56585493cf4439ba5ea8f02d63709933e0f2c7fb84f92476baa91bd36f376db0

The low **cash and cash equivalents** in Q1 2024 are primarily due to a significant reduction of **$565.7 million** during the quarter. This decrease occurred as the company used cash to partially fund the maturity of its **Bank Term Funding Program (BTFP) borrowings**. Specifically, while repaying **$2.740 billion** in BTFP borrowings, the company utilized a combination of **$2.140 billion in Federal Home Loan Bank borrowings** and cash, leading to a net reduction of **$600 million in borrowings**, which contributed to the low cash balance in Q1 2024.  **[0000868671-24-000058_gbci-03312024xex991.htm:3]** **[0000868671-24-000064_gbci-20240331.htm:2]** **[0000868671-24-000064_gbci-20240331.htm:57]** **[0000868671-24-000058_gbci-03312024xex991.htm:6]** 

Why are cash and cash equivalents so low in Q1 2024?

The sharp drop in **interest-bearing cash deposits** in Q1 2024 was driven by the company utilizing cash to partially fund the maturity of its **Bank Term Funding Program (BTFP)** borrowings. Specifically, **GBCI repaid $2.740 billion in BTFP borrowings** during the quarter by using a combination of **$2.140 billion in Federal Home Loan Bank borrowings** and cash. This approach resulted in a net reduction of borrowings by **$600 million**, which directly contributed to the reduction in cash deposits.  **[0000868671-24-000064_gbci-20240331.htm:2]** **[0000868671-24-000058_gbci-03312024xex991.htm:14]** 

What drove the sharp drop in interest bearing cash deposits in Q1 2024?

The lower total debt securities in Q3 2024 were driven by several key factors. **First**, there was a **quarterly decline** resulting from reductions in both **available-for-sale** and **held-to-maturity** securities, leading to a decrease of **$115 million** compared to the prior quarter.  **[0000868671-24-000094_gbci-20240930.htm:61]** **[0000868671-24-000089_gbci-09302024xex991.htm:4]**  **Second**, the year-over-year decline of **$510 million** (a **6% drop**) highlights a broader reduction compared to Q3 2023.  **[0000868671-24-000094_gbci-20240930.htm:61]** **[0000868671-24-000089_gbci-09302024xex991.htm:4]**  **Third**, there was a **shift in asset allocation**, with debt securities as a percentage of total assets decreasing from **30%** to **28%**, suggesting reallocation towards other investments.  **[0000868671-24-000094_gbci-20240930.htm:61]** **[0000868671-24-000089_gbci-09302024xex991.htm:4]**  **Lastly**, adverse **market conditions**, particularly the declining fair value of residential and commercial mortgage-backed securities, further contributed to this reduction.  **[0000868671-24-000094_gbci-20240930.htm:25]** 

What factors contributed to the lower total debt securities in Q3 2024?

d01cebffc806d5ed5f646b752ae276578c0862cc0d2290fb9cbacf6447e01f26

b31ea67c84585fe202a199758bbff6a107e8a70d2e3d5cc263f44450fa3a0e06

Interest Income - Investment securities (USD, thousands)

Interest Income - Residential real estate loans (USD, thousands)

Interest Income - Commercial loans (USD, thousands)

Interest Income - Consumer and other loans (USD, thousands)

Total Interest Income (USD, thousands)

Interest Expense - Deposits (USD, thousands)

Interest Expense - Securities sold under agreements to repurchase (USD, thousands)

Interest Expense - Federal Home Loan Bank advances (USD, thousands)

Interest Expense - FRB Bank Term Funding (USD, thousands)

Interest Expense - Other borrowed funds (USD, thousands)

Interest Expense - Subordinated debentures (USD, thousands)

Total Interest Expense (USD, thousands)

Net Interest Income (USD, thousands)

Provision for credit losses (USD, thousands)

Net interest income after provision for credit losses (USD, thousands)

Non-Interest Income - Service charges and other fees (USD, thousands)

Non-Interest Income - Miscellaneous loan fees and charges (USD, thousands)

Non-Interest Income - Gain on sale of loans (USD, thousands)

Non-Interest Income - Gain (loss) on sale of securities (USD, thousands)

Non-Interest Income - Other income (USD, thousands)

Total Non-Interest Income (USD, thousands)

Non-Interest Expense - Compensation and employee benefits (USD, thousands)

Non-Interest Expense - Occupancy and equipment (USD, thousands)

Non-Interest Expense - Advertising and promotions (USD, thousands)

Non-Interest Expense - Data processing (USD, thousands)

Non-Interest Expense - Other real estate owned and foreclosed assets (USD, thousands)

Non-Interest Expense - Regulatory assessments and insurance (USD, thousands)

Non-Interest Expense - Intangibles amortization / Core deposit intangibles amortization (USD, thousands)

Glacier Bancorp Inc (GBCI)

Financials