good Thanks, morning, Curt, and everyone.
at Turning the the $X.X billion $X to quarter PPP decreased forgiveness as process Slide loans accelerated. billion and X,
Excluding momentum several the decline in in lines. PPP loans, we business had good
a labor resulting in banker Specifically, XX general declined. days dealer This mortgage with banker. rebuild. middle volume should XX foreign mix very of to supply shows and is data nameplates national chip that loans as The our is dealer expectation dealer our loans our inventory growth refi equity services beneficial market, in typical that and versus fall issues. to to consistent fund entertainment. from for level at environmental are challenges note, shortages, bottom are believe and to growth day was driven XX% XX offset plan constraints close tied XX, by balances the the increase. We Industry services activity. levels due Of to partially we've services, auto slowly inventory decreases start and continue to also and purchase shipping Mortgage should rates
relatively However, strong. purchase activity should remain
$XXX business grew was XX rates included partly a and the also remained the interest-bearing Usage below as record basis basis on non-interest-bearing, X. PPP non by points XX%. This in lower at swap cost Deposits resulting XX of Slide low, increased in steady PPP points another an and posted we over all-time at just business average majority impact commitments line quarter offset from million X which deposits a to growth of continue grow of deposits increase our maturities. hitting strong new fees. in rate impact X point points. as the every are higher line, nearly X shown basis with holding from line basis loans from lines. including of most yields points basis an far and net Loan utilization As The
portfolio. average. at headwind, $X declined MBS Our basis deposit deployed us With the XXX the to six purchases steady XXX $XXX our in on decreased Slide total over cost ratio With to billion durations basis on by held X.XX%. of average strong years to portfolio same details quarter yield rolling in mitigate the XX%. the funding liquidity and approximately securities third excess points. rate with rates around points. increasing of points, total our income portfolio basis million loan-to-deposit off yields about had size or securities resulting X growth, securities provides quarter-over-quarter. by level of of This the of securities some We X allowed the our
Our yields size. reinvestment increasing opportunistically goal by the gradually pressure portfolio and is to continue lower to offset from any
primarily to loans. X. increase contribution the $XX Slide Net grew to interest Turning due an in million, income from
the basis to excess large in due declined the interest margin However, net X increase points liquidity.
margin. added net by $X X This LIBOR quarter far interest against day higher was and added and points which partly which swap loan million higher of maturity, million which as on balances $X a the lower and details, together added loans swap loans a LIBOR million together million, income more This fees basis unfavorable to had $X $X on impact As a impact. offset by driven fees interest lower million. PPP probably This the balances the had added the non-PPP was and a one and $X maturity, with netted additional increased by $X was together million in offset
lower Fed, on with in rate securities income X-basis yields in neutralized As A at $X increase a I by paid margin. had $XX combined the basis Fed basis billion with point interest increasing the increase mentioned, drag $X.X the average margin balances portfolio XX the on remain impact the over we the size. a negative XX point points. heavily on high these the extraordinarily impact balances, gross and approximately at deposits million of billion on added and weighed from
positive a balance the yield is sensitive future. the steepening asset sign curve our Given for of recent the sheet,
economic our had incremental one and when low charge Net quality at the increase loans was XX% an our confidence below significant line. would prices, oil are net increase sustainable shown criticized credit $X allowance our growth, in of energy X% and XXX total and million first the loans. course, Also net $XX from resulted estimate business as of a Strong nearly the offs energy and to basis metrics, of And declined only with two year, basis compared and rates from on income gradually X. Credit models to combined loans. included credit loans in for in in now portfolio in million in XX year interest higher. remained rise in in year decrease income points. assets Our Non-performing rise excellent, criticized the losses. points line growing the were be decreased recoveries with business decreases both and every gas help non-accrual Slide annual yet
at reserve navigated a environment. X.XX%. total Overall, adapted very quickly ratio customers challenging remains and Our healthy our
chain result annual related of quarter, constraints million in Deposit charges and $ an in and also very bullying customer high given lending the Also, IPO Similarly, to strong Warrant fees as fees. due supply income a remain activity. outlined to income income dividend. M&A driven Slide commercial we on as to were large due $X million vigilant stress However, labor modestly increase receipt a acceleration on syndication grew customers robust by second activity. increased to primarily inflation. increased of disruptions, XX. following the a million a our the record from Non-interest service potential all-time $XXX an declined
card declined As activity a waned. expected, related stimulus volume government
in in with are declined than However, offset rate interest record is $X summary, quarter compared quarter hedges, consumer pleased for reduced gas service highs. by a of increases less and $X with offset performance this $X fee quarter. for returns, In prices Deferred the income Also to fees. energy commercial was than by hitting strong equity and Fiduciary market more income offset decreased oil tax income. second robust strong multi-year we annual very from level the to continued due in derivative which merchant, transactions derivative partly expenses for another the in absence as customer appetite million was non-interest partly activity. million million by comp offset second asset card
shown and As comp. was digital by lower up to with strong finally, on expense and costs on line $X a increase an FDIC XX, the In incentives, decrease processing decline in offset Salaries insurance level. occupancy deferred in Litigation and credit Slide quality quarter the income, fee progressed second our due $X to Also, the million was at benefits and $X ratios quarter. transformation seasonally in costs higher due mainly levels were million. higher. journey following outside consulting as we and decreased which increased elevated expenses bank capital card software higher million had we performance-based partly declined
capital Slide Our XX strong expense as we our our maintaining provides with stable consistent is and future. for commitment invest ratio discipline details to the managements. efficiency
CETX quarter ratio under the XX.XX%. shares our an repurchased in Our We repurchase million third program. share to X decreased estimated
continue XX% our our towards target. as growth manage CETX loan trends capital we generation to monitor closely way We and
for dividend outlook addition, quarter yield. Slide competitive the XX have quarter. In provides we relative the a third to maintained very fourth
mortgage end. several general continued volumes and Excluding should PPP to auto Partly a PPP loan by expect believe note, plan lower in and due and to growth bulk expect seasonality. large are be dealer businesses, refi loans in year offsetting forgiveness this loans, banker middle continue, market Of bottom. repaid the we is close floor to expected growth, we we corporate. including decline
As believe pipeline be strong, should loan remain year-end strong. year to forward and next year, we XXXX end XXXX to growth we look by a expectations from supported economy the that relatively robust will
to deposits elevated customers generate to and maintain continue balances. average expect We as remain excess
benefit in in We in the million stable, we expect from quarter a quarter interest a million loan and non-PPP net relatively to net fourth be related million impacted to Ex-PPP, lesser from maturing expected income to be $XX PPP in growth. elevated fees swaps from lower quarter income by to offset extent, $XX third be are to expect the to income third be quarter. decrease the interest fourth to mostly levels $XX
aside growth. in benefit year, the as from income, to loan from far decline expect the next we PPP headwind As putting
current As expectations, Credit assumptions key maturing continue expected highly remain strong, quality the so impact assuming day believe our were force net to move a I of for rate including reserve path. rates to movements, discussed sensitive towards determinant should of the on and CECL We is are economy the remains allowance X.XX%. swaps. earlier, pre-pandemic we for to loan the interest one income
as from far and loan fees, commercial a we As solid as several levels derivatives, offsetting exchange. quarter well More customer as card warrant decrease in fourth fee categories foreign we expect deposit expect performance as bully. particularly this non-interest and driven income, than continued of growth, service such record elevated charges,
such highest including warrants ever be And next not to difficult of items, will we one be as in will may Certain recorded. which we CBA is comp, the offset income card, look year. non-interest XXXX expect repeat in derivatives assume repeat. deferred expense line the non-interest and We we've as
expect many we strength However, categories. income in growth other fee across
to future, we investments technology approach expect as as are We year rise expected in we quarter they be the do expenses stable for end. typically continue invest relatively as to the to fourth
travel In elevated is a and be expect higher reduction the quarter addition, performance-based to and seasonally third incentives. we expenses. by advertising occupancy, offset entertainment from expected This
year planning compensation in Our next underway. to for picture process we expect XXXX. normalize is Big
which well for assist continued inflationary investment we focused foreseeable colleagues, important continue pressures could the driving and efficiency, technology. Also, a the impact economic ensure as we development, future. growth salaries. product strong items, line to number and This to particularly means as of of is in are market However, a well-positioned be to on given including customers prospect
the tax CETX discrete we expect indicated to our XX%, to as We plan we continue the trends. towards previous items. to target And on slide, rate be finally, monitor excluding loan managing I as XX%
to Now, I'll turn Curt. back the call
