Q2 2026 Laurentian Bank of Canada Earnings Call

May 29, 2026

Speaker #2: Please go ahead, Raphael. Bonjour à tous. Good morning, and thank you for joining us. Today's opening remarks will be delivered by Eric Provost, President and CEO, and a review of the second quarter financial results will be presented by Yvan Deschamps, Executive Vice President and CFO.

Raphaël Ambeault: Bonjour a tous. Good morning and thank you for joining us. Today's opening remark will be delivered by Éric Provost, President and CEO, and the review of the Q2 financial result will be presented by Yvan Deschamps, Executive Vice President and CFO. After which, we'll invite questions from the phone. Also joining us for the question period is Christian De Broux, Executive Vice President and CRO. All documents pertaining to the quarter can be found on our website in the investor relations section. I'd like to remind you that during this conference call, forward-looking statement may be made, and it is possible that actual results may differ materially from those projected in such statements. For the complete cautionary note regarding forward-looking statement, please refer to our press release or to slide two of the presentation.

Speaker #2: After which, we'll invite questions from the phone. Also joining us for the question period is the President and CRO. All documents pertaining to the quarter can be found on our website, in the Investor Relations section.

Speaker #2: I'd like to remind you that during this conference call, forward-looking statements may be made, and it is possible that actual results may differ materially from those projected in such statements.

Speaker #2: For the complete cautionary note regarding forward-looking statements, please refer to our press release or to slide 2 of the presentation. I would also like to remind listeners that the bank assesses its performance on a reported and adjusted basis, and considers both to be useful in assessing underlying business performance.

Raphaël Ambeault: I would also like to remind listeners that the bank assesses its performance on a reported and adjusted basis and consider both to be useful in assessing underlying business performance. Éric and Yvan will be referring to adjusted results in their remarks, unless otherwise noted as reported. I will now turn the call over to Éric.

Speaker #2: Eric and Yvan, we'll be referring to adjusted results in their remarks, unless otherwise noted as reported. I will now turn the call over to Eric.

Speaker #3: Merci, Raphael. Bonjour à tous et bienvenue à notre conférence téléphonique pour le deuxième trimestre de 2026. Good morning, and thank you for being with us today.

Éric Provost: Merci, Raphaël. Bonjour à tous et bienvenue à notre conférence téléphonique pour le Q2 de 2026. Good morning. Thank you for being with us today. Our focus continued to be firmly anchored in serving our customers and managing our operations with discipline. I would like to begin by thanking our employees for their focus and commitment during this challenging period as we navigate an uncertain macroeconomic environment while supporting the migration and sale process, and while continuing to effectively manage the bank's day-to-day operations. Moving on to our loan performance, our commercial specialization teams delivered another strong quarter in driving solid performance with combined commercial loan growth of 2.4%, excluding the syndication portfolio sale. Inventory financing performed well with loan growth of 5% quarter-over-quarter, while our dealer base grew by 4%, highlighting the continued expansion of our network.

Éric Provost: Merci, Raphaël. [Foreign Language]. Good morning. Thank you for being with us today. Our focus continued to be firmly anchored in serving our customers and managing our operations with discipline. I would like to begin by thanking our employees for their focus and commitment during this challenging period as we navigate an uncertain macroeconomic environment while supporting the migration and sale process, and while continuing to effectively manage the bank's day-to-day operations. Moving on to our loan performance, our commercial specialization teams delivered another strong quarter in driving solid performance with combined commercial loan growth of 2.4%, excluding the syndication portfolio sale. Inventory financing performed well with loan growth of 5% quarter-over-quarter, while our dealer base grew by 4%, highlighting the continued expansion of our network.

Raphaël Ambeault: [Foreign Language]. Good morning and thank you for joining us. Today's opening remark will be delivered by Éric Provost, President and CEO, and the review of the Q2 financial result will be presented by Yvan Deschamps, Executive Vice President and CFO. After which, we'll invite questions from the phone. Also joining us for the question period is Christian De Broux, Executive Vice President and CRO. All documents pertaining to the quarter can be found on our website in the investor relations section. I'd like to remind you that during this conference call, forward-looking statement may be made, and it is possible that actual results may differ materially from those projected in such statements. For the complete cautionary note regarding forward-looking statement, please refer to our press release or to slide two of the presentation.

Speaker #3: Our focus continues to be firmly anchored in serving our customers and managing our operations with discipline. I would like to begin by thanking our employees for their focus and commitment during this challenging period, as we navigate an uncertain macroeconomic environment while supporting the migration and sale process, and while continuing to effectively manage the bank's day-to-day operations.

Speaker #3: Moving on to our loan performance, our commercial specialization teams delivered another strong quarter, driving solid performance with combined commercial loan growth of 2.4%, excluding the syndication portfolio sale.

Speaker #3: Inventory financing performed well, with loan growth of 5% quarter over quarter, while our dealer base grew by 4%, highlighting the continued expansion of our network.

Speaker #3: In commercial real estate, the portfolio grew by 1% quarter over quarter, while the pipeline increased by 9%, positioning us well for future growth. Overall, our commercial specialization continued to deliver high-quality growth, fully aligned with our transformation plan.

Éric Provost: In commercial real estate, the portfolio grew by 1% quarter over quarter, while the pipeline increased by 9%, positioning us well for future growth. Overall, our commercial specialization continued to deliver high-quality growth fully aligned with our transformation plan. In terms of provisions for credit losses, the ratio increased to 31 basis points, primarily driven by a single large commercial file in an industry where we no longer operate. Importantly, this remains an isolated situation, and we are confident that our portfolio is appropriately reserved, reflecting its overall quality and performance. This quarter marked meaningful progress in advancing the announced transactions with National Bank and Fairstone, with several key milestones achieved. As a reminder, closing remains subject to regulatory approvals and other closing conditions.

Speaker #3: In terms of provisions for credit losses, the ratio increased to 31 basis points, primarily driven by a single large commercial file in an industry where we no longer operate.

Speaker #3: Importantly, this remains an isolated situation, and we are confident that our portfolio is appropriately reserved, reflecting its overall quality and performance. This quarter marked meaningful progress in advancing the announced transactions with National Bank and Firestone, with several key milestones achieved.

Speaker #3: As a reminder, closing remains subject to regulatory approvals and other closing conditions. We have made solid progress on both fronts and, as things stand, the Competition Act approval condition for both transactions has been satisfied, provided that there is no change in circumstances relating to the Competition Bureau.

Éric Provost: We have made solid progress on both fronts, and as things stand, the Competition Act approval condition for both transactions has been satisfied, provided that there is no change in circumstances relating to the Competition Bureau. Operationally, the portfolio migration is progressing well and remains on track. Based on our current trajectory, we continue to expect both transactions to close by the end of 2026. I will now turn the call over to Yvan to review our financial performance.

Speaker #3: Operationally, the portfolio migration is progressing well and remains on track. Based on our current trajectory, we continue to expect both transactions to close by the end of 2026.

Speaker #3: I will now turn the call over to Yvan to review our financial performance.

Yvan Deschamps: [Foreign Language], Éric. [Foreign Language]. I would like to begin by turning to slide six, which has been added to provide details on the adjusting items for Q2 2026, which totaled CAD 43.2 million after tax, or CAD 0.96 per share. We recorded the following charges stemming from the transactions announced in December on an after-tax basis. Severance and employee benefits for CAD 12.9 million. Accelerated amortization of software and other intangible assets for CAD 7.8 million. Charges related to onerous contracts, leases, and other for CAD 1.4 million. Impairment of premises and equipment for CAD 900,000. Transaction and conversion costs for CAD 3.7 million. During the quarter, we also announced the closing of the syndicated loan transaction, which resulted in a net loss of CAD 16.6 million after tax. Quarterly comparison is available on slide 21 and in the Q2 report to shareholders.

Speaker #2: Merci, Eric, et bonjour à tous. I would like to begin by turning to slide 6, which has been handed out to provide details on the adjusting items for the second quarter of 2026.

Yvan Deschamps: Merci, Éric. Bonjour à tous. I would like to begin by turning to slide six, which has been added to provide details on the adjusting items for Q2 2026, which totaled CAD 43.2 million after tax, or CAD 0.96 per share. We recorded the following charges stemming from the transactions announced in December on an after-tax basis. Severance and employee benefits for CAD 12.9 million. Accelerated amortization of software and other intangible assets for CAD 7.8 million. Charges related to onerous contracts, leases, and other for CAD 1.4 million. Impairment of premises and equipment for CAD 900,000. Transaction and conversion costs for CAD 3.7 million. During the quarter, we also announced the closing of the syndicated loan transaction, which resulted in a net loss of CAD 16.6 million after tax. Quarterly comparison is available on slide 21 and in the Q2 report to shareholders.

Speaker #2: Which totaled $43.2 million after tax, or $0.96 per share. We recorded the following charges stemming from the transactions announced in December, on an after-tax basis.

Speaker #2: Severance and employee benefits for $12.9 million. Accelerated amortization of software and other intangible assets for $7.8 million. Charges related to any risk contracts, leases, and others for $1.4 million.

Speaker #2: Impairment of premises and equipment for $900,000. Transaction and conversion costs for $3.7 million. During the quarter, we also announced the closing of the syndicated loan transaction, which resulted in a net loss of $16.6 million after tax.

Speaker #2: Quarterly comparison is available on slide 21 and in the second quarter report to shareholders. Turning to slide 7, it highlights the bank's financial performance for the second quarter of 2026.

Yvan Deschamps: Turning to slide seven, it highlights the bank's financial performance for Q2 2026. On a reported basis, total revenue for the quarter was CAD 213.7 million, down 12% compared to last year, and 15% quarter over quarter. Net loss and diluted loss per share were CAD 20.6 million and CAD 0.50 respectively. The remainder of my comments will be on an adjusted basis and also be on a total loans and total deposits basis as the balance sheet outlines separately for Q2 the assets held for sale and the liabilities directly associated with them. Total revenue for the quarter was CAD 236.2 million, down 3% compared to last year and 6% quarter over quarter. The diluted EPS of CAD 0.46 decreased by 37% year over year and by 29% quarter over quarter. Net income of CAD 22.6 million was down by 33% compared to last year and was down by 34% sequentially.

Speaker #2: On a reported basis, total revenue for the quarter was 213.7 million dollars, down 12% compared to last year, and 15% quarter over quarter. Net loss and diluted loss per share were 20.6 million dollars and 50 cents, respectively.

Speaker #2: The remainder of my comments will be on an adjusted basis, and also on a total loans and total deposits basis, as the balance sheet outlines separately for Q2 the assets held for sale and the liabilities directly associated with them.

Speaker #2: Total revenue for the quarter was $236.2 million, down 3% compared to last year, and 6% quarter over quarter. The diluted EPS of $0.46 decreased by 37% year over year, and by 29% quarter over quarter.

Speaker #2: Net income of $22.6 million was down by 33% compared to last year and was down by 34% sequentially. The bank's efficiency ratio increased by 240 basis points compared to last year due to our investments, and by 90 basis points sequentially.

Yvan Deschamps: The bank's efficiency ratio increased by 240 basis points compared to last year due to our investments and by 90 basis points sequentially. Our ROE for the quarter stood at 3.4%, down 180 basis points year over year and 110 basis points quarter over quarter. Slide eight shows net interest income up by CAD 2.8 million, or 2% year over year from the growth of average earning assets and higher commercial loan concentration. On a sequential basis, net interest income was down by CAD 9.8 million, or 5% from the shorter quarter and the impact of the syndicated loan transaction. Our net interest margin at 1.84% was down one basis point year over year and down five basis points quarter over quarter. The sequential reduction was driven by the non-recurrence of loan repricing lags and favorable repayments recorded in Q1 2026. Slide nine highlights the bank's funding position.

Speaker #2: Our ROE for the quarter stood at 3.4%, down 180 basis points year over year and 110 basis points quarter over quarter. Slide 8 shows net interest income up by $2.8 million, or 2%, year over year, from the growth of average earning assets and higher commercial loan concentration.

Speaker #2: On a sequential basis, net interest income was down by $9.8 million, or 5%, from the shorter quarter and the impact of the syndicated loan transaction.

Speaker #2: Our net interest margin at 1.84% was down 1 basis point year over year, and down 5 basis points quarter over quarter. The sequential reduction was driven by the non-recurrence of loan repricing lags and favorable repayments recorded in the first quarter of 2026.

Speaker #2: Slide 9 highlights the bank's funding position. On a sequential basis, total funding was up by $300 million from an increase of the debt-related securitization activities and wholesale deposits.

Yvan Deschamps: On a sequential basis, total funding was up by CAD 300 million from an increase of the debt-related securitization activities and wholesale deposits. The bank maintained a healthy liquidity coverage ratio through the quarter, which remained at the higher end of the industry. Slide 10 presents other income of CAD 51.1 million, which was lower by 15% compared to last year and by 10% compared to last quarter. The decrease mostly related to income from financial instruments. Slide 11 shows non-interest expenses of CAD 183.2 million, up 1% year over year and down 5% sequentially, mainly from seasonally lower salaries and employee benefits and a streamlined workforce. Slide 12 presents the CET1 ratio, which increased by 10 basis points to 11% due to the net impact of the syndicated loan transaction.

Speaker #2: The bank maintained a healthy liquidity coverage ratio throughout the quarter, which remained at the higher end of the industry. Slide 10 presents other income of $51.1 million, which was lower by 15% compared to last year, and by 10% compared to last quarter.

Speaker #2: The decrease is mostly related to income from financial instruments. Slide 11 shows non-interest expenses of $183.2 million, up 1% year over year, and down 5% sequentially, mainly from seasonally lower salaries and employee benefits, and a streamlined workforce.

Speaker #2: Slide 12 presents the CET1 ratio, which increased by 10 basis points to 11% due to the net impact of the syndicated loan transaction. Slide 13 highlights our total commercial loan portfolio, which increased by about $800 million year over year, and decreased by about $300 million sequentially, as the growth in commercial real estate and inventory financing was more than offset by the reduction due to the sale of the syndication loan portfolio in the second quarter of 2026.

Yvan Deschamps: Slide 13 highlights our total commercial loan portfolio, which increased by about CAD 800 million year over year and decreased by about CAD 300 million sequentially as the growth in commercial real estate and inventory financing was more than offset by the reduction due to the sale of the syndication loan portfolio in Q2 2026. Slide 14 provides details of our inventory financing portfolio. This quarter, utilization rates were 46%, an increase of 1% quarter over quarter. Slide 15 illustrates that two-thirds of our commercial real estate portfolio is residential, with most of it in multi-residential housing. The LTV on the uninsured multi-residential portfolio stood prudently at 60%. Slide 16 presents the bank's total residential mortgage portfolio. Total residential mortgage loans were down 3% year over year and 2% on a sequential basis. We adhere to cautious underwriting standards and are confident in the quality of our portfolio.

Speaker #2: Slide 14 provides details of our inventory financing portfolio. This quarter, utilization rates were 46%, an increase of 1% quarter over quarter. Slide 15 illustrates that two-thirds of our commercial real estate portfolio is residential, with most of it in multi-residential housing.

Speaker #2: The LTV on the uninsured multi-residential portfolio stood prudently at 60%. Slide 16 presents the bank's total residential mortgage portfolio. Total residential mortgage loans were down 3% year over year, and 2% on a sequential basis.

Speaker #2: We adhere to cautious underwriting standards and are confident in the quality of our portfolio. This is reflected in our 63% proportion of insured mortgages, and a low loan-to-value ratio of 52% on the uninsured portion.

Yvan Deschamps: This is reflected in our 63% proportion of insured mortgages and a low loan-to-value ratio of 52% on the uninsured portion. Total allowances for credit losses on slide 17 totaled CAD 181.4 million, down CAD 11.2 million compared to last quarter, mostly from lower allowances on impaired commercial loans. Turning to slide 18, the Provision for Credit Losses was CAD 26.9 million, an increase of CAD 10.2 million from a year ago from higher provision on impaired commercial loans. Sequentially, PCLs were up CAD 10.4 million for the same reasons. As a percentage of average loans, PCLs increased by 12 basis points year over year and by 13 basis points quarter over quarter to 31 basis points. Slide 19 provides an overview of impaired loans. Gross impaired loans decreased by CAD 50.6 million year over year and increased by CAD 6.7 million sequentially, driven by commercial loans.

Speaker #2: Total allowances for credit losses on slide 17 total $181.4 million, down $11.2 million compared to last quarter, mostly from lower allowances on impaired commercial loans.

Speaker #2: Turning to slide 18, the provisions for credit losses were $26.9 million, an increase of $10.2 million from a year ago, due to a higher provision on impaired commercial loans.

Speaker #2: Sequentially, PCLs were up $10.4 million for the same reasons. As a percentage of average loans, PCLs increased by 12 basis points year over year, and by 13 basis points quarter over quarter, to 31 basis points.

Speaker #2: Slide 19 provides an overview of impaired loans. Gross impaired loans decreased by $50.6 million year over year, and increased by $6.7 million sequentially, driven by commercial loans.

Speaker #2: As we look ahead to the third quarter of 2026, I would like to provide some remarks. We will incur additional transaction-related charges in Q3 in the $40 million range, pre-tax.

Yvan Deschamps: As we look ahead to Q3 2026, I would like to provide some remarks. We will incur additional transaction-related charges in Q3 in the CAD 40 million range pre-tax. This is essentially the continuance of the charges incurred or gradually amortized over the current fiscal year. We expect loans to decline by roughly 2% to 3%, mainly due to the seasonal reduction in inventory financing and a reduction in residential mortgages. The reduction in inventory financing will also drive the NIM down. Regarding the adjusted efficiency ratio, Q3 should be relatively aligned with Q2. We expect PCLs to be in the high teens. Our tax rate is also expected to be in the high teens. Capital and liquidity levels are solid and expected to remain strong for Q3.

Speaker #2: This is essentially the continuance of the charges incurred or gradually amortized over the current fiscal year. We expect loans to decline by roughly 2% to 3%, mainly due to the seasonal reduction in inventory financing and a reduction in residential mortgages.

Speaker #2: The reduction in inventory financing will also drive the NIM down. Regarding the adjusted efficiency ratio, Q3 should be relatively aligned with Q2. We expect PCLs to be in the high teens.

Speaker #2: Our tax rate is also expected to be in the high teens. Capital and liquidity levels are solid and expected to remain strong for Q3.

Speaker #2: Reminder that there is an LRCN interest payment next quarter. I will now turn the call back to the operator.

Yvan Deschamps: Reminder that there is an LRCN interest payment next quarter, and I will now turn the call back to the operator.

Speaker #1: Thank you, ladies and gentlemen. We will now begin the question-and-answer session. If you have a question, please press star, followed by one, on your touch-tone phone.

Operator: Your first question comes from Paul Holden with CIBC. Your line is now open.

Speaker #1: You will hear a prompt that your hand has been raised. Should you wish to decline from the polling process, please press star followed by the number two.

Speaker #1: If you are using a speakerphone, please lift your handset before pressing any keys. One moment, please. Again, to ask a question, please press star one.

Speaker #1: Your first question comes from Paul Holden with CIBC. Your line is now open.

Moderator: Your first question comes from Paul Holden with CIBC. Your line is now open.

Speaker #3: Oh, thank you. Good morning. It's good to see the news—yeah, good to see the news on the Competition Bureau approval. Can you give us a sense of, does that come a little bit earlier than originally planned?

Paul Holden: Thank you. Good morning.

Éric Provost: Good morning, Paul.

Paul Holden: Good to see the news on the Competition Bureau approval. Can you give us a sense of, does that come a little bit earlier than original plan? I guess the reason I ask is there's some commentary recently from regulators in terms of suggesting these transactions move faster in pace versus how they have historically. Just wondering if this transaction is indeed moving along a little bit quicker than originally expected.

Speaker #3: And I guess the reason I ask is there’s been some commentary recently from regulators suggesting that these transactions are moving at a faster pace than they have historically.

Speaker #3: So, just wondering if this transaction is indeed sort of moving along a little bit quicker than originally expected.

Speaker #4: Well, I would comment, Paul—this is Eric—that we're pretty much on track. We've been collaborating with all instances of regulatory, and we believe things are moving along as we expected.

Éric Provost: Well, I would comment, Paul, this is Éric, that we're pretty much on track. We've been collaborating with all instances of regulatory, and we believe things are moving along with what we expected. Not really earlier, just I think the timing is according to plan so far.

Speaker #4: So, not really earlier. I think the timing is according to plan so far.

Speaker #3: Okay. And that reminds me, that is end of calendar 2026?

Paul Holden: Okay. Remind me, that is end of calendar 2026?

Speaker #4: Yes. As I said in my comments, we expect this to close in '26.

Éric Provost: Yes. As I said in my comments.

Paul Holden: Yeah. Okay.

Éric Provost: we expect this to close in 2026.

Speaker #3: Okay. But that is calendar, not fiscal.

Paul Holden: Okay. That is calendar, not fiscal.

Speaker #4: It is calendar. Yep.

Éric Provost: It is calendar. Yep.

Speaker #3: Yeah, okay. Okay, thank you for that. And then, just curious—what are you seeing in terms of credit performance in the CRE book? I don't believe the higher losses this quarter are related to that.

Paul Holden: Yeah. Okay. Thank you for that. Just curious what you're seeing in terms of credit performance in the CRE book. I don't believe the higher losses this quarter are related to that, but we've certainly seen some other banks put up higher losses in CRE. Just, you commented on the LTV et cetera, but just wondering if you're seeing any higher delinquency rates or any kind of negative movement on that portfolio.

Speaker #3: But we're certainly seeing some other banks put up higher losses in CRE. You commented on the LTV, etc. But I'm just wondering if you're seeing any higher delinquency rates or any kind of negative movement on that portfolio.

Speaker #4: Yeah, thank you, Paul. Yeah, for the transaction, we highlighted that this is not CRE-related. But I would leave it to Christian for a few comments on that topic.

Éric Provost: Yeah. Thank you, Paul. Yeah. For the transaction we highlighted, this is not CRE related, but I would leave Christian for a few comments on that topic.

Speaker #5: Okay, thank you for the question. I would just say that our CRE book is performing as expected, according to historical normal variations, so no concern there.

Christian De Broux: Okay. Thank you for the question. I would just say that our CRE book is performing as expected according to historical normal variations. No concern there. The big file that we've incurred a loss on obviously is in a sector, like we said, that we've exited, so obviously not CRE.

Speaker #5: The big file that we've incurred a loss on is, obviously, in a sector, like we said, that we've exited. So, obviously, not CRE.

Speaker #3: Yeah. Okay. So, no concerns on the CRE book? Kind of performing in line with expectations?

Paul Holden: Yeah. Okay. No concerns on CRE. Book's kind of performing in line with expectations?

Speaker #5: It's performing in line. You're asking a CRO if there's no worry? No, I always worry. But by and large, we're quite comfortable with the book at this point.

Christian De Broux: It's performing in line. You're asking a CRO if there's no worry. No, I always worry. By and large, we're quite comfortable with the book at this point.

Speaker #3: Okay, that's good. And then one final question from me: it would just be, how do you think about the—I'll call it the capital stack, or the different funding layers you have in place for the business today?

Paul Holden: Okay. That's good. One final question from me would just be, how do you think about the, I'll call it the capital stack or the different funding layers you have in place for the business today, obviously particular to commercial, versus what might make sense as a private company? That question particularly comes into mind when you just mentioned the reminder on the LRCN next quarter. Is that the type of thing that still makes sense as a private company?

Speaker #3: Obviously, particularly to commercial versus what might company. So that question particularly comes into mind when you just mentioned the reminder on the LRCN next quarter.

Speaker #3: Is that the type of thing that still makes sense as a private company?

Speaker #5: Yeah, thank you for the question. This is Yvan Paul. I'll take this one. So, we are still a standalone company, so we still have the requirements in terms of capital stacks that we need to be in good standing with regulation and, obviously, with the regulator.

Yvan Deschamps: Yeah. Thank you for the question. This is Yvan, Paul. I'll take this one. We are still a standalone company, so we still have the requirements in terms of capital stacks that we need to be in good standings with regulation and with, obviously, the regulator. There's no change from a standalone perspective. Obviously, once the company gets into Fairstone will have to make his own calls on a consolidated basis. Until the closing of the transaction, we need to manage as a standalone business.

Speaker #5: So, there is no change from a standalone perspective. Obviously, once the company gets into Fairstone, Fairstone will have to make its own calls on a consolidated basis.

Speaker #5: But until the closing of the transaction, we need to manage as a standalone business.

Speaker #3: Okay. Okay. Got it. That's it for me. Thank you.

Paul Holden: Okay. Got it. That's it for me. Thank you.

Speaker #4: Thank you, Paul.

Éric Provost: Thank you, Paul.

Speaker #1: And a final reminder, ladies and gentlemen: if you have a question or comment, please press star one. This concludes the Q&A session. I will now hand the meeting over to Eric Provost for closing remarks.

Operator: A final reminder, ladies and gentlemen, if you have a question or comment, please press star one. This concludes the Q&A session. I will now hand the meeting over to Éric Provost for closing remarks.

Speaker #4: Thank you. We continue to make steady progress toward the completion of our agreements with Fairstone and National Bank, maintaining a clear focus on supporting our customers and employees.

Éric Provost: Thank you. We continue to make steady progress towards the completion of our agreements with Fairstone and National Bank on maintaining a clear focus on supporting our customers and employees. Although important steps remain, we are well-positioned and confident in our ability to execute on our priorities. I would also like to recognize and thank our employees for their dedication and continued commitment as Laurentian Bank navigates this important transition. Thank you, and I wish you all a great rest of the day.

Speaker #4: Although important steps remain, we are well positioned and confident in our ability to execute on our priorities. I would also like to recognize and thank our employees for their dedication and continued commitment as Laurentian Bank navigates this important transition.

Speaker #4: Thank you, and I wish you all a great rest of the day.

Operator: Ladies and gentlemen, this concludes the conference call for today. We thank you for participating and ask that you please disconnect your lines. Thank you.