Washington Trust Bancorp Inc (WASH) 2026 Q1 法說會逐字稿

Good morning, and welcome to Washington Trust Bancorp Incorporated Conference Call. My name is Elliot, and I'll be your operator today. (Operator Instructions) As a reminder, today's call is being recorded.

早安，歡迎參加 Washington Trust Bancorp Incorporated 電話會議。我是 Elliot，今天將擔任接線員。(接線員指示) 提醒各位，今天的電話會議將被錄音。

And now I'll turn the call over to Sharon Walsh, Senior Vice President, Director of Marketing and Corporate Communications. Please go ahead.

接下來我將把電話交給行銷與企業傳播資深副總裁兼總監 Sharon Walsh。請開始。

Thank you, Elliot. Good morning, and welcome to Washington Trust Bancorp, Inc.'s conference call for the first quarter of 2026. Joining us this morning are members of Washington Trust's executive team, Ned Handy, Chairman and Chief Executive Officer; Mary Noons, President and Chief Operating Officer; Ron Ohsberg, Senior Executive Vice President, Chief Financial Officer and Treasurer; and Bill Wray, Senior Executive Vice President and Chief Risk Officer.

謝謝你，Elliot。早安，歡迎參加 Washington Trust Bancorp, Inc. 2026 年第一季電話會議。今天早上與會的有 Washington Trust 管理團隊成員：董事長兼執行長 Ned Handy；總裁兼營運長 Mary Noons；資深執行副總裁、財務長兼司庫 Ron Ohsberg；以及資深執行副總裁兼風險長 Bill Wray。

Please note that today's presentation may contain forward-looking statements, and our actual results could differ materially from what is discussed on today's call. Our complete safe harbor statement is contained in our earnings release, which was issued yesterday as well as other documents that are filed with the SEC.

請注意，今天的簡報可能包含前瞻性陳述，我們的實際結果可能與今天電話會議中討論的內容有重大差異。完整的安全港聲明載於我們的盈餘新聞稿（已於昨日發布）以及其他向 SEC 申報的文件中。

All of these materials and other public filings are available on our Investor Relations website at ir.washtrust.com. Washington Trust trades on Nasdaq under the symbol WASH. I'm now pleased to introduce today's host, Washington Trust's Chairman and Chief Executive Officer, Ned Handy. Ned?

上述資料及其他公開申報文件皆可於我們的投資人關係網站 ir.washtrust.com 取得。Washington Trust 於那斯達克交易，股票代號為 WASH。現在我很高興介紹今天的主持人——Washington Trust 董事長兼執行長 Ned Handy。Ned？

Thank you, Sharon. Good morning, and thank you for joining our first quarter conference call. We appreciate your time and your continued interest in Washington Trust. I'll begin with a brief overview of our first quarter results, and then Ron will provide more detail on our financial performance for the quarter.

謝謝你，Sharon。早安，感謝各位參加我們的第一季電話會議。我們感謝各位撥冗，以及持續關注 Washington Trust。我將先簡要概述第一季業績，接著 Ron 會更詳細說明本季的財務表現。

Following our remarks, Mary and Bill will join us for the question-and-answer session. Building on the momentum generated throughout 2025, quarterly performance was driven by continued net interest margin expansion reflecting the underlying strength of our core banking business and continued benefits from our December 2024 balance sheet repositioning transactions.

在我們發言後，Mary 與 Bill 將加入問答環節。延續 2025 年累積的動能，本季表現主要受持續的淨利差擴張所帶動，反映我們核心銀行業務的基本面強勁，以及我們於 2024 年 12 月進行資產負債表重新配置交易所帶來的持續效益。

The Q1 results do, however, include a higher provision related to reserve builds on two free credits moved to nonaccrual in March, and we'll provide details on those in the Q&A session. Our capital ratios remain strong, providing the flexibility to support continued execution across the business.

不過，第一季結果亦包含較高的提存，係因 3 月有兩筆免擔保授信轉為停計息而進行準備金增提；我們將在問答環節提供相關細節。我們的資本比率仍然強健，提供支持各項業務持續執行的彈性。

In the first quarter, we completed a digital banking conversion for personal accounts that provides enhanced security and technology and a better customer experience, reinforcing our focus on service and relationships. We will continue the conversion of our business accounts in the ensuing quarters. With recent industry shifts locally, these investments position us well to attract new customers by pairing modern capabilities with the personalized service that defines Washington Trust.

第一季，我們完成個人帳戶的數位銀行系統轉換，提供更強的安全性與技術，以及更佳的客戶體驗，進一步強化我們對服務與關係的重視。我們將在接下來幾季持續完成企業帳戶的轉換。隨著近期本地產業環境的變化，這些投資使我們能以現代化能力結合 Washington Trust 一貫的個人化服務，進一步吸引新客戶。

We're also leveraging our strength as a community bank that prioritizes local decision-making to attract experienced bankers to our commercial team. We recently added new talent across C&I, CRE and business banking, all of whom bring deep experience and strong client relationships in the region. The institutional banking team we added in January is showing strong momentum that positions us for loan and deposit growth as the year progresses.

我們也善用作為社區銀行、重視在地決策的優勢，吸引資深銀行人才加入我們的商業團隊。我們近期在工商金融（C&I）、商用不動產（CRE）及企業金融等領域新增人才，皆具備深厚經驗與區域內強大的客戶關係。我們於 1 月加入的機構銀行團隊展現強勁動能，讓我們在今年後續期間具備推動放款與存款成長的良好態勢。

In addition, our planned branch opening later this year in Pawtucket, Rhode Island will further expand our presence in the northern part of the state. Overall, we're encouraged by the progress we are making to position the company for long-term success.

此外，我們計畫於今年稍晚在羅德島州 Pawtucket 開設新分行，將進一步擴大我們在該州北部的據點。整體而言，我們對於目前在為公司長期成功所做的布局進展感到鼓舞。

With that, I'll turn the call over to Ron to provide additional detail on our financial results. Ron?

接下來我把電話交給 Ron，請他就我們的財務結果提供更多細節。Ron？

Okay. Thank you, Ned, and good morning, everyone. Net income in the first quarter was $12.6 million or $0.66 per share compared to $16 million or $0.83 per share last quarter. PPNR was down 6% from Q4 and up by 23% year-over-year on an adjusted basis. Net interest income was $40.5 million, down by 1% from Q4 and up by 11% year-over-year.

好的。謝謝你，Ned，各位早安。第一季淨利為 1,260 萬美元，或每股 0.66 美元；相較上一季為 1,600 萬美元，或每股 0.83 美元。PPNR（提存前淨收益）較第四季下降 6%，在調整後基礎上年增 23%。淨利息收入為 4,050 萬美元，較第四季下降 1%，年增 11%。

The margin was 2.63%, up by 7 basis points from Q4 and up by 34 basis points year-over-year. Q1 included $116,000 of loan prepayment fee income, which benefited NIM by 1 basis point compared to $516,000 or 3 basis points last quarter.

淨利差為 2.63%，較第四季上升 7 個基點，年增 34 個基點。第一季包含 11.6 萬美元的貸款提前清償手續費收入，使 NIM 較第四季受益 1 個基點；上一季為 51.6 萬美元或 3 個基點。

Non-interest income was down $1.2 million or 6% compared to Q4 and up by 11% year-over-year on an adjusted basis. Loan-related derivative income, which is transactional in nature, was down by $854,000 compared to Q4. Wealth Management revenues were down by $205,000 or 2%. Average AUA for Q1 decreased by 1% and increased by 10% year-over-year. Mortgage banking revenues were $3 million, seasonally down 6% and were up by 32% year-over-year.

非利息收入較第四季減少 120 萬美元或 6%，在調整後基礎上年增 11%。與貸款相關的衍生性商品收入屬交易性質，較第四季減少 85.4 萬美元。財富管理收入減少 20.5 萬美元或 2%。第一季平均 AUA（管理資產）較前季下降 1%，年增 10%。房貸銀行業務收入為 300 萬美元，受季節性因素影響下降 6%，年增 32%。

Our mortgage pipeline at March 31 was $114 million, up by $33 million or 41% from the end of December. Non-interest expense totaled $37.8 million in Q1, down by 1%, and Other noninterest expenses were down by $1.2 million in Q1, largely due to a $1 million contribution made to our charitable foundation in Q4.

截至 3 月 31 日，我們的房貸案件管線為 1.14 億美元，較 12 月底增加 3,300 萬美元或 41%。第一季非利息費用合計 3,780 萬美元，下降 1%；其他非利息費用於第一季減少 120 萬美元，主要因第四季對我們的慈善基金會捐款 100 萬美元。

In the first quarter, salary and employee benefits expense was up by $693,000 or 3%, reflecting merit increases and higher payroll taxes associated with the start of a new calendar year. Our Q1 effective tax rate was 21.6%, and we expect the full year 2026 effective tax rate to be approximately 21.5%.

第一季薪資與員工福利費用增加 69.3 萬美元或 3%，反映調薪以及新曆年開始所帶來較高的薪資稅。第一季有效稅率為 21.6%，我們預期 2026 全年有效稅率約為 21.5%。

Balance sheet total loans were down 2% from December 31. Total commercial loans decreased by $95 million, reflecting mainly payoffs in the CRE portfolio. The commercial pipeline in total is approximately $156 million. Residential loans decreased by $21 million as we continue to amortize that portfolio.

資產負債表方面，總放款較 12 月 31 日下降 2%。商業放款合計減少 9,500 萬美元，主要反映 CRE 投資組合的還款清償。商業放款管線合計約為 1.56 億美元。住宅放款減少 2,100 萬美元，因我們持續對該投資組合進行攤還。

End market deposits were down 2% from the end of Q4 and up by 3% year-over-year and wholesale funding was down by $50 million or 8% from the end of December. Our loan-to-deposit ratio decreased slightly to 96.9% at the end of March.

終端市場存款較第四季末下降 2%，年增 3%；批發資金較 12 月底減少 5,000 萬美元或 8%。截至 3 月底，我們的存放比（貸款對存款比率）小幅下降至 96.9%。

Turning to asset and credit quality. At March 31, non-accruing loans were 81 basis points on total loans and increased by $27.5 million from the prior quarter, largely due to two commercial real estate office loans. Past due loans were 33 basis points on total loans. In the first quarter, we recognized a $4 million provision for credit losses, largely reflecting an increase in specific reserves on the two Cree office loans. The allowance totaled $41.1 million or 82 basis points.

接著談資產品質與信用狀況。截至 3 月 31 日，停計息貸款占總放款 81 個基點，較前一季增加 2,750 萬美元，主要因兩筆商用不動產辦公室貸款。逾期貸款占總放款 33 個基點。第一季我們認列 400 萬美元的信用損失提存，主要反映對上述兩筆 CRE 辦公室貸款提高特定準備金。備抵損失合計 4,110 萬美元或 82 個基點。

And at this time, I will turn the call back to Ned.

此時，我將把電話交回給 Ned。

Thanks, Ron. And now we'll take questions.

謝謝，Ron。現在我們開始提問。

(Operator Instructions) Justin Crowley, Piper Sandler.

(接線員指示) Justin Crowley，Piper Sandler。

I was wondering if you could start off just giving a little more detail on the two office loans. Just anything on geography? And then maybe some more specifics on what occurred to drive the downgrades in specific reserves -- so just things like occupancy levels or perhaps just how close they even were its maturity, I'm not sure that may be necessitated a new appraisals?

我想請問能否先就那兩筆辦公室貸款提供更多細節。例如地理位置方面？另外，也想更具體了解是什麼情況導致評等下調並增提特定準備金——例如出租率水準，或是距離到期日有多近；我不確定是否因此需要重新估價？

Yeah. Bill, do you want to take that?

是的。Bill，你要回答這個嗎？

Sure. They're both loans that have been current up until this point. In both cases, in March, there were sort of triggering events that led to us deciding to make the decision for quarter end to put them on nonaccrual. Both of them have strong, sophisticated sponsors, and we're engaged with both of them right now on.

當然。這兩筆都是截至目前一直維持正常還款的貸款。兩個案子都是在三月出現了一些觸發事件，促使我們在季末決定將其列為停止計息（nonaccrual）。兩者都有實力雄厚、成熟的贊助方（sponsor），我們目前也正與他們雙方持續溝通後續處理。

One was a maturity, the other doesn't mature until next year. We're engaged with both of them on the right next steps. So I don't want to get into too much detail on what that means. But we -- like with most of our assets that have been in criticized either special mention or classified most of them emerge unscaled. And in this case, though, we took the step to put reserves in place that we thought were appropriate reflect any potential loss down the road.

其中一筆是到期，另一筆要到明年才到期。我們正與雙方就正確的下一步行動保持溝通。所以我不想對其含義講得太細。但我們——就像我們大多數被列為受關注（criticized）、不論是特別關注（special mention）或分類（classified）的資產一樣——多數最後都能在不擴大損失的情況下走出來。不過在這個案例中，我們仍採取了措施，提列我們認為適當的準備金，以反映未來可能發生的任何潛在損失。

So again, we think they're both solid properties with solid sponsors, and we expect that we'll continue to drive resolution, and we're hoping that within the next few quarters, these will either exit or they will emerge back into performing status.

所以再說一次，我們認為這兩個都是有扎實資產、且有扎實贊助方的案子；我們預期會持續推動解決方案，也希望在接下來幾個季度內，這些貸款要麼退出，要麼恢復為正常履約狀態。

Okay. Got it. And then Were there any general reserves allocated to office? Or was it all specific with regard to these two loans? I guess trying to get a sense of how you think about the risk and the rest of the office book at this point and the cycle for this asset class and the thinking there has changed at all?

好的。了解。那麼，是否有任何一般性準備金分配到辦公室（office）？還是全部都是針對這兩筆貸款的特定準備金？我想了解的是，你們目前如何看待辦公室投資組合其餘部分的風險、這個資產類別的景氣循環，以及相關想法是否有任何改變？

Well, I think our office exposure peaked at $300 million a couple of years ago. It's now down to $230 million. And we think we've done that with a fairly small amount of charge-offs along the way relatively. So we expect to continue to reduce our office exposure over time.

我想我們的辦公室曝險在幾年前高峰約為3億美元。現在已降到2.3億美元。而且我們認為在降低的過程中，相對而言只發生了相當小幅的核銷（charge-offs）。因此我們預期會隨時間持續降低辦公室曝險。

Within the CECL methodology we make sure that we use qualitative factors especially to address issues in office. And so we have taken some of those steps. And we believe going forward that there's always going to be a handful of properties that are sort of on the bubble that needs some attention and focus. But -- as you can see, these -- all of our other office properties are performing.

在CECL方法論下，我們會確保使用質化因素，特別用來反映辦公室相關議題。因此我們已採取其中一些措施。我們也相信，往後總會有少數幾個物件處在臨界點，需要更多關注與聚焦。但——如你所見——我們其他所有辦公室物件都仍在正常履約。

There's -- there aren't delinquencies there that we're concerned about. So we just expect that assets will move into lower ratings and then we'll emerge from those. And we certainly spend a lot of time thinking about maturity wall analysis and refinance risk. And so we're constantly juggling those handful of properties that look like they might raise some issues down the road and try to stay ahead of them.

那裡沒有我們擔心的逾期情況。所以我們預期資產會被下調到較低評等，之後也會再從那些狀態中走出來。我們當然也花很多時間做「到期高峰」（maturity wall）分析與再融資風險評估。因此我們一直在動態管理那幾個看起來未來可能出現問題的物件，並努力提前因應。

So I guess the best way of saying we're cautious on office, and we'll continue to be cautious on office, but we also think the scale of the problems within -- are well within our capabilities to handle from an earnings standpoint and a reserving standpoint.

所以我想最好的說法是：我們對辦公室保持審慎，而且會持續審慎；但我們也認為其中問題的規模——無論從獲利能力或提列準備金的角度——都完全在我們可處理的範圍內。

Okay. And then I guess, somewhat larger-sized loans here. It sounds like they were self-originated. Was that the case or were either participation? Just want to confirm that.

好的。另外我想問，這裡看起來是一些規模較大的貸款。聽起來它們是自行承作（self-originated）的。是這樣嗎？還是其中有任何一筆是參貸（participation）？我只是想確認一下。

I'm not sure which ones you're referring to, but there's only there's five loans.

我不確定你指的是哪些，但總共只有五筆貸款。

The 2 office loans that's migrated and --

那兩筆已遷移的辦公室貸款以及--

Participations, we're we're the lead on the Class A. The Class A office space one, we're 2/3 participants in the lead, and then we are the minority participant on the lab space.

參貸方面，我們是Class A的主辦行（lead）。那筆Class A的辦公室案子，我們在主辦行中占2/3的參貸份額；而在實驗室（lab）空間那筆，我們則是少數參貸方。

Did you call it maybe 5% growth previously. I know a lot has changed since then with some of the geopolitical now. Just curious for an update there?

你之前可能提到大約5%的成長。我知道自那之後，地緣政治等因素又有不少變化。想請問現在有沒有更新？

Yeah, I'll take that one. Thanks for the question. We're -- yes, so the quarter saw pretty significant pay downs, payoffs and mostly in the Cree space and not the kind of commensurate new origination that we're -- that we're used to. But the path ahead looks very good. We're sticking with our mid-single-digit growth for the year projection.

好的我來回答。謝謝你的問題。是的，本季出現相當顯著的本金償還（pay downs）與清償（payoffs），主要集中在CRE領域，而且沒有出現我們以往習慣看到的相應新承作量。但接下來的路徑看起來非常不錯。我們仍維持全年「中個位數」成長的預測。

And it's important that we talk about where that's going to come from -- at this point, we're feeling like CRE is probably going to be low single-digit growth for the year. They've got some making up to do based on the first quarter payoffs and then we're thinking kind of flat to 1% growth in CRE, which is somewhat intentional.

而且重要的是要談談成長會從哪裡來——就目前而言，我們覺得CRE全年可能會是低個位數成長。他們需要彌補第一季清償所造成的缺口，因此我們預期CRE大致持平到1%的成長，這在某種程度上也是刻意為之。

Most of the growth is going to come from our core C&I business and our institutional banking business. We're expecting sort of high single-digit growth out of our core C&I business, which you'll recall is -- has a current outstanding in the kind of $560 million level. So you can do the math there. And then most of the C&I growth is going to come out of our relatively new institutional banking group.

大部分成長將來自我們核心的C&I業務以及機構銀行業務。我們預期核心C&I業務會有接近高個位數的成長；你會記得它目前未償餘額大約在5.6億美元左右。所以你可以自行換算。而C&I的大部分成長將來自我們相對較新的機構銀行團隊。

We expect $50 million-plus in fundings in this quarter and the pipeline is growing. And I think importantly, alongside that is the strategic growth in deposits that will come from that portion of our C&I business. There expecting to kind of fund at -- self-fund at a 30% to 40% level, which is much higher than certainly CRE and much higher than our core C&I business. So that's an added benefit. They joined the group in late January.

我們預期本季放款（fundings）將超過5,000萬美元，而且案源（pipeline）正在成長。我認為同樣重要的是，伴隨而來的還有該部分C&I業務所帶動的存款策略性成長。我們預期其自籌資金（self-fund）比例約在30%到40%，這明顯高於CRE，也高於我們核心C&I業務。因此這是額外的好處。他們是在一月底加入團隊的。

So it's to be expected, it will take a little while for them to get up and running, but the pipeline is growing as we expected, and we're very encouraged by that.

所以可以預期，他們需要一點時間才能完全上軌道；但案源如我們預期般在成長，我們對此非常受到鼓舞。

So back to the start sticking with the mid-single-digit growth, if not a little higher. And again, very encouraged by the types of credit, the quality of credit that we're seeing in the pipeline build. So -- more to come on that at the end of next quarter.

所以回到一開始：我們仍維持中個位數成長，甚至可能略高一些。同樣地，我們也對案源中所看到的授信類型與授信品質感到非常鼓舞。所以——下個季度末我們會再提供更多更新。

Okay. Great. And then just one last one on the margin. I think I might have missed this in the prepared remarks. I know there was some elevated prepayment fees last quarter. Was there any of that in the $263 million for the first quarter?

好的。很好。最後一個關於利差（margin）問題。我想我可能在事先準備的講稿裡漏聽了。我知道上季有一些偏高的提前清償費（prepayment fees）。第一季的2.63億美元裡面有包含這類項目嗎？

Yes, like 1 basis point.

有，大概1個基點。

Okay. And then I guess just thoughts on the margins in there. I think you'll get that left from the swap termination, but could you just remind us the benefit there? And then just also how you're thinking about organic expansion through the year?

好的。那麼關於利差的看法呢。我想你們會有來自交換合約終止（swap termination）的提升，但可以再提醒我們那部分的效益是多少嗎？另外，也想請你們談談今年內對於有機擴張（organic expansion）的思考。

Yes. So the swap termination will add 9 basis points in the second quarter and another 4 basis points in the third quarter.

好的。交換合約終止將在第二季增加9個基點，第三季再增加4個基點。

Okay. And then I guess just go ahead. Go ahead.

好的。那我想就——請繼續。請繼續。

Go ahead, Justin.

你先請，Justin。

I was just going to ask outside of that, just the almond benefit on the swap, just how you're thinking about this margin lift from here as we get through the year?

我只是想問，撇除交換合約帶來的那個效益之外，你們如何看待今年接下來利差從這裡開始的提升空間？

Yes. There's modest expansion by quarter. First quarter was probably a little higher help by the prepayment helped actually helped a little bit by the shorter day count in the quarter actually added about 2 basis points to the NIM. But when we look ahead to the fourth quarter, we're thinking $275 million to $280 million in the quarter.

是的。按季度來看有溫和擴張。第一季可能略高一些，受提前還款的幫助——實際上也因為該季天數較少而略有助益，對淨利差（NIM）約增加了2個基點。但展望第四季，我們預估該季為2.75億至2.80億美元。

Damon DelMonte, KBW.

Damon DelMonte，KBW。

Ron, could you just repeat the last comment you made on the margin, the $275 million to $280 million. Was that for the second quarter? Or is that for where you expect it to be at year-end? I missed that, sorry.

Ron，你能否把你剛才關於利差的最後一句再說一次，也就是2.75億到2.80億美元？那是指第二季嗎？還是你預期年底的水準？我漏聽了，不好意思。

Sorry, Damon, yes, just to be clear, fourth quarter.

抱歉，Damon，是的，為了說清楚，是第四季。

Fourth quarter.

第四季。

So we're looking at $265 million to $270 million in the second quarter.

所以我們預估第二季為2.65億至2.70億美元。

Got it. Okay. Yes. That is with what you were describing from the benefit. Okay, great.

了解了。好。是的。這是包含你所描述的那項效益。好，很好。

And then I guess, -- maybe a little bit on expenses and kind of how you're thinking about the outlook from there? You've made some hires. I'm assuming that's all kind of baked into the numbers. your -- I think the expenses were around, what, $37.8 million. So just modest growth off of this? Or do you think you could actually keep it kind of flat?

然後我想——關於費用方面，還有你們對後續展望的看法？你們做了一些招募。我猜這些都已經反映在數字裡了。你們——我記得費用大概是3,780萬美元左右。所以只是從這裡小幅成長？還是你們覺得其實可以大致維持持平？

Yeah. We're actually seeing about a $1 million increase in Q2 and some of that is -- really, there's 3 areas we're looking at advertising, mortgage commissions and then we've got some project implementation expenses that will be coming through in the quarter.

是的。我們其實看到第二季大約增加100萬美元，其中一部分——主要我們看三個領域：廣告、房貸佣金，另外還有一些專案導入的實施費用會在本季入帳。

Got it. Okay, great.

了解。好，很好。

And then -- further to that item. Further to that, we're adding a branch, which will probably open in the towards the end of the third, beginning of the fourth quarter. Those expenses will start to hit in Q3. And so we're probably looking at about $500,000 in 2026 -- related to the branches.

然後——延伸那一項。此外，我們會新增一家分行，可能在第三季末、第四季初開業。這些費用會從第三季開始反映。因此我們大概預估2026年與分行相關的費用約50萬美元。

Got it. Okay. Great. And then -- on Wealth Management, AUM were down a little bit this quarter. Is that just fluctuation of the market? Or was there some outflow of clients?

了解。好。很好。然後——在財富管理方面，本季AUM略有下降。那只是市場波動嗎？還是有一些客戶資金流出？

Yeah. It was mostly market -- and by mostly, that means not all. So yes, we did have some net outflows.

是的。主要是市場——而「主要」的意思是並非全部。所以是的，我們確實有一些淨流出。

Got it.

了解。

You can see markets have rebounded so far in April. So no one knows what the future holds, but it could at least a lot of the declines that we saw in the quarter have reversed so far in the second quarter.

你也可以看到截至目前4月市場已經反彈。所以沒有人知道未來會如何，但至少我們在該季看到的許多跌幅，到目前為止在第二季已經有所回升。

Got it. Okay. And then just lastly, given the outlook for the loan growth going forward, how do we think about provision and kind of the reserve level? I mean, obviously, you built the reserve this quarter for those loans that went to nonaccrual status. But if we assume that there's no other credit deterioration, do you kind of have the provision such that it keeps the reserve flat given the loan growth?

了解。好。最後，考量未來放款成長的展望，我們該如何看待提存以及準備金水準？我的意思是，很明顯你們本季因那些轉為停計息狀態的貸款而增加了準備金。但如果我們假設沒有其他信用惡化，你們的提存是否會讓準備金在放款成長下大致維持持平？

Yes. We're kind of thinking somewhere in the range of $1 million to $2 million per quarter. And that covers loan growth and maybe that gives us a little bit depending on what we book and when we book it, it could give us a little bit of a reserve build going forward.

是的。我們大致認為每季約在100萬到200萬美元的區間。這可以涵蓋放款成長，而且視我們承作的內容與入帳時點而定，未來也可能讓準備金再小幅增加一些。

(Operator Instructions) Laurie Hunsicker, Seaport Research.

(接線員指示) Laurie Hunsicker，Seaport Research。

Ron Maryville. Just to stay with where Damon was loan loss provision. So the $4 million loan loss provision I know you said, obviously, that was heavy with the office. What exactly was the dollar amount there associated with office of the $4 million build?

Ron Maryville。延續Damon剛才談的貸款損失提存。這4百萬美元的貸款損失提存，我知道你說很明顯主要與辦公室相關。這4百萬美元增加中，與辦公室相關的金額到底是多少？

Laurie, it was essentially all of -- yes, all of it.

Laurie，基本上全部——是的，全部都是。

Got it. Okay. Perfect. And then I just wanted to dive a little bit deeper here in office. So just I have a series of questions here.

了解。好。完美。然後我想在辦公室這塊再深入一點。我這裡有一連串問題。

So thanks for the on this. So you've got 59% maturing in the next two years, $136 million. Is any of that currently in special mention cost side, nonaccrual? And if so, -- when is that actually maturing?

所以謝謝你們在這方面的說明。你們有59%在未來兩年到期，為1.36億美元。其中有任何目前屬於特別關注（special mention）、次級（classified）、或停計息嗎？如果有——它實際上何時到期？

Well, of the five deals that are in the office space in special mention or classified one of them matured and that was one of the deals that we moved to nonaccrual. There's another one, the Class B special mention that's actually maturing in the third quarter of this year. And 1 reason we moved into special mention was just as a marker as we work with the sponsor who's a well-known and committed sponsor on a refinance approach.

嗯，在辦公室類別中，屬於特別關注或次級的五筆案子裡，有一筆已到期，而那就是我們轉為停計息的其中一筆。另外還有一筆，是Class B、特別關注的那筆，會在今年第三季到期。我們把它列為特別關注的其中一個原因，是在我們與贊助方合作、推進再融資方案時，作為一個標記；該贊助方是知名且投入度很高的贊助方。

And then the other deal that went to nonaccrual doesn't mature until the third quarter of next year. So we -- as we disclosed, we look at all of our maturing office loans very carefully. And when we know enough to with an emphasis on caution, we will take steps to make it special mention the deals that we talked about here, both were put on special mention, one at the -- in the fourth quarter of '24, the other in the third quarter of last year.

然後另一筆轉為停計息的案子，要到明年第三季才到期。所以——如我們揭露的，我們非常仔細地檢視所有到期的辦公室貸款。當我們掌握足夠資訊、並以審慎為優先時，我們就會採取行動把相關案子列為特別關注；我們在這裡談到的兩筆都被列為特別關注，一筆是在24年第四季，另一筆是在去年第三季。

So -- and you'll also see that we've had some positive migration out of special mention and classified, the large lab loan, for example, as special mention now and as free rent burns off, we believe if contractual rates pay us agree that, that will be coming out of special mention before too long. So we think our migration track record is pretty solid, and we feel the same about the deals that are in there now. And again, there's 5 that make up that disclosure.

另外你也會看到，我們在特別關注與次級之間有一些正向遷徙，例如那筆大型實驗室貸款，目前是特別關注；隨著免租期逐步消化，我們相信若按合約利率支付——我們也同意這點——它不久後就會從特別關注中移出。所以我們認為我們的遷徙紀錄相當穩健，對目前仍在其中的案子也有同樣的看法。再強調一次，該揭露是由5筆案子構成。

Yes. Great. Okay. So just for my clarification purposes, you had two moved into nonaccrual. With -- was it the $22 million that matured that triggered that? Or was it the -- okay. So that one matured.

是的。很好。好。所以為了釐清，你們有兩筆轉為停計息。其中——是到期的那筆2,200萬美元觸發的嗎？還是——好。所以那一筆是到期了。

No, the $22 million was not the one that matured. -- matured was the $6.5 million.

不是，那筆2,200萬美元不是到期的那筆——到期的是650萬美元那筆。

Okay. So that mature. Okay. Got it. Okay. So the other one -- so the $22 million that matures in the third quarter of $27 million, you said?

好。所以那筆到期了。好。了解。好。那另一筆——所以那筆2,200萬美元是在第三季到期，金額是2,700萬美元，你是這麼說的？

Yes.

是的。

Okay. And then what is the occupancy running on that one, that Class A?

好。那一筆、那個Class A的出租率目前大概是多少？

Well, it's solid. I mean, it's north of 50%. And there's actually been a fair amount of leasing momentum. The move made here was more triggered by a notification of a potential lease termination for next year, but that tenant is renegotiating. So this generates a pretty material NOI.

嗯，表現不錯。我的意思是，超過50%。而且其實有相當程度的招租動能。這次的調整更多是因為收到一項通知：明年可能會有租約終止，但該租戶正在重新協商。所以這會帶來相當可觀的淨營運收入（NOI）。

And we feel it's a solid property with a solid sponsor in a solid market. But like most sponsors, they're looking ahead and thinking about what their capital requirements are going to be. And so we're having discussions at this point on that topic.

我們認為這是一項穩健的資產，在穩健的市場中有穩健的贊助方。但和大多數贊助方一樣，他們也在向前看，思考其資本需求會是什麼。因此，我們目前正在就這個議題進行討論。

Okay. Okay. And then just the cross fee that you mentioned, just that $3.8 million that's on special mention that was new to special mention. What is the occupancy on that? And how are you thinking about a resolution there?

好的。好的。然後關於你提到的那筆交叉費用，就是那筆被列為特別關注、且新轉入特別關注的380萬美元。那個案子的入住率是多少？你們對那邊的解決方案是怎麼想的？

It's in the high 60s. It's got some solid tenants. It's a well-known sponsor to us. By the way, all of these are in our core markets in the Tri-State area. And so our expectation is that we'll work something out with the sponsor and keep it on special mention as long as we need to, to make sure, it's payment season and then potentially do an upgrade.

在60%後段。有一些穩健的租戶。對我們而言，這是一個熟悉的贊助方。順帶一提，這些都在我們三州地區（Tri-State）的核心市場。因此我們預期會與贊助方協商出方案，並在需要的期間內維持在特別關注名單上，以確保它度過付款觀察期，之後可能再進行上調評級。

So again, special mention here is sort of more just a prudential judgment to put a marker on something and watch it through its refinance process.

所以再次說明，這裡的特別關注比較像是一種審慎判斷：先做個標記，並在其再融資流程中持續觀察。

Okay. And then obviously, with the --

好的。然後很明顯，隨著--

It's the fully performing loan at this point, and we expect it to continue that way. But we are being cautious as we face the maturity issue in the third quarter.

目前這筆貸款仍是完全正常履約，我們也預期會持續如此。但面對第三季到期的問題，我們會保持謹慎。

Got you. Okay. And then the lab space. So I had thought there were the $33 million, $34 million, I thought that was all related. And then it looks like just one you moved over. Are those two completely separate loans?

了解。好的。然後是實驗室空間。我原本以為那3,300萬、3,400萬美元是同一件事。但看起來你們只把其中一筆移過來。那兩筆是完全不同的貸款嗎？

Two completely separate loans.

是兩筆完全不同的貸款。

Got you. Okay. So the $6.6 million that was triggered by the miscerity. What -- and determine coverage here is zero. So occupancy here is zero. Am I thinking about that the right way? Or what?

了解。好的。所以那筆660萬美元是因為到期而觸發的。而且這裡的債務償付覆蓋率是零。所以這裡的入住率也是零。我這樣理解對嗎？還是怎麼說？

Yes. Yes. Occupancy, that building is still in its initial lease-up phase. So it doesn't -- it's zero. The other building is effectively fully leased and it's just a matter of -- as you know, that's a very competitive market.

是的。是的。入住率方面，那棟大樓仍在初始招租（lease-up）階段。所以是零。另一棟大樓基本上已經全數出租，接下來只是——如你所知，那是一個競爭非常激烈的市場。

The -- as free rent burns off in its payment season, we expect that to come back to fully performing and pass rated.

隨著免租期結束、進入付款觀察期，我們預期它會回到完全正常履約並恢復為合格（pass）評級。

We're just watching as tenants come out of free rent and make their payments. So there's very strong positive momentum on that one. On the other one, again, we're in a situation where it matured and we're talking to the sponsors about what's going to happen next.

我們只是觀察租戶在免租期結束後開始付款的情況。所以那一筆有非常強勁的正向動能。至於另一筆，同樣地，我們處於已到期的情況，正在與贊助方討論接下來會怎麼做。

Got you. Okay. And so the one that's fully leased, the $27.5 million. In other words, positive momentum happens this year, happens next year. And I guess when is that -- go ahead.

了解。好的。所以那筆已全數出租的2,750萬美元。換句話說，正向動能會在今年發生、明年也會發生。那我想什麼時候——你請說。

I'm sorry, you cut out a little bit. But if you're asking when that comes back out, again, we think it's probably within the next few quarters. We want to make sure the tenants are making their payments as agreed and that we're going to let it season a little bit and judge that. But we are feeling very solid about the leasing status and the performance status to date.

不好意思，你剛剛有一點斷訊。但如果你是在問它什麼時候會轉回來，如前所述，我們認為大概在接下來幾個季度內。我們想先確認租戶依約付款，並讓它再跑一段時間、再做判斷。但就目前為止的出租狀況與表現而言，我們感覺非常穩健。

Yes. Okay. And then one last question on this lab loan. When does this $27.5 million mature?

是的。好的。那關於這筆實驗室貸款最後一個問題。這筆2,750萬美元什麼時候到期？

That is 2029.

是2029年。

Okay. 2029. Okay. Great. Okay. And then Yes, I think that answers all my questions on that. Really appreciate the details that you guys put on Page 11.

好的。2029年。好的。很好。好的。那是的，我想這回答了我對那部分的所有問題。非常感謝你們在第11頁提供的細節。

And actually -- oh, I'm so sorry, one more question. So you had $2.2 million of Class C that was in special mention last quarter, and now it's gone, which is great. How was that resolved? Was that sold? Or what happened there?

其實——噢，真的很抱歉，還有一個問題。所以你們上季有220萬美元的C級被列為特別關注，現在已經不見了，這很好。那是怎麼解決的？是賣掉了嗎？還是發生了什麼？

No. It ended up being fully leased -- and it was performing all along. They were paying as agreed. But now that it's fully leased and we've gone through that process, we've moved it back into past rated.

沒有。最後是全數出租——而且它一直都有正常履約。他們一直依約付款。但現在既然已全數出租、我們也走完那個流程，就把它移回合格（pass）評級。

So just two more questions. Now for you, Bill, I guess, this goes back to you, Ron. Do you have the spot margin for March?

那再兩個問題。對你來說，Bill，我想這要回到你這邊，Ron。你有3月的即期利差（spot margin）嗎？

Yes, $259 million.

有，2.59億美元。

$259, great. Okay. And then Ned, for you. This is my last question. buybacks -- your capital levels are very, very strong, and your credit, obviously, ex office is very, very strong.

2.59億，很好。好的。然後Ned，問你。這是我最後一個問題。庫藏股回購——你們的資本水位非常、非常強，而你們的信用狀況，顯然在扣除辦公室（office）曝險後，也非常、非常強。

You're one of the fee banks in New England not repurchasing shares. Can you just help us think a little bit about your approach to buybacks and how you're thinking about it here?

你們是新英格蘭少數沒有回購股票的銀行之一。你能不能幫我們稍微理解一下你們對回購的做法，以及你們目前是怎麼思考的？

Yes. Yes. Laurie, I'll take it. I mean we consider that all the time, -- and I think we've talked about it on previous calls. So I can make some arguments in favor of and also, again, doing the buybacks.

是的。是的。Laurie，我來回答。我的意思是，我們一直都在考慮這件事——而且我想我們在之前的電話會議也談過。所以我可以提出一些支持回購的理由，也可以提出一些理由來說明為什麼（目前）不做回購。

Our dividend is still relatively high. The payout ratio is still relatively high. And so at this point, we maintain a buyback program, but we really are not at this point intending to be buying back shares at this point in time.

我們的股利水準仍然相對偏高。股利支付率仍然相對偏高。因此在這個時間點，我們維持一個回購計畫，但目前並不打算在此時回購股票。

Thanks, Laurie.

謝謝你，Laurie。

We have no further questions. I'll hand back to Ned Handy for any final comments.

我們沒有其他問題了。我把時間交回給Ned Handy做最後的結語。

Well, thank you all for joining. As we move through 2026, we remain focused on what has defined us for 26 years, paring personalized service and local decision making with a comprehensive suite of financial products and services. We very much look forward to quarters ahead and sharing the news about those quarters with you as we progress.

好的，感謝各位參與。在我們邁入2026年之際，我們仍專注於過去26年定義我們的核心：將個人化服務與在地決策，結合完整的金融產品與服務組合。我們非常期待接下來的季度，並在推進的過程中與各位分享那些季度的消息。

So thank you for your time today. We certainly appreciate your interest and support, and we look forward to speaking with you again soon. Have a great day, everybody.

所以感謝各位今天撥冗。我們非常感謝各位的關注與支持，也期待不久後再次與各位通話。祝大家有美好的一天。

Ladies and gentlemen, today's call has now concluded. We'd like to thank you for your participation. You may now disconnect your lines.

各位女士、先生，今天的電話會議到此結束。感謝各位的參與。您現在可以掛斷電話。