FULLTEXT DEL 2 AV 3
10-Q – 2026-07-30 – umbf-20260630.htm
A borrower is considered non-performing if the Company has ceased the recognition of interest and the loan is placed on non-accrual. Charge-offs and borrower performance are tracked on a loan origination vintage basis. Certain vintages, based on their maturation cycle, could be at higher risk due to collateral-based risk factors. The following tables provide a summary of the amortized cost balance by collateral type and risk rating as of June 30, 2026 and December 31, 2025 (in thousands): June 30, 2026 Amortized Cost Basis by Origination Year - Term Loans Risk by Collateral 2026 2025 2024 2023 2022 Prior Amortized Cost - Revolving Loans Amortized Cost - Revolving Loans Converted to Term Loans Total Revolving line Performing $ — $ 484 $ 34 $ 96 $ 442 $ 705 $ 160,751 $ 6,937 $ 169,449 Non-performing — — — — — 2 4 47 53 Total Revolving line $ — $ 484 $ 34 $ 96 $ 442 $ 707 $ 160,755 $ 6,984 $ 169,502 Auto Performing $ 6,530 $ 6,380 $ 5,421 $ 6,891 $ 3,375 $ 603 $ — $ — $ 29,200 Non-performing — — — — 32 5 — — 37 Total Auto $ 6,530 $ 6,380 $ 5,421 $ 6,891 $ 3,407 $ 608 $ — $ — $ 29,237 Other Performing $ 5,293 $ 10,126 $ 7,386 $ 2,483 $ 5,283 $ 1,515 $ 38,295 $ — $ 70,381 Non-performing — — 36 — 18 23 — — 77 Total Other $ 5,293 $ 10,126 $ 7,422 $ 2,483 $ 5,301 $ 1,538 $ 38,295 $ — $ 70,458 December 31, 2025 Amortized Cost Basis by Origination Year - Term Loans Risk by Collateral 2025 2024 2023 2022 2021 Prior Amortized Cost - Revolving Loans Amortized Cost - Revolving Loans Converted to Term Loans Total Revolving line Performing $ 1,485 $ 34 $ 23 $ 47 $ 24 $ 525 $ 159,834 $ 99 $ 162,071 Non-performing — — — 2 — 1 620 3 626 Total Revolving line $ 1,485 $ 34 $ 23 $ 49 $ 24 $ 526 $ 160,454 $ 102 $ 162,697 Auto Performing $ 8,179 $ 7,292 $ 9,725 $ 5,290 $ 1,109 $ 248 $ — $ — $ 31,843 Non-performing — — 18 17 9 — — — 44 Total Auto $ 8,179 $ 7,292 $ 9,743 $ 5,307 $ 1,118 $ 248 $ — $ — $ 31,887 Other Performing $ 12,905 $ 11,161 $ 3,514 $ 5,893 $ 849 $ 1,245 $ 8,567 $ — $ 44,134 Non-performing 2 36 — 24 4 27 — — 93 Total Other $ 12,907 $ 11,197 $ 3,514 $ 5,917 $ 853 $ 1,272 $ 8,567 $ — $ 44,227 26 Credit cards A discussion of the credit quality indicators that impact Credit card loans is included below: Consumer Consumer credit card loans are revolving loans made to individuals. The primary risk associated with this collateral class is credit card debt which is generally unsecured; therefore, repayment depends primarily on a borrower’s willingness and capacity to repay. The highly competitive environment for credit card lending provides consumers with ample opportunity to hold several credit cards from different issuers and to pay only minimum monthly payments on outstanding balances. In such an environment, borrowers may become over-extended and unable to repay, particularly in times of an economic downturn or a personal catastrophic event. The consumer credit card portfolio is segmented by borrower payment activity. Transactors are defined as accounts that pay off their balance by the end of each statement cycle. Revolvers are defined as an account that carries a balance from one statement cycle to the next. These accounts incur monthly finance charges, and, sometimes, late fees. Revolvers are inherently higher risk and are tracked by credit score. A co-branded credit card portfolio is also segmented between current and significantly delinquent loans, with accounts being considered significantly delinquent after 60 days . Current loans are segmented by borrower payment activity as described above. Significantly delinquent loans are tracked by the number of cycles past due. Commercial Commercial credit card loans are revolving loans made to small and commercial businesses. The primary risk associated with this collateral class is credit card debt which is generally unsecured; therefore, repayment depends primarily on a borrower’s willingness and capacity to repay. Borrowers may become over-extended and unable to repay, particularly in times of an economic downturn or a catastrophic event. The commercial credit card portfolio is segmented by current and past due payment status. A borrower is past due after 30 days. In general, commercial credit card customers do not have incentive to hold a balance resulting in paying interest on credit card debt as commercial customers will typically have other debt obligations with lower interest rates in which they can utilize for capital. The following tables provide a summary of the amortized cost balance of consumer credit cards by risk rating as of June 30, 2026 and December 31, 2025 (in thousands): Consumer Risk June 30, 2026 December 31, 2025 Transactor accounts $ 129,826 $ 123,445 Revolver accounts (by credit score): Less than 600 12,576 13,123 600-619 6,330 7,127 620-639 11,848 12,243 640-659 19,127 19,679 660-679 20,074 20,261 680-699 22,510 22,814 700-719 24,802 25,385 720-739 22,074 22,547 740-759 19,735 19,838 760-779 19,949 19,864 780-799 17,987 18,774 800-819 11,677 11,782 820-839 5,973 6,151 840+ 1,229 1,213 Total $ 345,717 $ 344,246 27 The following table provides a summary of the amortized cost balance of consumer credit cards considered significantly delinquent for a co-branded portfolio by delinquent cycles as of June 30, 2026 and December 31, 2025 (in thousands) : Consumer Risk June 30, 2026 December 31, 2025 61-90 Days $ 665 $ 1,084 91-120 Days 631 848 121-150 Days 597 805 151-180 Days 562 766 Total $ 2,455 $ 3,503 The following table provides a summary of the amortized cost balance of commercial credit cards by risk rating as of June 30, 2026 and December 31, 2025 (in thousands): Commercial Risk June 30, 2026 December 31, 2025 Current $ 326,000 $ 330,585 Past Due 27,060 22,399 Total $ 353,060 $ 352,984 Leases and other A discussion of the credit quality indicators that impact each type of collateral securing Leases and other loans is included below: Leases Leases are either loans to individuals for household, family, and other personal expenditures or are loans related to all other direct financing and leveraged leases on property for leasing to lessees other than for household, family and other personal expenditure purposes. All leases are secured by the lease between the lessor and the lessee. These assignments grant the creditor a security interest in the rent stream from any lease, an important source of cash to pay the note in case of the borrower’s default. Other Other loans are loans that are obligations of states and political subdivisions in the U.S., loans for purchasing or carrying securities, or all other non-consumer loans. Risk associated with other loans is tied to the underlying collateral by each type of loan. Collateral is generally equipment, accounts receivable, inventory, 1-4 family residential construction and is susceptible to the same risks mentioned with those collateral types previously. Based on the factors noted above for each type of collateral, the Company assigns risk ratings to borrowers based on their most recently assessed financial position. The following table provides a summary of the amortized cost balance by collateral type and risk rating as of June 30, 2026 and December 31, 2025 (in thousands): Leases Other Risk June 30, 2026 December 31, 2025 June 30, 2026 December 31, 2025 Pass $ 933 $ 1,214 $ 499,312 $ 237,186 Special Mention — — — — Substandard — — — — Doubtful — — — — Total $ 933 $ 1,214 $ 499,312 $ 237,186 28 Allowance for Credit Losses The ACL is a valuation account that is deducted from loans’ and held-to-maturity (HTM) securities’ amortized cost bases to present the net amount expected to be collected on the instrument. Loans and HTM securities are charged off against the ACL when management believes the balance has become uncollectible. Expected recoveries are included in the allowance and do not exceed the aggregate of amounts previously charged-off and expected to be charged-off. Management estimates the allowance balance using relevant available information, from internal and external sources, related to past events, current conditions, and reasonable and supportable economic forecasts. Historical credit loss experience provides the basis for the estimation of expected credit losses and is tracked over an economic cycle to capture a ‘through the cycle’ loss history. Adjustments to historical loss information are made for differences in current loan-specific risk characteristics such as differences in portfolio industry-based segmentation, risk rating and credit score changes, average prepayment rates, changes in environmental conditions, or other relevant factors. For economic forecasts, the Company uses the Moody’s baseline scenario. The Company has developed a dynamic reasonable and supportable forecast period that ranges from one to three years and changes based on economic conditions. The Company’s reasonable and supportable forecast period is one year . After the reasonable and supportable forecast period, the Company reverts to historical losses. The reversion method applied to each portfolio can either be cliff in which the Company reverts immediately to historical losses or straight-line over four quarters. The ACL is measured on a collective (pool) basis when similar risk characteristics exist. The ACL also incorporates qualitative factors which represent adjustments to historical credit loss experience for items such as concentrations of credit and results of internal loan review. The Company has identified the following portfolio segments and measures the allowance for credit losses using the following methods. The Company’s portfolio segmentation consists of Commercial and industrial, Specialty lending, Commercial real estate, Consumer real estate, Consumer, Credit cards, Leases and other, and Held-to-maturity securities. Multiple modeling techniques are used to measure credit losses based on the portfolio. The ACL for Commercial and industrial and Leases and other segments are measured using a probability of default and loss given default method. Primary risk drivers within the segment are risk ratings of the individual loans along with changes of macro-economic variables. The economic variables utilized are typically comprised of leading and lagging indicators. The ACL for Commercial and industrial loans is calculated by modeling probability of default (PD) over future periods multiplied by historical loss given default rates (LGD) multiplied by contractual exposure at default minus any estimated prepayments and charge offs. Collateral positions for Specialty lending loans are continuously monitored by the Company and the borrower is required to continually adjust the amount of collateral securing the loan. Credit losses are measured for any position where the amortized cost basis is greater than the fair value of the collateral. The ACL for specialty lending loans is calculated by using a bottom-up approach comparing collateral values to outstanding balances. The ACL for the Commercial real estate segment is measured using a PD and LGD method. Primary risk characteristics within the segment are risk ratings of the individual loans, along with changes of macro-economic variables, such as interest rates, CRE price index, median household income, construction activity, farm income, and vacancy rates. The ACL for Commercial real estate loans is calculated by modeling PD over future periods based on peer bank data. The PD loss rate is then multiplied by historical LGD multiplied by contractual exposure at default minus any estimated prepayments and charge offs. The ACL for the Consumer real estate and Consumer segments are measured using an origination vintage loss rate method applied to the loans’ amortized cost balance. The primary risk driver within the segments is year of origination along with changes of macro-economic variables such as unemployment and the home price index. The Credit card segment contains both consumer and commercial credit cards. The ACL for Consumer credit cards is measured using a PD and LGD method for Revolvers and average historical loss rates across a defined lookback period for Transactors. The PD and LGD method used for Revolvers is similar in nature to the method used in the Commercial and industrial and Commercial real estate segments. Primary risk drivers within the segment are credit ratings of the individual card holders along with changes of macro-economic variables such as 29 unemployment and retail sales. The ACL for Commercial credit cards is measured using roll-rate loss rate method based on days past due. The ACL for the State and political HTM securities segment is measured using a loss rate method based on historical bond rating transitions. Primary risk drivers within the segment are bond ratings in the portfolio along with changes of macro-economic conditions. There is no ACL for the U.S. Treasury and GSE mortgage-backed HTM securities portfolios as they are considered to be agency-backed securities with no risk of loss as they are either explicitly or implicitly guaranteed by the U.S. government. For further discussion on these securities, including the aging and amortized cost balance of HTM securities, see Note 5, “Securities.” See the credit quality indicators presented previously for a summary of current risk in the Company’s portfolio. Changes in economic forecasts will affect all portfolio segments, updated financial records from borrowers will affect portfolio segments by risk rating, updated credit scores will affect consumer credit cards, payment performance will affect consumer and commercial credit card portfolio segments, and updated bond credit ratings will affect held-to-maturity securities. The Company actively monitors all credit quality indicators for risk changes that will influence the current estimate. Expected credit losses are estimated over the contractual term of the loans, adjusted for prepayments when appropriate. The contractual term excludes expected extensions, renewals, and modifications unless either of the following applies: management has a reasonable expectation at the reporting date that a concessionary loan term has been granted to a borrower experiencing financial difficulty or the extension or renewal options are included in the original or modified contract at the reporting date and are not unconditionally cancelable by the Company. Credit card receivables do not have stated maturities. In determining the estimated life of a credit card receivable, management first estimates the future cash flows expected to be received and then applies those expected future cash flows to the credit card balance. Expected credit losses for credit cards are determined by estimating the amount and timing of principal payments expected to be received as payment for the balance outstanding as of the reporting period until the expected payments have been fully allocated. The ACL is recorded for the excess of the balance outstanding as of the reporting period over the expected principal payments. Loans that do not share risk characteristics are evaluated on an individual basis. Loans evaluated individually include loans on nonaccrual, loans that include modifications deemed concessionary made to borrowers experiencing financial difficulty, or any loans specifically identified, and are excluded from the collective evaluation. When it is determined that payment of interest or recovery of all principal is questionable, expected credit losses are based on the fair value of the collateral at the reporting date, adjusted for undiscounted selling costs as appropriate. All loans are classified as collateral dependent if placed on non-accrual or include modifications made to borrowers experiencing financial difficulty. 30 ALLOWANCE FOR CREDIT LOSSES AND RECORDED INVESTMENT IN LOANS This table provides a rollforward of the allowance for credit losses by portfolio segment for the three and six months ended June 30, 2026 and June 30, 2025 (in thousands): Three Months Ended June 30, 2026 Commercial and industrial Specialty lending Commercial real estate Consumer real estate Consumer Credit cards Leases and other Total - Loans HTM Total Allowance for credit losses: Beginning balance $ 252,669 $ — $ 146,435 $ 5,134 $ 1,319 $ 18,531 $ 1,788 $ 425,876 $ 3,357 $ 429,233 Charge-offs ( 8,923 ) — ( 1,173 ) ( 386 ) ( 972 ) ( 6,326 ) — ( 17,780 ) — ( 17,780 ) Recoveries 422 — 26 22 154 1,295 — 1,919 — 1,919 Provision 51,144 — ( 33,292 ) 940 1,470 4,590 2,509 27,361 639 28,000 Ending balance - ACL $ 295,312 $ — $ 111,996 $ 5,710 $ 1,971 $ 18,090 $ 4,297 $ 437,376 $ 3,996 $ 441,372 Allowance for credit losses on off-balance sheet credit exposures: Beginning balance $ 3,865 $ — $ 1,608 $ 116 $ 77 $ — $ 31 $ 5,697 $ 24 $ 5,721 Provision 96 — ( 197 ) ( 17 ) 6 — 114 2 ( 2 ) — Ending balance - ACL on off-balance sheet $ 3,961 $ — $ 1,411 $ 99 $ 83 $ — $ 145 $ 5,699 $ 22 $ 5,721 Three Months Ended June 30, 2025 Commercial and industrial Specialty lending Commercial real estate Consumer real estate Consumer Credit cards Leases and other Total - Loans HTM Total Allowance for credit losses: Beginning balance $ 192,755 $ — $ 149,345 $ 4,798 $ 1,488 $ 19,995 $ 541 $ 368,922 $ 4,566 $ 373,488 PCD allowance for credit loss at acquisition 9,883 — 5,284 — — — — 15,167 — 15,167 Charge-offs ( 6,112 ) — ( 4,178 ) ( 400 ) ( 681 ) ( 5,524 ) — ( 16,895 ) — ( 16,895 ) Recoveries 120 — 184 147 126 856 — 1,433 — 1,433 Provision 14,082 — 2,854 976 634 2,586 159 21,291 ( 291 ) 21,000 Ending balance - ACL $ 210,728 $ — $ 153,489 $ 5,521 $ 1,567 $ 17,913 $ 700 $ 389,918 $ 4,275 $ 394,193 Allowance for credit losses on off-balance sheet credit exposures: Beginning balance $ 5,535 $ — $ 2,412 $ 138 $ 91 $ — $ 35 $ 8,211 $ 10 $ 8,221 Initial allowance for credit loss at acquisition — — — — — — — — — — Provision ( 1,204 ) — 1,128 42 7 — 19 ( 8 ) 8 — Ending balance - ACL on off-balance sheet $ 4,331 $ — $ 3,540 $ 180 $ 98 $ — $ 54 $ 8,203 $ 18 $ 8,221 31 Six Months Ended June 30, 2026 Commercial and industrial Specialty lending Commercial real estate Consumer real estate Consumer Credit cards Leases and other Total - Loans HTM Total Allowance for credit losses: Beginning balance $ 240,324 $ — $ 151,060 $ 6,938 $ 1,387 $ 18,042 $ 1,727 $ 419,478 $ 1,684 $ 421,162 Charge-offs ( 12,272 ) — ( 11,937 ) ( 899 ) ( 2,057 ) ( 12,202 ) — ( 39,367 ) — ( 39,367 ) Recoveries 1,512 — 29 41 453 2,522 20 4,577 — 4,577 Provision 65,748 — ( 27,156 ) ( 370 ) 2,188 9,728 2,550 52,688 2,312 55,000 Ending balance - ACL $ 295,312 $ — $ 111,996 $ 5,710 $ 1,971 $ 18,090 $ 4,297 $ 437,376 $ 3,996 $ 441,372 Allowance for credit losses on off-balance sheet credit exposures: Beginning balance $ 2,886 $ — $ 2,548 $ 154 $ 91 $ — $ 27 $ 5,706 $ 15 $ 5,721 Provision 1,075 — ( 1,137 ) ( 55 ) ( 8 ) — 118 ( 7 ) 7 — Ending balance - ACL on off-balance sheet $ 3,961 $ — $ 1,411 $ 99 $ 83 $ — $ 145 $ 5,699 $ 22 $ 5,721 Six Months Ended June 30, 2025 Commercial and industrial Specialty lending Commercial real estate Consumer real estate Consumer Credit cards Leases and other Total - Loans HTM Total Allowance for credit losses: Beginning balance $ 161,553 $ — $ 77,340 $ 4,327 $ 966 $ 14,272 $ 631 $ 259,089 $ 2,645 $ 261,734 PCD allowance for credit loss at acquisition 45,026 — 32,048 206 13 — — 77,293 — 77,293 Charge-offs ( 32,108 ) — ( 6,502 ) ( 1,629 ) ( 1,423 ) ( 12,200 ) — ( 53,862 ) — ( 53,862 ) Recoveries 189 — 184 163 245 1,747 — 2,528 — 2,528 Provision 36,068 — 50,419 2,454 1,766 14,094 69 104,870 1,630 106,500 Ending balance - ACL $ 210,728 $ — $ 153,489 $ 5,521 $ 1,567 $ 17,913 $ 700 $ 389,918 $ 4,275 $ 394,193 Allowance for credit losses on off-balance sheet credit exposures: Beginning balance $ 2,234 $ — $ 1,741 $ 70 $ 16 $ — $ 63 $ 4,124 $ 14 $ 4,138 Initial allowance for credit loss at acquisition 2,166 — 1,192 63 41 — 114 3,576 7 3,583 Provision ( 69 ) — 607 47 41 — ( 123 ) 503 ( 3 ) 500 Ending balance - ACL on off-balance sheet $ 4,331 $ — $ 3,540 $ 180 $ 98 $ — $ 54 $ 8,203 $ 18 $ 8,221 Purchased loans that reflect a more than insignificant credit deterioration since origination at the date of acquisition are classified as PCD loans. PCD loans are recorded at fair value plus the ACL expected at the time of acquisition. Upon the acquisition of HTLF, the Company recorded $ 62.1 million to establish the PCD ACL. During th e second and third quarters o f 2025, the Company recorded an additional $ 15.2 million and $ 8.0 million, respectively, to the PCD ACL based on credit factors that were determined to be in existence as of the date of acquisition. The allowance for credit losses on off-balance sheet credit exposures is recorded in the Accrued expenses and taxes line of the Company’s Consolidated Balance Sheets. See Note 10 “Commitments, Contingencies and Guarantees.” 32 Collateral Dependent Financial Assets The following tables provide the amortized cost balance of financial assets considered collateral dependent as of June 30, 2026 and December 31, 2025 (in thousands) : June 30, 2026 Loan Segment and Type Amortized Cost of Collateral Dependent Assets Related Allowance for Credit Losses Amortized Cost of Collateral Dependent Assets with no related Allowance Commercial and industrial: Equipment/Accounts Receivable/Inventory $ 28,942 $ 9,214 $ 13,077 Agriculture 759 — 759 NDFIs 4,216 3,825 392 Total Commercial and industrial 33,917 13,039 14,228 Specialty lending: Asset-based lending — — — Total Specialty lending — — — Commercial real estate: Owner-occupied 19,930 895 17,601 Non-owner-occupied 24,009 3,256 3,689 Farmland 3,274 — 3,274 5+ Multi-family 14,568 — 14,568 1-4 Family construction — — — General construction 183 — 183 Total Commercial real estate 61,964 4,151 39,315 Consumer real estate: HELOC 5,523 — 5,523 First lien: 1-4 family 24,482 52 23,472 Junior lien: 1-4 family 556 — 556 Total Consumer real estate 30,561 52 29,551 Consumer: Revolving line 61 — 61 Auto 39 — 39 Other 77 — 77 Total Consumer 177 — 177 Leases and other: Leases — — — Other — — — Total Leases and other — — — Total loans $ 126,619 $ 17,242 $ 83,271 33 December 31, 2025 Loan Segment and Type Amortized Cost of Collateral Dependent Assets Related Allowance for Credit Losses Amortized Cost of Collateral Dependent Assets with no related Allowance Commercial and industrial: Equipment/Accounts Receivable/Inventory $ 23,594 $ 10,741 $ 9,274 Agriculture 2,186 687 743 NDFIs 853 — 853 Total Commercial and industrial 26,633 11,428 10,870 Specialty lending: Asset-based lending — — — Total Specialty lending — — — Commercial real estate: Owner-occupied 10,905 2,240 3,746 Non-owner-occupied 50,955 9,093 8,957 Farmland 3,389 — 3,389 5+ Multi-family 14,324 — 14,324 1-4 Family construction — — — General construction 7,408 161 5,700 Total Commercial real estate 86,981 11,494 36,116 Consumer real estate: HELOC 5,319 — 5,319 First lien: 1-4 family 23,969 205 22,720 Junior lien: 1-4 family 622 — 622 Total Consumer real estate 29,910 205 28,661 Consumer: Revolving line 633 — 633 Auto 47 — 47 Other 97 — 97 Total Consumer 777 — 777 Leases and other: Leases — — — Other — — — Total Leases and other — — — Total loans $ 144,301 $ 23,127 $ 76,424 Modifications made to Borrowers Experiencing Financial Difficulty In the normal course of business, the Company may execute loan modifications with borrowers. These modifications are analyzed to determine whether the modification is considered concessionary, long term and made to a borrower experiencing financial difficulty. The Company’s modifications generally include interest rate adjustments, principal reductions, and amortization and maturity date extensions. These modifications allow the borrower short-term cash relief to allow them to improve their financial condition. If a loan modification is determined to be made to a borrower experiencing financial difficulty, the loan is considered collateral dependent and evaluated as part of the ACL as described above in the Allowance for Credit Losses section of this note. 34 For the three months ended June 30, 2026, the Company had no new modifications on loans made to a borrower experiencing financial difficulty. For the six months ended June 30, 2026 , the Company had three modifications on residential real estate loans made to borrowers experiencing financial difficulty with a total pre-modification loan balance of $ 534 thousand and a total post-modification loan balance of $ 538 thousand. For the three months ended June 30, 2025 , the Company had one new modification on a residential real estate loan made to a borrower experiencing financial difficulty with a total pre-modification loan balance of $ 131 thousand and a total post-modification loan balance of $ 133 thousand . For the six months ended June 30, 2025, the Company had two modifications on residential real estate loans made to borrowers experiencing financial difficulty with a total pre-modification loan balance of $ 356 thousand and a total post-modification loan balance of $ 358 thousand. The Company had no commitments to lend to borrowers experiencing financial difficulty for which the Company has modified an existing loan as of June 30, 2026 and 2025. The Company monitors loan payments on an on-going basis to determine if a loan is considered to have a payment default. Determination of payment default involves analyzing the economic conditions that exist for each customer and their ability to generate positive cash flows during the loan term. For the three and six months ended June 30, 2026 and 2025, the Company had no loan modifications made to borrowers experiencing financial difficulty for which there was a payment default within the 12 months following the modification date. 5. Securities Securities Available for Sale This table provides detailed information about securities available for sale at June 30, 2026 and December 31, 2025 (in thousands): June 30, 2026 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value U.S. Treasury $ 2,212,279 $ 1,966 $ ( 9,328 ) $ 2,204,917 U.S. Agencies 48,776 66 ( 57 ) 48,785 Mortgage-backed 8,582,743 22,107 ( 381,235 ) 8,223,615 State and political subdivisions 2,419,723 18,092 ( 65,318 ) 2,372,497 Corporates 88,922 250 ( 1,863 ) 87,309 Collateralized loan obligations 550,875 309 ( 148 ) 551,036 Total $ 13,903,318 $ 42,790 $ ( 457,949 ) $ 13,488,159 December 31, 2025 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value U.S. Treasury $ 2,301,248 $ 20,008 $ ( 441 ) $ 2,320,815 U.S. Agencies 62,069 401 ( 100 ) 62,370 Mortgage-backed 8,427,197 71,827 ( 331,151 ) 8,167,873 State and political subdivisions 2,494,537 24,898 ( 72,847 ) 2,446,588 Corporates 180,854 349 ( 4,088 ) 177,115 Collateralized loan obligations 533,995 504 ( 119 ) 534,380 Total $ 13,999,900 $ 117,987 $ ( 408,746 ) $ 13,709,141 35 The following table presents contractual maturity information for securities available for sale at June 30, 2026 (in thousands): Amortized Fair Cost Value Due in 1 year or less $ 899,563 $ 899,840 Due after 1 year through 5 years 2,072,561 2,056,146 Due after 5 years through 10 years 562,639 554,837 Due after 10 years 1,785,812 1,753,721 Total 5,320,575 5,264,544 Mortgage-backed securities 8,582,743 8,223,615 Total securities available for sale $ 13,903,318 $ 13,488,159 Securities may be disposed of before contractual maturities due to sales by the Company or because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. The following table presents the sales of securities available for sale for the three and six months ended June 30, 2026 and 2025 (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 Proceeds from sales $ 5,375 $ 4,931 $ 57,146 $ 616,354 Gross realized gains 26 33 429 423 Gross realized losses — — — — There were $ 13.2 billion and $ 13.4 billion of securities pledged to secure U.S. Government deposits, other public deposits, certain trust deposits, derivative transactions, and repurchase agreements at June 30, 2026 and December 31, 2025, respectively. Accrued interest on securities available for sale totaled $ 80.1 million and $ 82.9 million as of June 30, 2026 and December 31, 2025, respectively, and is included in the Accrued income line on the Company’s Consolidated Balance Sheets. The total amount of accrued interest is excluded from the amortized cost of available-for-sale securities presented above. Further, the Company has elected not to measure an ACL for accrued interest receivable. The following table shows the Company’s available-for-sale investments’ gross unrealized losses and fair value, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position, at June 30, 2026 and December 31, 2025 (in thousands): Less than 12 months 12 months or more Total June 30, 2026 Count Fair Value Unrealized Losses Count Fair Value Unrealized Losses Count Fair Value Unrealized Losses Description of Securities U.S. Treasury 201 $ 1,508,078 $ ( 9,256 ) 1 $ 14,925 $ ( 72 ) 202 $ 1,523,003 $ ( 9,328 ) U.S. Agencies 1 6,663 ( 57 ) — — — 1 6,663 ( 57 ) Mortgage-backed 384 3,684,127 ( 45,541 ) 795 2,591,410 ( 335,694 ) 1,179 6,275,537 ( 381,235 ) State and political subdivisions 349 398,225 ( 3,488 ) 805 800,287 ( 61,830 ) 1,154 1,198,512 ( 65,318 ) Corporates — — — 46 70,302 ( 1,863 ) 46 70,302 ( 1,863 ) Collateralized loan obligations 20 189,707 ( 148 ) — — — 20 189,707 ( 148 ) Total 955 $ 5,786,800 $ ( 58,490 ) 1,647 $ 3,476,924 $ ( 399,459 ) 2,602 $ 9,263,724 $ ( 457,949 ) 36 Less than 12 months 12 months or more Total December 31, 2025 Count Fair Value Unrealized Losses Count Fair Value Unrealized Losses Count Fair Value Unrealized Losses Description of Securities U.S. Treasury 8 $ 72,013 $ ( 88 ) 2 $ 30,234 $ ( 353 ) 10 $ 102,247 $ ( 441 ) U.S. Agencies 1 7,855 ( 100 ) — — — 1 7,855 ( 100 ) Mortgage-backed 82 757,160 ( 5,682 ) 817 2,871,729 ( 325,469 ) 899 3,628,889 ( 331,151 ) State and political subdivisions 152 515,364 ( 11,181 ) 1,142 809,113 ( 61,666 ) 1,294 1,324,477 ( 72,847 ) Corporates 1 2,990 ( 10 ) 134 164,108 ( 4,078 ) 135 167,098 ( 4,088 ) Collateralized loan obligations 20 164,531 ( 112 ) 1 2,999 ( 7 ) 21 167,530 ( 119 ) Total 264 $ 1,519,913 $ ( 17,173 ) 2,096 $ 3,878,183 $ ( 391,573 ) 2,360 $ 5,398,096 $ ( 408,746 ) The unrealized losses in the Company’s investments were caused by changes in interest rates, and not from a decline in credit of the underlying issuers. The U.S. Treasury, U.S. Agency, and GSE mortgage-backed securities are all considered to be agency-backed securities with no risk of loss as they are either explicitly or implicitly guaranteed by the U.S. government. The changes in fair value in the agency-backed portfolios are solely driven by change in interest rates caused by changing economic conditions. The Company has no knowledge of any underlying credit issues and the cash flows underlying the debt securities have not changed and are not expected to be impacted by changes in interest rates. For the State and political subdivision portfolio, the majority of the Company’s holdings are in general obligation bonds, which have a very low historical default rate due to issuers generally having unlimited taxing authority to service the debt. For the State and political, Corporates, and Collateralized loan obligations portfolios, the Company has a robust process for monitoring credit risk, including both pre-purchase and ongoing post-purchase credit reviews and analysis. The Company monitors credit ratings of all bond issuers in these segments and reviews available financial data, including market and sector trends. As of June 30, 2026 and December 31, 2025 , there was no ACL rel ated to the Company’s available-for-sale securities as the decline in fair value did not result from credit issues. Securities Held to Maturity The following table provides detailed information about securities held to maturity at June 30, 2026 and December 31, 2025, respectively (in thousands): June 30, 2026 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Allowance for Credit Losses Net Carrying Amount U.S. Treasury $ 38,260 $ — $ ( 555 ) $ 37,705 $ — $ 38,260 Mortgage-backed 2,405,985 3 ( 319,454 ) 2,086,534 — 2,405,985 State and political subdivisions 3,272,181 23,781 ( 180,754 ) 3,115,208 ( 3,996 ) 3,268,185 Total $ 5,716,426 $ 23,784 $ ( 500,763 ) $ 5,239,447 $ ( 3,996 ) $ 5,712,430 December 31, 2025 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Allowance for Credit Losses Net Carrying Amount U.S. Treasury $ 38,253 $ 27 $ ( 37 ) $ 38,243 $ — $ 38,253 Mortgage-backed 2,513,667 335 ( 305,040 ) 2,208,962 — 2,513,667 State and political subdivisions 3,172,307 26,713 ( 195,760 ) 3,003,260 ( 1,684 ) 3,170,623 Total $ 5,724,227 $ 27,075 $ ( 500,837 ) $ 5,250,465 $ ( 1,684 ) $ 5,722,543 37 The following table presents contractual maturity information for securities held to maturity at June 30, 2026 (in thousands): Amortized Fair Cost Value Due in 1 year or less $ 89,562 $ 89,149 Due after 1 year through 5 years 556,314 548,106 Due after 5 years through 10 years 797,227 767,036 Due after 10 years 1,867,338 1,748,622 Total 3,310,441 3,152,913 Mortgage-backed securities 2,405,985 2,086,534 Total securities held to maturity $ 5,716,426 $ 5,239,447 Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. There were no sales of securities held to maturity during the three or six months ended June 30, 2026 or 2025. During the year ended December 31, 2022, securities with an amortized cost of $ 4.1 billion and a fair value of $ 3.8 billion were transferred from the available-for-sale classification to the held-to-maturity classification as the Company has the positive intent and ability to hold these securities to maturity. The transfers of securities were made at fair value at the time of transfer. The unrealized holding gain or loss at the time of transfer is retained in AOCI and will be amortized over the remaining life of the securities, offsetting the related amortization of discount or premium on the transferred securities. No gains or losses were recognized at the time of the transfers. The amortized cost balance of securities held to maturity in the tables above includes a net unamortized unrealized loss of $ 124.9 million and $ 139.2 million at June 30, 2026 and December 31, 2025, respectively. Accrued interest on securities held to maturity totaled $ 30.2 millio n and $ 28.0 million as of June 30, 2026 and December 31, 2025, respectively, and is included in the Accrued income line on the Company’s Consolidated Balance Sheets. The total amount of accrued interest is excluded from the amortized cost of held-to-maturity securities presented above. Further, the Company has elected not to measure an ACL for accrued interest receivable. The following table shows the Company’s held-to-maturity investments’ gross unrealized losses and fair value, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position, at June 30, 2026 and December 31, 2025, respectively (in thousands): Less than 12 months 12 months or more Total June 30, 2026 Count Fair Value Unrealized Losses Count Fair Value Unrealized Losses Count Fair Value Unrealized Losses U.S. Treasury 7 $ 37,705 $ ( 555 ) — $ — $ — 7 $ 37,705 $ ( 555 ) Mortgage-backed 17 195,205 ( 3,487 ) 262 1,890,512 ( 315,967 ) 279 2,085,717 ( 319,454 ) State and political subdivisions 180 828,018 ( 42,832 ) 1,341 1,387,515 ( 137,922 ) 1,521 2,215,533 ( 180,754 ) Total 204 $ 1,060,928 $ ( 46,874 ) 1,603 $ 3,278,027 $ ( 453,889 ) 1,807 $ 4,338,955 $ ( 500,763 ) Less than 12 months 12 months or more Total December 31, 2025 Count Fair Value Unrealized Losses Count Fair Value Unrealized Losses Count Fair Value Unrealized Losses U.S. Treasury 3 $ 15,913 $ ( 37 ) — $ — $ — 3 $ 15,913 $ ( 37 ) Mortgage-backed 10 147,066 ( 918 ) 262 1,998,984 ( 304,122 ) 272 2,146,050 ( 305,040 ) State and political subdivisions 146 687,180 ( 41,122 ) 1,354 1,480,709 ( 154,638 ) 1,500 2,167,889 ( 195,760 ) Total 159 $ 850,159 $ ( 42,077 ) 1,616 $ 3,479,693 $ ( 458,760 ) 1,775 $ 4,329,852 $ ( 500,837 ) 38 The unrealized losses in the Company’s held-to-maturity portfolio were caused by changes in the interest rate environment. The U.S. Treasury and GSE mortgage-backed securities are considered to be agency-backed securities with no risk of loss as they are either explicitly or implicitly guaranteed by the U.S. government. Therefore, the Company’s expected lifetime loss for these portfolios is zero and there is no ACL recorded for these portfolios. The Company has no knowledge of any underlying credit issues and the cash flows underlying the debt securities have not changed and are not expected to be impacted by changes in interest rates. For the State and political subdivision portfolio, the Company’s holdings are in general obligation bonds as well as private placement bonds, which have very low historical default rates due to issuers generally having unlimited taxing authority to service the debt. The Company has a robust process for monitoring credit risk, including both pre-purchase and ongoing post-purchase credit reviews and analysis. The Company monitors credit ratings of all bond issuers in these segments and reviews available financial data, including market and sector trends. The underlying bonds are evaluated for credit losses in conjunction with management’s estimate of the ACL based on credit rating. The following tables show the amortized cost basis by credit rating of the Company’s held-to-maturity State and political subdivisions bond investments at June 30, 2026 and December 31, 2025 (in thousands): Amortized Cost Basis by Credit Rating - HTM Debt Securities June 30, 2026 AAA AA A BBB BB B CCC-C Total State and political subdivisions: Competitive $ 47,599 $ 50,866 $ 346,707 $ 820,929 $ 30,143 $ 28,447 $ 13,458 $ 1,338,149 Utilities 836,298 959,900 122,087 13,983 1,764 — — 1,934,032 Total state and political subdivisions $ 883,897 $ 1,010,766 $ 468,794 $ 834,912 $ 31,907 $ 28,447 $ 13,458 $ 3,272,181 Amortized Cost Basis by Credit Rating - HTM Debt Securities December 31, 2025 AAA AA A BBB BB B CCC-C Total State and political subdivisions: Competitive $ 46,933 $ 51,390 $ 379,973 $ 812,061 $ 34,105 $ 23,326 $ 14,424 $ 1,362,212 Utilities 899,088 777,880 114,845 15,824 2,458 — — 1,810,095 Total state and political subdivisions $ 946,021 $ 829,270 $ 494,818 $ 827,885 $ 36,563 $ 23,326 $ 14,424 $ 3,172,307 Competitive held-to-maturity securities include not-for-profit enterprises that provide public functions such as housing, higher education or healthcare, but do so in a competitive environment. It also includes project financings that can have relatively high enterprise risk, such as deals backed by revenues from sports or convention facilities or start-up transportation revenues. Utilities are public enterprises providing essential services with a monopoly or near-monopoly over the service area. This includes environmental utilities (water, sewer, solid waste), power utilities (electric distribution and generation, gas), and transportation utilities (airports, parking, toll roads, mass transit, ports). 39 The following table presents the aging of past due held-to-maturity securities at June 30, 2026 (in thousands) : June 30, 2026 30-89 Days Past Due and Accruing Greater than 90 Days Past Due and Accruing Non- Accrual Total Past Due Current Total State and political subdivisions: Competitive $ 8,276 $ — $ — $ 8,276 $ 1,329,873 $ 1,338,149 Utilities — — — — 1,934,032 1,934,032 Total state and political subdivisions $ 8,276 $ — $ — $ 8,276 $ 3,263,905 $ 3,272,181 All held-to-maturity securities were current and not past due at December 31, 2025. Trading Securities There were net unrealized gains of $ 13 thousand and $ 48 thousand on trading securities at June 30, 2026 and 2025 , respectively. Net unrealized gains and losses are included in trading and investment banking income on the Company’s Consolidated Statements of Income. Securities sold not yet purchased totaled $ 14.0 million and $ 4.1 million at June 30, 2026 and December 31, 2025, respectively, and are classified within the Other liabilities line of the Company’s Consolidated Balance Sheets. Other Securities The table below provides detailed information for Other securities at June 30, 2026 and December 31, 2025 (in thousands): June 30, 2026 December 31, 2025 FRB and FHLB stock $ 137,667 $ 137,498 Equity securities with readily determinable fair values 12,610 14,690 Equity securities without readily determinable fair values 543,225 524,112 Total $ 693,502 $ 676,300 Investment in FRB stock is based on the capital structure of the investing bank, and investment in FHLB stock is mainly tied to the level of borrowings from the FHLB. These holdings are carried at cost. Equity securities with readily determinable fair values are generally traded on an exchange and market prices are readily available. Equity securities without readily determinable fair values include equity investments which are held by a subsidiary qualified as a Small Business Investment Company, as well as investments in low-income housing partnerships within the areas the Company serves. Unrealized gains or losses on equity securities with and without readily determinable fair values are recognized in the Investment securities gains, net line of the Company’s Consolidated Statements of Income. 40 The table below presents the changes in equity securities without readily determinable fair values for the three and six months ended June 30, 2026 and 2025 (in thousands) : Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 Beginning balance $ 535,326 $ 539,930 $ 524,112 $ 416,750 Acquisition of HTLF — 1,117 — 122,886 Purchases of securities 16,322 24,827 49,986 48,830 Observable upward price adjustments 30,902 9,411 34,470 10,433 Observable downward price adjustments ( 4,088 ) ( 2,302 ) ( 4,724 ) ( 8,575 ) Sales of securities and other activity ( 35,237 ) ( 39,234 ) ( 60,619 ) ( 56,575 ) Ending balance $ 543,225 $ 533,749 $ 543,225 $ 533,749 Investment Securities Gains, Net The following table presents the components of Investment securities gains, net for the three and six months ended June 30, 2026 and June 30, 2025 (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 Investment securities gains, net Available-for-sale debt securities: Gains realized on sales $ 26 $ 33 $ 429 $ 423 Equity securities with readily determinable fair values: Fair value adjustments, net 62 29,472 ( 225 ) 29,616 Equity securities without readily determinable fair values: Fair value adjustments, net 8,534 ( 60 ) 8,849 ( 5,303 ) Sales 18,465 8,240 21,080 8,167 Total investment securities gains, net $ 27,087 $ 37,685 $ 30,133 $ 32,903 6. Goodwill and Other Intangibles Changes in the carrying amount of goodwill for the periods ended June 30, 2026 and December 31, 2025 by reportable segment are as follows (in thousands): Commercial Banking Institutional Banking Personal Banking Total Balances as of January 1, 2026 $ 1,042,577 $ 76,492 $ 720,756 $ 1,839,825 Acquisition of HTLF ( 1,339 ) — ( 892 ) ( 2,231 ) Balances as of June 30, 2026 $ 1,041,238 $ 76,492 $ 719,864 $ 1,837,594 Balances as of January 1, 2025 $ 63,113 $ 76,492 $ 67,780 $ 207,385 Acquisition of HTLF 979,464 — 652,976 1,632,440 Balances as of December 31, 2025 $ 1,042,577 $ 76,492 $ 720,756 $ 1,839,825 41 The following table lists the finite-lived intangible assets that continue to be subject to amortization as of June 30, 2026 and December 31, 2025 (in thousands) : As of June 30, 2026 Core Deposit Intangible Assets Customer Relationships Total Gross carrying amount $ 481,294 $ 124,085 $ 605,379 Accumulated amortization 120,819 44,611 165,430 Net carrying amount $ 360,475 $ 79,474 $ 439,949 As of December 31, 2025 Core Deposit Intangible Assets Customer Relationships Total Gross carrying amount $ 481,294 $ 124,085 $ 605,379 Accumulated amortization 81,203 37,307 118,510 Net carrying amount $ 400,091 $ 86,778 $ 486,869 Related to the acquisition of HTLF, the Company recognized an adjustment of $ 2.2 million to goodwill during the period ended June 30, 2026. During 2025, the Company recognized $ 1.6 billion of goodwill, a $ 474.1 million core deposit intangible asset, wealth customer list of $ 26.0 million, and purchased credit card relationships of $ 10.9 million. See Note 13, “Acquisition” for additional information. On September 2, 2025, the Company acquired a healthcare savings account business, which included $ 32.5 million of deposits. The purchase resulted in recognition of a $ 4.8 million core deposit intangible asset. The following table has the aggregate amortization expense recognized in each period (in thousands) : Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 Aggregate amortization expense $ 23,460 $ 25,268 $ 46,920 $ 42,750 The following table discloses the estimated amortization expense of intangible assets in future periods (in thousands): For the six months ending December 31, 2026 $ 46,199 For the year ending December 31, 2027 82,528 For the year ending December 31, 2028 70,461 For the year ending December 31, 2029 61,515 For the year ending December 31, 2030 52,901 42 7. Borrowed Funds The components of the Company’s borrowed funds are as follows (in thousands) : June 30, 2026 December 31, 2025 Long-term debt: Trust preferred securities $ 222,345 $ 220,034 Subordinated notes 6.25 %, net of issuance costs 109,468 109,255 Subordinated notes 2.75 % 148,313 144,940 Total long-term debt 480,126 474,229 Total borrowed funds $ 480,126 $ 474,229 43 The following table presents details of outstanding trust preferred securities as of June 30, 2026 (in thousands): Amount Outstanding Issuance Date Interest Rate Interest Rate as of June 30, 2026 Maturity Date Marquette Capital Trust I $ 19,517 12/28/2005 1.33 % over 3-month term SOFR 5.26 % 1/7/2036 Marquette Capital Trust II 19,974 12/28/2005 1.33 % over 3-month term SOFR 5.26 % 1/7/2036 Marquette Capital Trust III 7,841 5/30/2006 1.50 % over 3-month term SOFR 5.46 % 6/23/2036 Marquette Capital Trust IV 31,616 6/30/2006 1.60 % over 3-month term SOFR 5.53 % 9/15/2036 Heartland Financial Statutory Trust IV 9,755 3/17/2004 2.75 % over 3-month term SOFR 6.68 % 3/17/2034 Heartland Financial Statutory Trust V 17,717 1/27/2006 1.33 % over 3-month term SOFR 5.26 % 4/7/2036 Heartland Financial Statutory Trust VI 17,153 6/21/2007 1.48 % over 3-month term SOFR 5.41 % 9/15/2037 Heartland Financial Statutory Trust VII 15,008 6/26/2007 1.48 % over 3-month term SOFR 5.40 % 9/1/2037 Morrill Statutory Trust I 10,054 12/19/2002 3.25 % over 3-month term SOFR 7.26 % 12/26/2032 Morrill Statutory Trust II 9,819 12/17/2003 2.85 % over 3-month term SOFR 6.78 % 12/17/2033 Sheboygan Statutory Trust I 7,411 9/17/2003 2.95 % over 3-month term SOFR 6.88 % 9/17/2033 CBNM Capital Trust I 4,883 9/10/2004 3.25 % over 3-month term SOFR 7.18 % 12/15/2034 Citywide Capital Trust III 6,861 12/19/2003 2.80 % over 3-month term SOFR 6.73 % 12/19/2033 Citywide Capital Trust IV 4,749 9/30/2004 2.20 % over 3-month term SOFR 6.10 % 9/30/2034 Citywide Capital Trust V 13,282 5/31/2006 1.54 % over 3-month term SOFR 5.47 % 7/25/2036 OCGI Statutory Trust III 3,040 6/27/2002 3.65 % over 3-month term SOFR 7.58 % 9/30/2032 OCGI Statutory Trust IV 5,722 9/23/2004 2.50 % over 3-month term SOFR 6.43 % 12/15/2034 BVBC Capital Trust II 7,506 4/10/2003 3.25 % over 3-month term SOFR 7.17 % 4/24/2033 BVBC Capital Trust III 10,437 7/29/2005 1.60 % over 3-month term SOFR 5.59 % 9/30/2035 Total trust preferred securities $ 222,345 In September 2022, the Company issued $ 110.0 million of 6.25 % fixed-to-fixed rate subordinated notes that mature on September 28, 2032 . The notes bear interest at the rate of 6.25 % per annum, payable semi-annually on each March 28 and September 28. The Company may redeem the notes, in whole or in part, on September 28, 2027 , or on any interest payment date thereafter. Unamortized debt issuance costs related to these notes totaled $ 532 thousand and $ 745 thousand as of June 30, 2026 and December 31, 2025. Proceeds from the issuance of the notes were used for general corporate purposes, including contributing Tier 1 capital into the Bank. 44 As part of the acquisition of HTLF, the Company acquired $ 150.0 million of 2.75 % fixed-to-fixed rate subordinated notes that mature on September 15, 2031 . The notes bear interest at the rate of 2.75 % per annum, payable semi-annually on each March 15 and September 15. The Company may redeem the notes, in whole or in part, on September 15, 2026, or on any interest payment date thereafter. The remainder of the Company’s long-term debt was assumed from the acquisitions of Marquette Financial Companies in 2015 and HTLF in 2025 and consists of debt obligations payable to 19 unconsolidated trusts that previously issued trust preferred securities, as summarized in the table above. These long-term debt obligations had an aggregate contractual balance of $ 262.9 million and had a carrying value of $ 222.3 million and $ 220.0 million as of June 30, 2026 and December 31, 2026, respectively. The Company is a member bank of the FHLB and through this relationship, the Company owns FHLB stock and has access to additional liquidity and funding sources through FHLB advances. The Company’s borrowing capacity is dependent upon the amount of collateral the Company places at the FHLB. As of both June 30, 2026 and December 31, 2025 , the Company owned $ 10.3 million of FHLB stock. The Company had no outstanding advances with the FHLB Des Moines as of June 30, 2026 or December 31, 2025. As of June 30, 2026 , the Company had four letters of credit outstanding with the FHLB of Des Moines to secure deposits. These letters of credit have an aggregate amount of $ 218.0 million and have various maturity dates through September 15, 2026 . The Company’s remaining borrowing capacity with the FHLB was $ 2.5 billion as of June 30, 2026. The Company utilizes repurchase agreements to facilitate the needs of customers and to facilitate secured short-term funding needs. Repurchase agreements are stated at the amount of cash received in connection with the transaction. The Company monitors collateral levels on a continuous basis and may be required to provide additional collateral based on the fair value of the underlying securities. Securities pledged as collateral under repurchase agreements are maintained with the Company’s safekeeping agents. The table below presents the remaining contractual maturities of repurchase agreements outstanding at June 30, 2026 and December 31, 2025, in addition to the various types of marketable securities that have been pledged as collateral for these borrowings (in thousands): As of June 30, 2026 Remaining Contractual Maturities of the Agreements Overnight 2-29 Days 30-90 Days Over 90 Days Total Repurchase agreements, secured by: U.S. Treasury $ 369,417 $ — $ — $ — $ 369,417 U.S. Agencies 1,838,295 152,245 685,573 13,550 2,689,663 Total repurchase agreements $ 2,207,712 $ 152,245 $ 685,573 $ 13,550 $ 3,059,080 As of December 31, 2025 Remaining Contractual Maturities of the Agreements 2-29 Days 30-90 Days Over 90 Days Total Repurchase agreements, secured by: U.S. Treasury $ 1,355,233 $ — $ — $ 1,355,233 U.S. Agencies 1,177,072 759,500 1,000 1,937,572 Total repurchase agreements $ 2,532,305 $ 759,500 $ 1,000 $ 3,292,805 8. Business Segment Reporting The Company has strategically aligned its operations into the following three reportable segments: Commercial Banking, Institutional Banking, and Personal Banking (collectively, the Business Segments, and each, a Business Segment). These segments reflect the type of customer served, how products and services are provided, how executive management responsibilities are assigned, and reflect the manner in which financial information is evaluated by the chief operating decision maker (CODM). The Company’s CODM is comprised of a group of senior executive officers led by the Company’s chief executive officer, chief administrative officer, chief financial officer, and the Bank’s chief executive officer. 45 Business Segment financial information is produced using an internal reporting system which is based on a series of management estimates for funds transfer pricing (FTP), and allocations of noninterest expense and income taxes. The process for determining FTP is based on a number of factors and assumptions, including prevailing market interest rates, the expected lives of various assets and liabilities, and the Company’s broader funding profile. These estimates and allocations are periodically reviewed and refined. The CODM uses the Business Segment net income in deciding how to allocate resources and assess performance for individual Business Segments, including evaluating the cost or opportunity value of funds within each Business Segment and identifying areas of focus for organic growth or acquisition. For comparability purposes, amounts in all periods are based on methodologies in effect at June 30, 2026. Previously reported results have been reclassified in this filing to conform to the current organizational structure. The following summaries provide information about the activities of each Business Segment: Commercial Banking serves the commercial banking and treasury management needs of the Company’s small to middle-market businesses through a variety of products and services. Such services include commercial loans, commercial real estate financing, commercial credit cards, letters of credit, loan syndication services, and consultative services. In addition, the Company’s specialty lending group offers a variety of business solutions including asset-based lending, mezzanine debt and minority equity investments. Treasury management services include depository services, account reconciliation and cash management tools such as, accounts payable and receivable solutions, electronic fund transfer and automated payments, controlled disbursements, lockbox services and remote deposit capture services. Institutional Banking is a combination of banking services, fund services, asset management services and healthcare services provided to institutional clients. This segment also provides fixed income sales, trading and underwriting, corporate trust and escrow services, as well as institutional custody. Institutional Banking includes UMB Fund Services, which provides fund administration and accounting, investor services and transfer agency, and other services to mutual funds and alternative investment groups. Healthcare services provides healthcare payment solutions including custodial services for health savings accounts (HSAs) and private label, multipurpose debit cards to insurance carriers, third-party administrators, software companies, employers, and financial institutions. Personal Banking combines consumer banking and wealth management services offered to clients and delivered through personal relationships and the Company’s bank branches, ATM network and internet banking. Products offered include deposit accounts, retail credit cards, private banking, installment loans, home equity lines of credit, and residential mortgages. The range of client services extends from a basic checking account to estate planning and trust services and includes private banking, brokerage services, and insurance services in addition to a full spectrum of investment advisory, trust, and custody services. 46 Business Segment Information Business Segment financial results for the three and six months ended June 30, 2026 and June 30, 2025 were as follows (in thousands): Three Months Ended June 30, 2026 Commercial Banking Institutional Banking Personal Banking Total Net interest income $ 362,575 $ 79,048 $ 90,902 $ 532,525 Provision for credit losses 24,733 627 2,640 28,000 Noninterest income 51,939 129,191 64,375 245,505 Salaries and employee benefits 53,977 53,327 38,383 145,687 Processing fees 4,328 10,579 4,799 19,706 Bankcard 2,833 6,318 2,675 11,826 Amortization of other intangible assets — 1,972 75 2,047 Allocated technology, service, overhead 93,137 38,829 46,016 177,982 Other segment items* 14,978 11,502 15,905 42,385 Noninterest expense 169,253 122,527 107,853 399,633 Income before taxes 220,528 85,085 44,784 350,397 Income tax expense 45,835 17,684 9,308 72,827 Net income $ 174,693 $ 67,401 $ 35,476 $ 277,570 Average assets $ 35,374,000 $ 21,070,000 $ 13,963,000 $ 70,407,000 *Other segment items include occupancy, equipment, supplies and services, marketing and business development costs, legal and consulting, and regulatory fees. Three Months Ended June 30, 2025 Commercial Banking Institutional Banking Personal Banking Total Net interest income $ 322,619 $ 66,331 $ 78,074 $ 467,024 Provision for credit losses 18,334 430 2,236 21,000 Noninterest income 43,219 107,998 70,968 222,185 Salaries and employee benefits 53,685 47,278 39,450 140,413 Processing fees 3,770 9,778 4,948 18,496 Bankcard 3,620 5,424 3,331 12,375 Amortization of other intangible assets — 1,776 103 1,879 Allocated technology, service, overhead 95,114 31,921 50,037 177,072 Other segment items* 14,459 8,960 19,514 42,933 Noninterest expense 170,648 105,137 117,383 393,168 Income before taxes 176,856 68,762 29,423 275,041 Income tax expense 37,068 14,412 6,167 57,647 Net income $ 139,788 $ 54,350 $ 23,256 $ 217,394 Average assets $ 33,917,000 $ 18,978,000 $ 13,977,000 $ 66,872,000 47 Six Months Ended June 30, 2026 Commercial Banking Institutional Banking Personal Banking Total Net interest income $ 727,917 $ 156,336 $ 182,638 $ 1,066,891 Provision for credit losses 48,510 1,125 5,365 55,000 Noninterest income 98,228 251,020 101,050 450,298 Salaries and employee benefits 110,403 103,965 78,307 292,675 Processing fees 8,355 21,249 9,181 38,785 Bankcard 5,682 12,830 5,185 23,697 Amortization of other intangible assets — 3,945 150 4,095 Allocated technology, service, overhead 178,773 72,705 90,420 341,898 Other segment items* 31,492 20,764 27,110 79,366 Noninterest expense 334,705 235,458 210,353 780,516 Income before taxes 442,930 170,773 67,970 681,673 Income tax expense 92,699 35,741 14,225 142,665 Net income $ 350,231 $ 135,032 $ 53,745 $ 539,008 Average assets $ 35,133,000 $ 21,266,000 $ 14,017,000 $ 70,416,000 Six Months Ended June 30, 2025 Commercial Banking Institutional Banking Personal Banking Total Net interest income $ 596,536 $ 127,489 $ 140,638 $ 864,663 Provision for credit losses 85,085 865 21,050 107,000 Noninterest income 80,438 211,792 96,153 388,383 Salaries and employee benefits 107,271 94,464 75,448 277,183 Processing fees 7,434 20,425 9,392 37,251 Bankcard 6,793 11,461 6,917 25,171 Amortization of other intangible assets — 3,562 206 3,768 Allocated technology, service, overhead 196,240 64,165 102,501 362,906 Other segment items* 25,922 18,325 27,429 71,676 Noninterest expense 343,660 212,402 221,893 777,955 Income (loss) before taxes 248,229 126,014 ( 6,152 ) 368,091 Income tax expense (benefit) 46,777 23,746 ( 1,159 ) 69,364 Net income (loss) $ 201,452 $ 102,268 $ ( 4,993 ) $ 298,727 Average assets $ 31,979,000 $ 18,658,000 $ 12,803,000 $ 63,440,000 9. Revenue Recognition The following is a description of the principal activities from which the Company generates revenue that are within the scope of ASC 606, Revenue from Contracts with Customers : Trust and securities processing – Trust and securities processing income consists of fees earned on personal and corporate trust accounts, custody of securities services, trust investments and wealth management services, and mutual fund and alternative asset servicing. The performance obligations related to this revenue include items such as performing full bond trustee service administration, investment advisory services, custody and record-keeping services, and fund administrative and accounting services. These fees are part of long-term contractual agreements and the performance obligations are satisfied upon completion of service and fees are generally a fixed flat monthly rate or based on a percentage of the account’s market value per the contract with the customer. These fees are primarily recorded within the Company’s Institutional and Personal Banking segments. 48 Trading and investment banking – Trading and investment banking income consists of income earned related to the Company’s trading securities portfolio, including futures hedging, dividends, bond underwriting, and other securities incomes. The vast majority of this revenue is recognized in accordance with ASC 320, Investments–Debt Securities , and ASC 321, Investments–Equity Securities , and is out of the scope of ASC 606. A portion of trading and investment banking represents fees earned for management fees, commissions, and underwriting of corporate bond issuances. The performance obligations related to these fees include reviewing the credit worthiness of the customer, ensuring appropriate regulatory approval and participating in due diligence. The fees are fixed per the bond prospectus and the performance obligations are satisfied upon registration approval of the bonds by the applicable regulatory agencies. Revenue is recognized at the point in time upon completion of service and when approval is granted by the regulators. Service charges on deposits – Service charges on deposit accounts represent monthly analysis fees recognized for the services related to customer deposit accounts, including account maintenance and depository transactions processing fees. Commercial Banking and Institutional Banking depository accounts charge fees in accordance with the customer’s pricing schedule while Personal Banking account holders are generally charged a flat service fee per month. Deposit service charges for the healthcare accounts included in the Institutional Banking segment are priced according to either standard pricing schedules with individual account holders or according to service agreements between the Company and employer groups or third-party administrators. The Company satisfies the performance obligation related to providing depository accounts monthly as transactions are processed and deposit service charge revenue is recorded monthly. These fees are recognized within all Business Segments. Insurance fees and commissions – Insurance fees and commissions includes all insurance-related fees earned, including commissions for individual life, variable life, group life, health, group health, fixed annuity, and variable annuity insurance contracts. The performance obligations related to these revenues primarily represent the placement of insurance policies with the insurance company partners. The fees are based on the contracts with insurance company partners and the performance obligations are satisfied when the terms of the policy have been agreed to and the insurance policy becomes effective. Brokerage fees – Brokerage fees represent income earned related to providing brokerage transaction services, including commissions on equity and commodity trades, and fees for investment management, advisory and administration. The performance obligations related to transaction services are executing the specified trade and are priced according to the customer’s fee schedule. Such income is recognized at a point in time as the trade occurs and the performance obligation is fulfilled. The performance obligations related to investment management, advisory and administration include allocating customer assets across a wide range of mutual funds and other investments, on-going account monitoring and re-balancing of the portfolio. These performance obligations are satisfied over time and the related revenue is calculated monthly based on the assets under management of each customer. All material performance obligations are satisfied as of the end of each accounting period. Bankcard fees – Bankcard fees primarily represent income earned from interchange revenue from MasterCard and Visa for the Company’s processing of debit, credit, HSA, and flexible spending account transactions. Additionally, the Company earns income and incentives related to various referrals of customers to card programs. The performance obligation for interchange revenue is the processing of each transaction through the Company’s access to the banking system. This performance obligation is completed for each individual transaction and income is recognized per transaction in accordance with interchange rates established by MasterCard and Visa. The performance obligations for various referral and incentive programs include either referring customers to certain card products or issuing exclusively branded cards for certain customer segments. The pricing of these incentive and referral programs are in accordance with the agreement with the individual card partner. These performance obligations are completed as the referrals are made or over a period of time when the Company is exclusively issuing branded cards. For the three months ended June 30, 2026 and June 30, 2025 , the Company had $ 13.5 millio n and $ 13.7 million of expense, respectively, recorded within the Bankcard fees line on the Company’s Consolidated Statements of Income related to rebates and rewards programs that are outside of the scope of ASC 606. For the six months ended June 30, 2026 and June 30, 2025, the Company had $ 25.7 mi llion and $ 25.5 million of expense, respectively, related to these rebates and rewards programs. All material performance obligations are satisfied as of the end of each accounting period. Investment securities gains, net – In the regular course of business, the Company recognizes gains and losses on the sale of available-for-sale securities. Additionally, the Company recognizes gains and losses on equity 49 securities with readily determinable fair values and equity securities without readily determinable fair values. These gains and losses are recognized in accordance with ASC 320, Investments–Debt Securities, and ASC 321, Investments–Equity Securities , and are outside of the scope of ASC 606. Other income – The Company recognizes other miscellaneous income through a variety of other revenue streams, the most material of which include letter of credit fees, certain loan origination fees, gains on the sale of assets, derivative income, and bank-owned and company-owned life insurance income. These revenue streams are outside of the scope of ASC 606 and are recognized in accordance with the applicable U.S. GAAP. The remainder of Other income is primarily earned through transactions with personal banking customers, including wire transfer service charges, stop payment charges, and fees for items like money orders and cashier’s checks. The performance obligations of these types of fees are satisfied as transactions are completed and revenue is recognized upon transaction execution according to established fee schedules with the customers. The Company had no material contract assets, contract liabilities, or remaining performance obligations as of June 30, 2026 . Total receivables from revenue recognized under the scope of ASC 606 were $ 124.7 mill ion and $ 116.1 million as of June 30, 2026 and December 31, 2025, respectively. These receivables are included as part of the Other assets line on the Company’s Consolidated Balance Sheets. The following tables depict the disaggregation of revenue according to revenue stream and Business Segment for the three and six months ended June 30, 2026 and June 30, 2025. As stated in Note 8, “Business Segment Reporting,” for comparability purposes, amounts in all periods are based on methodologies in effect at June 30, 2026 and previously reported results have been reclassified in this Form 10-Q to conform to the Company’s current organizational structure. Disaggregated revenue is as follows (in thousands): Three Months Ended June 30, 2026 NONINTEREST INCOME Commercial Banking Institutional Banking Personal Banking Revenue (Expense) out of Scope of ASC 606 Total Trust and securities processing $ 858 $ 76,843 $ 20,594 $ — $ 98,295 Trading and investment banking — 144 — 5,170 5,314 Service charges on deposit accounts 16,579 10,583 2,397 29 29,588 Insurance fees and commissions — — 207 — 207 Brokerage fees 97 22,802 2,501 — 25,400 Bankcard fees 27,779 7,981 7,711 ( 13,517 ) 29,954 Investment securities gains, net — — — 27,087 27,087 Other 3,005 968 1,007 24,680 29,660 Total Noninterest income $ 48,318 $ 119,321 $ 34,417 $ 43,449 $ 245,505 50 Three Months Ended June 30, 2025 NONINTEREST INCOME Commercial Banking Institutional Banking Personal Banking Revenue (Expense) out of Scope of ASC 606 Total Trust and securities processing $ 752 $ 63,577 $ 18,934 $ — $ 83,263 Trading and investment banking — 85 — 6,085 6,170 Service charges on deposit accounts 16,199 10,162 2,466 38 28,865 Insurance fees and commissions — — 189 — 189 Brokerage fees 62 17,573 2,890 — 20,525 Bankcard fees 27,285 7,304 8,135 ( 13,706 ) 29,018 Investment securities gains, net — — — 37,685 37,685 Other 2,262 695 921 12,592 16,470 Total Noninterest income $ 46,560 $ 99,396 $ 33,535 $ 42,694 $ 222,185 Six Months Ended June 30, 2026 NONINTEREST INCOME Commercial Banking Institutional Banking Personal Banking Revenue (Expense) out of Scope of ASC 606 Total Trust and securities processing $ 1,619 $ 150,168 $ 41,175 $ — $ 192,962 Trading and investment banking — 266 — 12,788 13,054 Service charges on deposit accounts 32,723 21,440 4,838 61 59,062 Insurance fees and commissions — — 462 — 462 Brokerage fees 184 41,167 5,138 — 46,489 Bankcard fees 53,865 15,875 14,782 ( 25,690 ) 58,832 Investment securities gains, net — — — 30,133 30,133 Other 4,169 1,706 1,849 41,580 49,304 Total Noninterest income $ 92,560 $ 230,622 $ 68,244 $ 58,872 $ 450,298 Six Months Ended June 30, 2025 NONINTEREST INCOME Commercial Banking Institutional Banking Personal Banking Revenue (Expense) out of Scope of ASC 606 Total Trust and securities processing $ 1,231 $ 124,825 $ 36,988 $ — $ 163,044 Trading and investment banking — 414 — 11,667 12,081 Service charges on deposit accounts 30,780 21,021 4,444 77 56,322 Insurance fees and commissions — — 367 — 367 Brokerage fees 129 32,945 5,553 — 38,627 Bankcard fees 51,449 14,546 14,818 ( 25,502 ) 55,311 Investment securities gains, net — — — 32,903 32,903 Other 3,541 1,377 1,703 23,107 29,728 Total Noninterest income $ 87,130 $ 195,128 $ 63,873 $ 42,252 $ 388,383 10. Commitments, Contingencies and Guarantees In the normal course of business, the Company is a party to financial instruments with off-balance-sheet risk in order to meet the financing needs of its customers and to reduce its own exposure to fluctuations in interest rates. These financial instruments include commitments to extend credit, commercial letters of credit, standby letters of credit, and futures contracts. These instruments involve, to varying degrees, elements of credit and interest rate risk in excess of the amount recognized in the Consolidated Balance Sheets. The contractual or notional amount of those instruments reflects the extent of involvement the Company has in particular classes of financial instruments. Many 51 of the commitments expire without being drawn upon; therefore, the total amount of these commitments does not necessarily represent the future cash requirements of the Company. The Company’s exposure to credit loss in the event of nonperformance by the counterparty to the financial instruments for commitments to extend credit, commercial letters of credit, and standby letters of credit is represented by the contractual or notional amount of those instruments. The Company uses the same credit policies in making commitments and conditional obligations as it does for on-balance sheet instruments. The following table summarizes the Company’s off-balance sheet financial instruments as described above (in thousands): Contractual or Notional Amount June 30, December 31, 2026 2025 Commitments to extend credit for loans (excluding credit card loans) $ 19,134,503 $ 17,819,711 Commitments to extend credit under credit card loans 5,207,847 5,994,640 Commercial letters of credit 741 217 Standby letters of credit 486,493 468,384 Forward contracts 152,152 119,978 Spot foreign exchange contracts 14,808 34,233 Commitments to extend credit for securities purchased under agreements to resell 886,000 191,000 Allowance for Credit Losses on Off-Balance Sheet Credit Exposure The Company estimates expected credit losses over the contractual period in which the Company is exposed to credit risk via a contractual obligation to extend credit, unless that obligation is unconditionally cancelable by the Company. The estimate includes consideration of the likelihood that funding will occur and an estimate of expected credit losses on commitments expected to be funded over its estimated life. The estimate is based on expected utilization rates by portfolio segment. Utilization rates are influenced by historical trends and current conditions. The expected utilization rates are applied to the total commitment to determine the expected amount to be funded. The allowance for off-balance sheet credit exposure is calculated by applying portfolio segment expected credit loss rates to the expected amount to be funded. The following categories of off-balance sheet credit exposures have been identified: Revolving Lines of Credit: includes commercial, construction, agricultural, personal, and home-equity. Risks inherent to revolving lines of credit often are related to the susceptibility of an individual or business experiencing unpredictable cash flow or financial troubles, thus leading to payment default. During these financial troubles, the borrower could have less than desirable assets collateralizing the revolving line of credit. The financial strain the borrower is experiencing could lead to drawing against the line without the ability to pay the line down. Non-Revolving Lines of Credit: includes commercial and personal. Lines that do not carry a revolving feature are generally associated with a specific expenditure or project, such as to purchase equipment or the construction of real estate. The predominate risk associated with non-revolving lines is the diversion of funds for other expenditures. If the funds get diverted, the contributory value to collateral suffers. Letters of Credit: includes standby letters of credit. Generally, a standby letter of credit is established to provide assurance to the beneficiary that the applicant will perform certain obligations arising out of a separate transaction between the beneficiary and the applicant. These obligations might be the performance of a service or delivery of a product. If the obligations are not met, it gives the beneficiary, the right to draw on the letter of credit. The ACL for off-balance sheet credit exposures was $ 5.7 million at both June 30, 2026 and December 31, 2025 , and was recorded in the Accrued expenses and taxes line of the Company’s Consolidated Balance Sheets. There was no provision for off-balance sheet credit exposures recorded for the three months ended June 30, 2026 52 and 2025. For the six months ended June 30, 2026, there was no provision recorded for off-balance sheet credit exposures. As part of the acquisition of HTLF, the Company recorded an ACL of $ 3.6 million related to acquired off-balance sheet credit exposures as of the Acquisition Date. Additionally, provision for off-balance sheet credit exposures of $ 500 thousand was recorded for the six months ended June 30, 2025 . Provision for off-balance sheet credit exposures is recorded in the Provision for credit losses line of the Company’s Consolidated Statements of Income. 11. Derivatives and Hedging Activities Risk Management Objective of Using Derivatives The Company is exposed to certain risks arising from both its business operations and economic conditions. The Company principally manages its exposures to a wide variety of business and operational risks through management of its core business activities. The Company manages economic risks, including interest rate, liquidity, and credit risk, primarily by managing the amount, sources, and duration of its assets and liabilities. Specifically, the Company enters into derivative financial instruments to manage exposures that arise from business activities that result in the receipt or payment of future known and uncertain cash amounts, the value of which are determined by interest rates. The Company’s derivative financial instruments are used to manage differences in the amount, timing, and duration of the Company’s known or expected cash receipts and its known or expected cash payments principally related to the Company’s loans and borrowings. The Company also has interest rate and commodity derivatives that result from a service provided to certain qualifying customers and, therefore, are not used to manage interest rate risk of the Company’s assets or liabilities. The Company has entered into an offsetting position for each of these derivative instruments with a matching instrument from another financial institution in order to minimize its net risk exposure resulting from such transactions. Fair Values of Derivative Instruments on the Consolidated Balance Sheets The table below presents the fair value of the Company’s derivative financial instruments as of June 30, 2026 and December 31, 2025. The Company’s derivative assets and derivative liabilities are located within Other assets and Other liabilities, respectively, on the Company’s Consolidated Balance Sheets. Derivative fair values are determined using valuation techniques including discounted cash flow analysis on the expected cash flows from each derivative. This analysis reflects the contractual terms of the derivatives, including the period to maturity, and uses observable market-based inputs, including interest rate curves, foreign exchange rates, and implied volatilities. The Company incorporates credit valuation adjustments to appropriately reflect both its own nonperformance risk and the respective counterparty’s nonperformance risk in the fair value measurements. In adjusting the fair value of its derivative contracts for the effect of nonperformance risk, the Company has considered the impact of netting and any applicable credit enhancements, such as collateral postings, thresholds, mutual puts, and guarantees. This table provides a summary of the fair value of the Company’s derivative assets and liabilities as of June 30, 2026 and December 31, 2025 ( in thousands ): Derivative Assets Derivative Liabilities June 30, December 31, June 30, December 31, Fair Value 2026 2025 2026 2025 Interest Rate Derivatives: Derivatives not designated as hedging instruments $ 115,788 $ 126,423 $ 119,583 $ 130,122 Derivatives designated as hedging instruments 91,619 148,550 — 36 Total interest rate derivatives 207,407 274,973 119,583 130,158 Commodity Derivatives: Derivatives not designated as hedging instruments 29,013 6,356 28,754 6,294 Total commodity derivatives 29,013 6,356 28,754 6,294 Total $ 236,420 $ 281,329 $ 148,337 $ 136,452 53 Fair Value Hedges of Interest Rate Risk The Company is exposed to changes in the fair value of certain of its fixed-rate assets and liabilities due to changes in interest rates. Interest rate swaps designated as fair value hedges involve making fixed rate payments to a counterparty in exchange for the Company receiving variable rate payments over the life of the agreements without the exchange of the underlying notional amount. As of both June 30, 2026 and December 31, 2025 , the Company did no t have any interest rate swaps that were designated as fair value hedges of interest rate risk. During 2022 and 2023, the Company terminated 10 fair value hedges of interest rate risk associated with the Company's municipal bond securities. For both the three months ended June 30, 2026 and 2025 the Company reclassified $ 1.2 million from AOCI to Interest income in connection with these terminated hedges. For the six months ended June 30, 2026 and 2025 the Company reclassified $ 2.9 million and $ 2.4 million, respectively, from AOCI to Interest income in connection with these terminated hedges. The unrealized gain on the terminated fair value hedges remaining in AOCI was $ 44.2 million net of tax, and $ 46.7 million net of tax, as of June 30, 2026 and December 31, 2025, respectively. The hedging adjustments will be amortized through the contractual maturity date of each respective hedged item. For derivatives designated and that qualify as fair value hedges, the gain or loss on the derivative as well as the offsetting loss or gain on the hedged item attributable to the hedged risk are recognized in Interest income in the Consolidated Statements of Income. Cash Flow Hedges of Interest Rate Risk The Company’s objective in using interest rate derivatives is to manage its exposure to interest rate movements. To accomplish this objective, the Company primarily uses interest rate swaps, floors, and floor spreads as part of its interest rate risk management strategy. Interest rate swaps designated as cash flow hedges involve the receipt of variable amounts from a counterparty in exchange for the Company making fixed-rate payments over the life of the agreements without exchange of the underlying notional amount. As of June 30, 2026 and December 31, 2025 , the Company had two interest rate swaps that were designated as cash flow hedges of interest rate risk associated with the Company’s variable-rate subordinated debentures issued by Marquette Capital Trusts III and IV. These swaps had an aggregate notional amount of $ 51.5 million at both June 30, 2026 and December 31, 2025. Interest rate floors designated as cash flow hedges involve the receipt of variable-rate amounts from a counterparty if interest rates fall below the strike rate on the contract in exchange for an upfront premium. Interest rate floor spreads designated as cash flow hedges involve the receipt of variable-rate amounts from a counterparty if interest rates fall below the purchased floor rate on the contract in exchange for an upfront premium, and involve payment of variable-rate amounts to the counterparty if interest rates fall below the sold floor rate on the contract. As of both June 30, 2026 and December 31, 2025 , the Company had 13 interest rate floors and floor spreads with an aggregate notional amount of $ 3.0 billion that were designated as cash flow hedges of interest rate risk. For derivatives designated and that qualify as cash flow hedges of interest rate risk, the gain or loss on the derivative is recorded in AOCI and is subsequently reclassified into interest expense and interest income in the period during which the hedged forecasted transaction affects earnings. Amounts reported in AOCI related to interest rate swap derivatives will be reclassified to Interest expense as interest payments are received or paid on the Company’s hedged items. Amounts reported in AOCI related to interest rate floor and floor spread derivatives will be reclassified to Interest income as interest payments are received or paid on the Company’s hedged items. The Company expects to reclassify $ 0.8 million from AOCI as a reduction to Interest expense and $ 12.2 million from AOCI as a reduction to Interest income during the next 12 months. As of June 30, 2026 , the Company is hedging its exposure to the variability in future cash flows for forecasted transactions over a maximum period of 10.2 years. Non-designated Hedges The remainder of the Company’s derivatives are not designated in qualifying hedging relationships. Derivatives not designated as hedges are not speculative and result from a service the Company provides to certain customers. 54 Interest Rate Derivatives The Company executes interest rate swaps with commercial banking customers to facilitate their respective risk management strategies. Those interest rate swaps are simultaneously offset by interest rate swaps that the Company executes with a third party, such that the Company minimizes its net risk exposure resulting from such transactions. As the interest rate swaps associated with this program do not meet the strict hedge accounting requirements, changes in the fair value of both the customer swaps and the offsetting swaps are recognized directly in earnings. The changes in the fair value of both the customer swaps and the offsetting swaps are recognized in Other noninterest income in the Consolidated Statements of Income. As of June 30, 2026 , the Company had 854 interest rate swaps with an aggregate notional amount of $ 12.7 billion related to this program. As of December 31, 2025, the Company had 830 interest rate swaps with an aggregate notional amount of $ 11.7 billion related to this program. Commodity Derivatives The Company executes commodity swap and option contracts with commercial banking customers to facilitate their respective risk management strategies. The Company simultaneously enters into an offsetting contract with a third party, such that the Company minimizes its net risk exposure resulting from such transactions. As the commodity swaps and option contracts associated with this program do not meet the strict hedge accounting requirements, changes in the fair value of both the customer swaps and the offsetting swaps are recognized directly in earnings. The changes in the fair value of both the customer swaps and the offsetting swaps are recognized in Other noninterest income in the Consolidated Statements of Income. As of June 30, 2026, the Company had 382 commodity swaps and option contracts with an aggregate remaining volume of 5.7 million oil barrels and 72.1 million British Thermal Units related to this program. As of December 31, 2025 , the Company had 26 commodity swaps and option contracts with an aggregate remaining volume of 2.1 million oil barrels and 3.6 million British Thermal Units. Effect of Derivative Instruments on the Consolidated Statements of Income and Accumulated Other Comprehensive Income This table provides a summary of the amount of gain or loss recognized in Other noninterest income in the Consolidated Statements of Income related to the Company’s derivative assets and liabilities for the three and six months ended June 30, 2026 and June 30, 2025 (in thousands) : Amount of Gain (Loss) Recognized For the Three Months Ended For the Six Months Ended June 30, June 30, June 30, June 30, 2026 2025 2026 2025 Interest Rate Derivatives Derivatives not designated as hedging instruments $ 65 $ ( 92 ) $ 36 $ ( 182 ) Total $ 65 $ ( 92 ) $ 36 $ ( 182 ) Commodity Derivatives Derivatives not designated as hedging instruments $ 171 $ — $ 247 $ — Total $ 171 $ — $ 247 $ — 55 These tables provide a summary of the effect of hedges on AOCI in the Consolidated Statements of Comprehensive Income related to the Company’s derivative assets and liabilities for the three and six months ended June 30, 2026 and June 30, 2025 (in thousands) : For the Three Months Ended June 30, 2026 Derivatives in Cash Flow Hedging Relationships (Loss) Gain Recognized in OCI on Derivative (Loss) Gain Recognized in OCI Included Component Gain Recognized in OCI Excluded Component (Loss) Gain Reclassified from AOCI into Earnings (Loss) Gain Reclassified from AOCI into Earnings Included Component Loss Reclassified from AOCI into Earnings Excluded Component Interest rate floors and floor spreads $ ( 23,267 ) $ ( 30,764 ) $ 7,497 $ ( 881 ) $ ( 297 ) $ ( 584 ) Interest rate swaps 574 574 — 152 152 — Total $ ( 22,693 ) $ ( 30,190 ) $ 7,497 $ ( 729 ) $ ( 145 ) $ ( 584 ) For the Three Months Ended June 30, 2025 Derivatives in Cash Flow Hedging Relationships Gain (Loss) Recognized in OCI on Derivative Gain (Loss) Recognized in OCI Included Component Loss Recognized in OCI Excluded Component (Loss) Gain Reclassified from AOCI into Earnings (Loss) Gain Reclassified from AOCI into Earnings Included Component Loss Reclassified from AOCI into Earnings Excluded Component Interest rate floors and floor spreads $ 14,457 $ 23,515 $ ( 9,058 ) $ ( 3,462 ) $ ( 2,878 ) $ ( 584 ) Interest rate swaps ( 71 ) ( 71 ) — 244 244 — Total $ 14,386 $ 23,444 $ ( 9,058 ) $ ( 3,218 ) $ ( 2,634 ) $ ( 584 ) For the Six Months Ended June 30, 2026 Derivatives in Cash Flow Hedging Relationships (Loss) Gain Recognized in OCI on Derivative (Loss) Gain Recognized in OCI Included Component Gain Recognized in OCI Excluded Component (Loss) Gain Reclassified from AOCI into Earnings (Loss) Gain Reclassified from AOCI into Earnings Included Component Loss Reclassified from AOCI into Earnings Excluded Component Interest rate floors and floor spreads $ ( 39,517 ) $ ( 51,450 ) $ 11,933 $ ( 1,990 ) $ ( 828 ) $ ( 1,162 ) Interest rate swaps 771 771 — 307 307 — Total $ ( 38,746 ) $ ( 50,679 ) $ 11,933 $ ( 1,683 ) $ ( 521 ) $ ( 1,162 ) For the Six Months Ended June 30, 2025 Derivatives in Cash Flow Hedging Relationships Gain (Loss) Recognized in OCI on Derivative Gain (Loss) Recognized in OCI Included Component Loss Recognized in OCI Excluded Component (Loss) Gain Reclassified from AOCI into Earnings (Loss) Gain Reclassified from AOCI into Earnings Included Component Loss Reclassified from AOCI into Earnings Excluded Component Interest rate floors and floor spreads $ 38,192 $ 68,667 $ ( 30,475 ) $ ( 4,857 ) $ ( 3,695 ) $ ( 1,162 ) Interest rate swaps ( 1,160 ) ( 1,160 ) — 487 487 — Total $ 37,032 $ 67,507 $ ( 30,475 ) $ ( 4,370 ) $ ( 3,208 ) $ ( 1,162 ) 56 Credit-risk-related Contingent Features The Company has agreements with certain of its derivative counterparties that contain a provision that if the Company defaults on any of its indebtedness, including default where repayment of the indebtedness has not been accelerated by the lender, then the Company could also be declared in default on its derivative obligations. The Company has minimum collateral posting thresholds with certain of its derivative counterparties. At June 30, 2026, the Company had not posted any collateral as there were no derivatives in a net liability position. If the Company had breached any of these provisions at June 30, 2026 , it could have been required to settle its obligations under the agreements at the termination value. 12. Fair Value Measurements The following table presents information about the Company’s assets and liabilities measured at fair value on a recurring basis as of June 30, 2026, and December 31, 2025, and indicates the fair value hierarchy of the valuation techniques utilized by the Company to determine such fair value. Fair values determined by Level 1 inputs utilize quoted prices in active markets for identical assets and liabilities that the Company has the ability to access. Fair values determined by Level 2 inputs utilize inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. Level 2 inputs include quoted prices for similar assets or liabilities in active markets, and inputs other than quoted prices that are observable for the asset or liability, such as interest rates and yield curves that are observable at commonly quoted intervals. Level 3 inputs are unobservable inputs for the asset or liability, and include situations where there is little, if any, market activity for the asset or liability. In certain cases, the inputs used to measure fair value may fall into different levels of the hierarchy. In such cases, the fair value is determined based on the lowest level input that is significant to the fair value measurement in its entirety. 57 Assets and liabilities measured at fair value on a recurring basis as of June 30, 2026 and December 31, 2025 (in thousands): Fair Value Measurement at June 30, 2026 Description June 30, 2026 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets U.S. Treasury $ — $ — $ — $ — U.S. Agencies 18,407 — 18,407 — Mortgage-backed 2,493 — 2,493 — State and political subdivisions 13,584 — 13,584 — Corporates 11,022 11,022 — — Trading – other 333 333 — — Trading securities 45,839 11,355 34,484 — U.S. Treasury 2,204,917 2,204,917 — — U.S. Agencies 48,785 — 48,785 — Mortgage-backed 8,223,615 — 8,223,615 — State and political subdivisions 2,372,497 — 2,372,497 — Corporates 87,309 87,309 — — Collateralized loan obligations 551,036 — 551,036 — Available-for-sale securities 13,488,159 2,292,226 11,195,933 — Equity securities with readily determinable fair values 12,610 12,610 — — Derivatives 236,420 — 236,420 — Total $ 13,783,028 $ 2,316,191 $ 11,466,837 $ — Liabilities Derivatives $ 148,337 $ — $ 148,337 $ — Securities sold not yet purchased 14,027 — 14,027 — Total $ 162,364 $ — $ 162,364 $ — 58 Fair Value Measurement at December 31, 2025 Description December 31, 2025 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets U.S. Treasury $ 2,636 $ 2,636 $ — $ — U.S. Agencies 13,489 — 13,489 — State and political subdivisions 3,697 — 3,697 — Corporates 2,192 2,192 — — Trading – other 317 317 — — Trading securities 22,331 5,145 17,186 — U.S. Treasury 2,320,815 2,320,815 — — U.S. Agencies 62,370 — 62,370 — Mortgage-backed 8,167,873 — 8,167,873 — State and political subdivisions 2,446,588 — 2,446,588 — Corporates 177,115 177,115 — — Collateralized loan obligations 534,380 — 534,380 — Available for sale securities 13,709,141 2,497,930 11,211,211 — Equity securities with readily determinable fair values 14,690 14,690 — — Derivatives 281,329 — 281,329 — Total $ 14,027,491 $ 2,517,765 $ 11,509,726 $ — Liabilities Derivatives $ 136,452 $ — $ 136,452 $ — Securities sold not yet purchased 4,052 — 4,052 — Total $ 140,504 $ — $ 140,504 $ — Valuation methods for instruments measured at fair value on a recurring basis The following methods and assumptions were used to estimate the fair value of each class of financial instruments measured on a recurring basis: Trading Securities Fair values for trading securities (including financial futures), are based on quoted market prices where available. If quoted market prices are not available, fair values are based on quoted market prices for similar securities. Securities Available for Sale Fair values are based on quoted market prices or dealer quotes, if available. If a quoted market price is not available, fair value is estimated using quoted market prices for similar securities. Prices are provided by third-party pricing services and are based on observable market inputs. On an annual basis, the Company compares a sample of these prices to other independent sources for the same securities. Additionally, throughout the year, if securities are sold, comparisons are made between the pricing services prices and the market prices at which the securities were sold. Variances are analyzed, and, if appropriate, additional research is conducted with the third-party pricing services. Based on this research, the pricing services may affirm or revise their quoted price. No significant adjustments have been made to the prices provided by the pricing services. The pricing services also provide documentation on an ongoing basis that includes reference data, inputs and methodology by asset class, which is reviewed to ensure that security placement within the fair value hierarchy is appropriate. Equity securities with readily determinable fair values Fair values are based on quoted market prices. Derivatives Fair values are determined using valuation techniques including discounted cash flow analysis on the expected cash flows from each derivative. This analysis reflects the contractual terms of the derivatives, including the period to maturity, and uses observable market-based inputs, including interest rate curves, foreign 59 exchange rates, and implied volatilities. The Company incorporates credit valuation adjustments to appropriately reflect both its own nonperformance risk and the respective counterparty’s nonperformance risk in the fair value measurements. In adjusting the fair value of its derivative contracts for the effect of nonperformance risk, the Company has considered the impact of netting and any applicable credit enhancements, such as collateral postings, thresholds, mutual puts, and guarantees. Securities sold not yet purchased Fair values are based on quoted market prices or dealer quotes, if available. If a quoted market price is not available, fair value is estimated using quoted market prices for similar securities. Prices are provided by third-party pricing services and are based on observable market inputs. Assets measured at fair value on a non-recurring basis as of June 30, 2026 and December 31, 2025 (in thousands): Fair Value Measurement at June 30, 2026 Using Description June 30, 2026 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Losses Recognized During the Six Months Ended June 30 Collateral dependent assets $ 32,037 $ — $ — $ 32,037 $ ( 4,161 ) Other real estate owned 1,489 — — 1,489 — Total $ 33,526 $ — $ — $ 33,526 $ ( 4,161 ) Fair Value Measurement at December 31, 2025 Using Description December 31, 2025 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total (Losses) Gains Recognized During the Twelve Months Ended December 31 Collateral dependent assets $ 70,012 $ — $ — $ 70,012 $ ( 29,420 ) Other real estate owned 3,009 — — 3,009 178 Total $ 73,021 $ — $ — $ 73,021 $ ( 29,242 ) Valuation methods for instruments measured at fair value on a non-recurring basis The following methods and assumptions were used to estimate the fair value of each class of financial instruments measured on a non-recurring basis: Collateral Dependent Assets Collateral dependent assets are assets evaluated as part of the ACL on an individual basis. Those assets for which there is an associated allowance are considered financial assets measured at fair value on a non-recurring basis. Adjustments are recorded on certain assets to reflect write-downs that are based on the external appraised value of the underlying collateral. The external appraisals are generally based on recent sales of comparable properties which are then adjusted for the unique characteristics of the property being valued. In the case of non-real estate collateral, reliance is placed on a variety of sources, including external estimates of value and judgments based on the experience and expertise of internal specialists within the Company’s property management group and the Company’s credit department. The valuation of collateral dependent assets are reviewed on a quarterly basis. Because many of these inputs are not observable, the measurements are classified as Level 3. Other real estate owned Other real estate owned consists of loan collateral which has been repossessed through foreclosure. This collateral is comprised of commercial and residential real estate and other non-real estate property, including auto, recreational and marine vehicles. Other real estate owned is recorded as held for sale 60 initially at the fair value of the collateral less estimated selling costs. The initial valuation of the foreclosed property is obtained through an appraisal process similar to the process described in the collateral dependent assets paragraph above. Subsequent to foreclosure, valuations are reviewed quarterly and updated periodically, and the assets may be marked down further, reflecting a new cost basis. Fair value measurements may be based upon appraisals, third-party price opinions, or internally developed pricing methods and those measurements are classified as Level 3. Fair value disclosures require disclosure of the fair value of financial assets and financial liabilities, including those financial assets and financial liabilities that are not measured and reported at fair value on a recurring basis or non-recurring basis. The estimated fair value of the Company’s financial instruments at June 30, 2026 and December 31, 2025 are as follows (in thousands): Fair Value Measurement at June 30, 2026 Using Carrying Amount Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Estimated Fair Value FINANCIAL ASSETS Cash and short-term investments $ 6,659,324 $ 5,730,886 $ 928,438 $ — $ 6,659,324 Securities available for sale 13,488,159 2,292,226 11,195,933 — 13,488,159 Securities held to maturity (exclusive of allowance for credit losses) 5,716,426 — 5,239,447 — 5,239,447 Trading securities 45,839 11,355 34,484 — 45,839 Other securities 693,502 12,610 680,892 — 693,502 Loans (exclusive of allowance for credit losses) 41,156,526 — 40,602,007 — 40,602,007 Derivatives 236,420 — 236,420 — 236,420 FINANCIAL LIABILITIES Time deposits 3,207,902 — 3,223,265 — 3,223,265 Other borrowings 3,083,600 24,520 3,059,080 — 3,083,600 Long-term debt 480,126 — 489,896 — 489,896 Derivatives 148,337 — 148,337 — 148,337 OFF-BALANCE SHEET ARRANGEMENTS Commitments to extend credit for loans 9,411 Commitments to extend resell agreements 435 Commercial letters of credit 32 Standby letters of credit 2,851 61 Fair Value Measurement at December 31, 2025 Using Carrying Amount Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Estimated Fair Value FINANCIAL ASSETS Cash and short-term investments $ 9,441,175 $ 7,893,082 $ 1,548,093 $ — $ 9,441,175 Securities available for sale 13,709,141 2,497,930 11,211,211 — 13,709,141 Securities held to maturity (exclusive of allowance for credit losses) 5,724,227 — 5,250,465 — 5,250,465 Trading securities 22,331 5,145 17,186 — 22,331 Other securities 676,300 14,690 661,610 — 676,300 Loans (exclusive of allowance for credit losses) 38,781,438 — 39,041,201 — 39,041,201 Derivatives 281,329 — 281,329 — 281,329 FINANCIAL LIABILITIES Time deposits 3,760,862 — 3,760,862 — 3,760,862 Other borrowings 3,324,938 32,133 3,292,805 — 3,324,938 Long-term debt 474,229 — 523,545 — 523,545 Derivatives 136,452 — 136,452 — 136,452 OFF-BALANCE SHEET ARRANGEMENTS Commitments to extend credit for loans 14,972 Commitments to extend resell agreements 106 Commercial letters of credit 130 Standby letters of credit 4,483 Cash and short-term investments The carrying amounts of cash and due from banks, federal funds sold and resell agreements are reasonable estimates of their fair values. Securities held to maturity For U.S. Treasury and mortgage-backed securities, as well as general obligation bonds in the State and political subdivision portfolio, fair values are based on quoted market prices or dealer quotes, if available. If a quoted market price is not available, fair value is estimated using quoted market prices for similar securities. Prices are provided by third-party pricing services and are based on observable market inputs. On an annual basis, the Company compares a sample of these prices to other independent sources for the same securities. Variances are analyzed, and, if appropriate, additional research is conducted with the third-party pricing services. Based on this research, the pricing services may affirm or revise their quoted price. No significant adjustments have been made to the prices provided by the pricing services. The pricing services also provide documentation on an ongoing basis that includes reference data, inputs and methodology by asset class, which is reviewed to ensure that security placement within the fair value hierarchy is appropriate. For private placement bonds in the State and political subdivision portfolio, fair values are estimated by discounting the future cash flows using current market rates. Other securities Amount consists of FRB and FHLB stock held by the Company, equity securities with readily determinable fair values, and equity securities without readily determinable fair values, including equity-method investments and other miscellaneous investments. The carrying amount of the FRB and FHLB stock equals its fair value because the shares can only be redeemed by the FRB and FHLB at their carrying amount. Equity securities with readily determinable fair values are measured at fair value using quoted market prices. Equity securities without readily determinable fair values are carried at cost, which approximates fair value. Loans Fair values are estimated for portfolios with similar financial characteristics. Loans are segregated by type, such as commercial, real estate, consumer, and credit card. Each loan category is further segmented into fixed and variable interest rate categories. The fair value of loans is estimated by discounting the future cash flows. The discount rates used are estimated using comparable market rates for similar types of instruments adjusted to be commensurate with the credit risk, overhead costs, and optionality of such instruments. 62 Time deposits The fair value of fixed-maturity certificates of deposit is estimated by discounting the future cash flows using the rates that are currently offered for deposits of similar remaining maturities. Other borrowings The carrying amounts of federal funds purchased, repurchase agreements and other short-term debt are reasonable estimates of their fair value because of the short-term nature of their maturities. Federal funds purchased are classified as Level 1 based on availability of quoted market prices and repurchase agreements and other short-term debt are classified as Level 2. Long-term debt Rates currently available to the Company for debt with similar terms and remaining maturities are used to estimate fair value of existing debt. Other off-balance sheet instruments The fair value of loan commitments and letters of credit are determined based on the fees currently charged to enter into similar agreements, taking into account the remaining terms of the agreement and the present creditworthiness of the counterparties. Neither the fees earned during the year on these instruments nor their fair value at period-end are significant to the Company’s consolidated financial position. 13. Acquisition On January 31, 2025 (Acquisition Date), the Company acquired all of the outstanding stock of Heartland Financial USA, Inc., a Delaware corporation (HTLF), in an all-stock transaction, issuing a total of 23.6 million shares of the Company’s common stock and 4.6 million depositary shares, each representing a 1/400th interest in a share of the Company’s 7.00 % Fixed-Rate Reset Non-Cumulative Perpetual Preferred Stock, Series A (the Series A preferred stock). Pursuant to the Agreement and Plan of Merger, dated as of April 28, 2024 , (i) HTLF merged with and into the Company, with the Company continuing as the surviving corporation and (ii) one day after the closing date of the acquisition of HTLF by the Company, HTLF’s wholly owned bank subsidiary, a Colorado-chartered bank (HTLF Bank), merged with and into UMB Bank, National Association, the Company’s national bank subsidiary (the Bank), with the Bank continuing as the surviving bank. Total consideration for the acquisition was $ 2.9 billion, consisting of the Company’s common stock valued at $ 2.8 billion (based on the Company’s common stock price of $ 117.90 ) and the Company’s Series A preferred stock valued at $ 115.2 million (based on the Company’s Series A preferred stock price of $ 25.05 ) as of close of business on the Acquisition Date. Each HTLF common stock share was converted into 0.55 shares of the Company’s common stock. Each HTLF preferred stock share was converted into a share of the Company’s Series A preferred stock. The acquisition of HTLF was accounted for as a business combination using the purchase method of accounting in accordance with FASB ASC Topic 805, Business Combinations. Accordingly, the purchase price was allocated based on the estimated fair market values of the assets and liabilities acquired. 63 The following table summarizes the net assets acquired (at fair value) and consideration transferred for HTLF as of January 31, 2025 (in thousands, except for per share data): Fair Value January 31, 2025 Assets Loans, net of allowance for credit losses on loans $ 9,734,711 Investment securities 3,648,445 Interest-bearing due from banks 965,003 Cash and due from banks 174,985 Premises and equipment, net 174,579 Identifiable intangible assets 511,021 Other assets 906,712 Total assets acquired $ 16,115,456 Liabilities Noninterest-bearing deposits $ 3,761,997 Interest-bearing deposits 10,586,989 Long-term debt 278,018 Other liabilities 199,532 Total liabilities assumed $ 14,826,536 Net identifiable assets acquired $ 1,288,920 Preliminary goodwill 1,630,209 Net assets acquired $ 2,919,129 Consideration Common stock consideration: Company's common shares issued 23,609 Purchase price per share of the Company's common stock $ 117.90 Fair value of common stock consideration $ 2,783,510 Preferred stock consideration 115,230 Stock-based compensation consideration 20,389 Fair value of total consideration transferred $ 2,919,129 The Company finalized its review of the fair value of the acquired assets and liabilities noted in the table above as of January 31, 2026. After December 31, 2025 but before the end of the preliminary measurement period, the Company recorded an adjustment of $ 2.2 million to the valuation allowance against certain state deferred tax assets. The amount of goodwill arising from the acquisition reflects the Company’s increased market share and related synergies that are expected to result from combining the operations of UMB and HTLF. In accordance with ASC 350, Intangibles-Goodwill and Other , goodwill will not be amortized, but will be subject to at least an annual impairment test. The Company has approximately $ 44.0 million of tax-deductible goodwill that arose in previous transactions completed by HTLF which carries over. The remaining goodwill related to the acquisition is not expected to be deductible for tax purposes. Of the $ 1.6 billion in goodwill arising from the acquisition, $ 978.1 million was assigned to the Commercial Banking segment and $ 652.1 million was assigned to the Personal Banking segment. The fair value of the acquired identifiable intangible assets of $ 511.0 million is comprised of a core deposit intangible of $ 474.1 million, a customer list of $ 26.0 million and purchased credit card relationships of $ 10.9 million. The following is a description of the methods used to determine the fair values of significant assets and liabilities presented above. 64 Loans A valuation of the loans was performed by a third party as of the Acquisition Date to assess the fair value. The fair value of loans was based on a discounted cash flow methodology that considered the loans’ underlying characteristics including account type, remaining terms of loan, annual interest rates or coupon, fixed or variable interest rate, past delinquencies, risk rating, timing of principal and interest payments, current market rates, loan to value ratios, loss exposure, more specifically the probability of default and loss given default, and remaining balance. Loans were aggregated according to similar characteristics when applying the valuation method. The Company's accounting methods for acquired Non-PCD and PCD loans are discussed in Note 1, "Summary of Significant Accounting Policies". At the Acquisition Date, the fair value of Non-PCD loans was $ 6.7 billion, compared to the unpaid principal balance of $ 7.1 billion. The following table presents the unpaid principal balance and fair value of the loans acquired in the HTLF acquisition as of the Acquisition Date (in thousands) : Unpaid Principal Balance Fair Value Non-PCD loans $ 7,067,238 $ 6,688,190 PCD loans 3,237,332 3,046,521 Total loans $ 10,304,570 $ 9,734,711 At the Acquisition Date, of the $ 9.7 billion of loans acquired from HTLF, $ 3.0 billion were accounted for as PCD loans. The following table provides a summary of PCD loans purchased as part of the HTLF acquisition as of the Acquisition Date (in thousands) : January 31, 2025 Principal of PCD loans acquired $ 3,237,332 PCD ACL at acquisition ( 85,299 ) Non-credit discount on PCD loans ( 105,512 ) Fair value of PCD Loans $ 3,046,521 Investment securities The portion of the investment securities portfolio that was classified as available-for-sale was valued utilizing third-party pricing services for those securities retained and valued using the actual sales prices for those securities that were sold shortly after the close of the acquisition. The portion of the investment securities portfolio that was classified as held-to-maturity as of the Acquisition Date were priced by a third party using a discounted cash flow methodology similar to the methodology described above for the valuation of loans. Interest-bearing due from banks and Cash and due from banks The carrying amount of these assets is a reasonable estimate of fair value based on the short-term nature of these assets. Core deposit intangible Core deposit intangibles represent the value of relationships with deposit clients and the cost savings derived from available core deposits relative to an alternative funding source. The fair value of the core deposit intangible was estimated using a net cost savings method, a variation of the income approach. This approach considers expected client attrition rates, average life and balance inflation, alternative cost of funds, the interest cost and net maintenance cost associated with the client deposit base, and a discount rate used to discount the future economic benefits of the core deposit intangible asset to present value. Deposits The fair value for demand and savings deposits is the amount payable on demand at the Acquisition Date. The fair value for time deposits was valued by a third party using a discounted cash flow calculation that applied interest rates currently being offered to the contractual interest rates on such time deposits. Long-term debt The fair value of long-term debt instruments was valued by a third party based on quoted market prices for the instrument if available, or for similar instruments if not available, or by using discounted cash flow analyses, based on current incremental borrowing rates for similar types of instruments. 65 The Company assumed long-term debt obligations with an aggregate balance of $ 159.8 million and an aggregate fair value of $ 139.3 million as of the Acquisition Date payable to fifteen unconsolidated trusts that have issued trust preferred securities. The interest rates on the acquired trust preferred securities ranged from 5.89 % to 8.21 % as of the Acquisition Date and reset quarterly. The acquired trust preferred securities have maturity dates ranging from September 2032 to September 2037 . The Company assumed $ 150.0 million in aggregate subordinated notes due September 2031 . The subordinated notes have a fixed interest rate of 2.75 % until September 2026, at which time the interest rate will reset quarterly. The subordinated notes had an acquired fair value of $ 138.8 million as of January 31, 2025. The results of HTLF are included in the results of the Company subsequent to the Acquisition Date. Transaction costs incurred after the Acquisition Date totaled $ 140.1 million, primarily in Salaries and employee benefits and Legal and consulting in the Consolidated Statements of Income, as well as $ 62.0 million in Provision expense to establish an ACL on the HTLF loans designated as non-PCD as of the Acquisition Date (Day 1 Provision expense). Additional transaction and integration costs will be expensed in future periods as incurred. 66 ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS This Management’s Discussion and Analysis of Financial Condition and Results of Operations highlights the material changes in the results of operations and changes in financial condition of the Company for the three and six months ended June 30, 2026. It should be read in conjunction with the accompanying Consolidated Financial Statements, Notes to Consolidated Financial Statements and other financial information appearing elsewhere in this Form 10-Q and the Form 10-K. Results of operations for the periods included in this review are not necessarily indicative of results to be attained during any future period. CAUTIONARY NOTICE ABOUT FORWARD-LOOKING STATEMENTS From time to time the Company has made, and in the future will make, forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements can be identified by the fact that they do not relate strictly to historical or current facts. Forward-looking statements often use words such as “believe,” “expect,” “anticipate,” “intend,” “estimate,” “project,” “outlook,” “forecast,” “target,” “trend,” “plan,” “goal,” or other words of comparable meaning or future-tense or conditional verbs such as “may,” “will,” “should,” “would,” or “could.” Forward-looking statements convey the Company’s expectations, intentions, or forecasts about future events, circumstances, results, or aspirations, in each case as of the date such forward-looking statements are made. This Form 10-Q, including any information incorporated by reference in this Form 10-Q, contains forward-looking statements. The Company also may make forward-looking statements in other documents that are filed or furnished with the Securities and Exchange Commission. In addition, the Company may make forward-looking statements orally or in writing to investors, analysts, members of the media, or others. All forward-looking statements, by their nature, are subject to assumptions, risks, and uncertainties, which may change over time and many of which are beyond the Company’s control. You should not rely on any forward-looking statement as a prediction or guarantee about the future. Actual future objectives, strategies, plans, prospects, performance, conditions, or results may differ materially from those set forth in any forward-looking statement. While no list of assumptions, risks, or uncertainties could be complete, some of the factors that may cause actual results or other future events, circumstances, or aspirations to differ from those in forward-looking statements include: • local, regional, national, or international business, economic, or political conditions or events; • changes in laws or the regulatory environment, including as a result of financial-services legislation or regulation; • changes in monetary, fiscal, or trade laws or policies, including as a result of actions by central banks or supranational authorities; • the pace and magnitude of interest rate movements; • changes in accounting standards or policies; • shifts in investor sentiment or behavior in the securities, capital, or other financial markets, including changes in market liquidity or volatility or changes in interest or currency rates; • changes in spending, borrowing, or saving by businesses or households; • the Company’s ability to effectively manage capital or liquidity or to effectively attract or deploy deposits; • changes in any credit rating assigned to the Company or its affiliates; • adverse publicity or other reputational harm to the Company; • changes in the Company’s corporate strategies, the composition of its assets, or the way in which it funds those assets; 67 • the Company’s ability to develop, maintain, or market products or services or to absorb unanticipated costs or liabilities associated with those products or services; • the Company’s ability to innovate to anticipate the needs of current or future customers, to successfully compete in its chosen business lines, to increase or hold market share in changing competitive environments, or to deal with pricing or other competitive pressures; • changes in the credit, liquidity, or other condition of the Company’s customers, counterparties, or competitors; • the Company’s ability to effectively deal with economic, business, or market slowdowns or disruptions; • judicial, regulatory, or administrative investigations, proceedings, disputes, or rulings that create uncertainty for, or are adverse to, the Company or the financial-services industry; • the Company’s ability to address changing or stricter regulatory or other governmental supervision or requirements; • the Company’s ability to maintain secure and functional financial, accounting, technology, data processing, or other operating systems or facilities, including its capacity to withstand cyber-attacks; • the adequacy of the Company’s corporate governance, risk-management framework, compliance programs, or internal controls, including its ability to control lapses or deficiencies in financial reporting or to effectively mitigate or manage operational risk; • the efficacy of the Company’s methods or models in assessing business strategies or opportunities or in valuing, measuring, monitoring, or managing positions or risk; • the Company’s ability to keep pace with changes in technology that affect the Company or its customers, counterparties, or competitors, including technology changes with respect to digital assets; • an increase of competitors that provide products or services offered by the Company, including competitors that may be subject to different regulatory standards or requirements; • mergers, acquisitions, or dispositions, including the Company’s ability to integrate acquisitions and divest assets; • the Company’s ability to manage the expenses associated with the merger with HTLF and the impact these expenses may have on the Company’s financial results; • the benefits from the merger with HTLF may not be fully realized or may take longer to realize than expected; • the Company’s ability to promptly and effectively integrate the merger of HTLF; • the adequacy of the Company’s succession planning for key executives or other personnel; • the Company’s ability to grow revenue, control expenses, or attract and retain qualified employees; • natural disasters, war, terrorist activities, including instability in the Middle East and Russia's military action in Ukraine and developments in Latin America, pandemics, and their effects on economic and business environments in which the Company operates; • macroeconomic and adverse developments and uncertainties related to the collateral effects of the collapse of, and challenges for, domestic and international banks, including the impacts to the U.S. and global economies and reputational harm to the U.S. banking system; or • other assumptions, risks, or uncertainties described in the Notes to Consolidated Financial Statements (Item 1) and Management’s Discussion and Analysis of Financial Condition and Results of Operations (Item 2) in this Form 10-Q, in the Risk Factors (Item 1A) in the Form 10-K, or in any of the Company’s quarterly or current reports. Any forward-looking statement made by the Company or on its behalf speaks only as of the date that it was made. The Company does not undertake to update any forward-looking statement to reflect the impact of events, circumstances, or results that arise after the date that the statement was made, except as required by applicable 68 securities laws. You, however, should consult further disclosures (including disclosures of a forward-looking nature) that the Company may make in any subsequent Annual Report on Form 10-K, Quarterly Report on Form 10-Q, or Current Report on Form 8-K. Overview On January 31, 2025, UMBF completed its previously announced acquisition of Heartland Financial, USA, Inc. (HTLF). The acquisition added assets with a fair value of approximately $16.1 billion, $9.7 billion of loans, net of the allowance for credit losses, and $14.3 billion of deposits. The combined company retains its #1 deposit market share in Missouri and now ranks in the top 10 in Colorado, New Mexico, Kansas, and Arizona. The Company focuses on the following four core financial objectives. Management believes these objectives will guide its efforts to achieve its vision, to deliver the Unparalleled Customer Experience, all while seeking to improve net income and strengthen the balance sheet while undertaking prudent risk management. The first financial objective is to continuously improve operating efficiencies. The Company has focused on identifying efficiencies that simplify our organizational and reporting structures, streamline back-office functions, and take advantage of synergies and newer technologies among various platforms and distribution networks. The Company has identified and expects to continue identifying ongoing efficiencies through the normal course of business that, when combined with increased revenue, will contribute to improved operating leverage. During the second quarter of 2026, total revenue increased $88.8 million, or 12.9%, as compared to the second quarter of 2025, while noninterest expense increased $6.5 million, or 1.6%, for the same period. Included in noninterest expense for the second quarter of 2025 is $13.5 million in acquisition-related expense compared to $1.7 million in the second quarter of 2026. Revenue is also impacted by accretion and amortization of the fair value adjustments discussed in Note 13, “Acquisition” above. As part of the initiative to improve operating efficiencies, the Company continues to invest in technological advances that it believes will help management drive operating leverage in the future through improved data analysis and automation. The Company also continues to evaluate core systems and will invest in enhancements that it believes will yield operating efficiencies. The second financial objective is to increase net interest income through profitable loan and deposit growth and the optimization of the balance sheet. During the second quarter of 2026, the Company had an increase in net interest income of $65.5 million, or 14.0%, from the same period in 2025. The change in net interest income was primarily driven by favorable repricing of deposits in conjunction with lower short-term interest rates, and increases of $4.2 billion, or 11.6%, in average loans and $2.2 billion, or 12.6%, in average securities. These increases were partially offset by a decrease of $2.9 billion, or 44.3%, in average interest-bearing due from banks and $6.3 million in lower purchase accounting accretion income. The funding for these assets was driven by an increase in average interest-bearing deposits of 3.9%, and an increase in noninterest-bearing demand deposit balances of 2.1% compared to the second quarter of 2025. Net interest margin, on a tax-equivalent basis, increased 22 basis points compared to the same period in 2025, primarily driven by favorable repricing of deposits in conjunction with lower short-term interest rates. Net interest spread increased 34 basis points during the same period. The Company expects to see continued volatility in the economic markets resulting from governmental responses to inflation and recessionary signs in the economy, as well as uncertainty about the impacts of the conflict in Iran and tariffs. These changing conditions could have impacts on the balance sheet and income statement of the Company for the remainder of the year. The third financial objective is to grow the Company’s revenue from noninterest sources. The Company seeks to grow noninterest revenues throughout all economic and interest rate cycles, while positioning itself to benefit in periods of economic growth. Noninterest income increased $23.3 million, or 10.5%, to $245.5 million for the three months ended June 30, 2026, compared to the same period in 2025. See greater detail below under Noninterest Income. The Company continues to emphasize its asset management, brokerage, bankcard services, healthcare services, and treasury management businesses. For the three months ended June 30, 2026, noninterest income represented 31.6% of total revenue, compared to 32.2% for the same period in 2025. The recent economic changes have impacted fee income, especially those with assets tied to market values and interest rates. The fourth financial objective is effective capital management. The Company places a significant emphasis on maintaining a strong capital position, which management believes promotes investor confidence, provides access 69 to funding sources under favorable terms, and enhances the Company’s ability to capitalize on business growth and acquisition opportunities. The Company continues to maximize shareholder value through a mix of reinvesting in organic growth, evaluating acquisition opportunities that complement the Company’s strategies, increasing dividends over time, and appropriately utilizing a share repurchase program. At June 30, 2026, the Company had $8.0 billion in total shareholders’ equity. This is an increase of $745.0 million, or 10.2%, compared to total shareholders’ equity at June 30, 2025. At June 30, 2026, the Company had a total risk-based capital ratio of 13.80%. The Company repurchased 38,158 shares of common stock during the second quarter of 2026 at an average price of $132.10. The Company also acquired shares pursuant to the Company's share-based incentive programs. Earnings Summary The following is a summary regarding the Company’s earnings for the second quarter of 2026. The changes identified in the summary are explained in greater detail below. The Company recorded net income available to common shareholders of $271.8 million for the three-month period ended June 30, 2026, compared to net income available to common shareholders of $215.4 million for the same period a year earlier. Basic earnings per common share for the second quarter of 2026 were $3.58 per share ($3.56 per share fully-diluted) compared to $2.84 per common share ($2.82 per share fully-diluted) for the second quarter of 2025. Return on average assets and return on average common shareholders’ equity for the three-month period ended June 30, 2026 were 1.55% and 14.16%, respectively, compared to 1.29% and 12.72%, respectively, for the three-month period ended June 30, 2025. The Company recorded net income available to common shareholders of $527.4 million for the six-month period ended June 30, 2026, compared to net income available to common shareholders of $294.7 million for the same period a year earlier. Basic earnings per common share for the six-month period ended June 30, 2026 were $6.94 per share ($6.90 per share fully-diluted) compared to $4.18 per share ($4.16 per share fully-diluted) for the same period in 2025. Return on average assets and return on average common shareholders’ equity for the six-month period ended June 30, 2026 were 1.51% and 13.93%, respectively, compared to 0.94% and 9.67%, respectively, for the six-month period ended June 30, 2025. Net interest income for the three and six-month periods ended June 30, 2026 increased $65.5 million, or 14.0%, and increased $202.2 million, or 23.4%, respectively, compared to the same periods in 2025. For the three-month period ended June 30, 2026, average earning assets increased by $3.9 billion, or 6.3%, and for the six-month period ended June 30, 2026, they increased by $6.7 billion, or 11.5%, compared to the same periods in 2025. Net interest margin, on a tax-equivalent basis, increased to 3.32% and 3.35%, respectively, for the three and six-month periods ended June 30, 2026, compared to 3.10% and 3.04%, respectively, for the same periods in 2025. The provision for credit losses increased by $7.0 million for the three-month period ended June 30, 2026 and decreased by $52.0 million for the six-month period ended June 30, 2026, as compared to the same periods in 2025. Provision expense for the six-month period in 2025 included $62.0 million to establish an allowance for credit losses on the acquired loans designated as non-PCD loans at the close of the transaction. See Note 13, “Acquisition” above. The remainder of the increase in provision was driven by loan growth, portfolio credit metric changes, and ongoing recalibrations of economic loss models in the current period as compared to the prior periods. The Company’s nonperforming loans increased $30.5 million to $127.5 million at June 30, 2026, compared to June 30, 2025. The ACL on loans as a percentage of total loans remained flat at 1.06% as of June 30, 2026, compared to June 30, 2025. For a description of the Company’s methodology for computing the ACL, please see the summary discussion in the “Provision and Allowance for Credit Losses” section included below. Noninterest income increased by $23.3 million, or 10.5%, for the three-month period ended June 30, 2026, and increased by $61.9 million, or 15.9%, for the six-month period ended June 30, 2026, compared to the same periods in 2025. These changes are discussed in greater detail below under Noninterest Income. Noninterest expense increased by $6.5 million, or 1.6%, for the three-month period ended June 30, 2026, and increased by $2.6 million, or 0.3%, for the six-month period ended June 30, 2026, compared to the same periods in 2025. These changes are discussed in greater detail below under Noninterest Expense. 70 Net Interest Income Net interest income is a significant source of the Company’s earnings and represents the amount by which interest income on earning assets exceeds the interest expense paid on liabilities. The volume of interest-earning assets and the related funding sources, the overall mix of these assets and liabilities, and the rates paid on each affect net interest income. Net interest income for the three and six-month periods ended June 30, 2026 increased $65.5 million, or 14.0%, and increased $202.2 million, or 23.4%, compared to the same periods in 2025. The change in net interest income was primarily driven by favorable repricing of deposits in conjunction with lower short-term interest rates, and increases in average loans and average securities. These increases were partially offset by decreases in average interest-bearing due from banks and purchase accounting accretion income. Table 1 shows the impact of earning asset rate changes compared to changes in the cost of interest-bearing liabilities. As illustrated in this table, net interest spread for the three months ended June 30, 2026 increased 34 basis points as compared to the same period in 2025. Net interest margin for the three months ended June 30, 2026 increased 22 basis points compared to the same period in 2025. Net interest spread for the six-month period ended June 30, 2026 increased by 44 basis points as compared to the same period in 2025. Net interest margin for the six-month period ended June 30, 2026 increased by 31 basis points compared to the same period in 2025. The change is driven by favorable repricing of deposits in conjunction with lower short-term interest rates. The cost of interest-bearing liabilities decreased 54 basis points from the second quarter of 2025 while the yield on earning assets decreased 20 basis points compared to the same period. The cost of interest-bearing liabilities decreased 54 basis points for the six-month period ended June 30, 2026 as compared to the same period in 2025 while the yield on earning assets decreased 10 basis points compared to the same period. Earning asset balance increases have been primarily driven by higher average loans and increased securities balances, partially offset by decreased interest-bearing due from banks balances. These variances have led to an increase in the Company’s net interest income during 2026, as compared to results for the same periods in 2025. The Company expects to see continued volatility in the economic markets and governmental responses to changes in the economy. These changing conditions could have impacts on the balance sheet and income statement of the Company for the remainder of the year. For the impact of the contribution from free funds, see the Analysis of Net Interest Margin within Table 2 below. Table 2 also illustrates how the changes in volume and interest rates have resulted in an increase in net interest income. Table 1 AVERAGE BALANCE SHEETS/YIELDS AND RATES (tax-equivalent basis) (unaudited, dollars in thousands) The following table presents, for the periods indicated, the average earning assets and resulting yields, as well as the average interest-bearing liabilities and resulting yields, expressed in both dollars and rates. All average balances are daily average balances. The average yield on earning assets without the tax-equivalent basis adjustment would have been 5.35% for the three-month period ended June 30, 2026, and 5.55% for the same period in 2025. The average yield on earning assets without the tax-equivalent basis adjustment would have been 5.37% for the six-month period ended June 30, 2026, and 5.48% for the same period in 2025. 71 Three Months Ended June 30, 2026 2025 Average Average Average Average Balance Yield/Rate Balance Yield/Rate ASSETS Loans, net of unearned interest $ 40,623,950 6.36 % $ 36,406,753 6.75 % Securities: Taxable 15,580,537 3.77 13,409,940 3.66 Tax-exempt 4,337,660 4.06 4,273,494 3.87 Total securities 19,918,197 3.84 17,683,434 3.71 Federal funds and resell agreements 1,033,826 4.37 684,747 5.12 Interest-bearing due from banks 3,712,165 3.67 6,660,111 4.45 Other earning assets 26,734 6.12 16,693 6.54 Total earning assets 65,314,872 5.41 61,451,738 5.61 Allowance for credit losses (418,985 ) (367,919 ) Other assets 5,511,562 5,787,982 Total assets $ 70,407,449 $ 66,871,801 LIABILITIES AND SHAREHOLDERS' EQUITY Interest-bearing deposits $ 42,872,466 2.80 % $ 41,246,157 3.34 % Federal funds and repurchase agreements 3,512,241 3.31 2,767,216 3.97 Borrowed funds 478,555 9.19 655,575 7.92 Total interest-bearing liabilities 46,863,262 2.90 44,668,948 3.44 Noninterest-bearing demand deposits 14,712,647 14,403,211 Other liabilities 843,604 839,134 Shareholders' equity 7,987,936 6,960,508 Total liabilities and shareholders' equity $ 70,407,449 $ 66,871,801 Net interest spread 2.51 % 2.17 % Net interest margin 3.32 3.10 72 Six Months Ended June 30, 2026 2025 Average Average Average Average Balance Yield/Rate Balance Yield/Rate ASSETS Loans, net of unearned interest $ 40,007,008 6.44 % $ 34,369,543 6.69 % Securities: Taxable 15,617,174 3.77 12,557,618 3.54 Tax-exempt 4,345,604 4.04 4,197,951 3.78 Total securities 19,962,778 3.83 16,755,569 3.60 Federal funds and resell agreements 1,285,452 4.29 620,632 5.10 Interest-bearing due from banks 3,951,163 3.67 6,733,977 4.46 Other earning assets 22,070 6.30 18,767 7.10 Total earning assets 65,228,471 5.43 58,498,488 5.53 Allowance for credit losses (418,380 ) (344,276 ) Other assets 5,605,959 5,285,676 Total assets $ 70,416,050 $ 63,439,888 LIABILITIES AND SHAREHOLDERS' EQUITY Interest-bearing deposits $ 42,672,728 2.79 % $ 39,063,362 3.34 % Federal funds and repurchase agreements 3,567,518 3.32 2,730,267 3.93 Borrowed funds 477,045 9.13 613,236 7.92 Total interest-bearing liabilities 46,717,291 2.90 42,406,865 3.44 Noninterest-bearing demand deposits 14,906,914 13,918,401 Other liabilities 867,597 846,697 Shareholders' equity 7,924,248 6,267,925 Total liabilities and shareholders' equity $ 70,416,050 $ 63,439,888 Net interest spread 2.53 % 2.09 % Net interest margin 3.35 3.04 Table 2 presents the dollar amount of change in net interest income and margin due to volume and rate. Table 2 also reflects the effect that interest-free funds have on net interest margin. The average balance of interest-free funds (total earning assets less interest-bearing liabilities) increased $1.7 billion and increased $2.4 billion for the three and six-month periods ended June 30, 2026, respectively, compared to the same periods in 2025. The benefit from interest-free funds decreased 12 basis points and 13 points, respectively, in the three and six-month periods ended June 30, 2026, respectively, compared to the same periods in 2025. 73 Table 2 ANALYSIS OF CHANGES IN NET INTEREST INCOME AND MARGIN (unaudited, dollars in thousands) ANALYSIS OF CHANGES IN NET INTEREST INCOME Three Months Ended Six Months Ended June 30, 2026 vs. 2025 June 30, 2026 vs. 2025 Volume Rate Total Volume Rate Total Change in interest earned on: Loans $ 68,227 $ (36,646 ) $ 31,581 $ 181,288 $ (44,033 ) $ 137,255 Securities: Taxable 20,317 4,039 24,356 56,463 14,896 71,359 Tax-exempt 498 1,659 2,157 2,234 4,414 6,648 Federal funds sold and resell agreements 3,947 (1,421 ) 2,526 14,476 (2,839 ) 11,637 Interest-bearing due from banks (28,590 ) (11,334 ) (39,924 ) (53,882 ) (23,125 ) (77,007 ) Trading 151 (18 ) 133 112 (78 ) 34 Interest income 64,550 (43,721 ) 20,829 200,691 (50,765 ) 149,926 Change in interest incurred on: Interest-bearing deposits 13,101 (57,327 ) (44,226 ) 56,219 (111,478 ) (55,259 ) Federal funds purchased and repurchase agreements 6,619 (5,089 ) 1,530 14,628 (9,190 ) 5,438 Other borrowed funds (3,845 ) 1,869 (1,976 ) (5,830 ) 3,349 (2,481 ) Interest expense 15,875 (60,547 ) (44,672 ) 65,017 (117,319 ) (52,302 ) Net interest income $ 48,675 $ 16,826 $ 65,501 $ 135,674 $ 66,554 $ 202,228 ANALYSIS OF NET INTEREST MARGIN Three Months Ended June 30, Six Months Ended June 30, 2026 2025 Change 2026 2025 Change Average earning assets $ 65,314,872 $ 61,451,738 $ 3,863,134 $ 65,228,471 $ 58,498,488 $ 6,729,983 Interest-bearing liabilities 46,863,262 44,668,948 2,194,314 46,717,291 42,406,865 4,310,426 Interest-free funds $ 18,451,610 $ 16,782,790 $ 1,668,820 $ 18,511,180 $ 16,091,623 $ 2,419,557 Free funds ratio (interest-free funds to average earning assets) 28.25 % 27.31 % 0.94 % 28.38 % 27.51 % 0.87 % Tax-equivalent yield on earning assets 5.41 5.61 (0.20 ) 5.43 5.53 (0.10 ) Cost of interest-bearing liabilities 2.90 3.44 (0.54 ) 2.90 3.44 (0.54 ) Net interest spread 2.51 2.17 0.34 2.53 2.09 0.44 Benefit of interest-free funds 0.81 0.93 (0.12 ) 0.82 0.95 (0.13 ) Net interest margin 3.32 % 3.10 % 0.22 % 3.35 % 3.04 % 0.31 % Provision and Allowance for Credit Losses The ACL represents management’s judgment of the total expected losses included in the Company’s loan portfolio as of the balance sheet date. The Company’s process for recording the ACL is based on the evaluation of the Company’s lifetime historical loss experience, management’s understanding of the credit quality inherent in the loan portfolio, and the impact of the current economic environment, coupled with reasonable and supportable economic forecasts. 74 A mathematical calculation of an estimate is made to assist in determining the adequacy and reasonableness of management’s recorded ACL. To develop the estimate, the Company follows the guidelines in ASC 326, Financial Instruments – Credit Losses . The estimate reserves for assets held at amortized cost and any related credit deterioration in the Company’s available-for-sale debt security portfolio. Assets held at amortized cost include the Company’s loan book and held-to-maturity security portfolio. The process involves the consideration of quantitative and qualitative factors relevant to the specific segmentation of loans. These factors have been established over decades of financial institution experience and include economic observation and loan loss characteristics. This process is designed to produce a lifetime estimate of the losses, at a reporting date, that includes evaluation of historical loss experience, current economic conditions, reasonable and supportable forecasts, and the qualitative framework outlined by the Office of the Comptroller of the Currency in the published 2020 Interagency Policy Statement. This process allows management to take a holistic view of the recorded ACL reserve and ensure that all significant and pertinent information is considered. The Company considers a variety of factors to ensure the safety and soundness of its estimate including a strong internal control framework, extensive methodology documentation, credit underwriting standards which encompass the Company’s desired risk profile, model validation, and ratio analysis. If the Company’s total ACL estimate, as determined in accordance with the approved ACL methodology, is either outside a reasonable range based on review of economic indicators or by comparison of historical ratio analysis, the ACL estimate is an outlier and management will investigate the underlying reason(s). Based on that investigation, issues or factors that previously had not been considered may be identified in the estimation process, which may warrant adjustments to estimated credit losses. The ending result of this process is a recorded consolidated ACL that represents management’s best estimate of the total expected losses included in the loan portfolio, held-to-maturity securities, and credit deterioration in available-for-sale securities. Based on the factors above, management of the Company recorded $28.0 million as provision for credit losses for the three-month period ended June 30, 2026, as compared to $21.0 million for the same period in 2025. For the six-month period ended June 30, 2026, management of the Company recorded $55.0 million as provision for credit losses, as compared to $107.0 million for the same period in 2025. As noted above, $62.0 million was recorded to establish an allowance for credit losses on the acquired loans designated as non-PCD loans at the close of the HTLF acquisition in the first quarter of 2025. See Note 13, “Acquisition” above. The increase in the three-month period and the remaining $10.0 million increase in provision in the six-month period is the result of applying the methodology for computing the ACL, coupled with the impacts of the current and forecasted economic environment. As illustrated in Table 3 below, the ACL on loans remained flat at 1.06% of total loans as of June 30, 2026, compared to June 30, 2025. Table 3 presents a summary of the Company’s ACL for the six-month periods ended June 30, 2026 and 2025, and for the year ended December 31, 2025. Net charge-offs were $34.8 million for the six-month period ended June 30, 2026, compared to $51.3 million for the same period in 2025. See “Credit Risk Management” under “Item 3. Quantitative and Qualitative Disclosures About Market Risk” in this report for information relating to nonaccrual loans, past due loans, restructured loans and other credit risk matters. 75 Table 3 ANALYSIS OF ALLOWANCE FOR CREDIT LOSSES (unaudited, dollars in thousands) Six Months Ended Year Ended June 30, December 31, 2026 2025 2025 Allowance – January 1 $ 421,162 $ 261,734 $ 261,734 PCD allowance for credit loss at acquisition — 77,293 85,299 Provision for credit losses 55,000 106,500 156,500 Charge-offs: Commercial and industrial (12,272 ) (32,108 ) (44,645 ) Specialty lending — — — Commercial real estate (11,937 ) (6,502 ) (11,792 ) Consumer real estate (899 ) (1,629 ) (2,041 ) Consumer (2,057 ) (1,423 ) (3,538 ) Credit cards (12,202 ) (12,200 ) (25,676 ) Leases and other — — (27 ) Total charge-offs (39,367 ) (53,862 ) (87,719 ) Recoveries: Commercial and industrial 1,512 189 507 Specialty lending — — — Commercial real estate 29 184 196 Consumer real estate 41 163 275 Consumer 453 245