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 criticized in the XXX, in any subsequent Reports of Examination, by internal or external loan review, or in any list provided to management by the National Bank Examiners during any supervisory activity. (2) Within sixty (60) days, the Board shall adopt, implement, and thereafter ensure Bank adherence to a written program designed to eliminate the basis of criticism of assets criticized in the XXX, in any subsequent Reports of Examination, or by any internal or external loan review, or in any list provided to management by the National Bank Examiners during any examination as "doubtful," "substandard," or "special mention." This program shall include, at a minimum: (a) an identification of the expected sources of repayment; (b) the appraised value of supporting collateral and the position of the Bank's lien on such collateral where applicable; (c) an analysis of current and satisfactory credit information, including cash flow analysis where loans are to be repaid from operations; and (d) the proposed action to eliminate the basis of criticism and the time frame for its accomplishment. (3) Upon adoption, a copy of the program for all criticized assets equal to or exceeding $100 thousand dollars ($100,000) shall be forwarded to the ADC. (4) 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 $100 thousand dollars ($100,000); (b) management's adherence to the program adopted pursuant to this Article; (c) the status and effectiveness of the written program; and (d) the need to revise the program or take alternative action. (5) A copy of each review shall be forwarded to the ADC on a quarterly basis (in a format similar to Appendix A, attached hereto). (6) The Bank may extend credit, directly or indirectly, including renewals, 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 National Bank Examiners during any examination and whose aggregate loans or other extensions exceed $100 thousand ($100,000) 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 that prior to renewing, extending or capitalizing 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 written program adopted pursuant to this Article shows that the Board's formal plan to collect or strengthen the criticized asset will not be compromised. (7) A copy of the approval of the Board or of the designated committee 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 criticized in the XXXNot later than August 31, in any subsequent Reports of Examination, by internal or external loan review, or in any list provided to management by the National Bank Examiners during any supervisory activity. (2) Within sixty (60) days2002, the Board shall adopt, implement, adopt and thereafter ensure Bank adherence to implement a written workout program designed to eliminate for the basis of criticism of assets criticized in the XXX, in any subsequent Reports of Examination, or by any internal or external loan review, or in any list provided to management by the National OCC or classified by the Bank Examiners during any examination as "doubtful," "substandard," or "" special mention." This that exceed $50M (fifty thousand dollars). The program shall should include, at a minimum: (a) an identification of the expected sources of repayment; (b) the appraised value of supporting collateral and the position of the Bankbank's lien on such collateral where applicableposition; (c) an analysis of current and satisfactory credit information, including cash flow analysis where loans are to be repaid from operations; andand debt service coverage; (d) the proposed action to eliminate action, timeframe and individual responsible for implementing the basis of criticism and the time frame for its accomplishmentworkout program. (32) Upon adoption, please provide a copy of the program for all criticized assets equal to or exceeding $100 thousand dollars ($100,000) shall be forwarded 200M to the ADCAssistant Deputy Comptroller beginning September 1, 2002 and every 90 days thereafter. (43) The Board, or a designated committee, Board shall conduct a review, on at least monthly a quarterly basis, to determinereview of: (a) the status of each criticized asset equal to or criticized portion thereof that equals or exceeds exceeding $100 thousand dollars ($100,000)50M; (b) management's adherence to the program adopted pursuant to this Article;workout program; and (c) the status status, effectiveness, and effectiveness of the written program; and (d) the need to revise the program or take alternative actionworkout program. (54) A copy of each review shall be forwarded to the ADC on a quarterly basis (in a format similar to Appendix A, attached hereto)) shall be maintained in the file of the affected borrower. (65) The Bank may extend credit, directly or indirectly, including renewals, 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 National Bank Examiners during any examination and whose aggregate loans or other extensions exceed $100 thousand ($100,000) 200M only if each of the following conditions is are 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 that prior to renewing, extending or capitalizing 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 written program adopted pursuant to this Article shows that the Board's formal plan to collect or strengthen the criticized asset will not be compromised. (76) A copy of the approval of the Board or of the designated committee 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 criticized criticized: (i) in the XXX, ; (ii) in any subsequent Reports Report of Examination, ; (iii) by internal or external loan review, ; or (iv) in any list provided to management by the National Bank Examiners during any supervisory activityexamination. (2) Within sixty (60) days, for all criticized assets with exposures of greater than fifty thousand dollars ($50,000), the Board shall adopt, implement, and thereafter direct management to ensure Bank the Bank’s adherence to a written program designed to eliminate the basis of criticism of assets criticized criticized: (i) in the XXX, ; (ii) in any subsequent Reports Report of Examination, or ; (iii) by any internal or external loan review, ; or (iv) in any list provided to management by the National Bank Examiners during any examination as "doubtful," "substandard," or "special mention." This program shall include, at a minimum: (a) an identification of the expected sources of repayment; (b) the appraised value of supporting collateral and the position of the Bank's lien on such collateral where applicable; (c) an analysis of current and satisfactory credit information, including cash flow analysis where loans are to be repaid from operations; and (d) the proposed action to eliminate the basis of criticism and the time frame for its accomplishment. (3) Upon adoption, a copy of the program for all criticized assets equal to or exceeding $100 three hundred thousand dollars ($100,000300,000) shall be forwarded to the ADCAssistant Deputy Comptroller. (4) The Board shall ensure that the Bank has processes, personnel, and control systems to ensure implementation of and adherence to the program developed pursuant to this Article. (5) The Board, or a designated committeecommittee thereof, shall conduct a review, on at least a quarterly monthly basis, to determine: (a) the status of each criticized asset or criticized portion thereof that equals or exceeds $100 three hundred thousand dollars ($100,000300,000); (b) management's adherence to the program adopted pursuant to this Article; (c) the status and effectiveness of the written program; and, (d) the need to revise the program or take alternative action. (56) A copy of each review shall be forwarded to the ADC Assistant Deputy Comptroller on a quarterly basis (in a format similar to Appendix A, attached hereto)monthly basis. (67) The Bank may extend credit, directly or indirectly, including renewals, extensions or capitalization of accrued interest, to a borrower whose loans or other extensions of credit are criticized criticized: (i) in the XXX, ; (ii) in any subsequent Report of Examination, ; (iii) in any internal or external loan review, ; or (iv) in any written list provided to management by the National Bank Examiners during any examination and whose aggregate loans or other extensions exceed $100 three hundred thousand ($100,000300,000) only if each of the following conditions is met: (a) the Board or 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, extending or capitalizing any additional credit, a majority of the full Board (or a designated committeecommittee thereof) 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 written program adopted pursuant to this Article shows that the Board's formal plan to collect or strengthen the criticized asset will not be compromised. (7) 8) A copy of the approval of the Board or of the designated committee 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 criticized in the XXX, in any subsequent Reports of Examination, by internal or external loan review, or in any list provided to management by the National Bank Examiners during any supervisory activity. Within thirty (2) Within sixty (6030) days, the Board shall adopt, implement, and thereafter ensure Bank adherence to to, a written program designed to eliminate the basis of criticism of assets criticized in the XXX, in any subsequent Reports Report of Examination, or by any internal or external loan review, or in any list provided to management by the National Bank Examiners during any examination as "doubtful," "substandard," or "special mention." This program shall include, at a minimum: (a) an identification of the expected sources of repayment; (b) the appraised value of supporting collateral and the position of the Bank's lien on such collateral where applicable; (c) an analysis of current and satisfactory credit information, including cash flow analysis where loans are to be repaid from operations; and (d) the proposed an action plan to eliminate the basis of criticism and the time frame for its accomplishment. (32) Upon adoption, a copy of the program for all criticized assets equal to or exceeding $100 fifty thousand dollars ($100,000$ 50,000) shall be forwarded to the ADC. (43) 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 $100 fifty thousand dollars ($100,00050,000); (b) management's adherence to the program adopted pursuant to this Article; (c) the status and effectiveness of the written program; and (d) the need to revise the program or take alternative action. (54) A copy of each review shall be forwarded to the ADC on a quarterly basis (in a format similar to Appendix A, attached hereto). (65) The Bank may extend credit, directly or indirectly, including renewals, 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 National Bank Examiners during any examination and whose aggregate loans or other extensions exceed $100 fifty thousand dollars ($100,00050,000) only if each of the following conditions is are met: (a) the Board or a designated committee finds that the extension of additional credit is necessary to promote the best interests of the Bank Bank, and that prior to renewing, extending or capitalizing 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 written program adopted pursuant to this Article shows that the Board's formal plan to collect or strengthen the criticized asset will not be compromised. (76) A copy of the approval of the Board or of the designated committee 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 criticized in the Report of Examination dated September 24, 2007 (“XXX”), in any subsequent Reports Report of Examination, by internal or external loan review, or in any list provided to management by the National Bank Examiners during any supervisory activityexamination. (2) Within sixty (60) days, the Board shall adopt, implement, and thereafter ensure Bank adherence to a written program plan designed to eliminate the basis of criticism of assets on each asset criticized in the XXX, in any subsequent Reports Report of Examination, or by any internal or external loan review, or in any list provided to management by the National Bank Examiners during any examination as "“doubtful," "” “substandard," ” or "“special mention." This program ” with balances that equal or exceed one hundred thousand dollars ($100,000) (“Workout Plan”). Each Workout Plan shall include, at a minimum: (a) an identification of the expected sources of repayment; (b) the appraised current market value of supporting collateral and the position of the Bank's ’s lien on such collateral where applicable; (c) an analysis of current and satisfactory credit information, including cash flow analysis where loans are to be repaid from operations; and (d) the proposed action or actions to eliminate the basis of criticism and the time frame for its their accomplishment. (3) Upon adoption, a copy of the program for all criticized assets equal to or exceeding $100 thousand dollars ($100,000) each Workout Plan shall be forwarded to the ADCAssistant Deputy Comptroller. (4) The Board, or a designated committee, full Board shall conduct a review, on at least a quarterly basis, to determine: (a) the status of each criticized asset that equal or criticized portion thereof that equals or exceeds $100 exceed one hundred thousand dollars ($100,000); (b) management's ’s adherence to the program adopted pursuant to this ArticleWorkout Plan for each criticized asset; (c) the status and effectiveness of the written programWorkout Plan adopted pursuant to this Article; and (d) the need to revise the program Workout Plan or take alternative action. (5) A copy of each review and all of the revised Workout Plans shall be forwarded to the ADC on a quarterly basis (in a format similar to Appendix A, attached hereto)Assistant Deputy Comptroller. (6) The Bank may extend credit, directly or indirectly, including renewals, 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 National Bank Examiners during any examination and whose aggregate loans or other extensions of credit equal or exceed $100 one hundred thousand dollars ($100,000) only if each of the following conditions is met: (a) the Board (or designated a delegated committee thereof) finds that the extension of additional credit is necessary to promote the best interests of the Bank and that prior to renewing, extending or capitalizing any additional credit, a majority of the full Board (or designated committeea delegated committee thereof) 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 written program adopted pursuant to this Article Workout Plan shows that the Board's formal plan to collect or strengthen the criticized asset will not be compromised. (7) A copy of the approval of the Board or committee approval required by paragraph (6)(a) of the designated committee this Article shall be maintained in the credit file of the affected borrowerborrower(s) and a centralized file for review by the Board, senior management, loan review, and examiners. (8) The Board shall ensure the Bank has policies, processes, personnel, and control systems to ensure compliance with this Article.

CRITICIZED ASSETS. (1) The Bank shall take immediate and continuing action to protect its interest in those assets criticized (those listed as “special mention,” “substandard,” or “doubtful”) in the XXX, in any subsequent Reports Report of Examination, by any internal or external loan review, or in any list provided to management by the National Bank Examiners during any supervisory activityOCC correspondence. (2) Within sixty (60) days, the The Board shall adopt, implement, and thereafter take all necessary steps to ensure Bank adherence to a written program designed to eliminate the basis of criticism of assets criticized in the XXX, in any subsequent Reports Report of ExaminationExamination or OCC correspondence, or by any internal or external loan review, or in any list provided to management by the National Bank Examiners during any examination as "doubtful," "substandard," or "special mention." . This program shall include, at a minimum: (a) an identification of the expected sources of repayment; (b) the appraised value of supporting collateral and the position of the Bank's ’s lien on such collateral where applicable; (c) an analysis of current and satisfactory credit information, including cash flow analysis where loans are to be repaid from operations; and (d) the proposed action to eliminate the basis of criticism and the time frame for its accomplishment. (3) Upon adoption, a copy of the program for all criticized assets equal to or exceeding $100 thousand dollars ($100,000) shall be forwarded to the ADC. (4) The Board, or a designated committee, which may include or be constituted of, members of the current risk management team, 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 $100 three hundred thousand dollars ($100,000300,000); (b) management's ’s adherence to the program adopted pursuant to this Article; (c) the status and effectiveness of the written program; and (d) the need to revise the program or take alternative action. (5) A copy of each review shall be forwarded to the ADC on a quarterly basis (in a format similar to Appendix A, attached hereto). (64) The Bank may extend credit, directly or indirectly, including renewals, 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 National Bank Examiners during any examination OCC correspondence and whose aggregate loans or other extensions exceed $100 three hundred thousand dollars ($100,000) 300,000), only if each of the following conditions is are met: (a) the Board or its designated committee finds that the extension of additional credit is necessary to promote the best interests of the Bank and that prior to renewing, extending extending, or capitalizing any additional credit, a majority of the full Board (or its designated committeecommittee that must include at least one external director) approves the credit extension and records, in writing, why and documents the reasons such extension is necessary to promote the best interests of the Bank; and (b) a comparison to the written program adopted pursuant to this Article shows that the Board's ’s formal plan to collect or strengthen the criticized asset will not be compromised. (75) A copy of the approval of the Board or of the its designated committee shall be maintained in the credit file of the affected borrower.

CRITICIZED ASSETS. (1) The Bank shall take immediate and continuing action to protect its interest in those assets criticized in the XXX, in any subsequent Reports of Examination, by internal or external loan review, or in any list provided to management by the National Bank Examiners during any supervisory activity. (2( 1 ) Within sixty ninety (6090) days, the Board shall adopt, implement, and thereafter ensure Bank adherence to a written program designed to eliminate the basis weaknesses of criticism of criticized assets criticized described in the XXX, in any subsequent Reports Report of Examination, or by any internal or external loan review, or in any list provided to management by the National Bank Examiners during any examination as examination, or any list maintained by the Bank of assets designated "doubtful," "substandard," or "special mention." This program shall include, at a minimum: (a) the development of written actions plans for each criticized borrower with an aggregate outstanding balance of one hundred thousand dollars ($100,000) or more or when total exposure on SBA guaranteed loan balance is one hundred thousand dollars ($100,000) or more. At a minimum, these action plans should include those items outlined in the XXX as well as the following: (i) an identification of the expected sources of repayment; (bii) the appraised value of supporting collateral and the position of the Bank's lien on such collateral where applicable; (ciii) an analysis of current and satisfactory credit information, including cash flow analysis where loans are to be repaid from operations; and (div) the proposed action to eliminate the basis of criticism and the time frame for its accomplishment. (3b) Upon adoption, the development of a copy of process whereby the program for all criticized assets equal to or exceeding $100 thousand dollars ($100,000) shall be forwarded to the ADC. (4) The Board, or a designated committee, shall conduct a review, on at least a quarterly basis, to determine: (ai) the status of each criticized asset or criticized portion thereof that equals or exceeds $100 one hundred thousand dollars ($100,000); (bii) management's adherence to the program adopted pursuant to this Article; (ciii) the status and effectiveness of the written program; and (div) the need to revise the program or take alternative action. (5) A copy of each review shall be forwarded to the ADC on a quarterly basis (in a format similar to Appendix A, attached hereto). (6) The Bank may extend credit, directly or indirectly, including renewals, 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 National Bank Examiners during any examination and whose aggregate loans or other extensions exceed $100 thousand ($100,000) 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 that prior to renewing, extending or capitalizing 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 written program adopted pursuant to this Article shows that the Board's formal plan to collect or strengthen the criticized asset will not be compromised. (7) A copy of the approval of the Board or of the designated committee 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 criticized in the XXXRXX, in and any subsequent Reports Report of Examination, by internal or external loan review, or in any list provided to management by the National Bank Examiners during any supervisory activityexamination. (2) Within sixty one hundred and twenty (60120) days, the Board shall adopt, implement, and thereafter ensure Bank adherence to a written program designed to eliminate the basis of criticism of assets criticized each problem asset in the XXXRXX, in any subsequent Reports Report of Examination, or by any internal or external loan review, or in any list provided to management by the National Bank Examiners during any examination as designated "doubtful," "substandard," or "special mention." This program shall include, at a minimum: (a) the development of written action plans for each criticized borrower with an aggregate outstanding balance of one hundred thousand dollars ($100,000) or more or when total exposure on SBA guaranteed loan balance is one hundred thousand dollars ($100,000) or more. At a minimum, these action plans should include those items outlined in the RXX as well as the following: (i) an identification of the expected sources of repayment; (bii) the appraised value of supporting collateral and the position of the Bank's lien on such collateral where applicable; (ciii) an analysis of current and satisfactory credit information, including cash flow analysis where loans are to be repaid from operations; and (div) the proposed action to eliminate the basis of criticism and the time frame for its accomplishment. (3b) Upon adoption, a copy of the program for all criticized assets equal to or exceeding $100 thousand dollars ($100,000The written action plans outlined in subparagraph 2(a) shall be forwarded produced and presented to the ADCBoard on a quarterly basis. (43) The Board, or a designated committeecommittee composed of a quorum of outside directors, shall conduct a reviewreview of the written action plans, on at least a quarterly basis, to determine: (a) the status of each criticized asset or criticized portion thereof that equals or exceeds $100 one hundred thousand dollars ($100,000); (b) management's adherence to the program adopted pursuant to this Article; (c) the status and effectiveness of the written program; and (d) the need to revise the program or take alternative action. (54) A Upon adoption, and quarterly thereafter, a copy of each review the written action plans for all criticized assets equal to or exceeding one hundred thousand dollars ($100,000) along with the Board's response shall be forwarded to the ADC on a quarterly basis (in a format similar to Appendix A, attached hereto)Assistant Deputy Comptroller. (65) The Bank may extend credit, directly or indirectly, including renewals, extensions or capitalization of accrued interest, to a borrower whose loans or other extensions of credit are criticized in the XXXRXX, in any subsequent Report of Examination, in any internal or external loan review, or in any list provided to management by the National Bank Examiners during any examination and whose aggregate loans or other extensions exceed $100 one hundred thousand dollars ($100,000) 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 that prior to renewing, extending or capitalizing 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 written program adopted pursuant to this Article shows that the Board's formal plan to collect or strengthen the criticized asset will not be compromised. (76) A copy of the approval of the Board or of the designated committee shall be maintained in the file of the affected borrower. (7) The Board shall ensure that the Bank has processes, personnel, and control systems to ensure implementation of and adherence to the plan developed pursuant to this Article.