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It's like a smaller PNC Bank, providing full-service banking and wealth management for its New England regional market.

Think of it as the financial equivalent of a local community bank combined with a Fidelity Investments advisory branch, serving clients primarily in Rhode Island and southeastern Connecticut.

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• Commercial Real Estate Loans: Provides funding for commercial mortgages and construction projects.
• Commercial and Industrial Loans: Offers financing solutions for businesses.
• Residential Real Estate Loans: Supplies mortgages and homeowner construction loans for individuals.
• Consumer Loans: Includes home equity loans, personal installment loans, and financing for general aviation aircraft.
• Deposit Accounts: Offers a variety of checking, savings, money market, and time deposit options for individuals and businesses.
• Digital Banking & Cash Management Services: Provides convenient digital tools like mobile banking, online banking, and remote deposit capture, alongside other cash management solutions.
• Investment Management: Manages investments for both personal and institutional clients.
• Financial Planning: Delivers personalized financial planning advice to clients.
• Personal Trust and Estate Services: Acts as a trustee, custodian, or guardian, and assists with the settlement of decedents' estates.
• Institutional Trust Services: Offers custody and fiduciary services specifically for institutional clients.
• Brokerage Services: Functions as a licensed broker-dealer, offering products like variable annuities and college savings plans.

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Major Customers of Washington Trust Bancorp (WASH)

• Individuals: This category includes clients utilizing the bank's retail banking services, such as residential real estate loans, consumer loans (e.g., home equity, personal installment, aircraft loans), and various deposit accounts (checking, savings, money market, retirement accounts). It also encompasses individuals seeking personal wealth management services, including investment management, financial planning, personal trust, and estate services.
• Commercial Businesses: This segment consists of businesses, primarily small to medium-sized enterprises within its service area (southern Rhode Island, greater Providence area, and southeastern Connecticut), that rely on the bank for commercial real estate loans (including mortgages and construction loans), commercial and industrial loans, business deposit accounts, and cash management services.
• Institutional Clients: This category refers to organizations such as non-profits, foundations, endowments, and other corporate or governmental entities that leverage the bank's institutional trust services, including custody and fiduciary services, and potentially institutional investment management.

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Edward O. Handy III, Chairman & Chief Executive Officer

Mr. Handy assumed the role of Chairman and Chief Executive Officer of Washington Trust Bancorp in 2018, having served as President and Chief Operating Officer of the Corporation and the Bank since 2013. Prior to joining Washington Trust, he held various positions of increasing responsibility for Citizens Bank from 1995 through 2013, including President of Citizens Bank in Rhode Island and Connecticut, Executive Vice President, Head of Commercial Real Estate, and President and Chief Executive Officer of Charter One Bank of Ohio, an affiliate of Citizens Bank. He also held positions at Fleet National Bank, focusing on commercial lending and credit analysis.

Ronald S. Ohsberg, Senior Executive Vice President, Chief Financial Officer and Treasurer

Mr. Ohsberg joined Washington Trust in 2017 as Executive Vice President and Treasurer and was promoted to Senior Executive Vice President, Chief Financial Officer and Treasurer in 2018. He is responsible for the Bank's financial planning, accounting, financial reporting, asset and liability management, and budgeting. Before joining Washington Trust, he accumulated over 25 years of experience in finance and accounting, including 12 years at Citizens Bank, where he served as Executive Vice President, Corporate Controller and Chief Accounting Officer. He also previously served as Executive Vice President, Finance, for Linear Settlement Services. Mr. Ohsberg is a Certified Public Accountant (CPA).

Mary E. Noons, President and Chief Operating Officer

Ms. Noons joined Washington Trust in 1992 and has held various positions of increasing responsibility within the Bank. Her roles have encompassed managing lending support, loan operations, secondary market, consumer lending, mortgage operations, and mortgage origination. She was promoted to President and Chief Operating Officer in 2023.

Kristen L. DiSanto, Senior Executive Vice President, Chief Human Resources Officer and Corporate Secretary

Ms. DiSanto began her career at Washington Trust in 1994 and progressed through various roles in Human Resources. She was promoted to Senior Executive Vice President, Chief Human Resources Officer and Corporate Secretary in 2018.

Maria N. Janes, CPA, Executive Vice President, Chief Accounting Officer and Controller

Ms. Janes joined Washington Trust in 1997 as Accounting Officer and became Controller later that year. She has served as Controller since 1998 and was promoted to Executive Vice President and Controller in 2016. In 2020, she was appointed Executive Vice President, Chief Accounting Officer and Controller of the Corporation and the Bank.

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1. Commercial Real Estate (CRE) Exposure: Like many regional banking peers, Washington Trust Bancorp has significant exposure to Commercial Real Estate (CRE) loans. While the bank's office portfolio is relatively small, any systemic downturn in the Northeast property market could pose a top-tier risk, potentially impacting credit quality and asset performance.
2. Interest Rate Risk and Net Interest Margin (NIM) Pressure: Banks are highly sensitive to changes in interest rates. Volatile interest rates can increase funding costs for deposits, potentially leading to unrealized losses in investment portfolios, as seen across the regional banking sector in early 2023. While Washington Trust Bancorp reported an expansion in its net interest margin in Q4 2025, ongoing challenges like stubbornly high deposit costs, often referred to as the "deposit paradox," can constrain profitability even if central bank rates decline. A significant portion of the bank's revenue comes from net interest income, making its short-to-medium-term future heavily dependent on the Federal Reserve's interest rate choices.
3. Regulatory Scrutiny and Compliance: The regional banking industry, including Washington Trust Bancorp, continues to face increased regulatory demands and scrutiny, particularly following the 2023 banking crisis. Washington Trust Bancorp specifically faced a $9 million settlement with the Department of Justice in 2023 regarding redlining allegations, which also mandated a five-year commitment to specific lending practices. This indicates an ongoing operational and financial risk associated with regulatory compliance and potential future enforcement actions.

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• **Digital-first banks and fintech lenders:** These new entrants leverage technology to offer banking services (deposits, loans, and payments) with greater convenience, lower overhead costs, and often superior digital experiences compared to traditional, branch-based institutions. This directly threatens Washington Trust's Commercial Banking segment by potentially siphoning off retail and commercial customers seeking more agile and accessible financial solutions.
• **Robo-advisors and direct-to-consumer investment platforms:** These platforms offer automated, low-cost investment management, financial planning, and direct access to investment products. They directly compete with Washington Trust's Wealth Management Services segment, particularly for clients who prioritize efficiency, affordability, and digital self-service over traditional human-led advisory models.

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For Washington Trust Bancorp (symbol: WASH), the addressable markets for its main products and services in its operating regions of Rhode Island and Connecticut are as follows:

Commercial Banking Segment

• Commercial and Retail Lending Products (Overall Commercial Banking Industry):
  • Rhode Island: Approximately $8.3 billion in 2026.
  • Connecticut: Approximately $14.7 billion in 2026.
• Residential Real Estate Loans (Mortgages/New Home Loans):
  • Rhode Island: Approximately $2.7 billion in residential mortgages to homeowners as of December 31, 2021.
  • Connecticut: Approximately $10.3 billion in new home loans booked in 2024.
• Commercial and Industrial Loans (Small Business Loans):
  • Rhode Island: Approximately $3.7 billion in outstanding loans to small businesses as of December 31, 2021.
  • Connecticut: Approximately $6.5 billion in small business loans in 2024.
• Deposit Accounts (Total Bank Deposits):
  • Rhode Island: Approximately $42.55 billion in total deposits as of June 30, 2024.
  • Connecticut: Approximately $166.7 billion in combined deposits as of June 30, 2023. Another source states $168 billion in deposits.

Wealth Management Services Segment

• Investment Management, Financial Planning, Personal Trust and Estate Services, Institutional Trust Services (Portfolio Management & Investment Advice Industry):
  • Rhode Island: Approximately $934.3 million in 2026.
  • Connecticut: Market size for the overall wealth management industry in Connecticut is not readily available from the provided information.

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Washington Trust Bancorp (WASH) is expected to drive future revenue growth over the next 2-3 years through several key initiatives:

• Net Interest Margin (NIM) Expansion: The company anticipates an expansion in its net interest margin, with management guiding for a target of 2.78%-2.82% by the fourth quarter of 2026. This growth is expected to be supported by benefits from swap terminations and ongoing organic expansion.
• Growth in Commercial Lending: Washington Trust Bancorp aims for continued growth in its commercial loan portfolio. The company projects a 4% to 5% growth in commercial real estate (CRE) loans and anticipates even faster growth from its commercial and industrial (C&I) team, targeting an overall loan growth of 5% year-over-year. The onboarding of an institutional banking team, focused on education, health care, and nonprofit sectors in the Northeast, is also expected to generate high-quality C&I loans and strong deposit opportunities.
• Expansion of Wealth Management Services: The company is strategically focused on expanding its wealth management division, including through the addition of new talent and strategic acquisitions, such as Lighthouse Financial Management, LLC in July 2025. This focus aims to enhance capabilities and broaden the client base, contributing to increased wealth management revenues and assets under administration (AUA).
• Mortgage Banking Growth and New Product Offerings: Washington Trust expects revenue growth from its mortgage banking segment. This includes increasing mortgage loan originations and sales volumes, and the launch of new products such as the Home Equity Line of Credit (HELOC) in May 2025.
• Strategic Branch Expansion: Washington Trust is expanding its physical footprint within its core New England markets. A new full-service retail branch is planned for Pawtucket, Rhode Island, with an anticipated opening in the fall of 2026. This expansion aims to deepen the company's presence in northern Rhode Island and enhance access to its comprehensive suite of financial services.

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Share Repurchases

• In May 2025, the Board of Directors authorized a new stock repurchase program allowing for the repurchase of up to 850,000 shares of common stock, representing approximately 4.4% of the company's outstanding shares. This program is active until May 15, 2026.
• Under the May 2025 buyback program, Washington Trust Bancorp completed repurchases totaling 267,658 shares for $7.26 million as of March 15, 2026.
• During the fourth quarter of 2025 (October 1 to December 31, 2025), the Corporation repurchased 20,855 shares of its common stock at an average price of $27.03 per share, totaling $564 thousand.

Share Issuance

• In March 2026, shareholders are asked to approve an amendment to the 2022 Long Term Incentive Plan to increase the number of shares available for issuance under the plan by 675,000 shares for equity awards.

Outbound Investments

• In January 2026, Washington Trust Bancorp made targeted investments in its Wealth Management and Commercial Banking segments, including the acquisition of assets from Lighthouse Financial Management.

Capital Expenditures

• Washington Trust Bancorp is planning to open a new full-service retail branch in Pawtucket, Rhode Island, expected in late 2026, which is projected to add approximately $600,000 to the expense run rate for the year.