Michael, you see it like I see it. There’s got to be similar fallout and got to be some opportunities coming up. I mean, our regulators told, Tracy said, and I think I’ve said this before, but just months ago said save your money. But I’ve talked to some people lately. There may be some more stuff coming. I think there’s another bank that blew up here in the last week or so and there’ll be – I think there’ll be more coming. So hopefully we’ll get an opportunity to play in that arena and we got the muscle to play. So that’s – you got to be careful, you want to spend your money, spend it properly in the right direction. So you remember ‘08, ‘09, ‘10, ‘11, how much money we made on those trades in that time. So, I believe there’s going to be another bite at the apple here before long.
M&A is kind of off the table. By the time you mark all this stuff. It, it makes it really difficult. So maybe it’s going to be government kind of stuff that you do. But we’re open to whatever makes sense, you know that. You know how we’re business people first and bankers second. So if it’s an opportunity that makes sense for Home, we’ll do it. I don’t know if I got you – if I answered the question
Michael Rose: Yes. No, it totally makes sense. And hopefully you make some money on this property on Ocean Avenue. It looks pretty sweet, a lot better than my office here in Gray, Illinois.
John Allison: If you want to move out there to that property, well, I’ll fly you out and you can sign a lease. I’m thinking about Chris moved his office in there, so the vacant space, I’m thinking about charging him enough on the vacant space to get it cash flowing positive,
Michael Rose: I got all the property taxes I need here in Illinois, so I’m good.
Operator: Our next question comes from the line of Brian Martin with Janney.
Brian Martin: Say most of mine have been answered. Just a few items here. Just back to the fee income for one section, it was a pretty notable decline in the other line item in the fee income section. So, I thought maybe you could give a little bit of color on that. I think Brian talked about last quarter the equity investments were a bit elevated. But even with that, it still seemed like it was a greater decline on the fee income side. Curious if there’s anything else in there.
Brian Davis: No, I’ll give you the answer to that. It’s down $9 million. And you’re right, we had $7.5 million in our equity investments last quarter versus $858 million this quarter. So that’s a decline of $6.6 million. The other piece of the decline is we had BOLI life insurance income from a death benefit last quarter of $2.8 million, and we had another one this quarter and it was $338,000, and that’s a decline of $2.5 billion – I mean, $2.5 million. And so, those two combined are the primary decrease of the $9 million.
Brian Martin: Okay, appreciate it, Brian. And then just on maybe over – I guess, for the criticized and classified trends, I mean, can you give any color on the trends this quarter, obviously, with the NPAs going up to classified, but maybe just criticize or is it similar trends that you’re seeing there? And anything on the criticized side?
Brian Davis: There’s been a little bit from a smaller standpoint, nothing that I would call systemic, but I mean it’s just some of the smaller stuff, both on a classified and criticized, I mean, I think you’ll see those number. But I mean, we’ve been really low over the past four to eight quarters, So anything, it’s an increase.
Brian Martin: Got you. Okay, so it’s small.
John Allison: We had some we resold the property and you left them criticized over the member care deals just to be sure it was abundance of safety.
Brian Davis: Yes, those are the memory care deals we did two quarters ago. And – I mean we still left them in there just because we want them to prove out, right, even with the new equity and everything we expect there. So we’re – as we do with everything else, we’re pretty conservative in our grading.
Brian Martin: Yes, okay. I just want to make sure that. And then lastly, just so I have the right numbers. On the loans that are renewing in the fourth quarter, what’s renewing in the fourth quarter versus all of next year? And then they’re just all roughly going from 5% type of level to the new rates are 9.5% to 10%. Is that accurate?
Stephen Tipton: Yes, that’s – Brian, it’s Stephen. I think there’s about $200 million – a little over $200 million, $203 million. That’s 5% range or below that’s maturing this quarter, and then it’s a little over 800 next year. So, we should be – we should be able to pull those up 400-ish plus basis points we talked about earlier.
Operator: There are no questions registered at this time, so I will pass the conference back over to Mr. Allison for closing remarks.
John Allison: Thank you very much. I really think we’ve said it all today. Thank you for your attendance. And we’ll say hello to our friends in love with Texas today. They’re on the phone. So anyway, I appreciate everyone’s support of Home BancShares and give us – we’ll talk to you in 90 days. Thank you.
Operator: That concludes today’s call. Thank you for your participation. You may now disconnect your line.
