonperforming LHFI to LHFI		1.11			1.07			0.99			0.81			0.95
Past due LHFI to LHFI		0.88			0.96			0.56			0.49			0.83
Past due 30 to 89 days and still accruing to LHFI		0.16			0.56			0.24			0.25			0.21
ALCL to nonperforming LHFI		108.33			113.08			121.41			149.35			133.05
ALCL to total LHFI		1.20			1.21			1.20			1.21			1.27
ALCL to total LHFI, adjusted⁽⁴⁾		1.29			1.28			1.25			1.28			1.34
Net charge-offs (recoveries) to total average LHFI (annualized)		0.12			0.15			(0.03	)		0.48			0.15

____________________________

⁽¹⁾	Nonperforming assets consist of nonperforming/nonaccrual loans and property acquired through foreclosures or repossession, as well as bank-owned property not in use and listed for sale, if any.
⁽²⁾	Includes multi-family real estate.
⁽³⁾	Past due LHFI are defined as loans 30 days or more past due and includes past due nonperforming loans.
⁽⁴⁾	The ALCL to total LHFI, adjusted is calculated by excluding the ALCL for MW LOC loans from the total LHFI ALCL in the numerator and excluding the MW LOC loans from the LHFI in the denominator. Due to their low-risk profile, MW LOC loans require a disproportionately low allocation of the ALCL.

Origin Bancorp, Inc.
Average Balances and Yields/Rates
(Unaudited)

	Three Months Ended
	June 30, 2025				March 31, 2025				June 30, 2024
	Average Balance		Yield/Rate		Average Balance		Yield/Rate		Average Balance		Yield/Rate

Assets	(Dollars in thousands)
Commercial real estate	$	2,407,632	5.78	%	$	2,448,099	5.82	%	$	2,497,490	5.91	%
Construction/land/land development		739,601	6.92			821,754	6.87			1,058,972	6.98
Residential real estate⁽¹⁾		1,955,422	5.62			1,909,922	5.53			1,787,829	5.48
Commercial and industrial (“C&I”)		2,068,175	7.30			2,004,034	7.37			2,128,486	7.87
MW LOC		480,587	6.86			289,521	7.07			430,885	7.57
Consumer		21,851	7.29			22,709	7.45			22,396	8.06
LHFI		7,673,268	6.33			7,496,039	6.33			7,926,058	6.58
Loans held for sale		11,422	6.92			8,590	6.18			14,702	6.84
Loans receivable		7,684,690	6.33			7,504,629	6.33			7,940,760	6.58
Investment securities-taxable		980,430	3.15			1,021,904	3.21			1,046,301	2.54
Investment securities-nontaxable		175,101	3.26			140,875	2.79			143,232	2.51
Non-marketable equity securities held in other financial institutions		77,240	6.63			71,669	2.35			56,270	6.53
Interest-earning balances due from banks		276,372	4.36			543,821	4.48			254,627	5.53
Total interest-earning assets		9,193,833	5.87			9,282,898	5.79			9,441,190	6.04
Noninterest-earning assets		522,090				525,317				567,035
Total assets	$	9,715,923			$	9,808,215			$	10,008,225

Liabilities and Stockholders’ Equity
Liabilities
Interest-bearing liabilities
Savings and interest-bearing transaction accounts	$	5,409,357	3.17	%	$	5,538,710	3.14	%	$	5,130,224	3.80	%
Time deposits		868,703	3.45			972,176	3.69			1,534,679	4.46
Total interest-bearing deposits		6,278,060	3.20			6,510,886	3.23			6,664,903	3.95
FHLB advances and other borrowings		111,951	4.36			14,148	2.75			41,666	4.96
Subordinated indebtedness		89,633	5.07			124,133	7.22			159,973	4.83
Total interest-bearing liabilities		6,479,644	3.25			6,649,167	3.30			6,866,542	3.98
Noninterest-bearing liabilities
Noninterest-bearing deposits		1,881,301				1,837,365				1,894,141
Other liabilities		164,647				154,934				163,273
Total liabilities		8,525,592				8,641,466				8,923,956
Stockholders’ Equity		1,190,331				1,166,749				1,084,269
Total liabilities and stockholders’ equity	$	9,715,923			$	9,808,215			$	10,008,225
Net interest spread			2.62	%			2.49	%			2.06	%
NIM			3.58				3.43				3.15
NIM-FTE⁽²⁾			3.61				3.44				3.17

____________________________

⁽¹⁾	Includes multi-family real estate.
⁽²⁾	In order to present pre-tax income and resulting yields on tax-exempt investments comparable to those on taxable investments, a tax-equivalent adjustment has been computed. This adjustment also includes income tax credits received on Qualified School Construction Bonds.

Origin Bancorp, Inc.
Notable Items
(Unaudited)

	At and For the Three Months Ended
	June 30, 2025						March 31, 2025						December 31, 2024						September 30, 2024						June 30, 2024
	$ Impact			EPS Impact⁽¹⁾			$ Impact			EPS Impact⁽¹⁾			$ Impact			EPS Impact⁽¹⁾			$ Impact			EPS Impact⁽¹⁾			$ Impact			EPS Impact⁽¹⁾

	(Dollars in thousands, except per share amounts)
Notable interest income items:
Interest income reversal on relationships impacted by questioned banker activity	$	—		$	—		$	—		$	—		$	—		$	—		$	—		$	—		$	(1,206	)	$	(0.03	)
Notable interest expense items:
OID amortization – subordinated debenture redemption		—			—			(681	)		(0.02	)		—			—			—			—			—			—
Notable provision expense items:
Provision release (expense) related to questioned banker activity		—			—			—			—			3,212			0.08			—			—			(3,212	)		(0.08	)
Provision release (expense) on relationships impacted by questioned banker activity		—			—			375			0.01			—			—			—			—			(4,131	)		(0.11	)
Notable noninterest income items⁽²⁾:
(Loss) gain on sales of securities, net		(14,448	)		(0.36	)		—			—			(14,617	)		(0.37	)		221			0.01			—			—
Gain on sub-debt repurchase		—			—			—			—			—			—			—			—			81			—
Positive valuation adjustment on non-marketable equity securities		—			—			—			—			—			—			—			—			5,188			0.13
Net (loss) gain on OREO properties⁽²⁾		(158	)		—			(212	)		(0.01	)		198			—			—			—			800			0.02
BOLI payout		—			—			208			0.01			—			—			—			—			—			—
Notable noninterest expense items:
Operating expense related to questioned banker activity		(530	)		(0.01	)		(543	)		(0.01	)		(4,069	)		(0.10	)		(848	)		(0.02	)		(1,452	)		(0.04	)
Operating expense related to strategic Optimize Origin initiatives		(428	)		(0.01	)		(1,615	)		(0.04	)		(1,121	)		(0.03	)		—			—			—			—
Employee Retention Credit		—			—			213			0.01			1,651			0.04			—			—			—			—
Total notable items	$	(15,564	)		(0.39	)	$	(2,255	)		(0.06	)	$	(14,746	)		(0.37	)	$	(627	)		(0.02	)	$	(3,932	)		(0.10	)

____________________________

⁽¹⁾	The diluted EPS impact is calculated using a 21% effective tax rate. The total of the diluted EPS impact of each individual line item may not equal the calculated diluted EPS impact on the total notable items due to rounding.
⁽²⁾	The $158,000 net loss on OREO properties for the quarter ended June 30, 2025, includes an $8,000 insurance settlement recovery that was included in noninterest income on the face of the income statement and $3,000 in repair costs that was included in noninterest expense. The $212,000 net loss on OREO properties for the quarter ended March 31, 2025, includes a $444,000 expected insurance settlement recovery that was included in noninterest income on the face of the income statement, and a $148,000 repair cost that was included in noninterest expense.

Origin Bancorp, Inc.
Notable Items – Continued
(Unaudited)

	Six Months Ended June 30,
		2025						2024
	$ Impact			EPS Impact⁽¹⁾			$ Impact			EPS Impact⁽¹⁾

	(Dollars in thousands, except per share amounts)
Notable interest income items:
Interest income reversal on relationships impacted by questioned banker activity	$	—		$	—		$	(1,206	)	$	(0.03	)
Notable interest expense items:
OID amortization -subordinated debenture redemption		(681	)		(0.02	)		—			—
Notable provision expense items:
Provision expense related to questioned banker activity		—			—			(3,212	)		(0.08	)
Provision release (expense) on relationships impacted by questioned banker activity		375			0.01			(4,131	)		(0.10	)
Notable noninterest income items:
MSR gain (impairment)		—			—			410			0.01
Loss on sales of securities, net		(14,448	)		(0.36	)		(403	)		(0.01	)
Gain on sub-debt repurchase		—			—			81			—
Positive valuation adjustment on non-marketable equity securities		—			—			5,188			0.13
Net (loss) gain on OREO properties⁽²⁾		(370	)		(0.01	)		800			0.02
BOLI payout		208			0.01			—			—
Notable noninterest expense items:
Operating expense related to questioned banker activity		(1,073	)		(0.03	)		(1,452	)		(0.04	)
Operating expense related to strategic Optimize Origin initiatives		(2,043	)		(0.05	)		—			—
Employee Retention Credit		213			0.01			—			—
Total notable items	$	(17,819	)		(0.45	)	$	(3,925	)		(0.10	)

____________________________

(1)	The diluted EPS impact is calculated using a 21% effective tax rate. The total of the diluted EPS impact of each individual line item may not equal the calculated diluted EPS impact on the total notable items due to rounding.
(2)	The $370,000 net loss on OREO properties for the six months ended June 30, 2025, includes a $452,000 insurance settlement recovery that was included in noninterest income on the face of the income statement and a $151,000 repair cost that was included in noninterest expense.

Origin Bancorp, Inc.
Non-GAAP Financial Measures
(Unaudited)

	At and For the Three Months Ended
	June 30, 2025			March 31, 2025			December 31, 2024			September 30, 2024			June 30, 2024

	(Dollars in thousands, except per share amounts)
Calculation of PTPP earnings:
Net income	$	14,647		$	22,411		$	14,270		$	18,601		$	20,989
Provision (benefit) for credit losses		2,862			3,444			(5,398	)		4,603			5,231
Income tax expense		4,012			6,138			3,725			5,068			5,747
PTPP earnings (non-GAAP)	$	21,521		$	31,993		$	12,597		$	28,272		$	31,967

Calculation of PTPP ROAA:
PTPP earnings	$	21,521		$	31,993		$	12,597		$	28,272		$	31,967
Divided by number of days in the quarter		91			90			92			92			91
Multiplied by the number of days in the year		365			365			366			366			366
PTPP earnings, annualized	$	86,320		$	129,749		$	50,114		$	112,473			128,571
Divided by total average assets		9,715,923			9,808,215			9,978,543			9,985,836			10,008,225
ROAA (annualized) (GAAP)		0.60	%		0.93	%		0.57	%		0.74	%		0.84	%
PTPP ROAA (annualized) (non-GAAP)		0.89			1.32			0.50			1.13			1.28

Calculation of tangible book value per common share:
Total common stockholders’ equity	$	1,205,769		$	1,180,177		$	1,145,245		$	1,145,673		$	1,095,894
Goodwill		(128,679	)		(128,679	)		(128,679	)		(128,679	)		(128,679	)
Other intangible assets, net		(36,444	)		(38,212	)		(37,473	)		(39,272	)		(41,177	)
Tangible common equity		1,040,646			1,013,286			979,093			977,722			926,038
Divided by common shares outstanding at the end of the period		31,224,718			31,244,006			31,197,574			31,167,410			31,108,667
Book value per common share (GAAP)	$	38.62		$	37.77		$	36.71		$	36.76		$	35.23
Tangible book value per common share (non-GAAP)		33.33			32.43			31.38			31.37			29.77

Calculation of ROATCE:
Net income	$	14,647		$	22,411		$	14,270		$	18,601		$	20,989
Divided by number of days in the quarter		91			90			92			92			91
Multiplied by number of days in the year		365			365			366			366			366
Annualized net income	$	58,749		$	90,889		$	56,770		$	74,000		$	84,417

Total average common stockholders’ equity	$	1,190,331		$	1,166,749		$	1,149,228		$	1,125,697		$	1,084,269
Average goodwill		(128,679	)		(128,679	)		(128,679	)		(128,679	)		(128,679	)
Average other intangible assets, net		(37,459	)		(38,254	)		(38,646	)		(40,487	)		(42,563	)
Average tangible common equity		1,024,193			999,816			981,903			956,531			913,027

ROAE (annualized) (GAAP)		4.94	%		7.79	%		4.94	%		6.57	%		7.79	%
ROATCE (annualized) (non-GAAP)		5.74			9.09			5.78			7.74			9.25

Calculation of core efficiency ratio:
Total noninterest expense	$	61,983		$	62,068		$	65,422		$	62,521		$	64,388
Insurance and mortgage noninterest expense		(8,460	)		(8,230	)		(8,497	)		(8,448	)		(8,402	)
Adjusted total noninterest expense		53,523			53,838			56,925			54,073			55,986

Net interest income	$	82,136		$	78,459		$	78,349		$	74,804		$	73,890
Insurance and mortgage net interest income		(2,924	)		(2,815	)		(2,666	)		(2,578	)		(2,407	)
Total noninterest income		1,368			15,602			(330	)		15,989			22,465
Insurance and mortgage noninterest income		(8,030	)		(8,842	)		(6,592	)		(8,081	)		(8,543	)
Adjusted total revenue		72,550			82,404			68,761			80,134			85,405

Efficiency ratio (GAAP)		74.23	%		65.99	%		83.85	%		68.86	%		66.82	%
Core efficiency ratio (non-GAAP)		73.77			65.33			82.79			67.48			65.55

Origin Bancorp, Inc.
Non-GAAP Financial Measures – Continued
(Unaudited)

	Six Months Ended June 30,
		2025			2024

	(Dollars in thousands, except per share amounts)
Calculation of PTPP earnings:
Net income	$	37,058		$	43,621
Provision for credit losses		6,306			8,243
Income tax expense		10,150			11,974
PTPP earnings (non-GAAP)	$	53,514		$	63,838

Calculation of PTPP ROAA:
PTPP Earnings	$	53,514		$	63,838
Divided by the year-to-date number of days		181			182
Multiplied by number of days in the year		365			366
Annualized PTPP Earnings	$	107,915		$	128,378

Divided by total average assets	$	9,761,814		$	9,934,730
ROAA (annualized) (GAAP)		0.77	%		0.88	%
PTPP ROAA (annualized) (non-GAAP)		1.11			1.29

Calculation of ROATCE:
Net income	$	37,058		$	43,621
Divided by the year-to-date number of days		181			182
Multiplied by number of days in the year		365			366
Annualized net income	$	74,730		$	87,721

Total average common stockholders’ equity	$	1,178,605		$	1,073,487
Average goodwill		(128,679	)		(128,679	)
Average other intangible assets, net		(37,854	)		(43,631	)
Average tangible common equity		1,012,072			901,177

ROAE (annualized) (GAAP)		6.34	%		8.17	%
ROATCE (annualized) (non-GAAP)		7.38			9.73

Calculation of core efficiency ratio:
Total noninterest expense	$	124,051		$	123,095
Insurance and mortgage noninterest expense		(16,690	)		(16,447	)
Adjusted total noninterest expense		107,361			106,648

Net interest income	$	160,595		$	147,213
Insurance and mortgage net interest income		(5,739	)		(5,202	)
Total noninterest income		16,970			39,720
Insurance and mortgage noninterest income		(16,872	)		(18,666	)
Adjusted total revenue		154,954			163,065

Efficiency ratio (non-GAAP)		69.86	%		65.85	%
Core efficiency ratio (non-GAAP)		69.29			65.40

The MIL Network –

July 24, 2025

MIL-OSI: Northrim BanCorp Earns $11.8 Million, or $2.09 Per Diluted Share, in Second Quarter 2025

Source: GlobeNewswire (MIL-OSI)

ANCHORAGE, Alaska, July 23, 2025 (GLOBE NEWSWIRE) — Northrim BanCorp, Inc. (NASDAQ:NRIM) (“Northrim” or the “Company”) today reported net income of $11.8 million, or $2.09 per diluted share, in the second quarter of 2025, compared to $13.3 million, or $2.38 per diluted share, in the first quarter of 2025, and $9.0 million, or $1.62 per diluted share, in the second quarter a year ago. The increase in second quarter 2025 profitability as compared to the second quarter a year ago was primarily the result of an increase in net interest income, higher purchased receivable income, and increased mortgage banking income, which were partially offset by a higher provision for credit losses, higher other operating expenses, and a higher provision for income taxes. Net interest income increased primarily due to higher loan balances and higher yields on earning assets. Purchased receivable income increased primarily due to the Company’s acquisition of Sallyport Commercial Finance, LLC (“Sallyport or SCF”), which was completed on October 31, 2024. Sallyport and its direct and indirect subsidiaries provide services and products related to purchased receivable factoring and asset-based lending in the United States, Canada, and the United Kingdom.

Dividends per share in the second quarter of 2025 remained consistent with the first quarter of 2025 at $0.64 per share as compared to $0.61 per share in the second quarter of 2024.

“Strong loan growth, increasing asset yields, and stable funding costs drove record net interest income in the second quarter of this year,” said Mike Huston, Northrim’s President and Chief Executive Officer. “We continue to attract new customers to Northrim and believe we have an opportunity to steadily increase our market share over the next few years.”

Second Quarter 2025 Highlights:

Net interest income in the second quarter of 2025 increased 7% to $33.6 million compared to $31.3 million in the first quarter of 2025 and increased 24% compared to $27.1 million in the second quarter of 2024.
Net interest margin on a tax equivalent basis (“NIMTE”)^* was 4.72% for the second quarter of 2025, up 11-basis points from the first quarter of 2025 and up 42-basis points from the second quarter a year ago.
Return on average assets (“ROAA”) was 1.48% and return on average equity (“ROAE”) was 16.37% for the second quarter of 2025 compared to ROAA of 1.76 and ROAE of 19.70 in the prior quarter and ROAA of 1.31% and ROAE of 14.84% for the second quarter of 2024.
Portfolio loans were $2.20 billion at June 30, 2025, up 4% from the preceding quarter and up 17% from a year ago, primarily due to new customer relationships and expanding market share, as well as retaining certain mortgages originated by Residential Mortgage, a subsidiary of Northrim Bank (the “Bank”). The Company sold $61 million in consumer mortgages in the second quarter of 2025 that were included in loans held for investment as of the end of 2024 to reduce the concentration of residential real estate loans and to provide additional liquidity for future commercial and construction loan growth.
Total deposits were $2.81 billion at June 30, 2025, up 1% from the preceding quarter, and up 14% from $2.46 billion a year ago. Non-interest bearing demand deposits increased 5% from the preceding quarter and increased 10% year-over-year to $777.9 million at June 30, 2025 and represent 28% of total deposits.
The average cost of interest-bearing deposits was 2.04% at June 30, 2025, up slightly from 2.01% at March 31, 2025 and down from 2.21% at June 30, 2024.
Mortgage loan originations were $277.1 million in the second quarter of 2025, up from $121.6 million in the first quarter of 2025 and up from $181.5 million in the second quarter a year ago. Mortgage loans funded for sale were $249.7 million in the second quarter of 2025, compared to $108.5 million in the first quarter of 2025 and $152.3 million in the second quarter of 2024.

Financial Highlights	Three Months Ended
(Dollars in thousands, except per share data)	June 30, 2025			March 31, 2025			December 31, 2024			September 30, 2024			June 30, 2024
Total assets	$	3,243,760		$	3,140,960		$	3,041,869		$	2,963,392		$	2,821,668
Total portfolio loans	$	2,202,115		$	2,124,330		$	2,129,263		$	2,007,565		$	1,875,907
Total deposits	$	2,809,170		$	2,777,977		$	2,680,189		$	2,625,567		$	2,463,806
Total shareholders’ equity	$	290,219		$	279,756		$	267,116		$	260,050		$	247,200
Net income	$	11,778		$	13,324		$	10,927		$	8,825		$	9,020
Diluted earnings per share	$	2.09		$	2.38		$	1.95		$	1.57		$	1.62
Return on average assets		1.48	%		1.76	%		1.43	%		1.22	%		1.31	%
Return on average shareholders’ equity		16.37	%		19.70	%		16.32	%		13.69	%		14.84	%
NIM		4.66	%		4.55	%		4.41	%		4.29	%		4.24	%
NIMTE^*		4.72	%		4.61	%		4.47	%		4.35	%		4.30	%
Efficiency ratio		64.68	%		63.54	%		66.96	%		66.11	%		68.78	%
Total shareholders’ equity/total assets		8.95	%		8.91	%		8.78	%		8.78	%		8.76	%
Tangible common equity/tangible assets^*		7.50	%		7.41	%		7.23	%		8.28	%		8.24	%
Book value per share	$	52.55		$	50.67		$	48.41		$	47.27		$	44.93
Tangible book value per share^*	$	43.35		$	41.47		$	39.17		$	44.36		$	42.03
Dividends per share	$	0.64		$	0.64		$	0.62		$	0.62		$	0.61
Common stock outstanding		5,522,271			5,520,892			5,518,210			5,501,943			5,501,562

^* References to NIMTE, tangible book value per share, and tangible common equity to tangible common assets, (both of which exclude intangible assets) represent non-GAAP financial measures. Management has presented these non-GAAP measurements in this earnings release, because it believes these measures are useful to investors. See the end of this release for reconciliations of these non-GAAP financial measures to GAAP financial measures.

Alaska Economic Update
(Note: sources for information included in this section are included on page 14.)

The Alaska Department of Labor (“DOL”) has reported Alaska’s seasonally adjusted unemployment rate in May of 2025 was 4.7% compared to the U.S. rate of 4.2%. The rate has held steady in Alaska at 4.7% for eight consecutive months. The total number of payroll jobs in Alaska, not including uniformed military, increased 1.1% or 3,800 jobs between May of 2024 and May of 2025.

According to the DOL, the Oil and Gas sector had the largest growth rate in new jobs of 8.8% through May of this year compared to the prior year, up 700 direct jobs. The Construction sector added 700 positions for a year-over-year growth rate of 3.7% through May of 2025. The larger Health Care sector grew by 1,200 jobs for an annual growth rate of 2.9%. Transportation, Warehousing and Utilities added 600 jobs for a 2.3% growth rate over the same period. Professional and Business Services increased 500 jobs year-over-year through May of 2025, up 1.7%.

The Government sector grew by 200 jobs for 0.2% growth, adding 400 State positions while losing 200 Federal jobs in Alaska over the same period. Declining sectors between May 2024 and May 2025 were Information down 100 jobs or (-2.3%), Manufacturing (primarily seafood processing) shrinking 200 positions (-2.1%), Wholesale Trade lost 100 jobs (-1.5%) and Financial Activities, down 100 jobs (-0.9%).

Alaska’s seasonally adjusted personal income was $57.4 billion in the first quarter of 2025 according to the Federal Bureau of Economic Analysis (“BEA”). This was an annualized improvement in the first quarter of 6.4% for Alaska, compared to the national average of 6.7%. Alaska enjoyed an annual personal income improvement of 6% in 2024 compared to the U.S. increase of 5.4%, ranking Alaska 6^th best in the nation. The $885 million increase in personal income in the first quarter of 2025 in Alaska came from a $352 million increase in net earnings from wages, $440 million growth in government transfer receipts, and a $92 million increase in investment income.

Alaska’s Gross State Product (“GSP”) in the first quarter of 2025 reached $72 billion according to the BEA. Alaska’s inflation adjusted “real” GSP increased 1.5% in 2024 and decreased -1.8% annualized in the first quarter of 2025. The average U.S. GDP growth rate was 2.8% for 2025 and -0.5% in the first quarter of 2025. Alaska’s real GSP decrease in the first quarter of 2025 was primarily caused by a decrease in the Mining, Oil & Gas sector, somewhat offset by improvements in the Construction sector.

Alaska exported $5.9 billion in goods to foreign countries in 2024 according to the U.S. International Trade Administration. China is the largest importer of Alaska’s products at $1.5 billion, followed by Australia at $804 million, Japan at $674 million and South Korea at $634 million in 2024. Fish and related maritime products accounted for the largest volume at $2.1 billion, followed by minerals and ores at $2 billion, and primary metals at $992 million in 2024. Oil & Gas exports are $380 million because the majority of Alaska’s production is refined and consumed in the United States. Chief Credit Officer and Bank Economist Mark Edwards stated, “President Trump’s significant changes to international tariffs has created uncertainty in trade markets. At this time, it is unknown how each country will respond. Alaska’s natural resources are highly valued commodities throughout the world. If issues arise with one country, such as China, it is most likely that Alaska’s products will be redirected to other markets like Japan and South Korea or sold domestically in the United States. Canada is the largest long-term investor in Alaska’s mining industry. This involves significant fixed capital investments made over decades that are unlikely to shift dramatically in the short-run. Alaska’s Legislature just passed a bill HJR-11 with an approval vote of 33-4 titled, Recognizing and honoring the relationship between Canada and Alaska. It highlights the deeply interconnected friendship between Alaska and Canada culturally, economically, and militarily.”

According to the US Bureau of Labor Statistics, the Consumer Price Index (“CPI”) for the U.S. increased 2.7% between June of 2024 and June of 2025. In Alaska, the rate of CPI increase was lower at 1.6% for the same time period. Food and beverage, housing costs, and medical care costs were the largest causes for inflation. Declining motor fuel prices, transportation, recreation and household furnishing costs have helped moderate inflationary pressures in Alaska.

The monthly average price of Alaska North Slope (“ANS”) crude oil has ranged between $76.39 a barrel in January of 2025 and $67.07 in May of the prior year. The June 2025 average was $72.62. The Alaska Department of Revenue (“DOR”) calculated ANS crude oil production was 461 thousand barrels per day (“bpd”) in Alaska’s fiscal year ending June 30, 2024. Production rose to 469 thousand bpd in fiscal year ending June 30, 2025. In the Spring 2025 Revenue Forecast published March 12, 2025, the DOR expects production to continue to grow to 663 thousand bpd by fiscal year 2034. This is primarily a result of new production coming on-line in and around the NPR-A region west of Prudhoe Bay. A partnership between Santos and Repsol is constructing the new Pikka field and ConocoPhillips is developing the large new Willow field. There are also a number of smaller new fields in the ANS that are contributing to the State of Alaska’s production growth estimates.

The Alaska Permanent Fund is seeded annually by the oil wealth the State continues to save each year and has grown significantly over 40 years of successful investment. As of May 31, 2025 the fund’s value was $83.13 billion. According to the DOR it is scheduled to contribute $3.7 billion to Alaska General Fund in fiscal year 2025 for general government spending and to pay the annual dividend to Alaskan residents.

According to the Alaska Multiple Listing Services, the average sales price of a single family home in Anchorage rose 6.2% in 2024 to $510,064, following a 5.2% increase in 2023. This was the seventh consecutive year of price increases. Through June of 2025 prices have continued to increase on average 2.6% to $523,059.

The average sales price for single family homes in the Matanuska Susitna Borough rose 3.8% in 2024 to $412,859, after increasing 4% in 2023. This continues a trend of average price increases for more than a decade in the region. Through June of 2025 prices have continued to increase on average 6.9% to $441,463. These two markets represent where the vast majority of the Bank’s residential lending activity occurs.

The Alaska Multiple Listing Services reported a 3.4% increase in the number of units sold in Anchorage when comparing 2024 to 2023. The first six months of 2025 has seen a 4.8% increase in home sales compared to the first half of 2024 in Anchorage.

There was virtually no change in the number of homes sold in the Matanuska Susitna Borough, with only four fewer homes sold in 2024 than in 2023 or -0.2%. In the first six months of 2025 the number of units sold has increased 13.1% in the Matanuska Susitna Borough compared to the first half of 2024.

Northrim Bank sponsors the Alaskanomics blog to provide news, analysis, and commentary on Alaska’s economy. Join the conversation at Alaskanomics.com, or for more information on the Alaska economy, visit: www.northrim.com and click on the “Business Banking” link and then click “Learn.” Information from our website is not incorporated into, and does not form, a part of this earnings release.

Review of Income Statement

Consolidated Income Statement

In the second quarter of 2025, Northrim generated a ROAA of 1.48% and a ROAE of 16.37%, compared to 1.76% and 19.70%, respectively, in the first quarter of 2025 and 1.31% and 14.84%, respectively, in the second quarter a year ago.

Net Interest Income/Net Interest Margin

Net interest income increased 7% to $33.6 million in the first quarter of 2025 compared to $31.3 million in the first quarter of 2025 and increased 24% compared to $27.1 million in the second quarter of 2024. Interest expense on deposits increased to $10.3 million in the second quarter of 2025 compared to $9.9 million in the first quarter of 2025 and compared to $9.5 million in the second quarter of 2024.

NIMTE^* was 4.72% in the second quarter of 2025 up from 4.61% in the preceding quarter and 4.30% in the second quarter a year ago. NIMTE^* increased 42 basis points in the second quarter of 2025 compared to the second quarter of 2024 primarily due to a favorable change in the mix of earning-assets towards higher loan balances as a percentage of total earning-assets, higher yields on those assets as variable rate loans reset at higher rates which were only partially offset by an increase in borrowings. The weighted average interest rate for new loans booked in the second quarter of 2025 was 7.27% compared to 7.30% in the first quarter of 2025 and 7.90% in the second quarter a year ago. The yield on the investment portfolio in the second quarter of 2025 increased to 3.07% from 2.97% in the first quarter of 2025 and 2.82% in the second quarter of 2024. “We are continuing to see some benefits from the repricing of our loan portfolio and new production increasing our margin” said Jed Ballard, Chief Financial Officer. Northrim’s NIMTE^* continues to remain above the peer average of 3.26% posted by the S&P U.S. Small Cap Bank Index with total market capitalization between $250 million and $1 billion as of March 31, 2025.

Provision for Credit Losses

Northrim recorded a provision for credit losses of $2.0 million in the second quarter of 2025, which was comprised of a provision for credit losses on loans of $1.8 million, a $157,000 provision for credit losses on unfunded commitments, and a provision for credit losses on purchased receivables of $18,000. This compares to a benefit to the provision for credit losses of $1.4 million in the first quarter of 2025, which was comprised of a benefit to the provision for credit losses on loans of $1.1 million, a $322,000 benefit for credit losses on unfunded commitments, and a provision for credit losses on purchased receivables of $46,000. In the second quarter a year ago, Northrim recorded a benefit to the provision for credit losses of $120,000 which was comprised of a $134,000 provision for credit losses on loans and a $254,000 benefit to the provision for credit losses on unfunded commitments.

The increase to the provision for credit losses on loans in the second quarter of 2025 as compared to the prior quarter and the same quarter a year ago was primarily a result of increased loan balances as well as an increase in estimated loss rates due to less favorable economic forecasts and trends in qualitative factors. The increase to the provision for unfunded commitments in the second quarter of 2025 was primarily due to an increase in estimated loss rates which was only partially offset by changes in mix of unfunded commitments.

Nonperforming assets, net of government guarantees, decreased during the quarter to $11.9 million at June 30, 2025, compared to $12.3 million at March 31, 2025, and increased compared to $5.1 million at June 30, 2024. The increase in nonperforming assets, net of government guarantees at June 30, 2025 compared to June 30, 2024 is primarily the result of the acquisition of Sallyport in the fourth quarter of 2024.

The allowance for credit losses on loans was 290% of nonperforming loans, net of government guarantees, at the end of the second quarter of 2025, compared to 262% three months earlier and 365% a year ago.

Other Operating Income

In addition to home mortgage lending, Northrim has interests in other businesses that complement its core community banking activities, including purchased receivables financing and wealth management. Other operating income contributed $16.6 million, or 33% of total second quarter 2025 revenues, as compared to $13.0 million, or 29% of revenues in the first quarter of 2025, and $9.6 million, or 26% of revenues in the second quarter of 2024. The increase in other operating income in the second quarter of 2025 as compared to the second quarter of 2024 was primarily the result of increased purchased receivable income due to the Company’s acquisition of Sallyport on October 31, 2024. Mortgage banking income in the second quarter of 2025 increased as compared to the first quarter of 2025 and second quarter of 2024 due to a higher volume of mortgage activity. See further discussion regarding mortgage activity contained under “Home Mortgage Lending” below.

Other Operating Expenses

Operating expenses were $32.5 million in the second quarter of 2025, compared to $28.2 million in the first quarter of 2025, and $25.2 million in the second quarter of 2024. The increase in other operating expenses in the second quarter of 2025 compared to the first quarter of 2025 was primarily due to an increase in salaries and other personnel expense, including $980,000 in higher mortgage commissions expense due to higher mortgage volume, $763,000 in higher salary expense, a $760,000 increase in group medical expenses, and increases in profit share expense and payroll taxes. Additionally, marketing expense increased due to timing of annual charitable contributions. The increase in total other operating expenses in the second quarter of 2025 compared to the second quarter a year ago was primarily due to an increase in salaries and other personnel expense, the increase in compensation expense for Sallyport acquisition payments, and an increase in data processing expense. Total other operating expense increased $2.1 million in the Specialty Finance segment in the second quarter of 2025 compared to the second quarter of 2024 due to the acquisition of Sallyport on October 31, 2024.

Income Tax Provision

In the second quarter of 2025, Northrim recorded $4.0 million in state and federal income tax expense for an effective tax rate of 25.3%, compared to $4.3 million, or 24.2% in the first quarter of 2025 and $2.5 million, or 21.9% in the second quarter a year ago. The increase in the tax rate in the second quarter of 2025 as compared to the first quarter of 2025 and second quarter of 2024 is primarily the result of a decrease in tax credits and tax exempt interest income as a percentage of pre-tax income in 2025 as compared to 2024.

Community Banking

Northrim is committed to meeting the needs of the diverse communities in which it operates. As a testament to that support, the Bank has branches in four regions of Alaska identified by the Federal Reserve as ‘distressed or underserved non-metropolitan middle-income geographies’.

Net interest income in the Community Banking segment totaled $30.0 million in the second quarter of 2025, compared to $28.2 million in the first quarter of 2025 and $24.3 million in the second quarter of 2024. Net interest income increased $5.7 million or 23% in the second quarter of 2025 as compared to the second quarter of 2024 mostly due to higher interest income on loans. This increase was only partially offset by lower interest income on investments and higher interest expense on deposits and borrowings.

The provision for credit losses in the Community Banking segment was $1.3 million in the second quarter of 2025 compared to a benefit to the provision for credit losses of $1.8 million in the first quarter of 2025 and a benefit to the provision for credit losses of $184,000 in the same quarter a year ago. The increase to the provision for credit losses in the Community Banking segment in the second quarter of 2025 as compared to the prior quarter and the same quarter a year ago was primarily a result of increased loan balances as well as an increase in estimated loss rates due to less favorable economic forecasts and trends in qualitative factors. In the first quarter of 2025, the Company recorded a net benefit for credit losses in the Community Banking segment primarily due to changes in the Company’s loss rate regression models for commercial, commercial real estate, and construction loans. These decreases in the provision were only partially offset by increases in estimated loss rates for management’s assessment of economic conditions and an increase for higher loan balances.

Other operating expenses in the Community Banking segment totaled $21.8 million in the second quarter of 2025, up $3.2 million or 17% from $18.6 million in the first quarter of 2025, and up $3.7 million or 20% from $18.1 million in the second quarter a year ago. The increase in the second quarter of 2025 as compared to the prior quarter and compared to the same quarter a year ago was primarily due to increases in salaries and other personnel expense, including $667,000 in higher salary expense, an $873,000 increase in group medical expenses, as well as increases in profit share expense and payroll taxes. Additionally, marketing expense increased due to timing of annual charitable contributions.

The following tables provide highlights of the Community Banking segment of Northrim:

	Three Months Ended
(Dollars in thousands, except per share data)	June 30, 2025		March 31, 2025			December 31, 2024		September 30, 2024		June 30, 2024
Net interest income	$	29,971	$	28,151		$	27,643	$	25,928	$	24,318
(Benefit) provision for credit losses		1,319		(1,768	)		771		1,492		(184	)
Other operating income		3,268		2,703			2,535		3,507		2,451
Other operating expense		21,764		18,581			19,116		18,723		18,069
Income before provision for income taxes		10,156		14,041			10,291		9,220		8,884
Provision for income taxes		2,413		3,253			1,474		2,133		1,786
Net income	$	7,743	$	10,788		$	8,817	$	7,087	$	7,098
Weighted average shares outstanding, diluted		5,611,558		5,608,102			5,597,889		5,583,055		5,558,580
Diluted earnings per share attributable to Community Banking	$	1.37	$	1.93		$	1.58	$	1.26	$	1.27

	Year-to-date
(Dollars in thousands, except per share data)	June 30, 2025			June 30, 2024
Net interest income	$	58,122		$	48,533
(Benefit) provision for credit losses		(449	)		13
Other operating income		5,971			4,919
Other operating expense		40,345			35,247
Income before provision for income taxes		24,197			18,192
Provision for income taxes		5,666			3,752
Net income Community Banking segment	$	18,531		$	14,440
Weighted average shares outstanding, diluted		5,611,734			5,562,025
Diluted earnings per share	$	3.30		$	2.59

Home Mortgage Lending

During the second quarter of 2025, mortgage loans funded for sale were $249.7 million, compared to $108.5 million in the first quarter of 2025, and $152.3 million in the second quarter of 2024.

During the second quarter of 2025, the Bank purchased loans of $27.5 million from its subsidiary, Residential Mortgage, of which approximately half were jumbos, one-quarter were mortgages for second homes, and one-quarter were adjustable rate mortgages, with a weighted average interest rate of 6.71%, as compared to $13.1 million and 6.39% in the first quarter of 2025, and $29.2 million and 6.82% in the second quarter of 2024. Net interest income contributed $3.5 million to total Home Mortgage Lending revenue in the second quarter of 2025, up from $3.0 million in the prior quarter, and up from $2.8 million in the second quarter a year ago.

The Company reclassified $100 million in consumer mortgages held for investment to held for sale in the first quarter of 2025 and recorded unrealized losses of $1.2 million related to this portfolio in the first quarter of 2025. In the second quarter of 2025, the Company sold $61 million of the $100 million that was reclassified to loans held for sale in the first quarter of 2025 for a total realized loss of $545,000.

The Arizona, Colorado, and Pacific Northwest mortgage expansion markets were responsible for 22% of Residential Mortgage’s $216 million total production in the second quarter of 2025 (excluding the $61 million in mortgages sold noted above), 20% of $122 million total production in the first quarter of 2025, and 22% of $182 million total production in the second quarter of 2024.

The provision for credit losses in the Home Mortgage Lending segment was $639,000 in the second quarter of 2025 compared to a benefit to the provision for credit losses of $307,000 in the first quarter of 2025 and a provision for credit loses of $64,000 in the second quarter of 2024. The increase in the provision for credit losses in the second quarter of 2025 in the Home Mortgage Lending segment as compared to the prior quarter and the same quarter a year ago was primarily a result of increased loan balances. The benefit to the provision for loan losses in the Home Mortgage Lending segment in the first quarter of 2025 was primarily the result of the reclassification of $100 million in mortgage loans to loans held for sale, which was only partially offset by an increase in the provision for loan losses due to changes in the Company’s loss rate regression models for home mortgage loans.

The net change in fair value of mortgage servicing rights decreased mortgage banking income by $818,000 during the second quarter of 2025 compared to a decrease of $855,000 for the first quarter of 2025 and a decrease of $81,000 for the second quarter of 2024. Mortgage servicing revenue increased to $3.0 million in the second quarter of 2025 from $2.7 million in the prior quarter and increased from $2.2 million in the second quarter of 2024 due to an increase in production of Alaska Housing Finance Corporation (AHFC) mortgages, which contribute to servicing revenues at origination. In the second quarter of 2025, the Company’s servicing portfolio increased $69.3 million compared to a $24.0 million increase in the first quarter of 2025, and an increase of $41.8 million in the second quarter of 2024.

As of June 30, 2025, Northrim serviced 6,458 loans in its $1.55 billion home-mortgage-servicing portfolio, a 5% increase compared to the $1.48 billion serviced as of the end of the first quarter of 2025, and a 41% increase from the $1.10 billion serviced a year ago.

The following tables provide highlights of the Home Mortgage Lending segment of Northrim:

	Three Months Ended
(Dollars in thousands, except per share data)	June 30, 2025			March 31, 2025			December 31, 2024			September 30, 2024			June 30, 2024
Mortgage commitments	$	73,198		$	68,258		$	32,299		$	77,591		$	88,006

Mortgage loans funded for sale	$	249,680		$	108,499		$	162,530		$	209,960		$	152,339
Mortgage loans funded for investment		27,455			13,061			23,380			38,087			29,175
Total mortgage loans funded	$	277,135		$	121,560		$	185,910		$	248,047		$	181,514
Mortgage loan refinances to total fundings		10	%		11	%		11	%		6	%		6	%
Mortgage loans serviced for others	$	1,553,987		$	1,484,714		$	1,460,720		$	1,166,585		$	1,101,800

Net realized and unrealized gains on mortgage loans sold and held for sale	$	5,091		$	1,580		$	3,747		$	5,079		$	3,189
Change in fair value of mortgage loan commitments, net		(110	)		660			(665	)		60			390
Total production revenue		4,981			2,240			3,082			5,139			3,579
Mortgage servicing revenue		2,957			2,696			2,847			2,583			2,164
Change in fair value of mortgage servicing rights:
Due to changes in model inputs of assumptions¹		(355	)		(322	)		1,372			(566	)		239
Other²		(463	)		(533	)		(499	)		(402	)		(320	)
Total mortgage servicing revenue, net		2,139			1,841			3,720			1,615			2,083
Other mortgage banking revenue		280			170			238			293			222
Total mortgage banking income	$	7,400		$	4,251		$	7,040		$	7,047		$	5,884

Net interest income	$	3,507		$	3,046		$	3,280		$	2,941		$	2,775
Provision (benefit) for credit losses		639			(307	)		305			571			64
Mortgage banking income		7,400			4,251			7,040			7,047			5,884
Other operating expense		7,593			6,490			7,198			7,643			6,697
Income before provision for income taxes		2,675			1,114			2,817			1,774			1,898
Provision for income taxes		746			310			842			497			532
Net income	$	1,929		$	804		$	1,975		$	1,277		$	1,366

Weighted average shares outstanding, diluted		5,611,558			5,608,102			5,597,889			5,583,055			5,558,580
Diluted earnings per share attributable to Home Mortgage Lending	$	0.34		$	0.14		$	0.35		$	0.23		$	0.25

¹Principally reflects changes in discount rates and prepayment speed assumptions, which are primarily affected by changes in interest rates.
²Represents changes due to collection/realization of expected cash flows over time.

	Year-to-date
(Dollars in thousands, except per share data)	June 30, 2025			June 30, 2024
Mortgage loans funded for sale	$	358,179		$	236,663
Mortgage loans funded for investment		40,516			46,578
Total mortgage loans funded	$	398,695		$	283,241
Mortgage loan refinances to total fundings		10	%		6	%

Net realized and unrealized gains on mortgage loans sold and held for sale	$	6,671		$	5,168
Change in fair value of mortgage loan commitments, net		550			777
Total production revenue		7,221			5,945
Mortgage servicing revenue		5,653			3,725
Change in fair value of mortgage servicing rights:
Due to changes in model inputs of assumptions¹		(677	)		528
Other²		(996	)		(634	)
Total mortgage servicing revenue, net		3,980			3,619
Other mortgage banking revenue		450			351
Total mortgage banking income	$	11,651		$	9,915

Net interest income	$	6,553		$	5,007
Provision for credit losses		332			16
Mortgage banking income		11,651			9,915
Other operating expense		14,083			12,783
Income before provision for income taxes		3,789			2,123
Provision for income taxes		1,056			595
Net income Home Mortgage Lending segment	$	2,733		$	1,528

Weighted average shares outstanding, diluted		5,611,734			5,562,025
Diluted earnings per share	$	0.48		$	0.28

¹Principally reflects changes in discount rates and prepayment speed assumptions, which are primarily affected by changes in interest rates.
²Represents changes due to collection/realization of expected cash flows over time.

Specialty Finance

The Company’s Specialty Finance segment includes Northrim Funding Services and Sallyport. Northrim Funding Services is a division of the Bank and has offered factoring solutions to small businesses since 2004. Sallyport is a leading provider of factoring, asset-based lending and alternative working capital solutions to small and medium sized enterprises in the United States, Canada, and the United Kingdom that the Company acquired on October 31, 2024 in an all cash transaction valued at approximately $53.9 million. The composition of revenues for the Specialty Finance segment are primarily purchased receivable income, but also includes interest income from loans and other fee income.

The acquisition of Sallyport included $1.1 million in one-time deal related costs which are reflected in other operating expenses for the fourth quarter of 2024 in the tables below. Total pre-tax income for Sallyport for the second quarter of 2025 was $1.3 million compared to $1.3 million in the first quarter of 2025 and $945,000 for the two months of operations in the fourth quarter of 2024, excluding transaction costs.

Average purchased receivables and loan balances at Sallyport were $71.0 million for the second quarter of 2025 with a yield of 27.23% compared to average balances of $59.9 million for the first quarter of 2025 and a yield of 35.8%. The yield in the first quarter of 2025 included the recognition of $899,000 in nonaccrual fee income collected during the quarter related to two nonperforming receivables and the collection of a $350,000 line termination fee. The yield excluding these items for the first quarter of 2025 was 27.4%.

The following tables provide highlights of the Specialty Finance segment of Northrim:

	Three Months Ended
(Dollars in thousands, except per share data)	June 30, 2025		March 31, 2025			December 31, 2024			September 30, 2024		June 30, 2024
Purchased receivable income	$	5,897	$	6,150		$	3,526		$	1,033	$	1,242
Other operating income		75		(64	)		(68	)		—		—
Interest income		782		596			407			158		170
Total revenue		6,754		6,682			3,865			1,191		1,412
Provision for credit losses		18		666			125			—		—
Compensation expense – SCF acquisition payments		600		600			—			—		—
Other operating expense		2,531		2,500			3,063			362		428
Interest expense		668		496			489			185		210
Total expense		3,817		4,262			3,677			547		638
Income before provision for income taxes		2,937		2,420			188			644		774
Provision for income taxes		831		688			53			183		218
Net income Specialty Finance segment	$	2,106	$	1,732		$	135		$	461	$	556
Weighted average shares outstanding, diluted		5,611,558		5,608,102			5,597,889			5,583,055		5,558,580
Diluted earnings per share attributable to Specialty Finance	$	0.38	$	0.31		$	0.02		$	0.08	$	0.10

	Year-to-date
(Dollars in thousands, except per share data)	June 30, 2025		June 30, 2024
Purchased receivable income	$	12,047	$	2,587
Other operating income		11		—
Interest income		1,378		382
Total revenue		13,436		2,969
Provision for credit losses		684		—
Compensation expense – SCF acquisition payments		1,200		—
Other operating expense		5,031		802
Interest expense		1,164		422
Total expense		8,079		1,224
Income before provision for income taxes		5,357		1,745
Provision for income taxes		1,519		494
Net income Specialty Finance segment	$	3,838	$	1,251
Weighted average shares outstanding, diluted		5,611,734		5,562,025
Diluted earnings per share	$	0.69	$	0.23

Balance Sheet Review

Northrim’s total assets were $3.24 billion at June 30, 2025, up 3% from the preceding quarter and up 15% from a year ago. Northrim’s loan-to-deposit ratio was 78% at June 30, 2025, up from 76% at both March 31, 2025 and June 30, 2024.

At June 30, 2025, liquid assets, investments, and loans maturing within one year were $1.15 billion and our funds available for borrowing under our existing lines of credit were $507.9 million. Given these sources of liquidity and our expectations for customer demands for cash and for our operating cash needs, we believe our sources of liquidity to be sufficient for the foreseeable future.

Average interest-earning assets were $2.89 billion in the second quarter of 2025, up 4% from $2.78 billion in the first quarter of 2025 and up 12% from $2.57 billion in the second quarter a year ago. The average yield on interest-earning assets was 6.27% in the second quarter of 2025, up from 6.10% in the preceding quarter and up from 5.83% in the second quarter of 2024.

Average investment securities decreased to $515.9 million in the second quarter of 2025, compared to $523.8 million in the first quarter of 2025 and $640.0 million in the second quarter a year ago. The average net tax equivalent yield on the securities portfolio was 3.07% for the second quarter of 2025, up from 2.97% in the preceding quarter and up from 2.82% in the year ago quarter. The average estimated duration of the investment portfolio at June 30, 2025, was approximately 2.4 years compared to approximately 2.5 years at June 30, 2024. As of June 30, 2025, $55.7 million of available for sale securities with a weighted average yield of 1.40% are scheduled to mature in the next six months, $106.8 million with a weighted average yield of 1.28% are scheduled to mature in six months to one year, and $145.0 million with a weighted average yield of 1.96% are scheduled to mature in the following year, representing a total of $307.5 million or 11% of earning assets that are scheduled to mature in the next 24 months.

Total unrealized losses, net of tax, on available for sale securities decreased by $1.9 million in the second quarter of 2025 resulting in total unrealized loss, net of tax, of $3.6 million compared to $5.5 million at March 31, 2025, and $15.2 million a year ago. The average maturity of the available for sale securities with the majority of the unrealized loss is 1.3 years. Total unrealized losses on held to maturity securities were $711,000 at June 30, 2025, compared to $1.1 million at March 31, 2025, and $3.0 million a year ago.

Average interest bearing deposits in other banks decreased to $27.2 million in the second quarter of 2025 from $38.0 million in the first quarter of 2025 and increased from $17.4 million in the second quarter of 2024, as cash was used to fund loan growth and provide liquidity.

Loans held for sale decreased to $127.1 million at June 30, 2025, compared to $159.6 million at March 31, 2025, largely due to the sale of $61 million consumer mortgage loans in the second quarter of 2025 that had been reclassified to loans held for sale from portfolio loans in the first quarter of 2025, and increased from $85.9 million a year ago, due to higher loan production by Residential Mortgage.

Portfolio loans were $2.20 billion at June 30, 2025, up 4% from the preceding quarter and up 17% from a year ago. Portfolio loans, excluding consumer mortgage loans, were $2.00 billion at June 30, 2025, up $59.1 million or 3% from the preceding quarter and up 21% from a year ago. This increase in the second quarter of 2025 was diversified throughout the loan portfolio including consumer mortgage loans increasing by $19 million, construction loans increasing by $31.2 million, commercial real estate owner-occupied loans increasing $17.1 million, and nonowner-occupied commercial real estate and multi-family loans increasing by $6.5 million from the preceding quarter. These increases were partially offset by a $3.8 million decrease in commercial loans. Average portfolio loans in the second quarter of 2025 were $2.17 billion, which was consistent with the preceding quarter after the sale of $61 million in consumer mortgage loans, and up 18% from a year ago. Yields on average portfolio loans in the second quarter of 2025 increased to 6.99% from 6.89% in the first quarter and increased from 6.87% in the second quarter of 2024. The yield on new portfolio loans, excluding consumer mortgage loans, was 7.45% in the second quarter of 2025 as compared to 7.43% in the first quarter of 2025 and 8.26% in the second quarter of 2024.

Northrim’s loans and credit lines are subject to approval procedures and amount limitations. These limitations apply to the borrower’s total outstanding indebtedness and commitments to us, including the indebtedness of any guarantor. Generally, Northrim is permitted to make loans to one borrower of up to 15% of the unimpaired capital and surplus of the Bank. The legal lending limit was $39.4 million at June 30, 2025. At June 30, 2025, Northrim had 22 relationships totaling $504.0 million in portfolio loans whose total direct and indirect commitments were greater than 50% of the legal lending limit.

Alaskans continue to account for substantially all of Northrim’s deposit base. Total deposits were $2.81 billion at June 30, 2025, up 1% from $2.78 billion at March 31, 2025, and up 14% from $2.46 billion a year ago. “The increase in deposits in the second quarter of 2025 was consistent with our customers’ normal business cycles which typically result in increases in deposit balances in the second and third quarters and decreases in the first and fourth quarters,” said Ballard. At June 30, 2025, 75% of total deposits were held in business accounts and 25% of deposit balances were held in consumer accounts. Northrim had approximately 34,000 deposit customers with an average balance of $60,000 as of June 30, 2025. Northrim had 27 customers with balances over $10 million as of June 30, 2025, which accounted for $731.1 million, or 27%, of total deposits. Demand deposits increased by 5% from the prior quarter and increased 10% from the prior year to $777.9 million at June 30, 2025. Demand deposits were 28% of total deposits at June 30, 2025 up from 27% at March 31, 2025 and were down from 29% of total deposits at June 30, 2024. Average interest-bearing deposits were up 1% to $2.03 billion with an average cost of 2.04% in the second quarter of 2025, compared to $2.00 billion and an average cost of 2.01% in the first quarter of 2025, and up 18% compared to $1.73 billion and an average cost of 2.21% in the second quarter of 2024. Uninsured deposits totaled $1.02 billion or 36% of total deposits as of June 30, 2025 compared to $1.08 billion or 40% of total deposits as of December 31, 2024.

Shareholders’ equity was $290.2 million, or $52.55 book value per share, at June 30, 2025, compared to $279.8 million, or $50.67 book value per share, at March 31, 2025 and $247.2 million, or $44.93 book value per share, a year ago. Tangible book value per share^* was $43.35 at June 30, 2025, compared to $41.47 at March 31, 2025, and $42.03 per share a year ago. The increase in shareholders’ equity in the second quarter of 2025 as compared to the first quarter of 2025 was largely the result of earnings of $11.8 million and an increase in the fair value of the available for sale securities portfolio, which increased $1.9 million, net of tax, which were only partially offset by dividends paid of $3.6 million. The Company did not repurchase any shares of common stock in the second quarter of 2025 and currently has no plans to repurchase shares this year. Tangible common equity to tangible assets^* was 7.50% as of June 30, 2025, compared to 7.41% as of March 31, 2025 and 8.24% as of June 30, 2024. Northrim continues to maintain capital levels in excess of the requirements to be categorized as “well-capitalized” with Tier 1 Capital to Risk Adjusted Assets of 9.80% at June 30, 2025, compared to 9.76% at March 31, 2025, and 11.68% at June 30, 2024.

Asset Quality

Northrim believes it has a consistent lending approach throughout economic cycles, which emphasizes appropriate loan-to-value ratios, adequate debt coverage ratios, and competent management.

Nonperforming assets (“NPAs”) net of government guarantees were $11.9 million at June 30, 2025, down from $12.3 million at March 31, 2025 and up from $5.1 million a year ago. Of the NPAs at June 30, 2025, $4.2 million are attributable to the Community Banking segment and $7.5 million are attributable to the Specialty Finance segment.

Net adversely classified loans were $35.8 million at June 30, 2025, as compared to $20.4 million at March 31, 2025, and $7.1 million a year ago. Adversely classified loans are loans that Northrim has classified as substandard, doubtful, and loss, net of government guarantees. The increase in adversely classified loans, net of government guarantees, at June 30, 2025 as compared to the prior quarter is mostly attributable to two commercial relationships totaling $16.0 million. Net loan charge-offs were $140,000 in the second quarter of 2025, compared to net loan recoveries of $34,000 in the first quarter of 2025, and net loan recoveries of $26,000 in the second quarter of 2024. Additionally, Northrim had 13 loan modifications to borrowers experiencing financial difficulty totaling $3.3 million, net of government guarantees that had been modified in the last twelve months as of June 30, 2025.

Northrim had $141.2 million, or 6% of portfolio loans, in the Healthcare sector, $127.2 million, or 6% of portfolio loans, in the Tourism sector, $121.0 million, or 5% of portfolio loans, in the Accommodations sector, $93.4 million, or 4% of portfolio loans, in the Retail sector, $84.2 million, or 4% of portfolio loans, in the Aviation (non-tourism) sector, $76.2 million, or 3% of portfolio loans, in the Fishing sector, and $59.5 million, or 3% in the Restaurants and Breweries sector as of June 30, 2025.

Northrim estimates that $105.9 million, or approximately 5% of portfolio loans, had direct exposure to the oil and gas industry in Alaska, as of June 30, 2025, and $1.5 million of these loans are adversely classified. As of June 30, 2025, Northrim has an additional $76.9 million in unfunded commitments to companies with direct exposure to the oil and gas industry in Alaska, and no unfunded commitments on adversely classified loans. Northrim defines direct exposure to the oil and gas sector as loans to borrowers that provide oilfield services and other companies that have been identified as significantly reliant upon activity in Alaska related to the oil and gas industry, such as lodging, equipment rental, transportation and other logistics services specific to this industry.

About Northrim BanCorp

Northrim BanCorp, Inc. is the parent company of Northrim Bank, an Alaska-based community bank with 20 branches throughout the state and differentiates itself with its detailed knowledge of Alaska’s economy and its “Customer First Service” philosophy. The Bank has two wholly-owned subsidiaries, Sallyport Commercial Finance, LLC, a specialty finance company and Residential Mortgage Holding Company, LLC, a regional home mortgage company. Pacific Wealth Advisors, LLC is an affiliated company.

www.northrim.com

Forward-Looking Statement

This release may contain “forward-looking statements” as that term is defined for purposes of Section 21E of the Securities Exchange Act of 1934, as amended. These statements are, in effect, management’s attempt to predict future events, and thus are subject to various risks and uncertainties. Readers should not place undue reliance on forward-looking statements, which reflect management’s views only as of the date hereof. All statements, other than statements of historical fact, regarding our financial position, business strategy, management’s plans and objectives for future operations are forward-looking statements. When used in this report, the words “anticipate,” “believe,” “estimate,” “expect,” and “intend” and words or phrases of similar meaning, as they relate to Northrim and its management are intended to help identify forward-looking statements. Although we believe that management’s expectations as reflected in forward-looking statements are reasonable, we cannot assure readers that those expectations will prove to be correct. Forward-looking statements, are subject to various risks and uncertainties that may cause our actual results to differ materially and adversely from our expectations as indicated in the forward-looking statements. These risks and uncertainties include: descriptions of Northrim’s and Sallyport’s financial condition, results of operations, asset based lending volumes, asset and credit quality trends and profitability and statements about the expected financial benefits and other effects of the acquisition of Sallyport by Northrim Bank; expected cost savings, synergies and other financial benefits from the acquisition of Sallyport by Northrim Bank might not be realized within the expected time frames and costs or difficulties relating to integration matters might be greater than expected; the ability of Northrim and Sallyport to execute their respective business plans; potential further increases in interest rates; the value of securities held in our investment portfolio; the impact of the results of government initiatives, including tariffs, on the regulatory landscape, natural resource extraction industries, and capital markets; the impact of declines in the value of commercial and residential real estate markets, high unemployment rates, inflationary pressures and slowdowns in economic growth; changes in banking regulation or actions by bank regulators; potential further increases in inflation, supply-chain constraints, and potential geopolitical instability, including the war in Ukraine and the conflict in the Middle East; financial stress on borrowers (consumers and businesses) as a result of higher rates or an uncertain economic environment; the general condition of, and changes in, the Alaska economy; our ability to maintain or expand our market share or net interest margin; the sufficiency of our allowance for credit losses and the accuracy of the assumptions or estimates used in preparing our financial statements, including those related to current expected credit losses accounting guidance; our ability to maintain asset quality; our ability to implement our marketing and growth strategies; our ability to identify and address cyber-security risks, including security breaches, “denial of service attacks,” “hacking,” and identity theft; disease outbreaks; and our ability to execute our business plan. Further, actual results may be affected by competition on price and other factors with other financial institutions; customer acceptance of new products and services; the regulatory environment in which we operate; and general trends in the local, regional and national banking industry and economy. In addition, there are risks inherent in the banking industry relating to collectability of loans and changes in interest rates. Many of these risks, as well as other risks that may have a material adverse impact on our operations and business, are identified in the “Risk Factors” section of our Annual Report on Form 10-K for the fiscal year ended December 31, 2024, and from time to time are disclosed in our other filings with the Securities and Exchange Commission. However, you should be aware that these factors are not an exhaustive list, and you should not assume these are the only factors that may cause our actual results to differ from our expectations. These forward-looking statements are made only as of the date of this release, and Northrim does not undertake any obligation to release revisions to these forward-looking statements to reflect events or conditions after the date of this release.
References:

https://www.bea.gov/

http://almis.labor.state.ak.us/

http://www.tax.alaska.gov/programs/oil/prevailing/ans.aspx

http://www.tax.state.ak.us/

https://www.bls.gov/regions/west/news-release/consumerpriceindex_anchorage.htm

https://www.alaskarealestate.com/MLSMember/RealEstateStatistics.aspx

https://www.akleg.gov/basis/Bill/Text/34?Hsid=HJR011C

https://www.trade.gov/data-visualization/tradestats-express-trade-partner-state

https://tax.alaska.gov/programs/programs/reports/RSB.aspx?Year=2025&Type=Spring

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https://www.capitaliq.spglobal.com/web/client?auth=inherit&overridecdc=1&#markets/indexFinancials

Contact:	Mike Huston, President, CEO, and COO
	(907) 261-8750
	Jed Ballard, Chief Financial Officer
	(907) 261-3539

Income Statement
(Dollars in thousands, except per share data)	Three Months Ended								Year-to-date
(Unaudited)	June 30,		March 31,			June 30,			June 30,		June 30,
		2025		2025			2024			2025		2024
Interest Income:
Interest and fees on loans	$	40,519	$	37,470		$	32,367		$	77,989	$	62,817
Interest on portfolio investments		3,765		3,675			4,310			7,440		8,830
Interest on deposits in banks		515		416			232			931		1,070
Total interest income		44,799		41,561			36,909			86,360		72,717
Interest Expense:
Interest expense on deposits		10,304		9,935			9,476			20,239		18,656
Interest expense on borrowings		903		329			380			1,232		561
Total interest expense		11,207		10,264			9,856			21,471		19,217
Net interest income		33,592		31,297			27,053			64,889		53,500

Provision (benefit) for credit losses		1,976		(1,409	)		(120	)		567		29
Net interest income after provision for credit losses		31,616		32,706			27,173			64,322		53,471

Other Operating Income:
Mortgage banking income		7,400		4,251			5,884			11,651		9,915
Purchased receivable income		5,897		6,100			1,242			12,047		2,587
Bankcard fees		1,153		1,074			1,105			2,227		2,022
Service charges on deposit accounts		726		677			572			1,403		1,121
Unrealized gain (loss) on marketable equity securities		78		(50	)		(60	)		28		254
Other income		1,386		988			834			2,324		1,522
Total other operating income		16,640		13,040			9,577			29,680		17,421

Other Operating Expense:
Salaries and other personnel expense		20,854		17,223			16,627			38,077		32,044
Data processing expense		3,366		3,104			2,601			6,470		5,260
Occupancy expense		2,104		1,889			1,843			3,993		3,805
Professional and outside services		1,113		1,115			726			2,228		1,481
Marketing expense		1,042		672			690			1,714		1,203
Insurance expense		756		1,017			692			1,773		1,471
Compensation expense – SCF acquisition payments		600		600			—			1,200		—
OREO expense, net rental income and gains on sale		2		3			2			5		(389	)
Other expense		2,651		2,548			2,013			5,199		3,957
Total other operating expense		32,488		28,171			25,194			60,659		48,832

Income before provision for income taxes		15,768		17,575			11,556			33,343		22,060
Provision for income taxes		3,990		4,251			2,536			8,241		4,841
Net income	$	11,778	$	13,324		$	9,020		$	25,102	$	17,219

Basic EPS	$	2.13	$	2.41		$	1.64		$	4.54	$	3.13
Diluted EPS	$	2.09	$	2.38		$	1.62		$	4.47	$	3.10
Weighted average shares outstanding, basic		5,521,811		5,519,998			5,500,588			5,520,905		5,500,083
Weighted average shares outstanding, diluted		5,611,558		5,608,102			5,558,580			5,611,734		5,562,025

Balance Sheet
(Dollars in thousands)
(Unaudited)	June 30,			March 31,			June 30,
		2025			2025			2024

Assets:
Cash and due from banks	$	43,734		$	29,671		$	33,364
Interest bearing deposits in other banks		97,549			35,852			21,058
Investment securities available for sale, at fair value		429,421			463,096			584,964
Investment securities held to maturity		36,750			36,750			36,750
Marketable equity securities, at fair value		8,747			8,669			12,381
Investment in Federal Home Loan Bank stock		8,343			5,342			4,929
Loans held for sale		127,116			159,603			85,926

Portfolio loans		2,202,115			2,124,330			1,875,907
Allowance for credit losses, loans		(22,585	)		(20,922	)		(17,694	)
Net portfolio loans		2,179,530			2,103,408			1,858,213
Purchased receivables, net		109,098			95,489			25,722
Mortgage servicing rights, at fair value		27,506			26,814			21,077
Other real estate owned, net		—			—			—
Premises and equipment, net		36,501			37,070			40,393
Lease right of use asset		7,033			7,632			8,244
Goodwill and intangible assets		50,824			50,824			15,967
Other assets		81,608			80,740			72,680
Total assets	$	3,243,760		$	3,140,960		$	2,821,668

Liabilities:
Demand deposits	$	777,948		$	742,560		$	704,471
Interest-bearing demand		1,196,048			1,187,465			906,010
Savings deposits		248,141			256,650			238,156
Money market deposits		196,166			193,842			195,159
Time deposits		390,867			397,460			420,010
Total deposits		2,809,170			2,777,977			2,463,806
Other borrowings		63,026			13,136			43,961
Junior subordinated debentures		10,310			10,310			10,310
Lease liability		7,077			7,682			8,269
Other liabilities		63,958			52,099			48,122
Total liabilities		2,953,541			2,861,204			2,574,468

Shareholders’ Equity:
Total shareholders’ equity		290,219			279,756			247,200
Total liabilities and shareholders’ equity	$	3,243,760		$	3,140,960		$	2,821,668

Additional Financial Information
(Dollars in thousands)
(Unaudited)

Composition of Portfolio Loans
	June 30, 2025					March 31, 2025					December 31, 2024					September 30, 2024					June 30, 2024
	Balance			% of total		Balance			% of total		Balance			% of total		Balance			% of total		Balance			% of total
Commercial loans	$	569,753		27	%	$	573,593		27	%	$	518,148		24	%	$	492,414		24	%	$	495,781		26	%
Commercial real estate:
Owner occupied properties		447,561		20	%		430,442		20	%		420,060		20	%		412,827		20	%		383,832		20	%
Nonowner occupied and
multifamily properties		696,766		31	%		690,277		32	%		619,431		29	%		584,302		31	%		551,130		30	%
Residential real estate:
1-4 family properties
secured by first liens		206,905		9	%		188,219		9	%		270,535		13	%		248,514		12	%		222,026		12	%
1-4 family properties
secured by junior liens &
revolving secured by first liens		60,118		3	%		53,836		3	%		48,857		2	%		45,262		2	%		41,258		2	%
1-4 family construction		36,005		2	%		34,017		2	%		39,789		2	%		39,794		2	%		29,510		2	%
Construction loans		187,442		8	%		156,211		7	%		214,068		10	%		185,362		9	%		154,009		8	%
Consumer loans		7,570		—	%		7,424		—	%		7,562		—	%		7,836		—	%		6,679		—	%
Subtotal		2,212,120					2,134,019					2,138,450					2,016,311					1,884,225
Unearned loan fees, net		(10,005	)				(9,689	)				(9,187	)				(8,746	)				(8,318	)
Total portfolio loans	$	2,202,115				$	2,124,330				$	2,129,263				$	2,007,565				$	1,875,907

Composition of Deposits
	June 30, 2025				March 31, 2025				December 31, 2024				September 30, 2024				June 30, 2024
	Balance		% of total		Balance		% of total		Balance		% of total		Balance		% of total		Balance		% of total
Demand deposits	$	777,948	28	%	$	742,560	27	%	$	706,225	27	%	$	763,595	29	%	$	704,471	29	%
Interest-bearing demand		1,196,048	42	%		1,187,465	43	%		1,108,404	41	%		979,238	37	%		906,010	36	%
Savings deposits		248,141	9	%		256,650	9	%		250,900	9	%		245,043	9	%		238,156	10	%
Money market deposits		196,166	7	%		193,842	7	%		196,290	7	%		204,821	8	%		195,159	8	%
Time deposits		390,867	14	%		397,460	14	%		418,370	16	%		435,870	17	%		420,010	17	%
Total deposits	$	2,809,170			$	2,777,977			$	2,680,189			$	2,628,567			$	2,463,806

Additional Financial Information
(Dollars in thousands)
(Unaudited)

Asset Quality	June 30,		March 31,		June 30,
		2025		2025		2024
Nonaccrual loans – Community Banking	$	4,180	$	4,274	$	4,233
Nonaccrual loans – Home Mortgage Lending		197		221		253
Nonaccrual loans – Specialty Finance		3,484		3,573		344
Nonaccrual loans – Total		7,861		8,068		4,830
Loans 90 days past due and accruing – Community Banking		—		—		17
Loans 90 days past due and accruing – Total		—		—		17
Total nonperforming loans – Community Banking		4,180		4,274		4,250
Total nonperforming loans – Home Mortgage Lending		197		221		253
Total nonperforming loans – Specialty Finance		3,484		3,573		344
Total nonperforming loans – Total		7,861		8,068		4,847
Nonperforming loans guaranteed by gov’t – Community Banking		70		80		—
Nonperforming loans guaranteed by gov’t – Total		70		80		—
Net nonperforming loans – Community Banking		4,110		4,194		4,250
Net nonperforming loans – Home Mortgage Lending		197		221		253
Net nonperforming loans – Specialty Finance		3,484		3,573		344
Net nonperforming loans – Total		7,791		7,988		4,847

Repossessed assets – Community Banking		50		297		297
Repossessed assets – Total		50		297		297

Nonperforming purchased receivables – Specialty Finance		4,017		4,007		—

Net nonperforming assets – Community Banking		4,160		4,491		4,547
Net nonperforming assets – Home Mortgage Lending		197		221		253
Net nonperforming assets – Specialty Finance		7,501		7,580		344
Net nonperforming assets – Total	$	11,858	$	12,292	$	5,144

Adversely classified loans, net of gov’t guarantees – Community Banking	$	32,128	$	16,592	$	6,006
Adversely classified loans, net of gov’t guarantees – Home Mortgage Lending		223		252		718
Adversely classified loans, net of gov’t guarantees – Specialty Finance		3,484		3,573		344
Adversely classified loans, net of gov’t guarantees – Total	$	35,835	$	20,417	$	7,068

Special mention loans, net of gov’t guarantees – Community Banking	$	3,966	$	14,496	$	8,902
Special mention loans, net of gov’t guarantees – Home Mortgage Lending		790		637		—
Special mention loans, net of gov’t guarantees – Total	$	4,756	$	15,133	$	8,902

Asset Quality, Continued	June 30,				March 31,				June 30,
		2025				2025				2024
Nonperforming loans, net of government guarantees / portfolio loans		0.35		%		0.38		%		0.26		%
Nonperforming loans, net of government guarantees / portfolio loans,
net of government guarantees		0.38		%		0.40		%		0.28		%
Nonperforming assets, net of government guarantees / total assets		0.37		%		0.39		%		0.18		%
Nonperforming assets, net of government guarantees / total assets
net of government guarantees		0.38		%		0.41		%		0.19		%

Loans 30-89 days past due and accruing, net of government guarantees /								%
portfolio loans		0.06		%		0.04		%		0.03		%
Loans 30-89 days past due and accruing, net of government guarantees /
portfolio loans, net of government guarantees		0.06		%		0.04		%		0.04		%

Allowance for credit losses for loans / portfolio loans		1.03		%		0.98		%		0.94		%
Allowance for credit losses for loans / portfolio loans, net of gov’t guarantees		1.10		%		1.06		%		1.01		%
Allowance for credit losses for loans / nonperforming loans, net of
government guarantees		290		%		262		%		365		%

Gross loan charge-offs for the quarter – Community Banking	$3				$50				$—
Gross loan charge-offs for the quarter – Specialty Finance		152				—				—
Gross loan charge-offs for the quarter – Total		155				50				—

Gross loan recoveries for the quarter – Community Banking		(15	)			(84	)			(26	)
Gross loan recoveries for the quarter – Home Mortgage Lending		—				—				—
Gross loan recoveries for the quarter – Specialty Finance		—				—				—
Gross loan recoveries for the quarter – Total	($15		)		($84		)		($26		)

Net loan (recoveries) charge-offs for the quarter – Community Banking	($12		)		($34		)		($26		)
Net loan (recoveries) charge-offs for the quarter – Specialty Finance		152				—				—
Net loan (recoveries) charge-offs for the quarter – Total	$140				($34		)		($26		)

Net loan charge-offs (recoveries) year-to-date – Community Banking	($46		)		($34		)		($68		)
Net loan charge-offs (recoveries) year-to-date – Specialty Finance		152				—				—
Net loan charge-offs (recoveries) year-to-date – Total	$106				($34		)		($68		)

Net loan charge-offs (recoveries) for the quarter / average loans, for the quarter		0.01		%		—		%		—		%

Net loan charge-offs (recoveries) year-to-date / average loans,
year-to-date annualized		0.01		%		(0.01	)	%		(0.01	)	%

Allowance for credit losses for purchased receivables / purchased receivables		3.05		%		3.72		%		—		%

Net purchased receivable charge-offs (recoveries) for the quarter	$281				$—				$—

Net purchased receivable charge-offs (recoveries) year-to-date	$281				$—				$—

Net purchased receivable charge-offs (recoveries) for the quarter /
average purchased receivables, for the quarter		0.27		%	NA				NA

Net purchased receivable charge-offs (recoveries) year-to-date / average
purchased receivables, year-to-date annualized		0.61		%	NA				NA

Additional Financial Information
(Dollars in thousands)
(Unaudited)

Average Balances, Yields, and Rates
	Three Months Ended
	June 30, 2025					March 31, 2025					June 30, 2024
				Average					Average					Average
	Average			Tax Equivalent		Average			Tax Equivalent		Average			Tax Equivalent
	Balance			Yield/Rate		Balance			Yield/Rate		Balance			Yield/Rate
Assets
Interest bearing deposits in other banks	$	27,216		7.60	%	$	37,969		4.44	%	$	17,352		5.27	%
Portfolio investments		515,916		3.07	%		523,753		2.97	%		639,980		2.82	%
Loans held for sale		173,675		6.50	%		46,223		5.86	%		65,102		6.08	%
Portfolio loans		2,172,482		6.99	%		2,173,425		6.89	%		1,845,832		6.87	%
Total interest-earning assets		2,889,289		6.27	%		2,781,370		6.10	%		2,568,266		5.83	%
Nonearning assets		306,206					293,415					204,509
Total assets	$	3,195,495				$	3,074,785				$	2,772,775

Liabilities and Shareholders’ Equity
Interest-bearing deposits	$	2,029,100		2.04	%	$	2,002,594		2.01	%	$	1,725,013		2.21	%
Borrowings		86,404		4.14	%		37,081		3.55	%		38,390		3.92	%
Total interest-bearing liabilities		2,115,504		2.12	%		2,039,675		2.04	%		1,763,403		2.25	%

Noninterest-bearing demand deposits		737,112					697,534					706,339
Other liabilities		54,320					63,348					58,549
Shareholders’ equity		288,559					274,228					244,484
Total liabilities and shareholders’ equity	$	3,195,495				$	3,074,785				$	2,772,775
Net spread				4.15	%				4.06	%				3.58	%
NIM				4.66	%				4.55	%				4.24	%
NIMTE^*				4.72	%				4.61	%				4.30	%
Cost of funds				1.57	%				1.52	%				1.60	%
Average portfolio loans to average
interest-earning assets		75.19	%				78.14	%				71.87	%
Average portfolio loans to average total deposits		78.54	%				80.49	%				75.92	%
Average non-interest deposits to average
total deposits		26.65	%				25.83	%				29.05	%
Average interest-earning assets to average
interest-bearing liabilities		136.58	%				136.36	%				145.64	%

Additional Financial Information
(Dollars in thousands)
(Unaudited)

Average Balances, Yields, and Rates
	Year-to-date
	June 30, 2025					June 30, 2024
				Average					Average
	Average			Tax Equivalent		Average			Tax Equivalent
	Balance			Yield/Rate		Balance			Yield/Rate
Assets
Interest bearing deposits in other banks	$	32,563		5.77	%	$	39,457		5.36	%
Portfolio investments		519,813		3.02	%		655,458		2.82	%
Loans held for sale		110,301		6.35	%		48,868		6.10	%
Portfolio loans		2,172,950		6.94	%		1,819,629		6.81	%
Total interest-earning assets		2,835,627		6.19	%		2,563,412		5.76	%
Nonearning assets		299,848					202,819
Total assets	$	3,135,475				$	2,766,231

Liabilities and Shareholders’ Equity
Interest-bearing deposits	$	2,015,920		2.02	%	$	1,728,468		2.17	%
Borrowings		61,879		3.96	%		31,167		3.55	%
Total interest-bearing liabilities		2,077,799		2.08	%		1,759,635		2.19	%

Noninterest-bearing demand deposits		717,432					705,736
Other liabilities		58,809					59,478
Shareholders’ equity		281,435					241,382
Total liabilities and shareholders’ equity	$	3,135,475				$	2,766,231
Net spread				4.11	%				3.57	%
NIM				4.61	%				4.20	%
NIMTE^*				4.66	%				4.26	%
Cost of funds				1.55	%				1.57	%
Average portfolio loans to average interest-earning assets		76.63	%				70.98	%
Average portfolio loans to average total deposits		79.50	%				74.75	%
Average non-interest deposits to average total deposits		26.25	%				28.99	%
Average interest-earning assets to average interest-bearing liabilities		136.47	%				145.68	%

Additional Financial Information
(Dollars in thousands, except per share data)
(Unaudited)

Capital Data (At quarter end)
	June 30, 2025				March 31, 2025				June 30, 2024
Book value per share	$52.55				$50.67				$44.93
Tangible book value per share^*	$43.35				$41.47				$42.03
Total shareholders’ equity/total assets		8.95		%		8.91		%		8.76		%
Tangible Common Equity/Tangible Assets^*		7.50		%		7.41		%		8.24		%
Tier 1 Capital / Risk Adjusted Assets		9.80		%		9.76		%		11.68		%
Total Capital / Risk Adjusted Assets		10.71		%		10.62		%		12.58		%
Tier 1 Capital / Average Assets		7.99		%		8.02		%		9.17		%
Shares outstanding		5,522,271				5,520,892				5,501,562
Total unrealized loss on AFS debt securities, net of income taxes	($3,571		)		($5,452		)		($15,197		)
Total unrealized gain on derivatives and hedging activities, net of income taxes	$1,026				$1,097				$1,212

Profitability Ratios
	June 30, 2025		March 31, 2025		December 31, 2024		September 30, 2024		June 30, 2024
For the quarter:
NIM	4.66	%	4.55	%	4.41	%	4.29	%	4.24	%
NIMTE^*	4.72	%	4.61	%	4.47	%	4.35	%	4.30	%
Efficiency ratio	64.68	%	63.54	%	66.96	%	66.11	%	68.78	%
Return on average assets	1.48	%	1.76	%	1.43	%	1.22	%	1.31	%
Return on average equity	16.37	%	19.70	%	16.32	%	13.69	%	14.84	%

	June 30, 2025		June 30, 2024
Year-to-date:
NIM	4.61	%	4.20	%
NIMTE^*	4.66	%	4.26	%
Efficiency ratio	64.14	%	68.85	%
Return on average assets	1.61	%	1.25	%
Return on average equity	17.99	%	14.35	%

*Non-GAAP Financial Measures
(Dollars and shares in thousands, except per share data)
(Unaudited)

Non-GAAP financial measures have inherent limitations, are not required to be uniformly applied, and are not audited. Although we believe these non-GAAP financial measures are frequently used by stakeholders in the evaluation of the Company, they have limitations as analytical tools and should not be considered in isolation or as a substitute for analysis of results as reported under GAAP.

Net interest margin on a tax equivalent basis

Net interest margin on a tax equivalent basis (“NIMTE”) is a non-GAAP performance measurement in which interest income on non-taxable investments and loans is presented on a tax equivalent basis using a combined federal and state statutory rate of 28.43% in both 2025 and 2024. The most comparable GAAP measure is net interest margin and the following table sets forth the reconciliation of NIMTE to net interest margin for the periods indicated.

	Three Months Ended
	June 30, 2025			March 31, 2025			December 31, 2024			September 30, 2024			June 30, 2024
Net interest income	$	33,592		$	31,297		$	30,841		$	28,842		$	27,053
Divided by average interest-bearing assets		2,889,289			2,781,370			2,787,517			2,674,291			2,568,266
Net interest margin (“NIM”)²		4.66	%		4.55	%		4.41	%		4.29	%		4.24	%

Net interest income	$	33,592		$	31,297		$	30,841		$	28,842		$	27,053
Plus: reduction in tax expense related to
tax-exempt interest income		409			379			379			385			378
	$	34,001		$	31,676		$	31,220		$	29,227		$	27,431
Divided by average interest-bearing assets		2,889,289			2,781,370			2,787,517			2,674,291			2,568,266
NIMTE²		4.72	%		4.61	%		4.47	%		4.35	%		4.30	%

	Year-to-date
	June 30, 2025			June 30, 2024
Net interest income	$	64,889		$	53,500
Divided by average interest-bearing assets		2,835,627			2,563,412
Net interest margin (“NIM”)³		4.61	%		4.20	%

Net interest income	$	64,889		$	53,500
Plus: reduction in tax expense related to
tax-exempt interest income		788			757
	$	65,677		$	54,257
Divided by average interest-bearing assets		2,835,627			2,563,412
NIMTE³		4.66	%		4.26	%

²Calculated using actual days in the quarter divided by 365 for the quarters ended in 2025 and 366 for the quarters ended in 2024, respectively.

³Calculated using actual days in the year divided by 365 for year-to-date period in 2025 and 366 for year-to-date period in 2024, respectively.

*Non-GAAP Financial Measures
(Dollars and shares in thousands, except per share data)
(Unaudited)

Tangible Book Value Per Share

Tangible book value per share is a non-GAAP measure defined as shareholders’ equity, less intangible assets, divided by shares outstanding. The most comparable GAAP measure is book value per share and the following table sets forth the reconciliation of tangible book value per share and book value per share for the periods indicated.

	June 30, 2025		March 31, 2025		December 31, 2024		September 30, 2024		June 30, 2024

Total shareholders’ equity	$	290,219	$	279,756	$	267,116	$	260,050	$	247,200
Divided by shares outstanding		5,522		5,521		5,518		5,502		5,502
Book value per share	$	52.55	$	50.68	$	48.41	$	47.26	$	44.93

	June 30, 2025		March 31, 2025		December 31, 2024		September 30, 2024		June 30, 2024

Total shareholders’ equity	$	290,219	$	279,756	$	267,116	$	260,050	$	247,200
Less: goodwill and intangible assets		50,824		50,824		50,968		15,967		15,967
	$	239,395	$	228,932	$	216,148	$	244,083	$	231,233
Divided by shares outstanding		5,522		5,521		5,518		5,502		5,502
Tangible book value per share	$	43.35	$	41.47	$	39.17	$	44.36	$	42.03

Tangible Common Equity to Tangible Assets

Tangible common equity to tangible assets is a non-GAAP ratio that represents total equity less goodwill and intangible assets divided by total assets less goodwill and intangible assets. The most comparable GAAP measure of shareholders’ equity to total assets is calculated by dividing total shareholders’ equity by total assets and the following table sets forth the reconciliation of tangible common equity to tangible assets and shareholders’ equity to total assets for the periods indicated.

Northrim BanCorp, Inc.	June 30, 2025			March 31, 2025			December 31, 2024			September 30, 2024			June 30, 2024

Total shareholders’ equity	$	290,219		$	279,756		$	267,116		$	260,050		$	247,200
Total assets		3,243,760			3,140,960			3,041,869			2,963,392			2,821,668
Total shareholders’ equity to total assets		8.95	%		8.91	%		8.78	%		8.78	%		8.76	%

Northrim BanCorp, Inc.	June 30, 2025			March 31, 2025			December 31, 2024			September 30, 2024			June 30, 2024
Total shareholders’ equity	$	290,219		$	279,756		$	267,116		$	260,050		$	247,200
Less: goodwill and other intangible assets, net		50,824			50,824			50,968			15,967			15,967
Tangible common shareholders’ equity	$	239,395		$	228,932		$	216,148		$	244,083		$	231,233

Total assets	$	3,243,760		$	3,140,960		$	3,041,869		$	2,963,392		$	2,821,668
Less: goodwill and other intangible assets, net		50,824			50,824			50,968			15,967			15,967
Tangible assets	$	3,192,936		$	3,090,136		$	2,990,901		$	2,947,425		$	2,805,701
Tangible common equity ratio		7.50	%		7.41	%		7.23	%		8.28	%		8.24	%

Note Transmitted on GlobeNewswire on July 23, 2025, at 12:15 pm Alaska Standard Time.

The MIL Network –

July 24, 2025

MIL-OSI USA: Rep. Andrea Salinas Leads Colleagues in Letter Opposing Trump Administration’s Attacks on the Forest Service

Source: US Representative Andrea Salinas (OR-06)

Washington, D.C. – Today, U.S. Representative Andrea Salinas (OR-06), joined by ten of her colleagues on the House Agriculture Committee, sent a letter to President Trump highlighting the harm his administration has done to the U.S. Forest Service.

The letter demonstrates that the Trump administration’s actions – which include firing thousands of fire-qualified personnel, slashing funding, and moving forward an ill-conceived reorganization plan – will undermine wildfire preparedness and response across the country. The letter calls on President Trump to reverse course to undo the damage his administration has already caused.

Click here or see below for the full letter:

Dear President Trump,

As we move deeper into wildfire season, we write to express our grave concern regarding your administration’s sustained attacks on the U.S. Forest Service (USFS). Widespread staff reductions, irresponsible budget proposals, and harmful organizational changes undermine the agency’s ability to effectively manage public lands, mitigate the risk of extreme wildfire, and protect the safety of communities across the country.

In early 2025, USFS undertook large-scale staffing reductions. More than 3,400 probationary employees were terminated, and thousands more departed under early retirement and separation incentives. The agency lost qualified wildfire response staff, as well as personnel specializing in fuels and forest management. These staff also conducted essential forest restoration work in the wake of wildfires to help critical ecosystems recover quickly and effectively. The loss of this expertise directly impairs the agency’s ability to reduce wildfire risk and respond effectively when fires occur moving forward. Despite what DOGE may claim, these employees were not part of some imagined bureaucratic fraud, they were dedicated public servants working to protect our public lands and our communities.

In recent months your administration has advanced plans to shift many wildland fire responsibilities away from USFS and into a new entity housed within the Department of the Interior. This proposal has raised serious concerns among experts in fire response and forest management who warn it would create unnecessary disruption, fragment coordination, and delay urgently needed fuels reduction treatments during a time of escalating wildfire threats. For instance, the National Association of Forest Service Retirees has raised concerns that such an entity would take billions of dollars and many years to establish, even if done in an effective manner that preserves federal firefighting capabilities and minimizes chaos. There is also concern that such a new entity would ignore the critical role rank-and-file USFS workers play in fire preparedness and response and the inherent connection between wildfire and ongoing forest health and management. Moreover, as we move away from having a definable fire season and towards year-round risk of severe fire behavior, it is hard to imagine reorganizing our nation’s federal wildland firefighting responsibilities without creating unnecessary confusion and stress while attempting to protect vulnerable communities.

Unfortunately, based on your administration’s track record, these concerns are well founded. From the chaotic mass firings of USFS personnel and the disruption caused by DOGE’s unfounded allegations of “waste, fraud, and abuse,” to the implementation of ill-conceived funding freezes and issuance of repetitive and vague Executive Orders, your Administration has repeatedly demonstrated an inability to execute complex plans efficiently or in good faith. It should come as no surprise, then, that your budget request included no funding to assist with any reorganization effort – nor did it request funds to replace the loss of personnel critical to the USFS’s wildfire preparedness and response capabilities.

We would be remiss not to also mention our concern with the USFS budget proposal for Fiscal Year 2026. Slashing support for state, tribal, and private forestry programs that provide technical and financial assistance to landowners and resource managers to help sustain the nation’s forests and grasslands, protect communities from wildland fire, and restore forest ecosystems is downright dangerous. For example, eliminating funding for the Forest Service’s Collaborative Forest Landscape Restoration program, one of the agency’s most popular and effective programs, will actively hinder our ability to reduce the risk of catastrophic wildfire and support economic revitalization in rural communities.

The USFS is also currently withholding funding from critical state, tribal, and private forestry programs, which are essential to preparing for and responding to wildfire on non-federal lands. We are deeply concerned by reports that program funding is being redirected to pay for the unauthorized and ill-conceived Deferred Resignation Program (DRP). Reallocating funding from its congressionally authorized purpose in order to pay employees to not work is an absurd, illegal, and irresponsible use of taxpayer dollars. If additional resources are desired to pursue DRP or other reorganization efforts, USFS should formally request and justify the need for these resources.

Moving forward, we urge you to direct USFS to rectify the harm it has already done to wildfire preparedness and response. That means re-hiring or replacing terminated employees and resuming the distribution of state, tribal, and private forestry grants. It also means dropping ill-conceived reorganization plans until meaningful planning has occurred and required funds have been secured.

The wildfire crisis is not going away. We should work together to reverse the dangerous course USFS is on, and bolster our wildfire preparedness and response capacity through collaborative, interagency efforts with a proven track record of success. Failure to do so will have catastrophic consequences.

###

MIL OSI USA News –

July 24, 2025

MIL-OSI USA: Senator Marshall: This is the Greatest Betrayal of American Trust in My Lifetime

US Senate News:

Source: United States Senator for Kansas Roger Marshall

Senator Marshall Joins The Joe Pags Show to Discuss DNI’s Russia Report
Washington – On Wednesday, U.S. Senator Roger Marshall, M.D. (R-Kansas), joined Joe Pags on the Joe Pags Show to discuss Medicaid and rural hospitals, the MAHA agenda, what needs to be done to help improve American healthcare outcomes, and what will happen to the perpetrators identified in DNI Tulsi Gabbard’s recent report about the Russia misinformation scandal.

Click HERE or on the image above to watch Senator Marshall’s full interview.
On the challenges facing rural hospitals:
“This is one of my favorite topics. You know, I practiced medicine for 25 years in one of these rural hospitals. I helped run the hospital, delivered a baby every day in one of these hospitals for 25 years. You know, the challenge right now for rural hospitals is the rural economy. We have many counties that have lost half their population. They’re all moving to big, wonderful cities like Kansas City and Wichita. So the rural economy is really struggling. Only 5% of Medicaid dollars ever make it to rural America. So yes, 60% of rural hospitals are really struggling.
And enter the One Big, Beautiful Bill – we try to help the rural economy by helping out with crop insurance, reference prices, doubling the death tax, and some of those types of business tax issues as well. So I think it’s the economy, right?”
On Democrat misinformation regarding Medicaid and rural hospitals:“Joe, I think the left controls 90% of the message. They control the national media; it is that simple. But I came to Washington, DC, to save healthcare, and I think that we’ve saved Medicaid. For now, we’ve saved it. We put it back on solid financial footing so that Medicaid is there for those who need it the most. For senior citizens in nursing homes, for people with disabilities, for pregnant women, for children.
“No one’s going to lose Medicaid unless they’re on it illegally, and there are 2 million people on it illegally right now. 2 million people getting it from two states right now. And then, the only other people that will lose their Medicaid are people that refuse to work. And all we’re asking is people work for 20 hours a week. When did having a job, when was that considered punishment? Why is that a bad thing?
“I’m going to give you one more stat, Joe, is that 20 years ago, there was only 7 million healthy people on Medicaid. Today, there’s 34 million healthy people on Medicaid. Let’s help those people find a job. Let’s give them education. Let’s help give them a hand up, and not a handout.”
On the importance of verifying people’s status for Medicaid:
“So this would be Medicaid expansion as you know it. So, Medicaid expansion gives Medicaid to healthy people that are above the poverty line. And then they stopped really doing any types of checks and balances on people. People could just walk in and say, I don’t have a job, I’m not making any money, they would never verify it. But we had the technology data actually verify those things pretty easily, and then we would just check things once a year. So I understand, look, I want to help medicate people out, I want to make sure no one goes to bed hungry, but this idea of just checking people once a year, not verifying their story, is just dishonest.”
On improving the quality of VA care:
“So Joe, again, what’s important to me: my dad served, my brother served, I served, my son is serving everyone. Every generation of my family, someone has served. I want to make sure that we fulfill the promise we made to veterans, but it’s been done inefficiently. It’s amazing, when President Trump 45 was in office, the wait times went down for our veterans, the care was going up, and the patient satisfaction was going up.
“But under Joe Biden, they hired more and more administrator-type of people. And now President Trump went in there and said, ‘we don’t want all this bloated administration.’ There’s hundreds of billions of dollars that we’re increasing every year for veterans. We want to make sure it’s patient interfacing. So it’s the counselors, it’s the nurses, it’s the physical therapists. Those are the people we want. We don’t want more and more bureaucrats setting up here in the VA, here in Washington, DC.”
On what might replace Obamacare:
“Absolutely, and we’ve had these conversations. My big three themes for fixing health care when I came here was anything that makes health care more transparent, anything that promotes innovation, and anything that makes patients consumers again, would drive down the cost of health care. And President Trump already has issued many executive orders on the transparency part of this that are coming to fruition as well… making hospitals show you what they’re going to charge you for if you need an MRI, make that imaging center share with you what it’s going to cost so consumers can shop more.
“So our big thrust of legislation this semester, as I call it, is we dropped a big transparency bill, which in many cases is codifying what President Trump’s executive orders are. And then there’s an issue called prior authorization, where Medicare Advantage companies, especially, are trying to prevent patients from getting the care they need.
“So I was recently with the White House and Dr. Oz, and Secretary Kennedy, putting some more rules around what they can and can’t do as far as withholding health care. So, absolutely, those conversations that went on since day one, and I’m very proud to work beside Dr. Oz, Dr. McCary, over in FDA, as well as Secretary Kennedy.”
On healthcare cost transparency and medical monopolies:
“Joe, I’m not sure if I have a great answer. I can certainly tell you that I believe that insurance companies and big hospitals wrote the ACA. And they knew exactly what they were doing. Through the years, increased regulations have led to monopolies. So, you think about healthcare in each community. There’s one hospital; there’s usually one or two insurance companies that control 80% of the market in the entire state as well. So, through the years, these monopolies have allowed them to do it more.
“So, physicians would like to own hospitals. Hospitals can own physicians, but physicians cannot own hospitals. We would like to come back in and have more competition, but that was outlawed by the ACA as well. So, whenever there’s overregulation, that’s going to lead to consolidation of the industry and get them more and more free rein.”
On the job that HHS Secretary Kennedy is doing thus far:
“Well, I think we’re just getting started again. The backdrop of this is 60% of Americans have a chronic disease. We’re spending 90% of our healthcare dollars on those chronic diseases, think heart disease, hypertension, obesity, diabetes, Alzheimer’s, cancer, and anxiety. Those seven diseases are taking up 90% of [the] dollars [spent]. We think that there’s a significant nutritional component to all those. I think that we’re going to find that alzheimers is type three diabetes.
“So, what can we do nutritionally to prevent those as well as treat them. So I’ve worked, obviously, I’ve grown up in agriculture, so I’ve had a foot in agriculture my whole life, a foot in healthcare since I was 23 or so, I started medical school, I guess.
“So, as I listened to MAHA, I listened to the American farmers, and said: Where do we meet? How do we get healthy food? Well, I think it starts with healthy soil. It’s kind of a dirty topic, if you will, but that’s the focus. That’s what we’re working with, Secretary Kennedy and Secretary Rollins at Agriculture, who’s doing an incredible job, is trying to work with our farmers to make healthier soil, which is going to lead to healthy food and healthy people. And by the way, American farmers are doing so many great things already in this area.
“So, I’ve been sharing with Secretary Kennedy best practices where we’re growing more with less. We’re decreasing by 90% the amount of fertilizer and pesticides that are leaving our field. We’re decreasing the amount that we’re putting on by 60% through modern-day agriculture practices. So, we’re working on this transition to get everybody practicing this regenerative agriculture.”
On DNI Gabbard’s Russia misinformation report:
“Joe, this is certainly new information to me. This White House meeting, with documentation of that meeting, adds Joe Biden’s name to being in that meeting as well. And I think what that document shows is this is the greatest betrayal of American trust in my lifetime. And you’re out there, your listeners right now, you’re sitting there thinking, well, the Democrats lied to us about COVID. They lied to us about Joe Biden’s health. And here’s his Royal Highness Barack Obama, that he lied to us as well and really organized this fraud, of what happened in this, Russia, Russia, Russia hoax.
“And certainly the FISA court abuse, we knew all about that, but this is news to me that we can actually trace this all the way back to it to one Oval Office meeting, and they absolutely contradicted what the intelligence community was saying. I think that’s accurate.”
On what will happen to the perpetrators of the hoax:
“Yeah, Joe, I think it’s all the above. Certainly, we need the Justice Department to go full speed ahead and do whatever they can do. And meanwhile, the House and the Senate both have investigative committees. James Comer leads that over on the House side, and Rand Paul here on the Senate side. Ron Johnson also has a subcommittee that can focus on this as well. So, all of this needs to happen. Congress’s job is to expose everything and then let the Justice Department prosecute.
“But regardless of where it goes, Joe, I think the story here, to me, is this betrayal of American trust as a physician. One of the first things I learned is that once you lose your reputation, you never get it back. And Americans don’t trust the federal government right now, and why would they right? So, I’m trying to work day and night to help restore that trust, but I think the Democrats just keep digging and digging a hole further and deeper. You know, the first thing you need to do when you’re in a hole is to stop digging. And here they are again, once again, in a deep, deep hole.”
On the American right wanting to see arrests:
“Joe, I sure hope so. I just want to tell you, you sound like my wife. You sound like my mom and dad. They say why isn’t somebody in handcuffs? Everything Hillary Clinton did to erase those emails. And the FISA court abuse. I’m not satisfied. You know, the judges should have paid the price for that. Everyone involved in that food chain of the FISA court abuse should have been fired at a minimum. And maybe one person went to jail, as I recall that.
“So here we are. This is the next chapter of the FISA court abuse, and I think that’s what gives this story legs is… you dove into that story. I dove into that story, saying, my gosh, how did they do this? How did they fall for this, I mean, without orchestrating it? I sure hope so. I’m not a person to overpromise and underdeliver. I do think that Pam Bondi is serious. She would love to throw someone in jail. And I have a feeling Tulsi Gabbard would as well.”

MIL OSI USA News –

July 24, 2025

MIL-OSI USA: Risch Introduces Bill to Strengthen Local, Federal Immigration Enforcement Efforts

US Senate News:

Source: United States Senator for Idaho James E Risch

WASHINGTON – U.S. Senator Jim Risch (R-Idaho) introduced today the 287(g) Program Protection Act to streamline and strengthen partnerships between local law enforcement and federal immigration authorities.

“President Trump’s enforcement of our immigration laws has brought encounters at the southern border to a screeching halt,” said Risch. “To finish cleaning up the Biden administration’s mess, we must empower our local law enforcement to assist ICE in identifying and detaining the illegal immigrants in our communities.”

Risch is joined by U.S. Senators Mike Crapo (R-Idaho), Mike Lee (R-Utah), Roger Marshall (R-Kansas), Jim Justice (R-W.Va.), Ron Johnson (R-Wis.), and Rick Scott (R-Fla.).

The 287(g) Program Protection Act has received support from Idaho’s Kootenai County Sheriff Robert Norris.

“In Kootenai County, we are committed to enforcing the law impartially and responsibly. The 287(g) program offers a structured, transparent framework that supports this mission,” said Kootenai County Sheriff Bob Norris. “Senator Risch’s leadership in furthering this program by attempting to streamline the process and provide local agencies a fair and timely opportunity to participate in federal enforcement efforts underscores his dedication to public safety, border integrity, and the rule of law. I stand with Senator Risch in urging Congress to advance this legislation and preserve the 287(g) program as a vital component of our national security efforts.”

The 287(g) program enables state and local law enforcement agencies to partner with U.S. Immigration and Customs Enforcement (ICE) to carry out critical immigration functions.

Under the Biden administration, the Department of Homeland Security (DHS) refused to process new 287(g) program applications, creating a significant backlog, and offered little transparency to the jurisdictions seeking participation.

In January 2025, President Trump issued an executive order to address the backlog and approve hundreds of 287(g) agreements, allowing local officers to enforce immigration laws.

The 287(g) Program Protection Act would:

Require DHS to approve or deny 287(g) applications within 90 days;
Require DHS to provide written justification to Congress for denied applications; and
Prohibit DHS from terminating any existing 287(g) agreement without cause or prior notice to Congress.

The 287(g) Program Protection Act was introduced in the House of Representatives by Representative Michael Cloud (R-Texas).

MIL OSI USA News –

July 24, 2025

MIL-OSI Canada: New and Enhanced Health care Positions Announced to Strengthen Rural and Remote Services Across Saskatchewan

Source: Government of Canada regional news

Released on July 23, 2025

Positions Funded by Saskatchewan Health Authority Administrative Leadership Reduction Will Benefit 30 Communities

The Government of Saskatchewan and the Saskatchewan Health Authority (SHA) are adding 77 new and enhanced permanent full-time positions to benefit 30 rural and remote communities. These health care positions will improve emergency and acute care services, reduce service disruptions and continue building a more stable health workforce across Saskatchewan.

These enhancements build on the success of previous rural and remote staffing stabilization efforts that, since 2022, have added 315 new and enhanced positions as part of the provincial Health Human Resources Action Plan. The additional 77 positions will focus on communities that continue to experience service disruptions or have faced ongoing staffing challenges.

“Adding Registered Nurses, Licensed Practical Nurses, Medical Radiation Technologists and other positions that deliver hands-on patient care reflect the shared commitment of the Government of Saskatchewan and SHA to ensure Saskatchewan residents have seamless access to care, as close to home as possible,” Health Minister Jeremy Cockrill said. “The SHA has closely scrutinized their costs and identified savings that will help fund these essential positions and provide positive care to patients in communities stretching across the province.”

The positions will be funded through $6.2 million in annual savings resulting from the SHA’s recent restructuring of out-of-scope administrative leadership. Announced on June 12, 2025, the SHA’s administrative leadership restructuring effort achieved $10.4 million in total annual efficiencies by reducing 26 senior out-of-scope leadership positions, along with additional reductions in corporate, management and support roles. The SHA has already directed $4.2 million of these savings toward the creation of 27 new and 20 enhanced Clinical Manager positions in 45 rural and northern communities, strengthening on-site leadership and improving local oversight of care delivery.

“This investment reflects our ongoing focus on strengthening care at the local level by placing permanent health care professionals in communities where they are needed most,” Saskatchewan Health Authority COO Derek Miller said. “By stabilizing staffing and reducing service disruptions, we are helping ensure residents receive reliable access to high-quality care.”

The 77 positions include a range of clinical roles such as Registered Nurses (RNs), Registered Psychiatric Nurses (RPNs), Licensed Practical Nurses (LPNs), Combined Lab and X-ray Technicians (CLXTs), Medical Radiation Technologists (MRTs) and Phlebotomists. These roles will either create new permanent full-time positions or convert longstanding part-time vacancies into permanent full-time roles. This will support improved recruitment and retention of positions, reduce reliance on contract staff and promote more consistent emergency department coverage.

Past stabilization efforts have demonstrated measurable progress in reducing service disruptions in rural and remote areas.

“This is the latest progressive step forward in our plans to strengthen rural and northern health care teams that are making a real difference to the people of Saskatchewan,” Rural and Remote Health Minister Lori Carr said. “Efforts include the Saskatchewan Rural and Remote Recruitment Incentive, adding several hundred new and enhanced positions in over 70 communities, implementing the Virtual Physician program, and expansion of Point-of-Care Lab Testing. Thanks to these initiatives, rural and remote communities saw a 28 per cent reduction in service disruption days. In the past 16-months, Virtual Physician coverage and Point-of-Care Lab Testing helped prevent more than 2,700 service disruptions.”

Many of the new positions will be eligible to apply for the Saskatchewan Rural and Remote Recruitment Incentive (RRRI), which provides up to $50,000 over three years with a return in service agreement. Since its launch in 2022, the RRRI has supported the hiring of more than 400 health professionals in approximately 70 communities, resulting in reduced vacancies, improved staffing levels and greater service stability across the province.

Positions will be introduced in the following communities: Arcola, Assiniboia, Broadview, Canora, Estevan, Hudson Bay, Humboldt, Kamsack, Kerrobert, Kindersley, Kipling, La Ronge, Leader, Lloydminster, Maple Creek, Melville, Moose Jaw, Moosomin, Nipawin, North Battleford, Outlook, Porcupine Plain, Prince Albert, Redvers, Rosetown, Shaunavon, Shellbrook, Unity, Wadena and Weyburn.

These new positions are part of the ongoing implementation of the provincial Health Human Resources Action Plan, launched in 2022 to recruit, train, incentivize and retain Saskatchewan’s health workforce. The Government of Saskatchewan and the SHA remain committed to working together to enhance the delivery of health services in rural and remote communities.

-30-

For more information, contact:

MIL OSI Canada News –

July 24, 2025

MIL-OSI USA: Rep. Norcross Honors Pilots and Flight Attendants Who Saved His Life

Source: United States House of Representatives – Congressman Donald Norcross (1st District of New Jersey)

WASHINGTON, DC — Today, Congressman Donald Norcross (D-NJ) honored the pilots and flight attendants who saved his life: Captain Michael Tibaldo, First Officer James Kim, Flight Attendant Donnell Mitchell, and Flight Attendant Jaclyn Curry, all of whom are unionized workers who are members of Teamsters Local 357 and Teamsters Local 135. General President of the International Brotherhood of Teamsters, Sean O’Brien, and General Secretary-Treasurer at Teamsters, Fred Zuckerman, were also in attendance.

During the event, Congressman Donald Norcross presented the Republic Airways pilots and flight attendants with framed copies of Congressional Record statements detailing their heroic actions.

“I’m incredibly grateful to Captain Michael Tibaldo, First Officer James Kim, Flight Attendant Donnell Mitchell, and Flight Attendant Jaclyn Curry for saving my life,” said Congressman Donald Norcross. “Every minute matters in a medical emergency, and I’m lucky that the Republic Airlines crew was trained, equipped, and ready to respond when I was in my hour of need. It’s an honor to present the airline crew with an official Congressional Record of their heroic actions, and I once again thank them for their bravery.”

On April 6, 2025, Congressman Donald Norcross experienced a sudden medical emergency while traveling on Republic Flight 4711. The crew members and airline pilots reacted swiftly to provide the Congressman with immediate medical attention, divert the airplane, and transport him to the University of North Carolina (UNC) Rex Hospital. The Congressman was later diagnosed with sepsis.

Thanks to the pilots, flight attendants, doctors, and nurses at UNC Rex and Cooper University Hospital, Congressman Donald Norcross was able to make a full recovery from this medical emergency.

###

MIL OSI USA News –

July 24, 2025

MIL-OSI USA: Urgent: Take action to protect Tennessee Valley Authority from privatization

Source: US International Brotherhood of Boilermakers

Breaking News

Since 1933, the Boilermakers have been working with the Tennessee Valley Authority (TVA) to build and maintain the infrastructure that powers the South. What began as a New Deal hydroelectric-focused endeavor has evolved over the past 90 years to coal, natural gas, nuclear and a planned, first-in-the-nation nuclear fusion generation facility. The generating assets within the TVA are diverse and efficient, delivering power to millions of southern households across seven states, powering the southern economy and stabilizing the national electric grid. TVA is a federally owned power authority that has been operating in partnership with the IBB for nearly 100 years, producing millions of man-hours for generations.

Since the Obama administration, several unsuccessful attempts have been made to privatize TVA. There are strong rumors that the Trump administration is considering privatization of TVA, meaning they would sell off the generating assets and infrastructure to the highest bidder, jeopardizing millions of Boilermaker man-hours. Additionally, privatizing TVA’s assets would cost families who live in the TVA jurisdiction an estimated additional $50 a month on their utility bill—a cost most working families cannot afford.

Below is the Boilermakers’ official statement urging against privatization of TVA. Boilermakers are strongly encouraged to contact their U.S. Senators using this action page link, which can and should be shared widely. The link will take you to an easy form that will automatically contact your Senator with a letter. It only takes a minute. This will help Boilermakers working on TVA projects and remind Washington that Boilermakers power America.

Boilermakers’ official statement on privatization of the Tennessee Valley Authority

Kansas City, Mo. (July 23, 2025) — Following is the official statement of the International Brotherhood of Boilermakers, issued by International President Timothy Simmons, regarding U.S. Senate consideration of privatization of the Tennessee Valley Authority

We urge the Senate to slow down any attempt to privatize the Tennessee Valley Authority, as any such effort would have devastating effects across the South and our nation. Through the hard work of thousands of Boilermakers, TVA has been efficiently and effectively powering the South for over 90 years, building and maintaining a diverse portfolio of power generation assets across seven states. Disrupting TVA’s service to the South would, in turn, disrupt the nation, stalling out our ability to meet increasing power demands further stressed by the need to support the ever-evolving AI technology sector. In its current practice, TVA generates power that is affordable for every family and stabilizes the nation’s power grid. This is a classic case of “if it’s not broken, don’t fix it.”

All Boilermakers are encouraged to contact their U.S. Senators using this action link.

View the full statement PDF

MIL OSI USA News –

July 24, 2025

MIL-OSI: Horizon Bancorp, Inc. Reports Strong Second Quarter 2025 Results Led by Continued Net Interest Margin Expansion

Source: GlobeNewswire (MIL-OSI)

MICHIGAN CITY, Ind., July 23, 2025 (GLOBE NEWSWIRE) — (NASDAQ GS: HBNC) – Horizon Bancorp, Inc. (“Horizon” or the “Company”), the parent company of Horizon Bank (the “Bank”), announced its unaudited financial results for the three months ended June 30, 2025.

“Horizon’s second quarter earnings reflect the strength of the organization’s exceptional core community banking franchise. Strong loan growth, stable and granular core funding, excellent credit quality and prudent management of expenses fueled the quarter’s positive results and expanded on management’s commitment to improve the financial performance of the Company. The quarter was highlighted by a seventh consecutive quarter of net interest margin expansion, low net charge offs of 2 bps annualized and enhanced momentum in key performance metrics of ROAA and ROATCE”, President and CEO, Thomas Prame stated. “We continue to show strength across our core community banking platform that is being driven by a disciplined approach to creating a more efficient balance sheet and effective deployment of capital. We are pleased with our results through the first six months of 2025, with reported earnings per share growing by 58% versus the comparable period a year ago, and look forward to continuing to create additional shareholder value throughout the remainder of the year.”

Net income for the three months ended June 30, 2025 was $20.6 million, or $0.47 per diluted share, compared to net income of $23.9 million, or $0.54, for the first quarter of 2025 and compared to net income of $14.1 million, or $0.32 per diluted share, for the second quarter of 2024. As previously disclosed, results in the first quarter of 2025 included the $7.0 million pre-tax gain on the sale of the Company’s mortgage warehouse business.

Net income for the six months ended June 30, 2025 was $44.6 million, or $1.01 per diluted share, compared to net income of $28.1 million, or $0.64, for the six months ended June 30, 2024.

Second Quarter 2025 Highlights

Net interest income of $55.4 million increased 5.9% compared with $52.3 million for the three months ended March 31, 2025, and 22.3% compared with $45.3 million in the year ago period. Net interest margin, on a fully taxable equivalent (“FTE”) basis¹, expanded for the seventh consecutive quarter, to 3.23%, compared with 3.04% for the three months ended March 31, 2025 and 2.64% for the three months ended June 30, 2024.

Total loans held for investment (“HFI”) increased 6.2% compared to the linked quarter annualized, with strong organic commercial loan growth of $117.2 million, or 14.8% annualized. This growth was partially funded by the continued strategic runoff of lower yielding indirect auto loans of approximately $34.1 million.

Funding continued to trend favorably, with non-time deposit balances remaining relatively flat for the fourth consecutive quarter and interest-bearing liability cost declining by another 2 bps during the quarter.

Credit quality remained strong, with annualized net charge offs of 0.02% of average loans during the second quarter. Non-performing assets remain well within expected ranges, decreasing 12.4% from the prior quarter.

Expenses continued to be well managed, up less than 1% from the first quarter of 2025. These results reflect management’s commitment to generate higher earnings while maintaining a more efficient expense base.

^{____________________________________
1} Non-GAAP financial metric. See non-GAAP reconciliation included herein for the most directly comparable GAAP measure.


	Financial Highlights
	(Dollars in Thousands Except Share and Per Share Data and Ratios)
	Three Months Ended
	June 30,			March 31,			December 31,			September 30,			June 30,
	2025			2025			2024			2024			2024
Income statement:
Net interest income	$	55,354		$	52,267		$	53,127		$	46,910		$	45,279
Provision for credit loss expense		2,462			1,376			1,171			1,044			2,369
Non-interest income (loss)		10,920			16,499			(28,954	)		11,511			10,485
Non-interest expense		39,417			39,306			44,935			39,272			37,522
Income tax expense (benefit)		3,752			4,141			(11,051	)		(75	)		1,733
Net Income (Loss)	$	20,643		$	23,943		$	(10,882	)	$	18,180		$	14,140

Per share data:
Basic earnings (loss) per share	$	0.47		$	0.55		$	(0.25	)	$	0.42		$	0.32
Diluted earnings (loss) per share		0.47			0.54			(0.25	)		0.41			0.32
Cash dividends declared per common share		0.16			0.16			0.16			0.16			0.16
Book value per common share		18.06			17.72			17.46			17.27			16.62
Market value – high		15.88			17.76			18.76			16.57			12.74
Market value – low		12.92			15.00			14.57			11.89			11.29
Weighted average shares outstanding – Basic		43,794,490			43,777,109			43,721,211			43,712,059			43,712,059
Weighted average shares outstanding – Diluted		44,034,663			43,954,164			43,721,211			44,112,321			43,987,187
Common shares outstanding (end of period)		43,801,507			43,785,932			43,722,086			43,712,059			43,712,059

Key ratios:
Return on average assets		1.08	%		1.25	%	(0.56		)%		0.92	%		0.73	%
Return on average stockholders’ equity		13.24			12.44			(5.73	)		9.80			7.83
Total equity to total assets		10.34			10.18			9.79			9.52			9.18
Total loans to deposit ratio		87.52			85.21			87.75			83.92			85.70
Allowance for credit losses to HFI loans		1.09			1.07			1.07			1.10			1.08
Annualized net charge-offs of average total loans ⁽¹⁾		0.02			0.07			0.05			0.03			0.05
Efficiency ratio		59.48			57.16			185.89			67.22			67.29

Key metrics (Non-GAAP) ⁽²⁾
Net FTE interest margin		3.23	%		3.04	%		2.97	%		2.66	%		2.64	%
Return on average tangible common equity		13.24			15.79			(7.35	)		12.65			10.18
Tangible common equity to tangible assets		8.37			8.19			7.83			7.58			7.22
Tangible book value per common share	$	14.32		$	13.96		$	13.68		$	13.46		$	12.80


⁽¹⁾ Average total loans includes loans held for investment and held for sale.
⁽²⁾ Non-GAAP financial metrics. See non-GAAP reconciliation included herein for the most directly comparable GAAP measures.

Income Statement Highlights

Net Interest Income

Net interest income was $55.4 million in the second quarter of 2025, compared to $52.3 million in the first quarter of 2025, driven by the continued expansion of the Company’s net FTE interest margin¹, which increased to 3.23% for the second quarter of 2025, compared to 3.04% for the first quarter of 2025. Expansion was attributable to the favorable mix shift in average interest earning assets toward higher-yielding loans and in the average funding mix toward deposit balances, in addition to continued disciplined pricing strategies on both sides of the balance sheet. The second quarter net FTE interest margin did benefit by approximately seven basis points related to interest recoveries on certain commercial and residential loans.

Provision for Credit Losses

During the second quarter of 2025, the Company recorded a provision for credit losses of $2.5 million. This compares to a provision for credit losses of $1.4 million during the first quarter of 2025, and $2.4 million during the second quarter of 2024. The increase in the provision for credit losses during the second quarter of 2025 when compared with the first quarter of 2025 was primarily attributable to net growth in commercial loans HFI and changes in economic factors, partially offset by the reduction of specific reserves and the reserves for unfunded commitments in the current quarter.

For the second quarter of 2025, the allowance for credit losses included net charge-offs of $0.3 million, or an annualized 0.02% of average loans outstanding, compared to net charge-offs of $0.9 million, or an annualized 0.07% of average loans outstanding for the first quarter of 2025, and net charge-offs of $0.6 million, or an annualized 0.05% of average loans outstanding, in the second quarter of 2024.

The Company’s allowance for credit losses as a percentage of period-end loans HFI was 1.09% at June 30, 2025, compared to 1.07% at March 31, 2025 and 1.08% at June 30, 2024.

Non-Interest Income

For the Quarter Ended	June 30,		March 31,			December 31,			September 30,		June 30,
(Dollars in Thousands)	2025		2025			2024			2024		2024
Non-interest Income
Service charges on deposit accounts	$	3,208	$	3,208		$	3,276		$	3,320	$	3,130
Wire transfer fees		69		71			124			123		113
Interchange fees		3,403		3,241			3,353			3,511		3,826
Fiduciary activities		1,251		1,326			1,313			1,394		1,372
Loss on sale of investment securities		—		(407	)		(39,140	)		—		—
Gain on sale of mortgage loans		1,219		1,076			1,071			1,622		896
Mortgage servicing income net of impairment		375		385			376			412		450
Increase in cash value of bank owned life insurance		346		335			335			349		318
Other income		1,049		7,264			338			780		380
Total non-interest income (loss)	$	10,920	$	16,499		$	(28,954	)	$	11,511	$	10,485

Total non-interest income was $10.9 million in the second quarter of 2025, compared to non-interest income of $16.5 million in the first quarter of 2025. The decrease in non-interest income of $5.6 million is due to the sale of the Company’s mortgage warehouse business to an unrelated third party in the first quarter of 2025, resulting in a pre-tax gain of $7.0 million that did not recur in the current period. Interchange fees and gain on sale of mortgage loans benefited from normal seasonality, while other categories remained relatively unchanged when compared with the prior period.

^{____________________________________
1} Non-GAAP financial metric. See non-GAAP reconciliation included herein for the most directly comparable GAAP measure.

Non-Interest Expense

For the Quarter Ended	June 30,		March 31,		December 31,		September 30,		June 30,
(Dollars in Thousands)	2025		2025		2024		2024		2024
Non-interest Expense
Salaries and employee benefits	$	22,731	$	22,414	$	25,564	$	21,829	$	20,583
Net occupancy expenses		3,127		3,702		3,431		3,207		3,192
Data processing		2,951		2,872		2,841		2,977		2,579
Professional fees		735		826		736		676		714
Outside services and consultants		3,278		3,265		4,470		3,677		3,058
Loan expense		1,231		689		1,285		1,034		1,038
FDIC insurance expense		1,216		1,288		1,193		1,204		1,315
Core deposit intangible amortization		816		816		843		844		844
Merger related expenses		—		305		—		—		—
Other losses		245		228		371		297		515
Other expense		3,087		2,901		4,201		3,527		3,684
Total non-interest expense	$	39,417	$	39,306	$	44,935	$	39,272	$	37,522

Total non-interest expense was $39.4 million in the second quarter of 2025, compared with $39.3 million in the first quarter of 2025. The increase in non-interest expense during the second quarter of 2025 when compared with the prior period was primarily driven by a $0.5 million increase in loan expense. The increase was partially offset by a $0.6 million decrease in net occupancy expenses. Additionally, the Company incurred $0.3 million of direct expenses related to the sale of the mortgage warehouse business in the prior period that did not recur in the current period.

Income Taxes

Horizon recorded a net tax expense of $3.8 million for the second quarter of 2025, representing an effective tax rate of 15.4%, which is consistent with the Company’s estimated annual effective tax rate.

Balance Sheet Highlights

Total assets increased by $23.4 million, or 0.3%, to $7.7 billion as of June 30, 2025, from $7.6 billion as of March 31, 2025. The increase in total assets is primarily due to increases in loans HFI and non-interest earning cash, partially offset by a decrease in interest earning cash and investment securities. Total investment securities decreased by $24.2 million, or 1.2%, to $2.1 billion as of June 30, 2025. Total loans were $5.0 billion at June 30, 2025, an increase of $75.5 million from March 31, 2025 balances, due to organic commercial loan growth net of continued runoff in the indirect consumer portfolio.

Total deposits decreased by $66.0 million, or 1.1%, to $5.7 billion as of June 30, 2025 when compared to balances as of March 31, 2025. The decrease was partially related to a decline in time deposits of $51.9 million, or 4.2% and, to a lesser extent, a modest decrease in savings and money market deposits of $7.0 million, or 0.4%. Non-interest bearing deposit balances remained relatively unchanged in the current period. Total borrowings increased by $68.1 million during the quarter, to $880.3 million as of June 30, 2025. Balances subject to repurchase agreements increased by $7.2 million, to $95.1 million.

Capital

The following table presents the consolidated regulatory capital ratios of the Company for the previous three quarters, and the Company’s preliminary estimate of its consolidated regulatory capital ratios for the quarter ended June 30, 2025:

For the Quarter Ended	June 30,			March 31,			December 31,			September 30,
	2025*			2025			2024			2024
Consolidated Capital Ratios
Total capital (to risk-weighted assets)		14.48	%		14.26	%		13.91	%		13.45	%
Tier 1 capital (to risk-weighted assets)		12.52			12.33			12.00			11.63
Common equity tier 1 capital (to risk-weighted assets)		11.52			11.32			11.00			10.68
Tier 1 capital (to average assets)		9.59			9.25			8.88			9.02
*Preliminary estimate – may be subject to change

As of June 30, 2025, the ratio of total stockholders’ equity to total assets is 10.34%. Book value per common share was $18.06, increasing $0.34 during the second quarter of 2025.

Tangible common equity³ totaled $627.1 million at June 30, 2025, and the ratio of tangible common equity to tangible assets¹ was 8.37% at June 30, 2025, up from 8.19% at March 31, 2025. Tangible book value, which excludes intangible assets from total equity, per common share¹ was $14.32, increasing $0.36 during the second quarter of 2025 behind the growth in retained earnings.

Credit Quality

As of June 30, 2025, total non-accrual loans decreased by $4.5 million, or 15.7%, from March 31, 2025, to 0.49% of total loans HFI. Total non-performing assets decreased $3.9 million, or 12.4%, to $27.5 million, compared to $31.4 million as of March 31, 2025. The ratio of non-performing assets to total assets decreased to 0.36% compared to 0.41% as of March 31, 2025.

As of June 30, 2025, net charge-offs decreased by $0.6 million to $0.3 million, compared to $0.9 million as of March 31, 2025 and remain just 0.02% annualized of average loans.

^{____________________________________
1} Non-GAAP financial metric. See non-GAAP reconciliation included herein for the most directly comparable GAAP measure.

Earnings Conference Call

As previously announced, Horizon will host a conference call to review its second quarter financial results and operating performance.

Participants may access the live conference call on July 24, 2025 at 7:30 a.m. CT (8:30 a.m. ET) by dialing 833-974-2379 from the United States, 866-450-4696 from Canada or 1-412-317-5772 from international locations and requesting the “Horizon Bancorp, Inc. Call.” Participants are asked to dial in approximately 10 minutes prior to the call.

A telephone replay of the call will be available approximately one hour after the end of the conference through August 1, 2025. The replay may be accessed by dialing 877-344-7529 from the United States, 855-669-9658 from Canada or 1–412–317-0088 from other international locations, and entering the access code 5878909.

About Horizon Bancorp, Inc.

Horizon Bancorp, Inc. (NASDAQ GS: HBNC) is the $7.7 billion-asset commercial bank holding company for Horizon Bank, which serves customers across diverse and economically attractive Midwestern markets through convenient digital and virtual tools, as well as its Indiana and Michigan branches. Horizon’s retail offerings include prime residential and other secured consumer lending to in-market customers, as well as a range of personal banking and wealth management solutions. Horizon also provides a comprehensive array of in-market business banking and treasury management services, as well as equipment financing solutions for customers regionally and nationally, with commercial lending representing over half of total loans. More information on Horizon, headquartered in Northwest Indiana’s Michigan City, is available at horizonbank.com and investor.horizonbank.com.

Use of Non-GAAP Financial Measures

Certain information set forth in this press release refers to financial measures determined by methods other than in accordance with GAAP. Specifically, we have included non-GAAP financial measures relating to net income, diluted earnings per share, pre-tax, pre-provision net income, net interest margin, tangible stockholders’ equity and tangible book value per share, efficiency ratio, the return on average assets, the return on average common equity, and return on average tangible equity. In each case, we have identified special circumstances that we consider to be non-recurring and have excluded them. Horizon believes these non-GAAP financial measures are helpful to investors and provide a greater understanding of our business and financial results without giving effect to one-time costs and non–recurring items. These measures are not necessarily comparable to similar measures that may be presented by other companies and should not be considered in isolation or as a substitute for the related GAAP measure. See the tables and other information below and contained elsewhere in this press release for reconciliations of the non-GAAP information identified herein and its most comparable GAAP measures.

Forward Looking Statements

This press release may contain forward–looking statements regarding the financial performance, business prospects, growth and operating strategies of Horizon Bancorp, Inc. and its affiliates (collectively, “Horizon”). For these statements, Horizon claims the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. Statements in this press release should be considered in conjunction with the other information available about Horizon, including the information in the filings we make with the Securities and Exchange Commission (the “SEC”). Forward-looking statements provide current expectations or forecasts of future events and are not guarantees of future performance. The forward-looking statements are based on management’s expectations and are subject to a number of risks and uncertainties. We have tried, wherever possible, to identify such statements by using words such as “anticipate,” “estimate,” “project,” “intend,” “plan,” “believe,” “will” and similar expressions in connection with any discussion of future operating or financial performance.

Although management believes that the expectations reflected in such forward-looking statements are reasonable, actual results may differ materially from those expressed or implied in such statements. Risks and uncertainties that could cause actual results to differ materially include: effects on Horizon’s business resulting from new U.S. domestic or foreign governmental trade measures, including but not limited to tariffs, import and export controls, foreign exchange intervention accomplished to offset the effects of trade policy or in response to currency volatility, and other restrictions on free trade; uncertain conditions within the domestic and international macroeconomic environment, including trade policy, monetary and fiscal policy, and conditions in the investment, credit, interest rate, and derivatives markets, and their impact on Horizon and its customers; current financial conditions within the banking industry; changes in the level and volatility of interest rates, changes in spreads on earning assets and changes in interest bearing liabilities; increased interest rate sensitivity; the aggregate effects of elevated inflation levels in recent years; loss of key Horizon personnel; increases in disintermediation; potential loss of fee income, including interchange fees, as new and emerging alternative payment platforms take a greater market share of the payment systems; estimates of fair value of certain of Horizon’s assets and liabilities; changes in prepayment speeds, loan originations, credit losses, market values, collateral securing loans and other assets; changes in sources of liquidity; legislative and regulatory actions and reforms; changes in accounting policies or procedures as may be adopted and required by regulatory agencies; litigation, regulatory enforcement, and legal compliance risk and costs; rapid technological developments and changes; cyber terrorism and data security breaches; the rising costs of cybersecurity; the ability of the U.S. federal government to manage federal debt limits; climate change and social justice initiatives; the inability to realize cost savings or revenues or to effectively implement integration plans and other consequences associated with mergers, acquisitions, and divestitures; acts of terrorism, war and global conflicts, such as the Russia and Ukraine conflict and the Israel and Hamas conflict; and supply chain disruptions and delays. These and additional factors that could cause actual results to differ materially from those expressed in the forward-looking statements are discussed in Horizon’s reports (such as the Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, and Current Reports on Form 8-K) filed with the SEC and available at the SEC’s website (www.sec.gov). Undue reliance should not be placed on the forward–looking statements, which speak only as of the date hereof. Horizon does not undertake, and specifically disclaims any obligation, to publicly release the result of any revisions that may be made to update any forward-looking statement to reflect the events or circumstances after the date on which the forward–looking statement is made, or reflect the occurrence of unanticipated events, except to the extent required by law.


	Condensed Consolidated Statements of Income
	(Dollars in Thousands Except Per Share Data, Unaudited)
	Three Months Ended
	June 30,		March 31,			December 31,			September 30,			June 30,
	2025		2025			2024			2024			2024
Interest Income
Loans receivable	$	78,618	$	74,457		$	76,747		$	75,488		$	71,880
Investment securities – taxable		5,941		6,039			6,814			8,133			7,986
Investment securities – tax-exempt		6,088		6,192			6,301			6,310			6,377
Other		830		2,487			3,488			957			738
Total interest income		91,477		89,175			93,350			90,888			86,981
Interest Expense
Deposits		26,053		25,601			27,818			30,787			28,447
Borrowed funds		8,171		9,188			10,656			11,131			11,213
Subordinated notes		829		829			829			830			829
Junior subordinated debentures issued to capital trusts		1,070		1,290			920			1,230			1,213
Total interest expense		36,123		36,908			40,223			43,978			41,702
Net Interest Income		55,354		52,267			53,127			46,910			45,279
Provision for credit loss expense		2,462		1,376			1,171			1,044			2,369
Net Interest Income after Provision for Credit Losses		52,892		50,891			51,956			45,866			42,910
Non-interest Income
Service charges on deposit accounts		3,208		3,208			3,276			3,320			3,130
Wire transfer fees		69		71			124			123			113
Interchange fees		3,403		3,241			3,353			3,511			3,826
Fiduciary activities		1,251		1,326			1,313			1,394			1,372
Gains (losses) on sale of investment securities		—		(407	)		(39,140	)		—			—
Gain on sale of mortgage loans		1,219		1,076			1,071			1,622			896
Mortgage servicing income net of impairment		375		385			376			412			450
Increase in cash value of bank owned life insurance		346		335			335			349			318
Other income		1,049		7,264			338			780			380
Total non-interest income (loss)		10,920		16,499			(28,954	)		11,511			10,485
Non-interest Expense
Salaries and employee benefits		22,731		22,414			25,564			21,829			20,583
Net occupancy expenses		3,127		3,702			3,431			3,207			3,192
Data processing		2,951		2,872			2,841			2,977			2,579
Professional fees		735		826			736			676			714
Outside services and consultants		3,278		3,265			4,470			3,677			3,058
Loan expense		1,231		689			1,285			1,034			1,038
FDIC insurance expense		1,216		1,288			1,193			1,204			1,315
Core deposit intangible amortization		816		816			843			844			844
Merger related expenses		—		305			—			—			—
Other losses		245		228			371			297			515
Other expense		3,087		2,901			4,201			3,527			3,684
Total non-interest expense		39,417		39,306			44,935			39,272			37,522
Income (Loss) Before Income Taxes		24,395		28,084			(21,933	)		18,105			15,873
Income tax expense (benefit)		3,752		4,141			(11,051	)		(75	)		1,733
Net Income (Loss)	$	20,643	$	23,943		$	(10,882	)	$	18,180		$	14,140
Basic Earnings (Loss) Per Share	$	0.47	$	0.55		$	(0.25	)	$	0.42		$	0.32
Diluted Earnings (Loss) Per Share		0.47		0.54			(0.25	)		0.41			0.32

	Condensed Consolidated Balance Sheet
	(Dollars in Thousands, Unaudited)
	Three Months Ended for the Period
	June 30,			March 31,			December 31,			September 30,			June 30,
	2025			2025			2024			2024			2024
Assets
Interest earning assets
Federal funds sold	$	2,024		$	—		$	—		$	113,912		$	34,453
Interest earning deposits		34,174			80,023			201,131			12,107			4,957
Interest earning time deposits		—			—			735			735			1,715
Federal Home Loan Bank stock		45,412			45,412			53,826			53,826			53,826
Investment securities, available for sale		231,999			231,431			233,677			541,170			527,054
Investment securities, held to maturity		1,819,087			1,843,851			1,867,690			1,888,379			1,904,281
Loans held for sale		2,994			3,253			67,597			2,069			2,440
Gross loans held for investment (HFI)		4,985,582			4,909,815			4,847,040			4,803,996			4,822,840
Total Interest earning assets		7,121,272			7,113,784			7,271,696			7,416,194			7,351,566
Non-interest earning assets
Allowance for credit losses		(54,399	)		(52,654	)		(51,980	)		(52,881	)		(52,215	)
Cash		101,719			89,643			92,300			108,815			106,691
Cash value of life insurance		37,755			37,409			37,450			37,115			36,773
Other assets		148,773			143,675			152,635			119,026			165,656
Goodwill		155,211			155,211			155,211			155,211			155,211
Other intangible assets		8,592			9,407			10,223			11,067			11,910
Premises and equipment, net		93,398			93,499			93,864			93,544			93,695
Interest receivable		39,730			38,663			39,747			39,366			43,240
Total non-interest earning assets		530,779			514,855			529,450			511,263			560,961
Total assets	$	7,652,051		$	7,628,639		$	7,801,146		$	7,927,457		$	7,912,526
Liabilities
Savings and money market deposits	$	3,385,413		$	3,393,371		$	3,446,681		$	3,420,827		$	3,364,726
Time deposits		1,193,180			1,245,088			1,089,153			1,220,653			1,178,389
Borrowings		880,336			812,218			1,142,340			1,142,744			1,229,165
Repurchase agreements		95,089			87,851			89,912			122,399			128,169
Subordinated notes		55,807			55,772			55,738			55,703			55,668
Junior subordinated debentures issued to capital trusts		57,583			57,531			57,477			57,423			57,369
Total interest earning liabilities		5,667,408			5,651,832			5,881,301			6,019,749			6,013,486
Non-interest bearing deposits		1,121,163			1,127,324			1,064,818			1,085,535			1,087,040
Interest payable		14,007			11,441			11,137			11,400			11,240
Other liabilities		58,621			61,981			80,308			55,951			74,096
Total liabilities		6,861,199			6,852,578			7,037,564			7,172,635			7,185,862
Stockholders’ Equity
Preferred stock		—			—			—			—			—
Common stock		—			—			—			—			—
Additional paid-in capital		360,758			360,522			363,761			358,453			357,673
Retained earnings		466,497			452,945			436,122			454,050			442,977
Accumulated other comprehensive (loss)		(36,403	)		(37,406	)		(36,301	)		(57,681	)		(73,985	)
Total stockholders’ equity		790,852			776,061			763,582			754,822			726,665
Total liabilities and stockholders’ equity	$	7,652,051		$	7,628,639		$	7,801,146		$	7,927,457		$	7,912,527

	Loans and Deposits
	(Dollars in Thousands, Unaudited)
	June 30,		March 31,		December 31,		September 30,		June 30,		% Change
	2025		2025		2024		2024		2024		Q2’25 vs Q1’25			Q2’25 vs Q2’24
Loans:
Commercial real estate	$	2,321,951	$	2,262,910	$	2,202,858	$	2,105,459	$	2,117,772		3	%		10	%
Commercial & Industrial		976,740		918,541		875,297		808,600		786,788		6	%		24	%
Total commercial		3,298,691		3,181,451		3,078,155		2,914,059		2,904,560		4	%		14	%
Residential Real estate		786,026		801,726		802,909		801,356		797,956		(2	)%		(1	)%
Mortgage warehouse		—		—		—		80,437		68,917		—	%		(100	)%
Consumer		900,865		926,638		965,976		1,008,144		1,051,407		(3	)%		(14	)%
Total loans held for investment		4,985,582		4,909,815		4,847,040		4,803,996		4,822,840		2	%		3	%
Loans held for sale		2,994		3,253		67,597		2,069		2,440		(8	)%		23	%
Total loans	$	4,988,576	$	4,913,068	$	4,914,637	$	4,806,065	$	4,825,280		2	%		3	%

Deposits:
Interest bearing deposits	$	1,713,058	$	1,713,991	$	1,767,983	$	1,688,998	$	1,653,508		—	%		4	%
Savings and money market deposits		1,672,355		1,679,380		1,678,697		1,731,830		1,711,218		—	%		(2	)%
Time deposits		1,193,180		1,245,088		1,089,153		1,220,653		1,178,389		(4	)%		1	%
Total Interest bearing deposits		4,578,593		4,638,459		4,535,833		4,641,481		4,543,115		(1	)%		1	%
Non-interest bearing deposits
Non-interest bearing deposits		1,121,164		1,127,324		1,064,819		1,085,534		1,087,040		(1	)%		3	%
Total deposits	$	5,699,757	$	5,765,784	$	5,600,652	$	5,727,015	$	5,630,155		(1	)%		1	%

	Average Balance Sheet
	(Dollars in Thousands, Unaudited)
	Three Months Ended
	June 30, 2025								March 31, 2025								June 30, 2024
	Average Balance			Interest⁽⁴⁾⁽⁶⁾		Average Rate⁽⁴⁾			Average Balance			Interest⁽⁴⁾⁽⁶⁾		Average Rate⁽⁴⁾			Average Balance			Interest⁽⁴⁾⁽⁶⁾		Average Rate⁽⁴⁾
Assets
Interest earning assets
Interest earning deposits (incl. Fed Funds Sold)	$	72,993		$	830		4.56	%	$	223,148		$	2,487		4.52	%	$	55,467		$	738		5.35	%
Federal Home Loan Bank stock		45,412			1,075		9.49	%		51,769			1,012		7.93	%		53,827			1,521		11.36	%
Investment securities – taxable (1)		959,238			4,867		2.03	%		974,109			5,027		2.09	%		1,309,305			6,465		1.99	%
Investment securities – non-taxable (1)		1,100,731			7,706		2.81	%		1,120,249			7,838		2.84	%		1,132,065			8,072		2.87	%
Total investment securities		2,059,969			12,573		2.45	%		2,094,358			12,865		2.49	%		2,441,370			14,537		2.39	%
Loans receivable (2) (3)		4,947,093			79,000		6.41	%		4,865,449			74,840		6.24	%		4,662,124			72,208		6.23	%
Total interest earning assets		7,125,467			93,478		5.26	%		7,234,724			91,204		5.11	%		7,212,788			89,004		4.96	%
Non-interest earning assets
Cash and due from banks		86,316								88,624								108,319
Allowance for credit losses		(52,560	)							(51,863	)							(50,334	)
Other assets		472,175								483,765								508,555
Total average assets	$	7,631,398							$	7,755,250							$	7,779,328

Liabilities and Stockholders’ Equity
Interest bearing liabilities
Interest bearing demand deposits	$	1,727,713		$	6,803		1.58	%	$	1,750,446		$	6,491		1.50	%	$	1,656,523		$	7,081		1.72	%
Saving and money market deposits		1,651,866			8,200		1.99	%		1,674,590			8,263		2.00	%		1,677,967			9,733		2.33	%
Time deposits		1,233,582			11,050		3.59	%		1,212,386			10,847		3.63	%		1,134,590			11,633		4.12	%
Total Deposits		4,613,161			26,053		2.27	%		4,637,422			25,601		2.24	%		4,469,080			28,447		2.56	%
Borrowings		847,862			7,777		3.68	%		971,496			8,772		3.66	%		1,184,172			10,278		3.49	%
Repurchase agreements		88,058			394		1.79	%		88,469			416		1.91	%		125,144			935		3.00	%
Subordinated notes		55,785			829		5.96	%		55,750			829		6.03	%		55,647			829		5.99	%
Junior subordinated debentures issued to capital trusts		57,550			1,070		7.46	%		57,497			1,290		9.10	%		57,335			1,213		8.51	%
Total interest bearing liabilities		5,662,416			36,123		2.56	%		5,810,634			36,908		2.58	%		5,891,378			41,702		2.85	%
Non-interest bearing liabilities
Demand deposits		1,114,982								1,085,826								1,080,676
Accrued interest payable and other liabilities		64,465								78,521								80,942
Stockholders’ equity		789,535								780,269								726,332
Total average liabilities and stockholders’ equity	$	7,631,398							$	7,755,250							$	7,779,328
Net FTE interest income (non-GAAP) (5)				$	57,355							$	54,296							$	47,302
Less FTE adjustments (4)					2,001								2,029								2,023
Net Interest Income				$	55,354							$	52,267							$	45,279
Net FTE interest margin (Non-GAAP) (4)(5)							3.23	%							3.04	%							2.64	%

⁽¹⁾ Securities balances represent daily average balances for the fair value of securities. The average rate is calculated based on the daily average balance for the amortized cost of securities.
⁽²⁾ Includes fees on loans held for sale and held for investment. The inclusion of loan fees does not have a material effect on the average interest rate.
⁽³⁾ Non-accruing loans for the purpose of the computation above are included in the daily average loan amounts outstanding. Loan totals are shown net of unearned income and deferred loan fees.
⁽⁴⁾ Management believes fully taxable equivalent, or FTE, interest income is useful to investors in evaluating the Company’s performance as a comparison of the returns between a tax-free investment and a taxable alternative. The Company adjusts interest income and average rates for tax-exempt loans and securities to an FTE basis utilizing a 21% tax rate.
⁽⁵⁾ Non-GAAP financial metric. See non-GAAP reconciliation included herein for the most directly comparable GAAP measure.
⁽⁶⁾ Includes dividend income on Federal Home Loan Bank stock

	Credit Quality
	(Dollars in Thousands Except Ratios, Unaudited)
	Quarter Ended
	June 30,			March 31,			December 31,			September 30,			June 30,			% Change
	2025			2025			2024			2024			2024			Q2’25 vs Q1’25			Q2’25 vs Q2’24
Non-accrual loans
Commercial	$	7,547		$	8,172		$	5,658		$	6,830		$	4,321			(8	)%		75	%
Residential Real estate		9,525			12,763			11,215			9,529			8,489			(25	)%		12	%
Mortgage warehouse		—			—			—			—			—			—	%		—	%
Consumer		7,222			7,875			8,919			7,208			5,453			(8	)%		32	%
Total non-accrual loans		24,294			28,810			25,792			23,567			18,263			(16	)%		33	%
90 days and greater delinquent – accruing interest		2,113			1,582			1,166			819			1,039			34	%		103	%
Total non-performing loans	$	26,407		$	30,392		$	26,958		$	24,386		$	19,302			(13	)%		37	%

Other real estate owned
Commercial	$	176		$	360		$	407		$	1,158		$	1,111			(51	)%		(84	)%
Residential Real estate		463			641			—			—			—			—	%		—	%
Mortgage warehouse		—			—			—			—			—			—	%		—	%
Consumer		480			34			17			36			57			1311	%		742	%
Total other real estate owned		1,119			1,035			424			1,194			1,168			8	%		(4	)%

Total non-performing assets	$	27,526		$	31,427		$	27,382		$	25,580		$	20,470			(12	)%		34	%

Loan data:
Accruing 30 to 89 days past due loans	$	31,401		$	19,034		$	23,075		$	18,087		$	19,785			65	%		59	%
Substandard loans		64,100			66,714			64,535			59,775			51,221			(4	)%		25	%
Net charge-offs (recoveries)
Commercial	$	84		$	(47	)	$	(32	)	$	(52	)	$	57			(279	)%		47	%
Residential Real estate		52			(47	)		(10	)		(9	)		(4	)		(211	)%		(1400	)%
Mortgage warehouse		—			—			—			—			—			—	%		—	%
Consumer		118			963			668			439			534			(88	)%		(78	)%
Total net charge-offs	$	254		$	869		$	626		$	378		$	587			(71	)%		(57	)%

Allowance for credit losses
Commercial	$	34,413		$	32,640		$	30,953		$	32,854		$	31,941			5	%		8	%
Residential Real estate		3,229			3,167			2,715			2,675			2,588			2	%		25	%
Mortgage warehouse		—			—			—			862			736			—	%		(100	)%
Consumer		16,757			16,847			18,312			16,490			16,950			(1	)%		(1	)%
Total allowance for credit losses	$	54,399		$	52,654		$	51,980		$	52,881		$	52,215			3	%		4	%

Credit quality ratios
Non-accrual loans to HFI loans		0.49	%		0.59	%		0.53	%		0.49	%		0.38	%
Non-performing assets to total assets		0.36	%		0.41	%		0.35	%		0.32	%		0.26	%
Annualized net charge-offs of average total loans		0.02	%		0.07	%		0.05	%		0.03	%		0.05	%
Allowance for credit losses to HFI loans		1.09	%		1.07	%		1.07	%		1.10	%		1.08	%

Non–GAAP Reconciliation of Net Fully-Taxable Equivalent (“FTE”) Interest Margin
(Dollars in Thousands, Unaudited)

		Three Months Ended
		June 30,			March 31,			December 31,			September 30,			June 30,
		2025			2025			2024			2024			2024
Interest income (GAAP)	(A)	$	91,477		$	89,175		$	93,350		$	90,888		$	86,981
Taxable-equivalent adjustment:
Investment securities – tax exempt (1)			1,619			1,646			1,675			1,677			1,695
Loan receivable (2)			382			383			395			340			328
Interest income (non-GAAP)	(B)		93,478			91,204			95,420			92,905			89,004
Interest expense (GAAP)	(C)		36,123			36,908			40,223			43,978			41,702
Net interest income (GAAP)	(D) =(A) – (C)	$	55,354		$	52,267		$	53,127		$	46,910		$	45,279
Net FTE interest income (non-GAAP)	(E) = (B) – (C)	$	57,355		$	54,296		$	55,197		$	48,927		$	47,302
Average interest earning assets	(F)		7,125,467			7,234,724			7,396,178			7,330,263			7,212,788
Net FTE interest margin (non-GAAP)	(G) = (E*) / (F)		3.23	%		3.04	%		2.97	%		2.66	%		2.64	%

⁽¹⁾ The following represents municipal securities interest income for investment securities classified as available-for-sale and held-to-maturity
⁽²⁾ The following represents municipal loan interest income for loan receivables classified as held for sale and held for investment
*Annualized

Non–GAAP Reconciliation of Return on Average Tangible Common Equity
(Dollars in Thousands, Unaudited)

		Three Months Ended
		June 30,			March 31,			December 31,			September 30,			June 30,
		2025			2025			2024			2024			2024

Net income (loss) (GAAP)	(A)	$	20,643		$	23,941		$	(10,882	)	$	18,180		$	14,140

Average stockholders’ equity	(B)	$	789,535		$	780,269		$	755,340		$	738,372		$	726,332
Average intangible assets	(C)		164,320			165,138			165,973			166,819			167,659
Average tangible equity (Non-GAAP)	(D) = (B) – (C)	$	625,215		$	615,131		$	589,367		$	571,553		$	558,673
Return on average tangible common equity (“ROACE”) (non-GAAP)	(E) = (A*) / (D)		13.24	%		15.48	%	(7.35		)%		12.65	%		10.18	%
*Annualized

Non–GAAP Reconciliation of Tangible Common Equity to Tangible Assets
(Dollars in Thousands, Unaudited)
		Three Months Ended
		June 30,			March 31,			December 31,			September 30,			June 30,
		2025			2025			2024			2024			2024
Total stockholders’ equity (GAAP)	(A)	$	790,852		$	776,061		$	763,582		$	754,822		$	726,665
Intangible assets (end of period)	(B)		163,802			164,618			165,434			166,278			167,121
Total tangible common equity (non-GAAP)	(C) = (A) – (B)	$	627,050		$	611,443		$	598,148		$	588,544		$	559,544

Total assets (GAAP)	(D)	$	7,652,051		$	7,628,636		$	7,801,146		$	7,927,457		$	7,912,527
Intangible assets (end of period)	(B)		163,802			164,618			165,434			166,278			167,121
Total tangible assets (non-GAAP)	(E) = (D) – (B)	$	7,488,249		$	7,464,018		$	7,635,712		$	7,761,179		$	7,745,406

Tangible common equity to tangible assets (Non-GAAP)	(G) = (C) / (E)		8.37	%		8.19	%		7.83	%		7.58	%		7.22	%

Non–GAAP Reconciliation of Tangible Book Value Per Share
(Dollars in Thousands, Unaudited)
		Three Months Ended
		June 30,		March 31,		December 31,		September 30,		June 30,
		2025		2025		2024		2024		2024
Total stockholders’ equity (GAAP)	(A)	$	790,852	$	776,061	$	763,582	$	754,822	$	726,665
Intangible assets (end of period)	(B)		163,802		164,618		165,434		166,278		167,121
Total tangible common equity (non-GAAP)	(C) = (A) – (B)	$	627,050	$	611,443	$	598,148	$	588,544	$	559,544
Common shares outstanding	(D)		43,801,507		43,786,000		43,722,086		43,712,059		43,712,059

Tangible book value per common share (non-GAAP)	(E) = (C) / (D)	$	14.32	$	13.96	$	13.68	$	13.46	$	12.80

Contact:	John R. Stewart, CFA
	EVP, Chief Financial Officer
Phone:	(219) 814–5833
Fax:	(219) 874–9280
Date:	July 23, 2025

The MIL Network –

July 24, 2025

MIL-OSI: Horizon Bancorp, Inc. Reports Strong Second Quarter 2025 Results Led by Continued Net Interest Margin Expansion

Source: GlobeNewswire (MIL-OSI)

MICHIGAN CITY, Ind., July 23, 2025 (GLOBE NEWSWIRE) — (NASDAQ GS: HBNC) – Horizon Bancorp, Inc. (“Horizon” or the “Company”), the parent company of Horizon Bank (the “Bank”), announced its unaudited financial results for the three months ended June 30, 2025.

“Horizon’s second quarter earnings reflect the strength of the organization’s exceptional core community banking franchise. Strong loan growth, stable and granular core funding, excellent credit quality and prudent management of expenses fueled the quarter’s positive results and expanded on management’s commitment to improve the financial performance of the Company. The quarter was highlighted by a seventh consecutive quarter of net interest margin expansion, low net charge offs of 2 bps annualized and enhanced momentum in key performance metrics of ROAA and ROATCE”, President and CEO, Thomas Prame stated. “We continue to show strength across our core community banking platform that is being driven by a disciplined approach to creating a more efficient balance sheet and effective deployment of capital. We are pleased with our results through the first six months of 2025, with reported earnings per share growing by 58% versus the comparable period a year ago, and look forward to continuing to create additional shareholder value throughout the remainder of the year.”

Net income for the three months ended June 30, 2025 was $20.6 million, or $0.47 per diluted share, compared to net income of $23.9 million, or $0.54, for the first quarter of 2025 and compared to net income of $14.1 million, or $0.32 per diluted share, for the second quarter of 2024. As previously disclosed, results in the first quarter of 2025 included the $7.0 million pre-tax gain on the sale of the Company’s mortgage warehouse business.

Net income for the six months ended June 30, 2025 was $44.6 million, or $1.01 per diluted share, compared to net income of $28.1 million, or $0.64, for the six months ended June 30, 2024.

Second Quarter 2025 Highlights

Net interest income of $55.4 million increased 5.9% compared with $52.3 million for the three months ended March 31, 2025, and 22.3% compared with $45.3 million in the year ago period. Net interest margin, on a fully taxable equivalent (“FTE”) basis¹, expanded for the seventh consecutive quarter, to 3.23%, compared with 3.04% for the three months ended March 31, 2025 and 2.64% for the three months ended June 30, 2024.

Total loans held for investment (“HFI”) increased 6.2% compared to the linked quarter annualized, with strong organic commercial loan growth of $117.2 million, or 14.8% annualized. This growth was partially funded by the continued strategic runoff of lower yielding indirect auto loans of approximately $34.1 million.

Funding continued to trend favorably, with non-time deposit balances remaining relatively flat for the fourth consecutive quarter and interest-bearing liability cost declining by another 2 bps during the quarter.

Credit quality remained strong, with annualized net charge offs of 0.02% of average loans during the second quarter. Non-performing assets remain well within expected ranges, decreasing 12.4% from the prior quarter.

Expenses continued to be well managed, up less than 1% from the first quarter of 2025. These results reflect management’s commitment to generate higher earnings while maintaining a more efficient expense base.

^{____________________________________
1} Non-GAAP financial metric. See non-GAAP reconciliation included herein for the most directly comparable GAAP measure.


	Financial Highlights
	(Dollars in Thousands Except Share and Per Share Data and Ratios)
	Three Months Ended
	June 30,			March 31,			December 31,			September 30,			June 30,
	2025			2025			2024			2024			2024
Income statement:
Net interest income	$	55,354		$	52,267		$	53,127		$	46,910		$	45,279
Provision for credit loss expense		2,462			1,376			1,171			1,044			2,369
Non-interest income (loss)		10,920			16,499			(28,954	)		11,511			10,485
Non-interest expense		39,417			39,306			44,935			39,272			37,522
Income tax expense (benefit)		3,752			4,141			(11,051	)		(75	)		1,733
Net Income (Loss)	$	20,643		$	23,943		$	(10,882	)	$	18,180		$	14,140

Per share data:
Basic earnings (loss) per share	$	0.47		$	0.55		$	(0.25	)	$	0.42		$	0.32
Diluted earnings (loss) per share		0.47			0.54			(0.25	)		0.41			0.32
Cash dividends declared per common share		0.16			0.16			0.16			0.16			0.16
Book value per common share		18.06			17.72			17.46			17.27			16.62
Market value – high		15.88			17.76			18.76			16.57			12.74
Market value – low		12.92			15.00			14.57			11.89			11.29
Weighted average shares outstanding – Basic		43,794,490			43,777,109			43,721,211			43,712,059			43,712,059
Weighted average shares outstanding – Diluted		44,034,663			43,954,164			43,721,211			44,112,321			43,987,187
Common shares outstanding (end of period)		43,801,507			43,785,932			43,722,086			43,712,059			43,712,059

Key ratios:
Return on average assets		1.08	%		1.25	%	(0.56		)%		0.92	%		0.73	%
Return on average stockholders’ equity		13.24			12.44			(5.73	)		9.80			7.83
Total equity to total assets		10.34			10.18			9.79			9.52			9.18
Total loans to deposit ratio		87.52			85.21			87.75			83.92			85.70
Allowance for credit losses to HFI loans		1.09			1.07			1.07			1.10			1.08
Annualized net charge-offs of average total loans ⁽¹⁾		0.02			0.07			0.05			0.03			0.05
Efficiency ratio		59.48			57.16			185.89			67.22			67.29

Key metrics (Non-GAAP) ⁽²⁾
Net FTE interest margin		3.23	%		3.04	%		2.97	%		2.66	%		2.64	%
Return on average tangible common equity		13.24			15.79			(7.35	)		12.65			10.18
Tangible common equity to tangible assets		8.37			8.19			7.83			7.58			7.22
Tangible book value per common share	$	14.32		$	13.96		$	13.68		$	13.46		$	12.80


⁽¹⁾ Average total loans includes loans held for investment and held for sale.
⁽²⁾ Non-GAAP financial metrics. See non-GAAP reconciliation included herein for the most directly comparable GAAP measures.

Income Statement Highlights

Net Interest Income

Net interest income was $55.4 million in the second quarter of 2025, compared to $52.3 million in the first quarter of 2025, driven by the continued expansion of the Company’s net FTE interest margin¹, which increased to 3.23% for the second quarter of 2025, compared to 3.04% for the first quarter of 2025. Expansion was attributable to the favorable mix shift in average interest earning assets toward higher-yielding loans and in the average funding mix toward deposit balances, in addition to continued disciplined pricing strategies on both sides of the balance sheet. The second quarter net FTE interest margin did benefit by approximately seven basis points related to interest recoveries on certain commercial and residential loans.

Provision for Credit Losses

During the second quarter of 2025, the Company recorded a provision for credit losses of $2.5 million. This compares to a provision for credit losses of $1.4 million during the first quarter of 2025, and $2.4 million during the second quarter of 2024. The increase in the provision for credit losses during the second quarter of 2025 when compared with the first quarter of 2025 was primarily attributable to net growth in commercial loans HFI and changes in economic factors, partially offset by the reduction of specific reserves and the reserves for unfunded commitments in the current quarter.

For the second quarter of 2025, the allowance for credit losses included net charge-offs of $0.3 million, or an annualized 0.02% of average loans outstanding, compared to net charge-offs of $0.9 million, or an annualized 0.07% of average loans outstanding for the first quarter of 2025, and net charge-offs of $0.6 million, or an annualized 0.05% of average loans outstanding, in the second quarter of 2024.

The Company’s allowance for credit losses as a percentage of period-end loans HFI was 1.09% at June 30, 2025, compared to 1.07% at March 31, 2025 and 1.08% at June 30, 2024.

Non-Interest Income

For the Quarter Ended	June 30,		March 31,			December 31,			September 30,		June 30,
(Dollars in Thousands)	2025		2025			2024			2024		2024
Non-interest Income
Service charges on deposit accounts	$	3,208	$	3,208		$	3,276		$	3,320	$	3,130
Wire transfer fees		69		71			124			123		113
Interchange fees		3,403		3,241			3,353			3,511		3,826
Fiduciary activities		1,251		1,326			1,313			1,394		1,372
Loss on sale of investment securities		—		(407	)		(39,140	)		—		—
Gain on sale of mortgage loans		1,219		1,076			1,071			1,622		896
Mortgage servicing income net of impairment		375		385			376			412		450
Increase in cash value of bank owned life insurance		346		335			335			349		318
Other income		1,049		7,264			338			780		380
Total non-interest income (loss)	$	10,920	$	16,499		$	(28,954	)	$	11,511	$	10,485

Total non-interest income was $10.9 million in the second quarter of 2025, compared to non-interest income of $16.5 million in the first quarter of 2025. The decrease in non-interest income of $5.6 million is due to the sale of the Company’s mortgage warehouse business to an unrelated third party in the first quarter of 2025, resulting in a pre-tax gain of $7.0 million that did not recur in the current period. Interchange fees and gain on sale of mortgage loans benefited from normal seasonality, while other categories remained relatively unchanged when compared with the prior period.

^{____________________________________
1} Non-GAAP financial metric. See non-GAAP reconciliation included herein for the most directly comparable GAAP measure.

Non-Interest Expense

For the Quarter Ended	June 30,		March 31,		December 31,		September 30,		June 30,
(Dollars in Thousands)	2025		2025		2024		2024		2024
Non-interest Expense
Salaries and employee benefits	$	22,731	$	22,414	$	25,564	$	21,829	$	20,583
Net occupancy expenses		3,127		3,702		3,431		3,207		3,192
Data processing		2,951		2,872		2,841		2,977		2,579
Professional fees		735		826		736		676		714
Outside services and consultants		3,278		3,265		4,470		3,677		3,058
Loan expense		1,231		689		1,285		1,034		1,038
FDIC insurance expense		1,216		1,288		1,193		1,204		1,315
Core deposit intangible amortization		816		816		843		844		844
Merger related expenses		—		305		—		—		—
Other losses		245		228		371		297		515
Other expense		3,087		2,901		4,201		3,527		3,684
Total non-interest expense	$	39,417	$	39,306	$	44,935	$	39,272	$	37,522

Total non-interest expense was $39.4 million in the second quarter of 2025, compared with $39.3 million in the first quarter of 2025. The increase in non-interest expense during the second quarter of 2025 when compared with the prior period was primarily driven by a $0.5 million increase in loan expense. The increase was partially offset by a $0.6 million decrease in net occupancy expenses. Additionally, the Company incurred $0.3 million of direct expenses related to the sale of the mortgage warehouse business in the prior period that did not recur in the current period.

Income Taxes

Horizon recorded a net tax expense of $3.8 million for the second quarter of 2025, representing an effective tax rate of 15.4%, which is consistent with the Company’s estimated annual effective tax rate.

Balance Sheet Highlights

Total assets increased by $23.4 million, or 0.3%, to $7.7 billion as of June 30, 2025, from $7.6 billion as of March 31, 2025. The increase in total assets is primarily due to increases in loans HFI and non-interest earning cash, partially offset by a decrease in interest earning cash and investment securities. Total investment securities decreased by $24.2 million, or 1.2%, to $2.1 billion as of June 30, 2025. Total loans were $5.0 billion at June 30, 2025, an increase of $75.5 million from March 31, 2025 balances, due to organic commercial loan growth net of continued runoff in the indirect consumer portfolio.

Total deposits decreased by $66.0 million, or 1.1%, to $5.7 billion as of June 30, 2025 when compared to balances as of March 31, 2025. The decrease was partially related to a decline in time deposits of $51.9 million, or 4.2% and, to a lesser extent, a modest decrease in savings and money market deposits of $7.0 million, or 0.4%. Non-interest bearing deposit balances remained relatively unchanged in the current period. Total borrowings increased by $68.1 million during the quarter, to $880.3 million as of June 30, 2025. Balances subject to repurchase agreements increased by $7.2 million, to $95.1 million.

Capital

The following table presents the consolidated regulatory capital ratios of the Company for the previous three quarters, and the Company’s preliminary estimate of its consolidated regulatory capital ratios for the quarter ended June 30, 2025:

For the Quarter Ended	June 30,			March 31,			December 31,			September 30,
	2025*			2025			2024			2024
Consolidated Capital Ratios
Total capital (to risk-weighted assets)		14.48	%		14.26	%		13.91	%		13.45	%
Tier 1 capital (to risk-weighted assets)		12.52			12.33			12.00			11.63
Common equity tier 1 capital (to risk-weighted assets)		11.52			11.32			11.00			10.68
Tier 1 capital (to average assets)		9.59			9.25			8.88			9.02
*Preliminary estimate – may be subject to change

As of June 30, 2025, the ratio of total stockholders’ equity to total assets is 10.34%. Book value per common share was $18.06, increasing $0.34 during the second quarter of 2025.

Tangible common equity³ totaled $627.1 million at June 30, 2025, and the ratio of tangible common equity to tangible assets¹ was 8.37% at June 30, 2025, up from 8.19% at March 31, 2025. Tangible book value, which excludes intangible assets from total equity, per common share¹ was $14.32, increasing $0.36 during the second quarter of 2025 behind the growth in retained earnings.

Credit Quality

As of June 30, 2025, total non-accrual loans decreased by $4.5 million, or 15.7%, from March 31, 2025, to 0.49% of total loans HFI. Total non-performing assets decreased $3.9 million, or 12.4%, to $27.5 million, compared to $31.4 million as of March 31, 2025. The ratio of non-performing assets to total assets decreased to 0.36% compared to 0.41% as of March 31, 2025.

As of June 30, 2025, net charge-offs decreased by $0.6 million to $0.3 million, compared to $0.9 million as of March 31, 2025 and remain just 0.02% annualized of average loans.

^{____________________________________
1} Non-GAAP financial metric. See non-GAAP reconciliation included herein for the most directly comparable GAAP measure.

Earnings Conference Call

As previously announced, Horizon will host a conference call to review its second quarter financial results and operating performance.

Participants may access the live conference call on July 24, 2025 at 7:30 a.m. CT (8:30 a.m. ET) by dialing 833-974-2379 from the United States, 866-450-4696 from Canada or 1-412-317-5772 from international locations and requesting the “Horizon Bancorp, Inc. Call.” Participants are asked to dial in approximately 10 minutes prior to the call.

A telephone replay of the call will be available approximately one hour after the end of the conference through August 1, 2025. The replay may be accessed by dialing 877-344-7529 from the United States, 855-669-9658 from Canada or 1–412–317-0088 from other international locations, and entering the access code 5878909.

About Horizon Bancorp, Inc.

Horizon Bancorp, Inc. (NASDAQ GS: HBNC) is the $7.7 billion-asset commercial bank holding company for Horizon Bank, which serves customers across diverse and economically attractive Midwestern markets through convenient digital and virtual tools, as well as its Indiana and Michigan branches. Horizon’s retail offerings include prime residential and other secured consumer lending to in-market customers, as well as a range of personal banking and wealth management solutions. Horizon also provides a comprehensive array of in-market business banking and treasury management services, as well as equipment financing solutions for customers regionally and nationally, with commercial lending representing over half of total loans. More information on Horizon, headquartered in Northwest Indiana’s Michigan City, is available at horizonbank.com and investor.horizonbank.com.

Use of Non-GAAP Financial Measures

Certain information set forth in this press release refers to financial measures determined by methods other than in accordance with GAAP. Specifically, we have included non-GAAP financial measures relating to net income, diluted earnings per share, pre-tax, pre-provision net income, net interest margin, tangible stockholders’ equity and tangible book value per share, efficiency ratio, the return on average assets, the return on average common equity, and return on average tangible equity. In each case, we have identified special circumstances that we consider to be non-recurring and have excluded them. Horizon believes these non-GAAP financial measures are helpful to investors and provide a greater understanding of our business and financial results without giving effect to one-time costs and non–recurring items. These measures are not necessarily comparable to similar measures that may be presented by other companies and should not be considered in isolation or as a substitute for the related GAAP measure. See the tables and other information below and contained elsewhere in this press release for reconciliations of the non-GAAP information identified herein and its most comparable GAAP measures.

Forward Looking Statements

This press release may contain forward–looking statements regarding the financial performance, business prospects, growth and operating strategies of Horizon Bancorp, Inc. and its affiliates (collectively, “Horizon”). For these statements, Horizon claims the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. Statements in this press release should be considered in conjunction with the other information available about Horizon, including the information in the filings we make with the Securities and Exchange Commission (the “SEC”). Forward-looking statements provide current expectations or forecasts of future events and are not guarantees of future performance. The forward-looking statements are based on management’s expectations and are subject to a number of risks and uncertainties. We have tried, wherever possible, to identify such statements by using words such as “anticipate,” “estimate,” “project,” “intend,” “plan,” “believe,” “will” and similar expressions in connection with any discussion of future operating or financial performance.

Although management believes that the expectations reflected in such forward-looking statements are reasonable, actual results may differ materially from those expressed or implied in such statements. Risks and uncertainties that could cause actual results to differ materially include: effects on Horizon’s business resulting from new U.S. domestic or foreign governmental trade measures, including but not limited to tariffs, import and export controls, foreign exchange intervention accomplished to offset the effects of trade policy or in response to currency volatility, and other restrictions on free trade; uncertain conditions within the domestic and international macroeconomic environment, including trade policy, monetary and fiscal policy, and conditions in the investment, credit, interest rate, and derivatives markets, and their impact on Horizon and its customers; current financial conditions within the banking industry; changes in the level and volatility of interest rates, changes in spreads on earning assets and changes in interest bearing liabilities; increased interest rate sensitivity; the aggregate effects of elevated inflation levels in recent years; loss of key Horizon personnel; increases in disintermediation; potential loss of fee income, including interchange fees, as new and emerging alternative payment platforms take a greater market share of the payment systems; estimates of fair value of certain of Horizon’s assets and liabilities; changes in prepayment speeds, loan originations, credit losses, market values, collateral securing loans and other assets; changes in sources of liquidity; legislative and regulatory actions and reforms; changes in accounting policies or procedures as may be adopted and required by regulatory agencies; litigation, regulatory enforcement, and legal compliance risk and costs; rapid technological developments and changes; cyber terrorism and data security breaches; the rising costs of cybersecurity; the ability of the U.S. federal government to manage federal debt limits; climate change and social justice initiatives; the inability to realize cost savings or revenues or to effectively implement integration plans and other consequences associated with mergers, acquisitions, and divestitures; acts of terrorism, war and global conflicts, such as the Russia and Ukraine conflict and the Israel and Hamas conflict; and supply chain disruptions and delays. These and additional factors that could cause actual results to differ materially from those expressed in the forward-looking statements are discussed in Horizon’s reports (such as the Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, and Current Reports on Form 8-K) filed with the SEC and available at the SEC’s website (www.sec.gov). Undue reliance should not be placed on the forward–looking statements, which speak only as of the date hereof. Horizon does not undertake, and specifically disclaims any obligation, to publicly release the result of any revisions that may be made to update any forward-looking statement to reflect the events or circumstances after the date on which the forward–looking statement is made, or reflect the occurrence of unanticipated events, except to the extent required by law.


	Condensed Consolidated Statements of Income
	(Dollars in Thousands Except Per Share Data, Unaudited)
	Three Months Ended
	June 30,		March 31,			December 31,			September 30,			June 30,
	2025		2025			2024			2024			2024
Interest Income
Loans receivable	$	78,618	$	74,457		$	76,747		$	75,488		$	71,880
Investment securities – taxable		5,941		6,039			6,814			8,133			7,986
Investment securities – tax-exempt		6,088		6,192			6,301			6,310			6,377
Other		830		2,487			3,488			957			738
Total interest income		91,477		89,175			93,350			90,888			86,981
Interest Expense
Deposits		26,053		25,601			27,818			30,787			28,447
Borrowed funds		8,171		9,188			10,656			11,131			11,213
Subordinated notes		829		829			829			830			829
Junior subordinated debentures issued to capital trusts		1,070		1,290			920			1,230			1,213
Total interest expense		36,123		36,908			40,223			43,978			41,702
Net Interest Income		55,354		52,267			53,127			46,910			45,279
Provision for credit loss expense		2,462		1,376			1,171			1,044			2,369
Net Interest Income after Provision for Credit Losses		52,892		50,891			51,956			45,866			42,910
Non-interest Income
Service charges on deposit accounts		3,208		3,208			3,276			3,320			3,130
Wire transfer fees		69		71			124			123			113
Interchange fees		3,403		3,241			3,353			3,511			3,826
Fiduciary activities		1,251		1,326			1,313			1,394			1,372
Gains (losses) on sale of investment securities		—		(407	)		(39,140	)		—			—
Gain on sale of mortgage loans		1,219		1,076			1,071			1,622			896
Mortgage servicing income net of impairment		375		385			376			412			450
Increase in cash value of bank owned life insurance		346		335			335			349			318
Other income		1,049		7,264			338			780			380
Total non-interest income (loss)		10,920		16,499			(28,954	)		11,511			10,485
Non-interest Expense
Salaries and employee benefits		22,731		22,414			25,564			21,829			20,583
Net occupancy expenses		3,127		3,702			3,431			3,207			3,192
Data processing		2,951		2,872			2,841			2,977			2,579
Professional fees		735		826			736			676			714
Outside services and consultants		3,278		3,265			4,470			3,677			3,058
Loan expense		1,231		689			1,285			1,034			1,038
FDIC insurance expense		1,216		1,288			1,193			1,204			1,315
Core deposit intangible amortization		816		816			843			844			844
Merger related expenses		—		305			—			—			—
Other losses		245		228			371			297			515
Other expense		3,087		2,901			4,201			3,527			3,684
Total non-interest expense		39,417		39,306			44,935			39,272			37,522
Income (Loss) Before Income Taxes		24,395		28,084			(21,933	)		18,105			15,873
Income tax expense (benefit)		3,752		4,141			(11,051	)		(75	)		1,733
Net Income (Loss)	$	20,643	$	23,943		$	(10,882	)	$	18,180		$	14,140
Basic Earnings (Loss) Per Share	$	0.47	$	0.55		$	(0.25	)	$	0.42		$	0.32
Diluted Earnings (Loss) Per Share		0.47		0.54			(0.25	)		0.41			0.32

	Condensed Consolidated Balance Sheet
	(Dollars in Thousands, Unaudited)
	Three Months Ended for the Period
	June 30,			March 31,			December 31,			September 30,			June 30,
	2025			2025			2024			2024			2024
Assets
Interest earning assets
Federal funds sold	$	2,024		$	—		$	—		$	113,912		$	34,453
Interest earning deposits		34,174			80,023			201,131			12,107			4,957
Interest earning time deposits		—			—			735			735			1,715
Federal Home Loan Bank stock		45,412			45,412			53,826			53,826			53,826
Investment securities, available for sale		231,999			231,431			233,677			541,170			527,054
Investment securities, held to maturity		1,819,087			1,843,851			1,867,690			1,888,379			1,904,281
Loans held for sale		2,994			3,253			67,597			2,069			2,440
Gross loans held for investment (HFI)		4,985,582			4,909,815			4,847,040			4,803,996			4,822,840
Total Interest earning assets		7,121,272			7,113,784			7,271,696			7,416,194			7,351,566
Non-interest earning assets
Allowance for credit losses		(54,399	)		(52,654	)		(51,980	)		(52,881	)		(52,215	)
Cash		101,719			89,643			92,300			108,815			106,691
Cash value of life insurance		37,755			37,409			37,450			37,115			36,773
Other assets		148,773			143,675			152,635			119,026			165,656
Goodwill		155,211			155,211			155,211			155,211			155,211
Other intangible assets		8,592			9,407			10,223			11,067			11,910
Premises and equipment, net		93,398			93,499			93,864			93,544			93,695
Interest receivable		39,730			38,663			39,747			39,366			43,240
Total non-interest earning assets		530,779			514,855			529,450			511,263			560,961
Total assets	$	7,652,051		$	7,628,639		$	7,801,146		$	7,927,457		$	7,912,526
Liabilities
Savings and money market deposits	$	3,385,413		$	3,393,371		$	3,446,681		$	3,420,827		$	3,364,726
Time deposits		1,193,180			1,245,088			1,089,153			1,220,653			1,178,389
Borrowings		880,336			812,218			1,142,340			1,142,744			1,229,165
Repurchase agreements		95,089			87,851			89,912			122,399			128,169
Subordinated notes		55,807			55,772			55,738			55,703			55,668
Junior subordinated debentures issued to capital trusts		57,583			57,531			57,477			57,423			57,369
Total interest earning liabilities		5,667,408			5,651,832			5,881,301			6,019,749			6,013,486
Non-interest bearing deposits		1,121,163			1,127,324			1,064,818			1,085,535			1,087,040
Interest payable		14,007			11,441			11,137			11,400			11,240
Other liabilities		58,621			61,981			80,308			55,951			74,096
Total liabilities		6,861,199			6,852,578			7,037,564			7,172,635			7,185,862
Stockholders’ Equity
Preferred stock		—			—			—			—			—
Common stock		—			—			—			—			—
Additional paid-in capital		360,758			360,522			363,761			358,453			357,673
Retained earnings		466,497			452,945			436,122			454,050			442,977
Accumulated other comprehensive (loss)		(36,403	)		(37,406	)		(36,301	)		(57,681	)		(73,985	)
Total stockholders’ equity		790,852			776,061			763,582			754,822			726,665
Total liabilities and stockholders’ equity	$	7,652,051		$	7,628,639		$	7,801,146		$	7,927,457		$	7,912,527

	Loans and Deposits
	(Dollars in Thousands, Unaudited)
	June 30,		March 31,		December 31,		September 30,		June 30,		% Change
	2025		2025		2024		2024		2024		Q2’25 vs Q1’25			Q2’25 vs Q2’24
Loans:
Commercial real estate	$	2,321,951	$	2,262,910	$	2,202,858	$	2,105,459	$	2,117,772		3	%		10	%
Commercial & Industrial		976,740		918,541		875,297		808,600		786,788		6	%		24	%
Total commercial		3,298,691		3,181,451		3,078,155		2,914,059		2,904,560		4	%		14	%
Residential Real estate		786,026		801,726		802,909		801,356		797,956		(2	)%		(1	)%
Mortgage warehouse		—		—		—		80,437		68,917		—	%		(100	)%
Consumer		900,865		926,638		965,976		1,008,144		1,051,407		(3	)%		(14	)%
Total loans held for investment		4,985,582		4,909,815		4,847,040		4,803,996		4,822,840		2	%		3	%
Loans held for sale		2,994		3,253		67,597		2,069		2,440		(8	)%		23	%
Total loans	$	4,988,576	$	4,913,068	$	4,914,637	$	4,806,065	$	4,825,280		2	%		3	%

Deposits:
Interest bearing deposits	$	1,713,058	$	1,713,991	$	1,767,983	$	1,688,998	$	1,653,508		—	%		4	%
Savings and money market deposits		1,672,355		1,679,380		1,678,697		1,731,830		1,711,218		—	%		(2	)%
Time deposits		1,193,180		1,245,088		1,089,153		1,220,653		1,178,389		(4	)%		1	%
Total Interest bearing deposits		4,578,593		4,638,459		4,535,833		4,641,481		4,543,115		(1	)%		1	%
Non-interest bearing deposits
Non-interest bearing deposits		1,121,164		1,127,324		1,064,819		1,085,534		1,087,040		(1	)%		3	%
Total deposits	$	5,699,757	$	5,765,784	$	5,600,652	$	5,727,015	$	5,630,155		(1	)%		1	%

	Average Balance Sheet
	(Dollars in Thousands, Unaudited)
	Three Months Ended
	June 30, 2025								March 31, 2025								June 30, 2024
	Average Balance			Interest⁽⁴⁾⁽⁶⁾		Average Rate⁽⁴⁾			Average Balance			Interest⁽⁴⁾⁽⁶⁾		Average Rate⁽⁴⁾			Average Balance			Interest⁽⁴⁾⁽⁶⁾		Average Rate⁽⁴⁾
Assets
Interest earning assets
Interest earning deposits (incl. Fed Funds Sold)	$	72,993		$	830		4.56	%	$	223,148		$	2,487		4.52	%	$	55,467		$	738		5.35	%
Federal Home Loan Bank stock		45,412			1,075		9.49	%		51,769			1,012		7.93	%		53,827			1,521		11.36	%
Investment securities – taxable (1)		959,238			4,867		2.03	%		974,109			5,027		2.09	%		1,309,305			6,465		1.99	%
Investment securities – non-taxable (1)		1,100,731			7,706		2.81	%		1,120,249			7,838		2.84	%		1,132,065			8,072		2.87	%
Total investment securities		2,059,969			12,573		2.45	%		2,094,358			12,865		2.49	%		2,441,370			14,537		2.39	%
Loans receivable (2) (3)		4,947,093			79,000		6.41	%		4,865,449			74,840		6.24	%		4,662,124			72,208		6.23	%
Total interest earning assets		7,125,467			93,478		5.26	%		7,234,724			91,204		5.11	%		7,212,788			89,004		4.96	%
Non-interest earning assets
Cash and due from banks		86,316								88,624								108,319
Allowance for credit losses		(52,560	)							(51,863	)							(50,334	)
Other assets		472,175								483,765								508,555
Total average assets	$	7,631,398							$	7,755,250							$	7,779,328

Liabilities and Stockholders’ Equity
Interest bearing liabilities
Interest bearing demand deposits	$	1,727,713		$	6,803		1.58	%	$	1,750,446		$	6,491		1.50	%	$	1,656,523		$	7,081		1.72	%
Saving and money market deposits		1,651,866			8,200		1.99	%		1,674,590			8,263		2.00	%		1,677,967			9,733		2.33	%
Time deposits		1,233,582			11,050		3.59	%		1,212,386			10,847		3.63	%		1,134,590			11,633		4.12	%
Total Deposits		4,613,161			26,053		2.27	%		4,637,422			25,601		2.24	%		4,469,080			28,447		2.56	%
Borrowings		847,862			7,777		3.68	%		971,496			8,772		3.66	%		1,184,172			10,278		3.49	%
Repurchase agreements		88,058			394		1.79	%		88,469			416		1.91	%		125,144			935		3.00	%
Subordinated notes		55,785			829		5.96	%		55,750			829		6.03	%		55,647			829		5.99	%
Junior subordinated debentures issued to capital trusts		57,550			1,070		7.46	%		57,497			1,290		9.10	%		57,335			1,213		8.51	%
Total interest bearing liabilities		5,662,416			36,123		2.56	%		5,810,634			36,908		2.58	%		5,891,378			41,702		2.85	%
Non-interest bearing liabilities
Demand deposits		1,114,982								1,085,826								1,080,676
Accrued interest payable and other liabilities		64,465								78,521								80,942
Stockholders’ equity		789,535								780,269								726,332
Total average liabilities and stockholders’ equity	$	7,631,398							$	7,755,250							$	7,779,328
Net FTE interest income (non-GAAP) (5)				$	57,355							$	54,296							$	47,302
Less FTE adjustments (4)					2,001								2,029								2,023
Net Interest Income				$	55,354							$	52,267							$	45,279
Net FTE interest margin (Non-GAAP) (4)(5)							3.23	%							3.04	%							2.64	%

⁽¹⁾ Securities balances represent daily average balances for the fair value of securities. The average rate is calculated based on the daily average balance for the amortized cost of securities.
⁽²⁾ Includes fees on loans held for sale and held for investment. The inclusion of loan fees does not have a material effect on the average interest rate.
⁽³⁾ Non-accruing loans for the purpose of the computation above are included in the daily average loan amounts outstanding. Loan totals are shown net of unearned income and deferred loan fees.
⁽⁴⁾ Management believes fully taxable equivalent, or FTE, interest income is useful to investors in evaluating the Company’s performance as a comparison of the returns between a tax-free investment and a taxable alternative. The Company adjusts interest income and average rates for tax-exempt loans and securities to an FTE basis utilizing a 21% tax rate.
⁽⁵⁾ Non-GAAP financial metric. See non-GAAP reconciliation included herein for the most directly comparable GAAP measure.
⁽⁶⁾ Includes dividend income on Federal Home Loan Bank stock

	Credit Quality
	(Dollars in Thousands Except Ratios, Unaudited)
	Quarter Ended
	June 30,			March 31,			December 31,			September 30,			June 30,			% Change
	2025			2025			2024			2024			2024			Q2’25 vs Q1’25			Q2’25 vs Q2’24
Non-accrual loans
Commercial	$	7,547		$	8,172		$	5,658		$	6,830		$	4,321			(8	)%		75	%
Residential Real estate		9,525			12,763			11,215			9,529			8,489			(25	)%		12	%
Mortgage warehouse		—			—			—			—			—			—	%		—	%
Consumer		7,222			7,875			8,919			7,208			5,453			(8	)%		32	%
Total non-accrual loans		24,294			28,810			25,792			23,567			18,263			(16	)%		33	%
90 days and greater delinquent – accruing interest		2,113			1,582			1,166			819			1,039			34	%		103	%
Total non-performing loans	$	26,407		$	30,392		$	26,958		$	24,386		$	19,302			(13	)%		37	%

Other real estate owned
Commercial	$	176		$	360		$	407		$	1,158		$	1,111			(51	)%		(84	)%
Residential Real estate		463			641			—			—			—			—	%		—	%
Mortgage warehouse		—			—			—			—			—			—	%		—	%
Consumer		480			34			17			36			57			1311	%		742	%
Total other real estate owned		1,119			1,035			424			1,194			1,168			8	%		(4	)%

Total non-performing assets	$	27,526		$	31,427		$	27,382		$	25,580		$	20,470			(12	)%		34	%

Loan data:
Accruing 30 to 89 days past due loans	$	31,401		$	19,034		$	23,075		$	18,087		$	19,785			65	%		59	%
Substandard loans		64,100			66,714			64,535			59,775			51,221			(4	)%		25	%
Net charge-offs (recoveries)
Commercial	$	84		$	(47	)	$	(32	)	$	(52	)	$	57			(279	)%		47	%
Residential Real estate		52			(47	)		(10	)		(9	)		(4	)		(211	)%		(1400	)%
Mortgage warehouse		—			—			—			—			—			—	%		—	%
Consumer		118			963			668			439			534			(88	)%		(78	)%
Total net charge-offs	$	254		$	869		$	626		$	378		$	587			(71	)%		(57	)%

Allowance for credit losses
Commercial	$	34,413		$	32,640		$	30,953		$	32,854		$	31,941			5	%		8	%
Residential Real estate		3,229			3,167			2,715			2,675			2,588			2	%		25	%
Mortgage warehouse		—			—			—			862			736			—	%		(100	)%
Consumer		16,757			16,847			18,312			16,490			16,950			(1	)%		(1	)%
Total allowance for credit losses	$	54,399		$	52,654		$	51,980		$	52,881		$	52,215			3	%		4	%

Credit quality ratios
Non-accrual loans to HFI loans		0.49	%		0.59	%		0.53	%		0.49	%		0.38	%
Non-performing assets to total assets		0.36	%		0.41	%		0.35	%		0.32	%		0.26	%
Annualized net charge-offs of average total loans		0.02	%		0.07	%		0.05	%		0.03	%		0.05	%
Allowance for credit losses to HFI loans		1.09	%		1.07	%		1.07	%		1.10	%		1.08	%

Non–GAAP Reconciliation of Net Fully-Taxable Equivalent (“FTE”) Interest Margin
(Dollars in Thousands, Unaudited)

		Three Months Ended
		June 30,			March 31,			December 31,			September 30,			June 30,
		2025			2025			2024			2024			2024
Interest income (GAAP)	(A)	$	91,477		$	89,175		$	93,350		$	90,888		$	86,981
Taxable-equivalent adjustment:
Investment securities – tax exempt (1)			1,619			1,646			1,675			1,677			1,695
Loan receivable (2)			382			383			395			340			328
Interest income (non-GAAP)	(B)		93,478			91,204			95,420			92,905			89,004
Interest expense (GAAP)	(C)		36,123			36,908			40,223			43,978			41,702
Net interest income (GAAP)	(D) =(A) – (C)	$	55,354		$	52,267		$	53,127		$	46,910		$	45,279
Net FTE interest income (non-GAAP)	(E) = (B) – (C)	$	57,355		$	54,296		$	55,197		$	48,927		$	47,302
Average interest earning assets	(F)		7,125,467			7,234,724			7,396,178			7,330,263			7,212,788
Net FTE interest margin (non-GAAP)	(G) = (E*) / (F)		3.23	%		3.04	%		2.97	%		2.66	%		2.64	%

⁽¹⁾ The following represents municipal securities interest income for investment securities classified as available-for-sale and held-to-maturity
⁽²⁾ The following represents municipal loan interest income for loan receivables classified as held for sale and held for investment
*Annualized

Non–GAAP Reconciliation of Return on Average Tangible Common Equity
(Dollars in Thousands, Unaudited)

		Three Months Ended
		June 30,			March 31,			December 31,			September 30,			June 30,
		2025			2025			2024			2024			2024

Net income (loss) (GAAP)	(A)	$	20,643		$	23,941		$	(10,882	)	$	18,180		$	14,140

Average stockholders’ equity	(B)	$	789,535		$	780,269		$	755,340		$	738,372		$	726,332
Average intangible assets	(C)		164,320			165,138			165,973			166,819			167,659
Average tangible equity (Non-GAAP)	(D) = (B) – (C)	$	625,215		$	615,131		$	589,367		$	571,553		$	558,673
Return on average tangible common equity (“ROACE”) (non-GAAP)	(E) = (A*) / (D)		13.24	%		15.48	%	(7.35		)%		12.65	%		10.18	%
*Annualized

Non–GAAP Reconciliation of Tangible Common Equity to Tangible Assets
(Dollars in Thousands, Unaudited)
		Three Months Ended
		June 30,			March 31,			December 31,			September 30,			June 30,
		2025			2025			2024			2024			2024
Total stockholders’ equity (GAAP)	(A)	$	790,852		$	776,061		$	763,582		$	754,822		$	726,665
Intangible assets (end of period)	(B)		163,802			164,618			165,434			166,278			167,121
Total tangible common equity (non-GAAP)	(C) = (A) – (B)	$	627,050		$	611,443		$	598,148		$	588,544		$	559,544

Total assets (GAAP)	(D)	$	7,652,051		$	7,628,636		$	7,801,146		$	7,927,457		$	7,912,527
Intangible assets (end of period)	(B)		163,802			164,618			165,434			166,278			167,121
Total tangible assets (non-GAAP)	(E) = (D) – (B)	$	7,488,249		$	7,464,018		$	7,635,712		$	7,761,179		$	7,745,406

Tangible common equity to tangible assets (Non-GAAP)	(G) = (C) / (E)		8.37	%		8.19	%		7.83	%		7.58	%		7.22	%

Non–GAAP Reconciliation of Tangible Book Value Per Share
(Dollars in Thousands, Unaudited)
		Three Months Ended
		June 30,		March 31,		December 31,		September 30,		June 30,
		2025		2025		2024		2024		2024
Total stockholders’ equity (GAAP)	(A)	$	790,852	$	776,061	$	763,582	$	754,822	$	726,665
Intangible assets (end of period)	(B)		163,802		164,618		165,434		166,278		167,121
Total tangible common equity (non-GAAP)	(C) = (A) – (B)	$	627,050	$	611,443	$	598,148	$	588,544	$	559,544
Common shares outstanding	(D)		43,801,507		43,786,000		43,722,086		43,712,059		43,712,059

Tangible book value per common share (non-GAAP)	(E) = (C) / (D)	$	14.32	$	13.96	$	13.68	$	13.46	$	12.80

Contact:	John R. Stewart, CFA
	EVP, Chief Financial Officer
Phone:	(219) 814–5833
Fax:	(219) 874–9280
Date:	July 23, 2025

The MIL Network –

July 24, 2025

MIL-OSI Banking: Facilitator cites “strong engagement” in initial WTO reform consultations

Source: WTO

Headline: Facilitator cites “strong engagement” in initial WTO reform consultations

Ambassador Ølberg, who was appointed by General Council Chair Ambassador Saqer Abdullah Almoqbel (Kingdom of Saudi Arabia) in early June to serve as facilitator for the reform discussions, noted that he has conducted two rounds of consultation involving nearly 100 members, with the discussion structured around three indicative tracks:

governance (institutional issues)
fairness (level playing field and balanced trade)
“issues of our time”

“What is already clear is this: across all three tracks, there is strong engagement, serious thinking, and a shared sense that reform is both necessary and urgent — even if views differ on the details,” the facilitator said.
The “next phase of our work is about focus, discipline, and delivery,” he added. “From the consultations so far, one thing is clear — we have a wide range of perspectives … Our goal is not to solve every issue now. It’s to identify where ministers can add the guidance needed to move forward decisively after MC14.”
At their 12th Ministerial Conference in 2022, WTO members agreed to undertake a comprehensive review of the WTO’s functions in order to ensure the organization is capable of responding more effectively to both the challenges facing the multilateral trading system and the opportunities provided by contemporary developments in global trade.
Speaking after more than 60 members took the floor to react to the facilitator’s report, Director-General Ngozi Okonjo-Iweala said she was “encouraged with what I’m hearing.”
“I agree with those who say that it’s somewhat existential for the organization to seize the opportunity to do this reform,” she said. “It’s not unusual that views are initially divergent … that being said, there seems to be an unmistakable momentum.”
A number of members noted the importance of dispute settlement reform, which is being addressed on a separate track. Addressing the General Council, Ambassador Almoqbel referred to his communication to members in early June stating that he and the Dispute Settlement Body (DSB) Chair, Ambassador Clare Kelly (New Zealand), would be closely monitoring the situation on dispute settlement reform and would revert to members at the appropriate time.
Since that communication, the DSB Chair has been holding “low-key” conversations with members to “check the temperature,” Ambassador Almoqbel said, and these conversations are ongoing.
Report of the Director-General
Reporting to the General Council in her capacity as Chair of the Trade Negotiations Committee, Director-General Ngozi Okonjo-Iweala welcomed the submission of Argentina’s instrument of acceptance for the Agreement on Fisheries Subsidies. She noted that only five more acceptances are needed for the Agreement to enter into force, with several already in the pipeline. She also noted the possibility of convening a special General Council meeting after the summer break to formally receive the additional instruments and mark the Agreement’s entry into force.
Regarding the negotiations on additional provisions to the Agreement, DG Okonjo-Iweala said she was encouraged by the strong support expressed by many members to move forward and conclude the negotiations. However, there was value in using the summer break to reflect on how best to advance the discussions, she said.
The Director-General also invited members to use the summer break to reflect on how to collectively ensure movement on “the negotiating files”, including joint initiatives such as the Investment Facilitation for Development (IFD) Agreement.
“We cannot have a jam on multilateral negotiations moving forward and a jam on plurilaterals,” DG Okonjo-Iweala said. Otherwise, members risk ending the year with nothing credible to take to the 14th Ministerial Conference (MC14) for consideration, she added. The world is “looking to the WTO, not as a source of stagnation or lack of action, but as a source of stability, predictability, a source of revitalization.”
Twenty-four members took the floor after the Director-General’s intervention, some speaking on behalf of groups of members, highlighting their issues of interest.
Investment facilitation for development
On the IFD initiative, members were once again unable to reach consensus on the request supported by 127 members to incorporate the IFD Agreement under Annex 4 of the Marrakesh Agreement establishing the WTO. This marked the ninth time the proposal has been submitted to members for adoption.
Speaking on behalf of the 127 co-sponsors, the Republic of Korea underlined the urgent need to incorporate the Agreement into the WTO framework in order to help members attract investment, in particular for developing and least developed country members. The outlook for global foreign direct investment (FDI) in 2025 remains negative due to escalating trade tensions, geopolitical fragmentation and economic volatility, the Republic of Korea said. The IFD member parties believe that incorporating the Agreement into the WTO will reinforce the credibility and relevance of the organization.
Three members reiterated their objections to incorporating the IFD Agreement into the WTO multilateral framework. They reiterated their openness to further discussions on the matter.
Current trade tensions
China once again introduced a proposal on supporting the multilateral trading system in the current situation. The proposal further elaborates on its “Stability, Development and Reform” (SDR) approach for the WTO, which calls for stability as the cornerstone, development as the priority, and reform as the pathway to support the multilateral trading system as it faces heightened trade turbulence. China said it stands ready to work with all members pragmatically and constructively to collectively safeguard and strengthen the rules-based multilateral trading system.
Five members took the floor to respond to China’s intervention.
Brazil introduced an agenda item on respecting the rules-based multilateral trading system. Brazil said the world was witnessing an unprecedented attack on the system and on the credibility of the WTO, with arbitrary tariffs disrupting global value chains and posing risks to the world economy.
Even more concerning is a dangerous shift towards the use of tariffs as a tool to interfere in the domestic affairs of third countries, Brazil said. It is essential that the WTO recover its role as a place where all countries can settle disputes and affirm legitimate interests through dialogue and negotiation, Brazil added.
Fifteen members took the floor to react to Brazil’s statement. DG Okonjo-Iweala said the interventions underlined the importance of WTO reform and responding to the concerns expressed by members.
Work Programme on Electronic Commerce – Report by the facilitator
Ambassador Richard Brown (Jamaica), the facilitator for the WTO’s Work Programme on E-Commerce, reported on his recent consultations with members. He said that, overall, members overwhelmingly consider the work programme as an important aspect of the WTO engagement on e-commerce. They would like to see it preserved and made more effective, he added.
Ambassador Brown also noted that the “vast majority” of members support the extension of the WTO’s customs duties moratorium on electronic transmissions, with some preferring either longer periods for the moratorium or a permanent decision. At the same time, a few delegations continue to raise concerns related to revenue losses and policy space limitations, he added.
Ministers at the 13th Ministerial Conference in 2024 agreed to maintain the moratorium until MC14 or 31 March 2026, whichever is earlier. Both the moratorium and the Work Programme are set to expire on that date. MC14 is scheduled for 26-29 March 2026.
Transition support measures in favour of countries graduated from the LDC category
Gambia, on behalf of the Group of Least Developed Countries (LDCs), introduced the group’s latest proposal regarding additional transition measures in favour of countries graduated from the LDC category. The measures are in recognition that the phasing-out of international support measures associated with LDC status can present challenges for graduating LDCs as they seek to integrate more fully into the global economy.
Next meeting
The next regular meeting of the General Council is tentatively scheduled for 6-7 October.

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MIL OSI Global Banks –

July 24, 2025

MIL-OSI United Nations: Haiti: Violence and displacement driving humanitarian crisis as funding needs go unmet

Source: United Nations 2

Nearly 1.3 million people in the Caribbean country have fled their homes, with an additional 15,000 uprooted ast week after armed attacks in the communes of Dessalines and Verrettes in the Artibonite department.

Further, the UN Children’s Fund (UNICEF) and its partners have screened more than 217,000 children for acute malnutrition in 2025. Some 21,500 children have been admitted for acute malnutrition treatment, representing a mere 17 per cent of the 129,000 children who are projected to need life-saving treatment this year.

This malnutrition stems from severe food insecurity across the country. The Integrated Food Security Phase Classification (IPC) reported that an estimated 5.7 million people – more than half of Haiti’s population – faced high levels of acute food insecurity between March and June this year.

Education emergency

Haiti’s children also face an education emergency. More than 1,600 schools remain closed in Haiti – an increase of over two-thirds compared to the start of the year.

“Without access to education, children, of course, are more vulnerable to exploitation and recruitment by gangs,” UN Spokesperson Stéphane Dujarric told journalists at Headquarters in New York

In response, UNICEF has provided learning opportunities to more than 16,000 children, and the agency has provided over 100,000 children with mental health and psychosocial support.

Insecurity and lack of funds straining access

Despite dire humanitarian needs and commendable efforts by UN agencies, the current support “is just a fraction of what is needed in Haiti,” Mr. Dujarric emphasised.

Insecurity continues to constrain the humanitarian response, causing access challenges, supply shortages and the closure of health facilities.

Subsequently, the many displaced families in urgent need of hygiene supplies, food, emergency shelter, medical assistance, and other essential items are often unable to access them.

Humanitarian response is also hampered by a severe lack of funds.

“Haiti remains, as I have said here many times, the least funded of our underfunded country appeals globally,” Mr. Dujarric stressed. More than halfway through the year, the Haitian humanitarian response plan has received less than 9 per cent of the $908 million required.

MIL OSI United Nations News –

July 24, 2025

MIL-OSI USA: USGS Geologic Mapping Project Supports Critical Mineral Exploration, Enhances Public Safety in the Southeast

Source: US Geological Survey

The project aims to create detailed geologic maps of the Atlantic Seaboard Fall Line, a geologic boundary from New Jersey to Georgia. This area features rapids in streams and rivers, with higher land to the northwest. The Fall Line marks a 10-mile-wide area between the hard metamorphic rock of the Piedmont to the west and the softer sedimentary rock of the Coastal Plain to the east.

These new geologic maps will fill in knowledge gaps in many places in the southeastern U.S. that have not been mapped in detail before.

“New technologies and mapping techniques allow us to create more accurate maps of what lies underground, providing crucial geologic information, such as where important minerals could be or where earthquake risks are greater” said Mark Carter, a USGS research geologist and project lead with the USGS Florence Bascom Geoscience Center.

A key focus of this mapping project is to inform State Geological Surveys, private industry, and key decision-makers where critical minerals vital to the economy and national security might be located.

As demand for rare earth elements and other critical minerals grows for use in technology, energy, and defense sectors, this project can provide vital data that helps the U.S. secure domestic sources of critical minerals, thus reducing the nation’s dependence on foreign sources.

“Critical minerals are needed for almost every part of modern life,” Carter explained. “Projects like this one can make the U.S. more self-reliant by helping us find where these resources are.”

Critical minerals like titanium are found in sandy deposits along the coastal plain, originating from weathered rocks in and around the Appalachians and washed downstream. While experts know the current locations of many of these sandy deposits, their original sources in Piedmont and Blue Ridge bedrock upstream are still unknown. Discovering the origin of these minerals is important because there may be large amounts of valuable resources yet to be uncovered, added Carter.

Titanium is one of 50 critical minerals essential to the U.S. economy and national security. More than 95% of titanium used in the U.S. during 2024 was imported from other countries, so finding domestic sources of titanium is important for the U.S. to be self-sufficient. Titanium’s high strength-to-weight ratio is crucial for components in airplanes, spacecraft, military armor, and medical implants. Most titanium ore is processed into titanium dioxide, a pigment used in various products like paints, plastics, toothpaste and sunscreen.

In addition to its potential in locating critical minerals, this project fills a critical public safety need by assessing areas for earthquake hazards.

Many older geologic maps of the southeastern U.S. do not provide the detail needed to identify possible geological hazards, including rare but severe earthquakes that endanger lives and infrastructure. Updated maps can improve geological understanding and knowledge on earthquake risks, helping local governments and emergency services better prepare for and mitigate the impacts of earthquakes. This improved understanding helps local and state governments maximize the effectiveness of building codes, emergency plans, and public awareness programs.

“At the heart of this mapping endeavor is a commitment to public safety,” said Carter. “The project will provide local agencies and policymakers with the knowledge needed to implement effective hazard mitigation strategies, which can help save lives, protect communities and reduce economic losses in the event of a future earthquake.”

At present, the research for the project is focused on the Fall Line in southeast Virginia, northeastern North Carolina, and central Georgia. Much of the work in Georgia is focused on Federal lands, including the Oconee National Forests and both the Piedmont and Bond Swamp National Wildlife Refuges.

During fieldwork, geologists traverse varied terrains to study rocks outcrops, topographic features, and soils while collecting samples for laboratory analysis. A key aspect of geologic mapping is laboratory work to determine the age of rocks and sediments. At USGS labs, various techniques are employed to achieve this, such as uranium-lead dating for zircon minerals, pollen analysis to determine sediment age, cosmogenic nuclide dating to measure sunlight exposure, and optically stimulated luminescence dating to find out when sands were last exposed to sunlight, which tells experts when the sands were buried.

This field and laboratory work also helps other parts of the USGS like the Earth Mapping Resources Initiative (Earth MRI), which collects geophysical, geologic, geochemical, and topographic data across all regions of the U.S. to enhance scientific understanding of the nation’s geology and mineral resources. Earth MRI airborne surveys aid geologic mapping by measuring rock characteristics that are not visible to the naked eye but can be matched to geologic features that span large regions, even in remote, rugged areas or areas covered by vegetation or water. This project and similar efforts by USGS and State geological survey partners provide essential ground-truth information to interpret the geophysical data and infer the bedrock geology and features such as faults that are concealed beneath younger soils and sediment.

To learn more about this USGS National Cooperative Geologic Mapping Program project, visit: Geology of the eastern Piedmont and upper Coastal Plain along the Fall Zone, Virginia to Georgia | U.S. Geological Survey

MIL OSI USA News –

July 24, 2025

MIL-Evening Report: How the UK’s immigration system splits families apart – by design

Source: The Conversation (Au and NZ) – By Nando Sigona, Professor of International Migration and Forced Displacement and Director of the Institute for Research into International Migration and Superdiversity, University of Birmingham

arda savasciogullari/Shutterstock

The letter that arrived for eleven-year-old Guilherme in June 2025 was addressed personally to him. The UK Home Office was informing him that he and his eight-year-old brother Luca must return to Brazil. Their parents, an academic and a senior NHS nurse, both long-term UK residents with valid visas were not included in the order.

“Whilst this may involve a degree of disruption in family life,” the letter stated, “this is considered to be proportionate to the legitimate aim of maintaining effective immigration control.”

The family’s difficulties with the Home Office began after the parents divorced a few years after arriving in the UK. Mother and children arrived in the UK as dependants on the father’s visa. After the divorce, the mother secured her own skilled worker visa, while the father was granted indefinite leave to remain in 2024.

Under current rules, skilled workers must wait five years before applying for settlement. For the children to qualify for settlement, both parents must be settled or one must have sole responsibility – neither condition applies here. Only after media attention did the Home Office reconsider the decision.

This case is just the latest example of how barriers to migrants’ family life are embedded in the UK’s immigration system – something I have been studying for years. The Labour government’s recently announced immigration plans extend and bolster these barriers.

Current rules require migrants to earn at least £29,000 to sponsor a spouse or child – a figure set to rise to £38,700 in early 2026 after changes introduced by the last government. The newest immigration plans propose doubling the path to settlement from five to ten years. And they restrict the rights to family reunion to only “nuclear” families: divorced parents, adult children and extended kin are left out.

These changes are aimed at reducing migration and restoring “public trust”. But in practice, they make family unity a luxury — harder to achieve for low-paid migrant workers and even for working-class British citizens with foreign partners.

The price of family life

Recent research my colleagues and I conducted — based on over 50 interviews with migrant domestic and food delivery workers and other experts — shows how the immigration system fractures families and puts children at risk.

Faith, a Zimbabwean domestic worker, explained how she was unable to bring her eldest daughter to the UK due to age restrictions on dependant visas. Her daughter was later trafficked into the UK and, though she eventually rejoined her mother, hasn’t recovered from the trauma of separation: “She’s struggling to sleep, can’t eat … always emotional, saying she feels dizzy, scared to be around people.”

Faith had been trapped in an abusive relationship for a long time because her visa was tied to her partner. When she eventually left her partner, her visa was withdrawn – leaving her in breach of immigration rules. Her younger child was placed in care while Faith was detained for breaching the terms of her visa.

Jamal, a food delivery rider from Eritrea, had a similar experience of legal dependency. He came to the UK on a dependant visa linked to his British wife. After their relationship deteriorated, his ability to remain in the country was threatened: “If we have problems, she can cancel my visa. This was her weapon.”

Susan, a Zimbabwean woman working in the care and cleaning sector, moved to the UK to look after her adult daughter who had cancer. When her six month visitor visa expired, she applied for asylum, but her application was refused and eventually she was detained for almost a month.

She faced deportation but was released after a legal aid lawyer helped her submit strong evidence of her daughter’s condition. Reflecting on her experience, she explained: “When it benefits them, they say I’ve had no contact [with my family in the UK]. When they want to deport me, they say I have family to return to [in Zimbabwe].”

Immigration status doesn’t just define one’s own legal position, it can determine who gets the right to have a family in the UK and who does not. While some of our interviewees secured status through a partner’s EU citizenship and reunited with family members already in the UK, others who rely on temporary visas are excluded.

Changes to the immigration in recent years have placed a higher value on how migrants can contribute or provide “value” – seeing them as workers (or students) first, not members of families. Many are allowed in the UK for a limited time and without the right to bring with them even the closest family members. The effect is particularly harsh on women in domestic work, whose visas are short-term and not renewable.

Many interviewees reported that immigration barriers delayed or obstructed their children’s education or healthcare. Samantha’s daughter waited over two months for a school placement because their legal status was still pending. Adriana was charged £8,000 for NHS maternity services because of her undocumented status, which restricts access to free healthcare to GP and emergency care.

Even in less extreme cases, legal insecurity takes a toll. Children grow up hearing their parents talk about “papers”, “Home Office letters” or the risk of being “sent back”.

That the Home Office sent a removal letter to an eleven-year-old is not a clerical error. It is the system working as designed. And even when public outrage forces a reversal — as in Guilherme’s case — the wider machinery of enforcement continues.

Get your news from actual experts, straight to your inbox. Sign up to our daily newsletter to receive all The Conversation UK’s latest coverage of news and research, from politics and business to the arts and sciences.

Nando Sigona is Scientific Coordinator of “Improving the Living and Working Conditions of Irregularised Migrant Households in Europe” (www.i-claim.eu), a three-year six-country research project, funded by the European Commission’s Horizon Europe and UKRI.

– ref. How the UK’s immigration system splits families apart – by design – https://theconversation.com/how-the-uks-immigration-system-splits-families-apart-by-design-261134

MIL OSI Analysis – EveningReport.nz –

July 24, 2025

MIL-OSI USA: Government Watchdog Finds Trump Has Illegally Impounded Head Start Funding for Families Across America—Murray Responds

US Senate News:

Source: United States Senator for Washington State Patty Murray

Washington, D.C. — Today, U.S. Senator Patty Murray (D-WA), Vice Chair of the Senate Appropriations Committee, issued the following statement on another Government Accountability Office (GAO) decision announced this morning, which concludes that President Trump has illegally impounded funding provided by Congress for Head Start programs across America, in violation of the Impoundment Control Act (ICA):

“Today, a top government watchdog confirmed what we’ve known for months: President Trump has illegally held up vast sums of funding for Head Start programs across America—blocking funding that working families count on every day for pre-K and so many critical services Head Start offers.

“Because of Trump’s illegal impoundment of this funding that Congress provided, we have seen Head Start centers temporarily close, families scramble to make alternate plans, and needless stress and panic in communities nationwide—including in Washington state.

“Stealing money from preschool programs? No President in modern history has demonstrated such contempt for working and low-income American families as Donald Trump.

“Trump has signaled he would like to eliminate Head Start—but that’s not his choice to make. Congress delivered this funding for Head Start on a bipartisan basis, and instead of trying to destroy preschool programs and breaking our laws to hurt working families, President Trump needs to ensure every penny of these funds get out in a timely, consistent way moving forward—and he must also finally get out the rest of the investments he has been robbing the American people of.”

In its decision, GAO also highlighted the Trump administration’s complete unwillingness to provide any explanation or justification for their actions, which, in this case, impact hundreds of thousands of children and families in Head Start programs across the country. This is further evidence that claims by this administration of a commitment to radical transparency are a farce—as this administration continues to try to hide what it is doing, and how it is spending taxpayer dollars, from the American public.

In April, Senator Murray raised alarm bells about how President Trump was withholding nearly $1 billion in Head Start funding, and she led her colleagues in demanding that the funds get moving. A Head Start center in Lower Yakima Valley, Washington state, was forced to temporarily close because of the chaotic delays. Senator Murray has also consistently warned of how President Trump’s dismantling of the Office of Head Start is hurting families nationwide.

In its decision today, the GAO concluded that:

“As explained below, we conclude that HHS withheld these funds from expenditure in violation of the ICA. The Head Start Act requires the Secretary to prescribe procedures to assure that ‘financial assistance under this subchapter shall not be suspended, except in emergency situations, unless the recipient agency has been given reasonable notice and opportunity to show cause why such action should not be taken’. HHS’s actions here were inconsistent with this legal requirement. … As of 2024, there were approximately

1,600 grant recipients across all 50 states, the District of Columbia, five territories, and Palau. Grant recipients, known as Head Start agencies, can generally receive federal funds that cover up to 80 percent of the approved costs of an agency’s Head Start program. …. The Constitution grants the President no unilateral authority to withhold funds from obligation. …. In addition, plaintiffs in numerous cases before federal district courts reported Head Start agencies’ inabilities to access Head Start grant funding. While we accept that the rate of an agency’s obligations or disbursements of a given appropriation may vary from year to year, we expect that an agency’s obligations and expenditures, at any time throughout the fiscal year, will reflect a ‘reasonable attempt by the agency to carry out the purposes of the appropriation.’ Moreover, we would not expect substantial variations in disbursement rates in this case, where disbursements are directed by the Head Start Act. …. If the Administration wishes to make changes to the appropriation provided for Head Start, it must propose legislation for consideration by Congress.”

Presidents do not wield the power to unilaterally withhold or block investments that have been enacted into law through what’s known as “impoundment.” This foundational principle has been affirmed time and again. The Impoundment Control Act (ICA) of 1974 makes this plain and establishes limited procedures the president can and must follow to propose delaying or rescinding enacted funding. The Impoundment Control Act also charges the GAO with the responsibility of investigating and reporting to Congress when the president illegally withholds funding.

The GAO has now acknowledged that it has opened 46 impoundment investigations and counting. Today’s announcement follows the GAO’s first decision in May in one of its ongoing investigations, which concluded Trump is illegally impounding funding for electric vehicle charging, and a subsequent investigation in June concluding Trump is illegally impounding funding for museums and libraries across America. The ICA authorizes the Comptroller General to file suit when the president illegally impounds funding.

Since his first hours in office, President Trump has illegally blocked funding owed to communities across the country through a variety of different means. Senate and House Appropriations Committee Democrats have been tracking Trump’s illegal funding freeze and found that, as of June 3, President Trump is blocking at least $425 billion in funding owed to the American people.

MIL OSI USA News –

July 24, 2025

MIL-OSI USA News: Small Business Sentiment Surges as the One Big Beautiful Bill Takes Effect

Source: US Whitehouse

“Small business owners are matching the market with increased confidence,” CNBC reports in their latest Small Business Survey — which shows a renewed sense of economic optimism as President Donald J. Trump’s policies deliver results and as the landmark One Big Beautiful Bill takes effect.

Here’s what you need to know:

Nearly half of small business owners rate the economy as “excellent” or “good” — up from 30% in the previous quarter.

More than half of small business owners expect revenue to increase over the next year — up 10% from last quarter — and more describe their business conditions as “good.”

Fewer small business owners “have been, or expect to be impacted by tariffs.”

There has been a sharp decline in the number of small business owners who expect government regulations, tax policy, and trade policy to negatively impact their operations.

Confidence in President Trump has spiked, with nearly six-in-ten small business owners approving of his job performance — improving sentiment shared “across the political spectrum.”
- SurveyMonkey’s Sam Gutierrez: “Small business owners who identify as Democrats report the largest increase in sentiment. They are much more optimistic about business conditions compared with the previous quarter.”

MIL OSI USA News –

July 24, 2025

MIL-OSI USA News: Fact Sheet: President Donald J. Trump Secures Unprecedented U.S.–Japan Strategic Trade and Investment Agreement

Source: US Whitehouse

A HISTORIC TRADE AND INVESTMENT AGREEMENT WITH JAPAN: Yesterday, President Donald J. Trump announced a landmark economic agreement with Japan—one of America’s closest allies and most important trading partners.

This historic deal reflects the strength of the U.S.–Japan relationship and Japan’s recognition of the United States as the most attractive and secure destination for strategic investment in the world.
The agreement reaffirms the shared commitment of both nations to economic prosperity, industrial leadership, and long-term security. It delivers a powerful signal that the U.S.–Japan alliance is not only a cornerstone of peace in the Indo-Pacific, but also a driver of global growth and innovation.
With over $550 billion in a new Japanese/USA investment vehicle and enhanced access for American exports, this agreement marks a new chapter in bilateral cooperation—one that will unleash the full potential of the U.S. economy, strengthen vital supply chains, and support American workers, communities, and businesses for decades to come.

RESTORING AMERICAN INDUSTRIAL POWER: Japan will invest $550 billion directed by the United States to rebuild and expand core American industries.

This is the single largest foreign investment commitment ever secured by any country and will generate hundreds of thousands of U.S. jobs, expand domestic manufacturing, and secure American prosperity for generations.
At President Trump’s direction, these funds will be targeted toward the revitalization of America’s strategic industrial base, including:
- Energy infrastructure and production, including LNG, advanced fuels, and grid modernization;
- Semiconductor manufacturing and research, rebuilding U.S. capacity from design to fabrication;
- Critical minerals mining, processing, and refining, ensuring access to essential inputs;
- Pharmaceutical and medical production, ending U.S. dependence on foreign-made medicines and supplies;
- Commercial and defense shipbuilding, including new yards and modernization of existing facilities.
The United States will retain 90% of the profits from this investment—ensuring that American workers, taxpayers, and communities reap the overwhelming share of the benefit.
This capital surge, combined with the trillions already secured under President Trump’s leadership, will be a key component of a once-in-a-century industrial revival.

ENSURING BALANCED TRADE THROUGH A PREDICTABLE TARIFF FRAMEWORK: As part of this agreement, imports from Japan will be subject to a baseline 15% tariff rate.

In addition to raising billions in revenue, this new tariff framework, combined with expanded U.S. exports and investment-driven production, will help narrow the trade deficit with Japan and restore greater balance to the overall U.S. trade position.
This approach reflects the United States’ broader effort to establish a consistent, transparent, and enforceable trade environment—one in which American workers and producers are no longer disadvantaged by outdated or one-sided trade rules.
By aligning with this framework, Japan affirms the strength and mutual respect of the U.S.–Japan economic relationship and recognizes the importance of durable trade grounded in fairness.

SECURING INCREASED MARKET ACCESS FOR AMERICAN PRODUCERS: For decades, U.S. companies have faced barriers when seeking access to Japan’s market. This agreement delivers breakthrough openings across key sectors:

Agriculture and Food:
- Japan will immediately increase imports of U.S. rice by 75%, with a major expansion of import quotas;
- Japan will purchase $8 billion in U.S. goods, including corn, soybeans, fertilizer, bioethanol, and sustainable aviation fuel.
Energy:
- Major expansion of U.S. energy exports to Japan;
- The US and Japan are exploring a new offtake agreement for Alaskan liquefied natural gas (LNG).
Manufacturing and Aerospace:
- Japan has committed to purchase U.S.-made commercial aircraft, including an agreement to buy 100 Boeing aircraft;
- Additional billions of dollars annually of purchases of U.S. defense equipment, enhancing interoperability and alliance security in the Indo-Pacific.
Automobiles and Industrial Goods:
- Longstanding restrictions on U.S. cars and trucks will be lifted, granting U.S. automakers access to the Japanese consumer market; U.S. Automotive standards will be approved in Japan for the first time ever.
- Broader openings for a range of industrial and consumer goods, leveling the playing field for American producers.

A GENERATIONAL SHIFT IN U.S.-JAPAN ECONOMIC RELATIONS: This agreement is not merely a trade deal—it is a strategic realignment of the U.S.-Japan economic relationship delivering for the American people.

For the first time, the terms of engagement place American industry, innovation, and labor at the center.
By securing historic investment and breaking open long-closed markets, President Trump has once again delivered a deal that no one else could deliver—a deal that will help to rebuild the American economy, strengthen our industrial foundation, and safeguard our national strength for decades to come.
President Trump is proving that when the United States leads from strength, the world follows—and America wins.

SECURING LONG-TERM ECONOMIC PARTNERSHIP: This agreement reflects the strong and enduring relationship between the United States and Japan, and it advances the mutual interests of both nations.

By aligning on economic and national security, energy reliability, and reciprocal trade, the agreement establishes a foundation for shared prosperity, industrial resilience, and technological leadership.
President Trump has once again delivered a transformative outcome for the American people—ensuring that our workers, producers, and innovators are rewarded, respected, and empowered in the global economy.

MIL OSI USA News –

July 24, 2025

MIL-OSI USA: Celebrating 53 Years Since the Launch of Landsat 1

Source: US Geological Survey

Illustration of Landsat 1

With a swarm of satellites now circling the Earth, it’s easy to take for granted the unique value of monitoring our home planet from space. In the 1970s, however, the idea was still novel. When the Earth Resources Technology Satellite (ERTS-1)—what we now call Landsat 1—launched in 1972, it posed the following question: could we manage our natural resources using remotely-sensed data? The answer, 53 years on, is a resounding “yes.”

Even before the launch of ERTS-1, there were 305 proposed investigations across various disciplines, according to the ERTS-A Press Kit.

Members of the Landsat project office understood the value of the program would depend on the practical and widespread uses of the data collected by the ERTS Multispectral Scanner (MSS) instrument. In June 1970, NASA requested proposals for the use of data from researchers around the world. (Etter Mack). The accepted proposals came from a diverse range of institutions including universities, industry, non-profit organizations, and federal and state government agencies, demonstrating the broad interest in utilizing this new Earth observation capability. These were categorized into different scientific disciplines, covering everything from agriculture and forestry to geology and hydrology.

The United States Geological Survey (USGS), which planned the ERTS program alongside NASA, was the largest operational user of ERTS-1 data. In the first years of ERTS-1 in orbit, the USGS used the data to monitor strip mining, locate oil and mineral deposits, map flooding, and identify land use change. The USGS also played a large role in encouraging the widespread use of remote sensing by developing new techniques, providing training, and encouraging operational use programs throughout the federal government and beyond.

Between the launches of ERTS-1 and ERTS-2 (later renamed Landsat 2), the USGS and three other federal agencies—the Department of Agriculture, the Army Corp of Engineers, and the National Oceanic and Atmospheric Administration (NOAA)—began investigating how they could use ERTS data. The Department of Agriculture identified major applications areas, including inventorying and monitoring agricultural, range, and forested lands; tracking changes in the urban-rural interface; and monitoring wildlife habitat for management. The Army Corps of Engineers used ERTS-1 data for the National Dam Safety Program, to develop large-area environmental impact statements, and to study the Atlantic and Pacific coasts of the U.S. In anticipation of the launch of ERTS-2, the Corps of Engineers planned multiple NASA-funded investigations focused on reservoir management, coastal planning, and environmental impact prediction. NOAA used ERTS-1 data to improve aeronautical charts and identified further operational uses of ERTS data including water quality monitoring, impact assessments of human activity on fisheries, and snow cover analysis.

Landsat 1 fundamentally changed Earth observation. Its groundbreaking MSS was the first Earth-observing instrument designed to obtain calibration data in orbit and established standards for satellite-based Earth observation. What began as an experimental satellite, has grown into one of the longest-running and most valuable Earth observation programs in the world. Today, the Landsat archive supports billions in annual economic benefits across sectors like agriculture, forestry, water resources, geology and mineral exploration, and environmental monitoring. Research in each of these key application areas has grown as each new Landsat mission innovated on previous technology. That legacy continues and will expand with the next generation of Landsat satellites.

References

Allaway, H.; Witten, D.; McDavid, J.; Finley, D.; Bottorff, M.; Handy, J.; Thomas, C. ERTS-B Press Kit; NASA: Washington, D.C., 20546, 1975. https://www.google.com/books/edition/Project_ERTS_B/9JjX7fSnhyUC?hl=en&gbpv=1

McRoberts, J.; Lynch, J. ERTS Press Kit; NASA: Washington, D.C., 20546, 1972. https://ntrs.nasa.gov/api/citations/19760066719/downloads/19760066719.p…

Pamela Etter Mack. Viewing the Earth : The Social Construction of the Landsat Satellite System; Mit Press: Cambridge, Mass., 1990.

Timothy C. Bidwell and Cheryl A. Mitchell. Author index to published ERTS-1 Reports. Sioux Falls, SD: Technicolor Graphics under contract to USGS EROS Data Center, 86. 1975. https://pubs.usgs.gov/unnumbered/70159283/report.pdf

Return to all Landsat Headlines

MIL OSI USA News –

July 24, 2025

MIL-OSI USA: NASA Tests 5G-Based Aviation Network to Boost Air Taxi Connectivity

Source: NASA

NASA engineers are exploring how the technology used in existing cellphone networks could support the next generation of aviation.
In April and May, researchers at NASA’s Glenn Research Center in Cleveland built two specialized radio systems to study how well fifth-generation cellular network technology, known as 5G, can handle the demands of air taxi communications.
“The goal of this research is to understand how wireless cellphone networks could be leveraged by the aviation industry to enable new frontiers of aviation operations,” said Casey Bakula, lead researcher for the project, who is based at Glenn. “The findings of this work could serve as a blueprint for future aviation communication network providers, like satellite navigation providers and telecommunications companies, and help guide the Federal Aviation Administration’s plan for future advanced air mobility network requirements in cities.”
Instead of developing entirely new standards for air taxi communications, NASA is looking to see if the aviation industry could leverage the expertise, experience, and investments made by the cellular industry towards the development of reliable, secure, and scalable aviation networks. If 5G networks could provide an “80% solution” to the challenge, researchers can focus on identifying the remaining 20% that would need to be adapted to meet the needs of the air taxi industry.

5G networks can manage a lot of data at once and have very low signal transmission delay compared to satellite systems, which could make them ideal for providing location data between aircraft in busy city skies. Ground antennas and networks in cities can help air taxis stay connected as they fly over buildings, making urban flights safer.
To conduct their tests, NASA researchers set up a system that meets current 5G standards and would allow for future improvements in performance. They placed one radio in the agency’s Pilatus PC-12 aircraft and set up another radio on the roof of Glenn’s Aerospace Communications Facility building. With an experimental license from the Federal Aviation Administration (FAA) to conduct flights, the team tested signal transmissions using a radio frequency band the Federal Communications Commission dedicated for the safe testing of drones and other uncrewed aircraft systems.
During testing, NASA’s PC-12 flew various flight patterns near Glenn. The team used some of the flight patterns to measure how the signal could weaken as the aircraft moved away from the ground station. Other patterns focused on identifying areas where nearby buildings might block signals, potentially causing interference or dead zones. The team also studied how the aircraft’s angle and position relative to the ground station affected the quality of the connection.
These initial tests provided the NASA team an opportunity to integrate its new C-Band radio testbed onto the aircraft, verify its basic functionality, and the operation of the corresponding ground station, as well as refine the team’s test procedures. The successful completion of these activities allows the team to begin research on how 5G standards and technologies could be utilized in existing aviation bands to provide air-to-ground and aircraft-to-aircraft communications services.

In addition to meeting these initial test objectives, the team also recorded and verified the presence of propeller modulation. This is a form of signal degradation caused by the propeller blades of the aircraft partially blocking radio signals as they rotate. The effect becomes more significant as aircraft fly at the lower altitudes air taxis are expected to operate. The airframe configuration and number of propellers on some of the new air taxi models may cause increased propeller modulation effects, so NASA researchers will study this further.
NASA research will provide baseline performance data that the agency will share with the FAA and the advanced air mobility sector of the aviation industry, which explores new air transportation options. Future research looking into cellular network usage will focus on issues such as maximum data speeds, signal-to-noise ratios, and synchronization between aircraft and ground systems. Researchers will be able to use NASA’s baseline data to measure the potential of new changes or features to communications systems.
Future aircraft will need to carry essential communications systems for command and control, passenger safety, and coordination with other aircraft to avoid collisions. Reliable wireless networks offer the possibility for safe operations of air taxis, particular in cities and other crowded areas.
This work is led by NASAs Air Mobility Pathfinders project under the Airspace Operations and Safety Program in support of NASA’s Advanced Air Mobility mission.

MIL OSI USA News –

July 24, 2025

MIL-OSI USA: Sanctuary City NYC Sees a More Than 400% Spike in ICE Detainers as DHS Prioritizes American People Over Criminal Illegal Aliens

Source: US Federal Emergency Management Agency

Headline: Sanctuary City NYC Sees a More Than 400% Spike in ICE Detainers as DHS Prioritizes American People Over Criminal Illegal Aliens

lass=”text-align-center”>Sanctuary politicians forbid local law enforcement from any assistance on immigration matters, even to the point of refusing to assist with criminal arrest warrants
WASHINGTON—The Department of Homeland Security (DHS) announced today U

S

Immigration and Customs Enforcement (ICE) has issued 6,025 arrest requests to transfer custody, or detainers, in sanctuary New York City (NYC), since January 20, 2025

To put this into perspective, during the entire Biden Administration, ICE only issued 9,472 detainers in NYC

Under President Trump and Secretary Noem, there has been a more than 400 percent increase in the number of detainers lodged in NYC

Despite the 6,025 arrest detainers lodged, NYC has honored just a handful

In non-sanctuary cities, law enforcement would honor these requests and transfer these criminal illegal aliens to ICE law enforcement to detain and deport them

“In just six months ICE has issued over 6,000 detainers in NYC alone—that’s a more than 400 percent increase in the number of detainers lodged under Biden,” said Assistant Secretary Tricia McLaughlin

“When sanctuary politicians like Mayor Eric Adams ignore ICE detainers, they are protecting criminal illegal aliens at the expense of American citizens

These are barbaric criminals with prior convictions for rape, murder, drug trafficking, and instead of holding them for ICE, sanctuary politicians release them back into your communities

These reckless policies have deadly consequences

Just this week, two illegal aliens who entered our country and were released under President Biden shot and nearly killed a brave off-duty CBP officer

Both criminal illegal aliens had been arrested previously for violent crimes and released by the NYPD

”
ICE detainers are legal requests to state or local law enforcement to hold illegal aliens in custody and turn them over to immigration authorities

These individuals often have prior deportation orders, criminal convictions, or pose as national security threats

As ICE officers are arresting and removing the worst of the worst criminal illegal aliens, they are facing a record number of assaults against them

Assaults on ICE law enforcement have increased by 830 percent since Trump took office

This increase in violence is largely driven by anti-ICE rhetoric and further fueled by these sanctuary politicians and their reckless policies

DHS reaffirms our commitment to the American people—it will not be deterred by partisan attacks or activist pressure

ICE will continue placing detainers, enforcing immigration law, and defending public safety—because every American deserves to feel safe in their own neighborhood

###

MIL OSI USA News –

July 24, 2025

MIL-OSI USA: NASA Tests Mixed Reality Pilot Simulation in Vertical Motion Simulator

Source: NASA

Commercial companies and government agencies are increasingly pursuing a more immersive and affordable alternative to conventional displays currently used in flight simulators. A NASA research project is working on ways to make this technology available for use faster.
Mixed reality systems where users interact with physical simulators while wearing virtual reality headsets offer a promising path forward for pilot training. But currently, only limited standards exist for allowing their use, as regulators have little to no data on how these systems perform. To address this, NASA’s Ames Research Center in California’s Silicon Valley invited a dozen pilots to participate in a study to test how a mixed-reality flight simulation would perform in the world’s largest flight simulator.
“For the first time, we’re collecting real data on how this type of mixed reality simulation performs in the highest-fidelity vertical motion simulator,” said Peter Zaal, a principal systems architect at Ames. “The more we understand about how these systems affect pilot performance, the closer we are to providing a safer, cost-effective training tool to the aviation community that could benefit everyone from commercial airlines to future air taxi operators.”

Mixed reality blends physical and digital worlds, allowing users to see physical items while viewing a desired simulated environment. Flight simulators employing this technology through headset or a similar setup could offer pilots training for operating next-generation aircraft at a reduced cost and within a smaller footprint compared to more traditional flight simulators. This is because pilots could rely more heavily on the visuals provided through the headset instead of large embedded visual displays in a physical motion simulator.
During the testing – which ran May 23-30 – pilots donned a headset through which they could see the physical displays and control sticks inside the Vertical Motion Simulator (VMS) cab along with a virtual cockpit overlay of an electric vertical take-off and landing vehicle through the head-mounted display. When the pilots looked toward their windscreens, they saw a virtual view of San Francisco and the surrounding area.
Pilots performed three typical flight maneuvers under four sets of motion conditions. Afterward, they were asked to provide feedback on their level of motion sickness while using the head-mounted display and how well the simulator replicated the same movements the aircraft would make during a real flight.
An initial analysis of the study shows pilots reported lower ratings of motion sickness than NASA researchers expected. Many shared that the mixed-reality setup inside the VMS felt more realistic and fluid than previous simulator setups they had tested.
As part of the test, Ames hosted members of the Federal Aviation Administration Civil Aerospace Medical Institute, which studies factors that influence human performance in aerospace. Pilots from the National Test Pilot School attended a portion of the testing and, independent from the study, evaluated the head-mounted display’s “usable cue environment,” or representation of the visual cues pilots rely on to control an aircraft.

NASA will make the test results available to the public and the aviation community early next year. This first-of-its-kind testing – funded by an Ames Innovation Fair Grant and managed by the center’s Aviation Systems Division – paves the way for potential use of this technology in the VMS for future aviation and space missions.

MIL OSI USA News –

July 24, 2025

MIL-OSI USA: NASA Astronaut Jonny Kim, Axiom Mission 4 Commander Peggy Whitson Conduct Research in Space

Source: NASA

In this photo from June 28, 2025, Expedition 73 flight engineer Jonny Kim and former NASA astronaut and director of human spaceflight at Axiom Space Peggy Whitson work together inside the International Space Station’s Destiny laboratory module setting up hardware for cancer research.
The hardware is used to culture patient-derived cancer cells, model their growth in microgravity, and test a state-of-the-art fluorescence microscope. Results of this study may lead to earlier cancer detection methods, development of advanced cancer treatments, and promote future stem cell research in space.
Whitson returned to Earth on July 15, 2025, with fellow Axiom Mission 4 crew members ISRO (Indian Space Research Organisation) astronaut Shubhanshu Shukla, ESA (European Space Agency) project astronaut Sławosz Uznański-Wiśniewski of Poland, and Hungarian to Orbit (HUNOR) astronaut Tibor Kapu of Hungary. They completed about two and a half weeks in space.
Image credit: JAXA (Japan Aerospace Exploration Agency)/Takuya Onishi

MIL OSI USA News –

July 24, 2025

MIL-OSI USA: Radio JOVE Volunteers Tune In to the Sun’s Low Notes

Source: NASA

As the Sun approaches the most active part of its eleven-year magnetic cycle this summer, NASA volunteers have been watching it closely. Now they’ve spotted a new trend in solar behavior that will have you reaching for your suntan lotion. It’s all about something called a “Type II” solar radio burst:
“Type II solar radio bursts are not commonly detected in the frequency range between 15 to 30 megahertz,” said Prof. Chuck Higgins, Co-founder of Radio JOVE. “Recently, we’re seeing many of them in that range.”
Let’s unpack that. Our Sun often sprays powerful blasts of radio waves into space. Heliophysicists classify these radio bursts into five different types depending on how the frequency of the radio waves drifts over time. “Type II” solar radio bursts seem to come from solar flares and enormous squirts of hot plasma called coronal mass ejections.
Now, Thomas Freeman, an undergraduate student at Middle Tennessee State University, and other volunteers working on NASA’s Radio JOVE project have observed something interesting about these Type II bursts: they are now showing up at lower frequencies—somewhere in between FM and AM radio.
What does it mean? It means our star is full of surprises! These Radio JOVE observations of the Sun’s radio emissions during solar maximum can be used to extend our knowledge of solar emissions to lower frequencies and, therefore, to distances farther from the Sun.
Radio JOVE is a NASA partner citizen science project in which participants assemble and operate radio astronomy telescopes to gather and contribute data to support scientific studies. Radio JOVE collaborated with SunRISE Ground Radio Lab, organized teams of high school students to observe the Sun, and recently published a paper on these Type II solar radio bursts. Learn more and get involved!

MIL OSI USA News –

July 24, 2025

MIL-OSI USA: Travis County Disaster Outreach Center to Extend Days of Operation

Source: US Federal Emergency Management Agency

Headline: Travis County Disaster Outreach Center to Extend Days of Operation

Travis County Disaster Outreach Center to Extend Days of Operation

AUSTIN, Texas – The Travis County FEMA Disaster Outreach Center will remain open until Friday, July 25, to help survivors of the July storms and flooding

The center, which opened July 16 and has been serving survivors daily, is located at:Round Mountain Baptist Church 14500 Round Mountain Road Leander, TX 78641Hours: 8 a

m

to 8 p

m

dailyDates: Monday, July 21, to Friday, July 25Survivors can get face time with representatives from FEMA and the U

S

Small Business Administration to answer their questions, help with their disaster applications and review their case file

The SBA provides disaster loans to homeowners, renters, businesses of all sizes and nonprofit organizations including houses of worship

For the latest information about the Texas recovery, visit fema

gov/disaster/4879

Follow FEMA Region 6 on social media at x

com/FEMARegion6 and at facebook

com/FEMARegion6
toan

nguyen
Wed, 07/23/2025 – 14:27

MIL OSI USA News –

July 24, 2025

Category: Americas

Education emergency

Insecurity and lack of funds straining access

The price of family life

References