Brandon Root's questions to PEOPLES BANCORP (PEBO) leadership • Q2 2025
Question
Brandon Root, on behalf of Stephens Inc., asked for the industry of the recently downgraded commercial relationship and the bank's total exposure to that sector. He also sought clarification on the drivers behind the expected plateau in leasing charge-offs and the current spread between maturing commercial loans and new production yields.
Answer
President & CEO Tyler Wilcox identified the downgraded credit as a C&I loan to a wholesaler/manufacturer in Ohio, noting it was part of a granular portfolio with no specific industry concentration. He explained that leasing charge-offs are materializing from the active workout of high-balance accounts in a shrinking portfolio. CFO Kathryn Bailey added that loan spreads have been stable and the bank will not compromise on credit or profitability for volume.