Common use of CRITICIZED ASSETS Clause in Contracts

CRITICIZED ASSETS. (1) The Bank shall take immediate and continuing action to protect its interest in those assets criticized¹ in the Report of Examination dated May 7, 2012 (“XXX”), in any subsequent Report of Examination, by internal or external loan review, or in any list provided to management by the OCC during any examination. (2) Within ninety (90) days, the Board shall adopt, implement, and thereafter ensure Bank adherence to individual workout plans designed to protect the Bank’s interest in or eliminate the basis of criticism of assets criticized in the XXX or internally identified by the Bank as criticized as of the effective date of this Formal Agreement. On an ongoing basis, when any asset is criticized in a subsequent Report of Examination, or by any internal or external loan review, or in any list provided to management by the OCC during any examination, the Board shall adopt, implement, and thereafter ensure Bank adherence to individual workout plans for the criticized asset within ninety (90) days. Each workout plan shall include, at a minimum: (a) an identification of the expected sources of repayment; (b) an analysis of the borrower’s ability to repay the loan based on current and satisfactory credit information, including an appropriate analysis of the guarantors’ current financial position where repayment is dependent in whole or in part on the support of a guarantor; (c) the current value of supporting collateral and the position of the Bank’s lien on such collateral where applicable; and ¹ The term “criticized” as used in this Article refers to assets rated the equivalent of “doubtful,” “substandard,” or “special mention” as defined in the “Rating Credit Risk” booklet of the Comptroller's Handbook. (d) action(s) the Bank plans to take to protect its interest in, or eliminate the basis of criticism of, the asset, including timeframes for implementing and evaluating the effectiveness of those actions. (3) The Board, or a designated committee, shall conduct a review, on at least a quarterly basis, to determine: (a) the status of each criticized asset or criticized portion thereof that equals or exceeds five hundred thousand dollars ($500,000); (b) management’s adherence to the workout plans adopted pursuant to this Article; (c) the status and effectiveness of the plans; and (d) the need to revise the plans or take alternative action. (4) A copy of each review conducted pursuant to Paragraph (3) of this Article shall be retained at the bank and be available for OCC inspection upon request. (5) Effective immediately, the Bank may extend credit, directly or indirectly, including renewals and extensions, to a borrower whose loans or other extensions of credit are criticized in the XXX, in any subsequent Report of Examination, in any internal or external loan review, or in any list provided to management by the OCC during any examination, and whose aggregate loans or other extensions of credit from the Bank exceed five hundred thousand dollars ($500,000), only if each of the following conditions is met: (a) the Board or designated committee finds that the extension of additional credit is necessary to promote the best interests of the Bank and prior to renewing or extending any additional credit, a majority of the full Board (or designated committee) approves the credit extension and records, in writing, why such extension is necessary to promote the best interests of the Bank; and (b) a comparison to the plans adopted pursuant to this Article shows that the Board’s formal plan to collect or strengthen the criticized asset will not be compromised. (6) A copy of the approval of the Board or of the designated committee, obtained pursuant to Paragraph (5) of this Article, shall be maintained in the file of the affected borrower.

CRITICIZED ASSETS. (1) The Within sixty (60) days of the Effective Date of this Agreement the Board shall adopt and the Bank (subject to Board review and ongoing monitoring) shall take immediate implement and continuing action thereafter ensure adherence to a written program designed to protect its the Bank’s interest in those assets criticized¹ criticized in the most recent Report of Examination dated May 7, 2012 (“XXX”), in any subsequent Report of ExaminationXXX, by internal or external loan review, or in any list provided to management by the OCC during any examination. (2) Within ninety (90) days, the Board shall adopt, implement, and thereafter ensure Bank adherence to individual workout plans designed to protect the Bank’s interest in or eliminate the basis of criticism of assets criticized in the XXX or internally identified by the Bank as criticized as of the effective date of this Formal Agreement. On an ongoing basis, when any asset is criticized in a subsequent Report of Examination, or by any internal or external loan review, or in any list provided to management by the OCC National Bank Examiners during any examinationexamination as “doubtful,” “substandard,” or “special mention.” The program shall include the development of Criticized Asset Reports (“CARs”) identifying all credit relationships and other assets totaling in aggregate one million five hundred thousand dollars ($1,500,000) or more, criticized as “doubtful,” “substandard,” or “special mention.” The CARs must be updated and submitted to the Board shall adopt, implement, and thereafter ensure Bank adherence to individual workout plans for the criticized asset within ninety (90) daysAssistant Deputy Comptroller quarterly. Each workout plan CAR shall cover an entire credit relationship and include, at a minimum, analysis and documentation of the following: (a) an identification the origination date and any renewal or extension dates, amount, purpose of the expected sources loan, the originating and current loan officer(s), and a brief explanation of repaymentwhy the relationship is a problem asset; (b) the expected primary and secondary sources of repayment, and an analysis of the borrower’s ability to repay the loan based on current and satisfactory credit information, including an appropriate analysis adequacy of the guarantors’ current financial position where repayment is dependent in whole or in part on the support of a guarantorsource; (c) the current appraised value of supporting collateral and the position of the Bank’s lien on such collateral collateral, where applicable; and ¹ The term “criticized” , as used in this Article refers well as other necessary documentation to assets rated support the equivalent of “doubtful,” “substandard,” or “special mention” as defined in the “Rating Credit Risk” booklet of the Comptroller's Handbook.current collateral valuation; (d) action(san analysis of current and complete credit information, including cash flow analysis where loans are to be repaid from operations, and analysis of any guarantor on whom the Bank intends to rely as part of the workout strategy; (e) results of any FAS 114 impairment analysis; (f) significant developments, including a discussion of changes since the prior CAR, if any and any charge offs, including date and amount; and (g) the Bank plans proposed action to take to protect its interest in, or eliminate the basis of criticism ofand the time frame for its accomplishment, including an appropriate exit strategy. (2) The Board shall assess periodically, and no less than quarterly, the assetadequacy of work-out staff, including timeframes for implementing in terms of both numbers and evaluating expertise, to ensure staffing levels are appropriate to address the effectiveness Bank’s level of those actionscriticized assets. (3) The Board, or a designated committee, shall conduct a review, on at least a quarterly basis, to determine: (a) the status of each criticized asset or criticized portion thereof that equals or exceeds five hundred thousand dollars ($500,000); (b) management’s adherence to the workout plans adopted pursuant to this Article; (c) the status and effectiveness of the plans; and (d) the need to revise the plans or take alternative action. (4) A copy of each review conducted pursuant to Paragraph (3) of this Article shall be retained at the bank and be available for OCC inspection upon request. (5) Effective immediately, the Bank may not extend credit, directly or indirectly, including renewals and renewals, extensions, or capitalization of accrued interest to a borrower whose loans or other extensions of credit are criticized in the any XXX, in any subsequent Report of Examination, in any internal or external loan review, or in any list provided to management by the OCC National Bank Examiners during any examination, unless and whose aggregate loans or other extensions of credit from the Bank exceed five hundred thousand dollars ($500,000), only if until each of the following conditions is met: (a) the Board Board, or a designated committee thereof, finds that the extension of additional credit is necessary to promote the best interests of the Bank and that prior to renewing renewing, extending or extending capitalizing any additional credit, a majority of the full Board (or designated committee) approves the credit extension and records, in writing, writing why such extension is necessary to promote the best interests of the Bank; andA copy of the findings and approval of the Board or designated committee shall be maintained in the credit file of the affected borrower; (b) the Bank performs a comparison to the plans adopted pursuant to written credit and collateral analysis as required by paragraph (1) (c) and (d) of this Article shows that and, if necessary, the proposed action referred to in paragraph (1)(g) of this Article is revised, as appropriate; and (c) the Board’s formal plan to collect or strengthen the criticized asset will not be compromisedcompromised by the extension of additional credit. (64) A copy The Board shall ensure that the Bank has processes, personnel, and control systems to ensure implementation of and adherence to the approval of the Board or of the designated committee, obtained program developed pursuant to Paragraph (5) of this Article, shall be maintained in the file of the affected borrower.

CRITICIZED ASSETS. (1) The Within sixty (60) days of the Effective Date of this Agreement the Board shall adopt and the Bank (subject to Board review and ongoing monitoring) shall take immediate implement and continuing action thereafter ensure adherence to a written program designed to protect its the Bank’s interest in those assets criticized¹ criticized in the most recent Report of Examination dated May 7, 2012 (“XXX”), in any subsequent Report of ExaminationXXX, by internal or external loan review, or in any list provided to management by the OCC during any examination. (2) Within ninety (90) days, the Board shall adopt, implement, and thereafter ensure Bank adherence to individual workout plans designed to protect the Bank’s interest in or eliminate the basis of criticism of assets criticized in the XXX or internally identified by the Bank as criticized as of the effective date of this Formal Agreement. On an ongoing basis, when any asset is criticized in a subsequent Report of Examination, or by any internal or external loan review, or in any list provided to management by the OCC National Bank Examiners during any examinationexamination as “doubtful,” “substandard,” or “special mention.” The program shall include the development of Criticized Asset Reports (“CARs”) identifying all credit relationships and other assets totaling in aggregate one million five hundred thousand dollars ($1,500,000) or more, criticized as “doubtful,” “substandard,” or “special mention.” The CARs must be updated and submitted to the Board shall adopt, implement, and thereafter ensure Bank adherence to individual workout plans for the criticized asset within ninety (90) daysAssistant Deputy Comptroller quarterly. Each workout plan CAR shall cover an entire credit relationship and include, at a minimum, analysis and documentation of the following: (a) an identification the origination date and any renewal or extension dates, amount, purpose of the expected sources loan, the originating and current loan officer(s), and a brief explanation of repaymentwhy the relationship is a problem asset; (b) the expected primary and secondary sources of repayment, and an analysis of the borrower’s ability to repay the loan based on current and satisfactory credit information, including an appropriate analysis adequacy of the guarantors’ current financial position where repayment is dependent in whole or in part on the support of a guarantorsource; (c) the current appraised value of supporting collateral and the position of the Bank’s lien on such collateral collateral, where applicable; and ¹ The term “criticized” , as used in this Article refers well as other necessary documentation to assets rated support the equivalent of “doubtful,” “substandard,” or “special mention” as defined in the “Rating Credit Risk” booklet of the Comptroller's Handbook.current collateral valuation; (d) action(san analysis of current and complete credit information, including cash flow analysis where loans are to be repaid from operations, and analysis of any guarantor on whom the Bank intends to rely as part of the workout strategy; (e) results of any FAS 114 impairment analysis; (f) significant developments, including a discussion of changes since the prior CAR, if any and any charge offs, including date and amount; and (g) the Bank plans proposed action to take to protect its interest in, or eliminate the basis of criticism ofand the time frame for its accomplishment, including an appropriate exit strategy. (2) The Board shall assess periodically, and no less than quarterly, the assetadequacy of work-out staff, including timeframes for implementing in terms of both numbers and evaluating expertise, to ensure staffing levels are appropriate to address the effectiveness Bank’s level of those actionscriticized assets. (3) The Board, or a designated committee, shall conduct a review, on at least a quarterly basis, to determine: (a) the status of each criticized asset or criticized portion thereof that equals or exceeds five hundred thousand dollars ($500,000); (b) management’s adherence to the workout plans adopted pursuant to this Article; (c) the status and effectiveness of the plans; and (d) the need to revise the plans or take alternative action. (4) A copy of each review conducted pursuant to Paragraph (3) of this Article shall be retained at the bank and be available for OCC inspection upon request. (5) Effective immediately, the Bank may not extend credit, directly or indirectly, including renewals and renewals, extensions, or capitalization of accrued interest to a borrower whose loans or other extensions of credit are criticized in the any XXX, in any subsequent Report of Examination, in any internal or external loan review, or in any list provided to management by the OCC National Bank Examiners during any examination, unless and whose aggregate loans or other extensions of credit from the Bank exceed five hundred thousand dollars ($500,000), only if until each of the following conditions is met: (a) the Board Board, or a designated committee thereof, finds that the extension of additional credit is necessary to promote the best interests of the Bank and that prior to renewing renewing, extending or extending capitalizing any additional credit, a majority of the full Board (or designated committee) approves the credit extension and records, in writing, writing why such extension is necessary to promote the best interests of the Bank; andA copy of the findings and approval of the Board or designated committee shall be maintained in the credit file of the affected borrower; (b) the Bank performs a comparison to the plans adopted pursuant to written credit and collateral analysis as required by paragraph (1) (c) and (d) of this Article shows that and, if necessary, the proposed action referred to in paragraph (1)(g) of this Article is revised, as appropriate; and (c) the Board’s formal plan to collect or strengthen the criticized asset will not be compromisedcompromised by the extension of additional credit. (64) A copy The Board shall ensure that the Bank has processes, personnel, and control systems to ensure implementation of and adherence to the approval of the Board or of the designated committee, obtained program developed pursuant to Paragraph (5) of this his Article, shall be maintained in the file of the affected borrower.

CRITICIZED ASSETS. (1) The Bank shall take immediate and continuing action to protect its interest in those assets criticized¹ criticized in the Report of Examination dated May 7, 2012 (“XXX”), in any subsequent Report of Examination, by the Bank, by internal or external loan review, or in any list provided to management by the OCC during any examination. The term “criticized” as used in this Article refers to assets rated the equivalent of “doubtful,” “substandard,” or “special mention” as defined in the “Rating Credit Risk” booklet of the Comptroller’s Handbook. (2) Within ninety (90) daysOn or before March 31, 2016, the Board shall adopt, implement, and thereafter ensure Bank adherence to individual workout plans designed to protect the Bank’s interest in or eliminate the basis of criticism of assets criticized in the XXX or internally identified by the Bank as criticized as of the effective date of this Formal Agreement. . (3) On an ongoing basis, when any asset is criticized in a subsequent Report of Examination, or by the Bank, by any internal or external loan review, or in any list provided to management by the OCC during any examination, the Board shall adopt, implement, and thereafter ensure Bank adherence to individual workout plans for the criticized asset within ninety thirty (9030) days. Each workout plan required by this Article shall include, at a minimum: (a) an identification of the expected sources of repayment; (b) an analysis of the borrower’s ability to repay the loan based on current and satisfactory credit information, including an appropriate analysis of the guarantors’ guarantor’s current financial position where repayment is dependent in whole or in part on the support of a guarantor; (c) an expanded collateral analysis section to support loan impairment analyses used for the ALLL assessment, the current value of supporting collateral collateral, the condition of the collateral, and the position of the Bank’s lien on such collateral where applicablecollateral; and ¹ The term “criticized” as used in this Article refers to assets rated the equivalent of “doubtful,” “substandard,” or “special mention” as defined in the “Rating Credit Risk” booklet of the Comptroller's Handbook.and (d) information on tenants and occupancy rates, if the collateral is income- producing real estate; (e) a history of the credit’s changes in terms, restructurings or modifications, including a determination of whether or not the credit qualifies as a Troubled Debt Restructuring; and (f) action(s) the Bank plans to take to protect its interest in, or eliminate the basis of criticism of, the asset, including timeframes for implementing and evaluating the effectiveness of those actions. (34) The Board, or a designated committee, shall conduct a review, review each workout plan on at least a quarterly basis, basis to determine: (a) the status of each criticized asset (including loan relationships and Other Real Estate Owned (“OREO”)), or criticized portion thereof thereof, that equals or exceeds five one hundred thousand dollars ($500,000100,000); (b) managementthe Bank’s adherence to the workout plans adopted pursuant to this Article; (c) the status and effectiveness of the plans; and (d) the need to revise the plans or take alternative action. (4) A copy of each review conducted pursuant to Paragraph (3) of this Article shall be retained at the bank and be available for OCC inspection upon request. (5) Effective immediately, the Bank may extend credit, directly or indirectly, including renewals and extensions, to a borrower whose loans or other extensions of credit are criticized in the XXX, in any subsequent Report of Examination, in any internal or external loan review, or in any list provided to management by the OCC during any examination, and whose aggregate loans or other extensions of credit from the Bank exceed five hundred thousand dollars ($500,000), only if each of the following conditions is met: (a) the Board or designated committee finds that the extension of additional credit is necessary to promote the best interests of the Bank and prior to renewing or extending any additional credit, a majority of the full Board (or designated committee) approves the credit extension and records, in writing, why such extension is necessary to promote the best interests of the Bank; and (b) a comparison to the plans adopted pursuant to this Article shows that the Board’s formal plan to collect or strengthen the criticized asset will not be compromised. (6) A copy of the approval of the Board or of the designated committee, obtained pursuant to Paragraph (5) of this Article, shall be maintained in the file of the affected borrower.

CRITICIZED ASSETS. (1) The Bank Effective as of the date of this Agreement, the Board shall take immediate any and continuing action all actions necessary to protect its interest in those assets criticized¹ criticized as “doubtful,” “substandard,” or “special mention” in the Report of Examination dated May 7, 2012 (“XXX”), in any subsequent Report of Examination, by internal or external loan review, or in any list provided to management by the OCC National Bank Examiners during any examination. (2) Within ninety sixty (9060) daysdays of this Agreement, the Board shall adoptprepare and submit to the Assistant Deputy Comptroller for a prior written determination of no supervisory objection, implement, and thereafter ensure Bank adherence to individual workout plans a written program designed to protect reduce the level of the Bank’s interest in criticized assets (the “Criticized Assets Program”). The Criticized Assets Program shall include or eliminate address the basis of criticism of assets criticized in the XXX or internally identified by the Bank as criticized as of the effective date of this Formal Agreement. On an ongoing basis, when any asset is criticized in a subsequent Report of Examination, or by any internal or external loan review, or in any list provided to management by the OCC during any examination, the Board shall adopt, implement, and thereafter ensure Bank adherence to individual workout plans for the criticized asset within ninety (90) days. Each workout plan shall include, at a minimumfollowing matters: (a) an Aggregate reporting of criticized asset levels by risk rating and product type to the Board or a designated committee thereof every month, including reports on classified and charged off overdrafts; (b) Specific plans for the reduction of criticized assets by risk rating and asset type with target reductions by month; and (c) Procedures for the quarterly review and preparation of written determinations by the Board or a designated committee thereof regarding the effectiveness of the responsible officer’s efforts to eliminate the weaknesses in each criticized credit relationship or Other Real Estate (“ORE”) totaling five hundred thousand dollars ($500,000) or above. (3) The Board’s compliance with Paragraph (2) of this Article shall include the development of procedures for the quarterly submission and review of criticized asset reports (“CARs”) for all criticized credit relationships and ORE totaling five hundred thousand dollars ($500,000) or above, that require, at a minimum, analysis and documentation of the following: (a) An identification of the root cause of the problem; (b) An identification of the expected sources of repayment; (b) repayment and an analysis of the borrower’s ability to repay the loan based on current and satisfactory credit information, including an appropriate analysis of the guarantors’ current financial position where repayment is dependent in whole or in part on the support of a guarantortheir adequacy; (c) the The current appraised value of supporting collateral and the position of the Bank’s lien on such collateral where applicable; and ¹ The term “criticized” applicable as used in this Article refers well as other necessary documentation to assets rated support the equivalent of “doubtful,” “substandard,” or “special mention” as defined in the “Rating Credit Risk” booklet of the Comptroller's Handbook.collateral valuation; (d) action(sAn analysis of current and satisfactory credit information, including cash flow analysis where loans are to be repaid from operations. Also, included in this analysis shall be the extent, duration and amount of overdrafts, if any. Additionally, the working capital and revolving lines of credit that are secured by accounts receivable or inventory shall discuss the loan’s revolving history, as well as the aging of AR and AP; (e) the Bank plans The proposed actions to take to protect its interest in, or eliminate the basis of criticism of, and the assettime frame for their accomplishment, including timeframes for implementing and evaluating the effectiveness of those actions. (3) The Board, an appropriate rehabilitation or a designated committee, shall conduct a review, on at least a quarterly basis, to determine: (a) the status of each criticized asset or criticized portion thereof that equals or exceeds five hundred thousand dollars ($500,000)exit strategy; (bf) management’s adherence to the workout plans adopted pursuant to this ArticleThe results of any ASC 310-10 impairment analysis; (cg) Significant developments, including a discussion of changes since the status prior CAR, if any; (h) Trigger dates for positive borrower actions or for loan officers to reassess the strategy, enact collection plans, and effectiveness of the plansmake appropriate risk rating changes or place on nonaccrual; and (di) Documentation of the need analysis and reasoning to revise support the plans or take alternative actioncurrent risk rating. (4) A copy Upon receiving a written determination of each review conducted pursuant no supervisory objection from the Assistant Deputy Comptroller, the Board shall immediately implement and thereafter ensure adherence to Paragraph (3) of the program required by this Article shall be retained at the bank and be available for OCC inspection upon requestArticle. (5) Effective immediatelyas of the date of this Agreement, the Bank may not extend credit, directly or indirectly, including renewals and extensionsrenewals, extensions or capitalization of accrued interest, or overdrafts, to a borrower whose loans or other extensions of credit are criticized in the Report of Examination conducted as of September 30, 2010 for asset quality and credit risk management, and surrounding dates for other examination matters (the “XXX”), in any subsequent Report of Examination, in any internal or external loan review, or in any list provided to management by the OCC National Bank Examiners during any examination, examination and whose aggregate loans or other extensions of credit from the Bank equal or exceed five hundred thousand dollars ($500,000), only if unless each of the following conditions is met: (a) the The Board or a designated committee thereof finds that the extension of additional credit is necessary to promote the best interests of the Bank and that prior to renewing renewing, extending or extending capitalizing any additional credit, a majority of the full Board (or a designated committee) committee thereof approves the credit extension and records, documents in writing, why the reasons that such extension is necessary to promote the best interests of the Bank; and (b) a comparison to the plans adopted pursuant to this Article shows that the The Board’s formal plan to collect or strengthen the criticized asset will not be compromised. (6) A copy of the approval of the Board or of the designated committee, obtained pursuant to Paragraph (5) of this Article, shall be maintained in the file of the affected borrower.

CRITICIZED ASSETS. (1) The Bank Effective as of the date of this Agreement, the Board shall take immediate and continuing action to protect its interest in those assets criticized¹ criticized in the Report of Examination dated May 7, 2012 (“XXX”), in any subsequent Report of Examination, by internal or external loan review, or in any list provided to management by the OCC National Bank Examiners during any examination. (2) Within ninety sixty (9060) daysdays of this Agreement, the Board shall adoptprepare, implement, implement and thereafter ensure Bank adherence to individual workout plans a written program designed to protect reduce the Bank’s interest in criticized assets (the “Problem Assets Program”). The Problem Assets Program shall include or eliminate address the basis following matters: (a) aggregate reporting of criticism of assets criticized in the XXX or internally identified asset levels by the Bank as criticized as of the effective date of this Formal Agreement. On an ongoing basis, when any asset is criticized in a subsequent Report of Examination, or by any internal or external loan review, or in any list provided type to management by the OCC during any examination, the Board shall adopt, implement, and thereafter ensure Bank adherence to individual workout or a designated committee thereof every month; and (b) specific plans for the reduction of criticized assets by asset within ninety type with target reductions by month. (903) days. Each workout plan The Board’s compliance with Paragraph (2) of this Article shall includeinclude the development of procedures for the monthly submission and review of problem asset reports for all criticized credit relationships (including participations purchased) and Other Real Estate Owned (“OREO”) totaling fifty thousand dollars ($50,000) or above, that require, at a minimum, analysis and documentation of the following: (a) an identification of the expected sources of repayment; (b) an analysis of the borrower’s ability to repay the loan based on current and satisfactory credit information, including an appropriate analysis of the guarantors’ current financial position where repayment is dependent in whole or in part on the support of a guarantor; (c) the current appraised value of supporting collateral and the position of the Bank’s lien on such collateral where applicable; applicable as well as other necessary documentation to support the collateral valuation; (c) an analysis of current and ¹ The term “criticized” as used in this Article refers satisfactory credit information, including cash flow analysis where loans are to assets rated the equivalent of “doubtful,” “substandard,” or “special mention” as defined in the “Rating Credit Risk” booklet of the Comptroller's Handbook.be repaid from operations; (d) action(s) the Bank plans proposed action to take to protect its interest in, or eliminate the basis of criticism of, and the asset, including timeframes time frame for implementing and evaluating the effectiveness of those actions. (3) The Board, or a designated committee, shall conduct a review, on at least a quarterly basis, to determine: (a) the status of each criticized asset or criticized portion thereof that equals or exceeds five hundred thousand dollars ($500,000)its accomplishment; (be) management’s adherence trigger dates for borrower actions or for loan officers to reassess the workout plans adopted pursuant to this Articlestrategy and enact collection plans; (cf) the status specific action plans and effectiveness trigger dates for risk rating changes and documentation of the plansanalysis and reasoning to support the current risk rating; and (dg) a determination of whether the need to revise loan is impaired and the plans or take alternative actionamount of the impairment, consistent with Accounting Standards Codification 310-10 (formerly known as FASB Statement of Financial Accounting Standards No. 114). (4) A copy Upon receiving a written determination of each review conducted pursuant no supervisory objection from the Assistant Deputy Comptroller, the Board shall immediately implement and thereafter ensure adherence to Paragraph (3) of the program required by this Article shall be retained at the bank and be available for OCC inspection upon requestArticle. (5) A copy of each problem asset report relating to criticized credit relationships (including participations purchased) and OREO totaling fifty thousand dollars ($50,000) or above prepared during the last month of each quarter end (e.g., March, June, September, December) along with any Board comments regarding the effectiveness of the effort to eliminate the weaknesses in each credit or to dispose of the OREO, shall be submitted to the Assistant Deputy Comptroller within thirty (30) days of each calendar quarter end, with the first set of reports due no later than January 31, 2011. (6) Effective immediatelyas of the date of this Agreement, the Bank may not extend credit, directly or indirectly, including renewals and extensionsrenewals, extensions or capitalization of accrued interest, to a borrower whose loans or other extensions of credit are criticized in the XXX, in any subsequent Report of Examination, in any internal or external loan review, or in any list provided to management by the OCC National Bank Examiners during any examination, examination and whose aggregate loans or other extensions of credit from the Bank equal or exceed five hundred fifty thousand dollars ($500,00050,000), only if unless each of the following conditions is met: (a) the Board or a designated committee thereof finds that the extension of additional credit is necessary to promote the best interests of the Bank and that prior to renewing renewing, extending or extending capitalizing any additional credit, a majority of the full Board (or a designated committee) committee thereof approves the credit extension and records, documents in writing, why the reasons that such extension is necessary to promote the best interests of the Bank; and (b) a comparison to the plans adopted pursuant to this Article shows that the Board’s formal plan to collect or strengthen the criticized asset will not be compromised. (67) A copy Copies of best interest statements prepared in response to the approval requirements of the Board or of the designated committee, obtained pursuant to Paragraph (56) of this Article, Article shall be maintained in the file minutes to the Board of Director meetings and in the affected borrowerrelevant credit file(s).