Good morning. My name is Daisy. I will be your conference operator today. I would like to welcome everyone to the Blue Foundry Bancorp Q3 2021 earnings call. Today's call will include forward-looking statements, including statements about Blue Foundry's future financial and operating results, outlook, business strategies and plans, as well as other opportunities and potential risks that management foresees. Such forward-looking statements reflect the management's current estimates or beliefs and are subject to known and unknown risks and uncertainties that may cause actual results or the timing of events to differ materially from those expressed or implied in such forward-looking statements. Listeners are referred to the disclosures set forth under the caption Forward-Looking Statements in the earnings press release, as well as the risk factors and other disclosures contained in the company's recent filings with the Securities and Exchange Commission for more information about such risks and uncertainty. Any forward-looking statements made during this call represent management views and estimates only as of today. While the company may elect to update forward-looking statements at some point in the future, the company specifically disclaims any obligation to do so, even if management's views or estimates change, and you should not rely on such statements as representing management views as of any date subsequent to today. During the call, the company will refer to non-GAAP measures, which exclude certain items from reported results. Please refer to today's earnings release for reconciliations of these non-GAAP measures. Please note, this event is being recorded. All lines have been placed on mute to prevent any background noise. After the speakers' remarks, there will be a question and answer session. If you would like to register a question, please press star followed by one on your telephone keypad. I'll now turn the call over to Jim Nesci, President and CEO. James, please go ahead. Great. Thanks, operator, good morning to everyone. Thank you for joining us for the very first earnings call in Blue Foundry's over 140-year history. I am joined today by our Controller and Interim Chief Financial Officer, Alex Agnoletto. He will share the company's financial results and participate in the Q&A segment of the call. We are very excited to share our third quarter results with you. We continue to build upon our long history of serving our communities and providing innovative and meaningful products and solutions. 2021 has been a year of tremendous change and progress. During the first half of the year, our management team executed on the board's directive to complete our initial public offering. The IPO provided proceeds of over $277 million, which boosted our capital position. It was a pleasure to witness the energy and excitement felt across the bank as our team successfully prepared for the next chapter in our company's history. At the same time, we continue to invest in strategic transformation initiatives to modernize our technology for organic, scalable growth and to deliver an excellent customer experience. We are thankful that our elevated capital position allows us to bring an increased commitment to our local communities through the establishment of the Blue Foundry Charitable Foundation. Upon completion of our public offering, we donated $1.5 million in cash and 750,000 shares at an original value of $7.5 million. We are pleased that as our company's success continues, that our foundation will continue to benefit our communities. In the third quarter 2021, we reported a net loss of $14.9 million. This was primarily driven by our planned termination of the pension plan and our establishment of our foundation. We also prepaid Home Loan Bank borrowings and incurred a prepayment penalty of $1.4 million. Our core deposit balances continue to grow. We also continue to see a meaningful reduction in core deposit funding costs, which will contribute to our net interest margin expansion. We remain focused on generating positive operating income through loan growth across our portfolios and believe the investments we are making today will prove to be accretive. The future is extremely bright for Blue Foundry, and we look forward to our continued growth. With that, I'd like to turn the call over to Alex Agnoletto for the company's financial results. Alex? Thank you, Jim. Good morning, everyone. We recognize the combination of the IPO, the foundation contribution, the pension withdrawal, and lack of history as a public company make these results more difficult to assess than they will be in the future. We've tried to provide information that we think will be useful to assess our earnings going forward, and we encourage everyone to read our disclosures, including the non-GAAP tables at the back of the earnings release. In connection with the IPO, the company donated $1.5 million in cash and $7.5 million in stock to the Blue Foundry Charitable Foundation. This created a large one-time expense during the quarter of $9 million. We also announced our intention to exit our defined benefit pension plan, which at the time of board resolution, was expected to cost $9.2 million. The exit of the pension is expected to occur in the fourth quarter, when final pricing will be determined. It should be noted that this cost is lower than the cost estimated in our S1, which gave an estimate of $12 million-$22 million. Lastly, we announced a pay down of roughly $49 million of FHLB borrowings in August, through which we incurred a $1.4 million prepayment penalty. The combination of all three items created a $19.6 million in one-time expenses, which contributed to our GAAP net loss for the quarter of $14.9 million, or $0.68 per share. For this quarter in particular, we believe that our adjusted pre-provision net revenue, or PPNR, better demonstrates our core sustainable earnings compared to our GAAP results. Our adjusted PPNR was a loss of $647,000 for the quarter, compared to a loss of $1.9 million in the prior quarter. This marks yet another quarter of improvement for us, and we look forward to returning to profitability in the next few quarters. Our net interest margin increased by 16 basis points to 2.15% for the three months ended September 30th, 2021, as compared to the prior quarter. This increase is due to the combined effects of high-cost time deposits continuing to mature, the lower borrowing costs post pay down, and the prior quarter containing elevated deposit balances related to the IPO. These tailwinds continue to be offset by the current low interest rate environment. We continue to actively manage the funding portion of the balance sheet, evidenced by a 17 basis point reduction in our interest-bearing liability cost for the quarter. Interest income increased by $270,000, or 1.96%, during the quarter, which was driven by a $136,000 increase in interest from securities and a $145,000 increase in interest from cash. The increase in interest on cash was driven by the elevated cash position in connection with the IPO. Interest expense decreased significantly from last quarter by 23.7%, or $924,000. This decrease was driven primarily by anticipated maturities of time deposits, as well as reduced FHLB borrowing balances. Quarter-over-quarter, net interest income increased by nearly $1.2 million, or 12%. Quarter-over-quarter total loans, excluding PPP, increased by $17.4 million, or 1.5%, primarily due to strong origination performance across our CRE portfolios amidst continued higher than average prepayment levels. Total loans, including PPP, decreased by $2.2 million, or 0.2%, driven by an acceleration of PPP loan forgiveness. Our commercial pipeline was over $80 million as of September 30th, and we expect overall growth in that portfolio to persist. Our residential portfolio was bolstered by the beginning of a loan purchase program that was enacted in July. The bank purchased $28.5 million of high-quality residential loans originated to Fannie Mae standards and to borrowers within our principal market. This purchase program is expected to continue in Q4 to offset the higher than average prepayment levels and to assist us in deploying excess liquidity into interest-earning assets. We believe we are very well-positioned for rising interest rates in the future. Our securities portfolio grew by $39.9 million during the quarter, which was the result of utilizing some of our excess liquidity to harvest incremental yield. We plan to continue to reinvest excess liquidity into a mixture of loans and shorter duration securities over the coming quarters. We have been reinvesting at a yield of roughly 1.4%- 1.7% over the past quarter, and as rates rise, we plan to put more excess liquidity to work. We view our asset quality as stable. Our loans 30- 89 days past due as a percentage of total loans decreased from 15 basis points to 10 basis points. Our allowance to total loans remained fairly consistent, decreasing 2 basis points from 1.24% to 1.22%, and our non-accrual loans to total loans increased slightly from 1.01% to 1.03%. As a reminder, we expect to adopt CECL as of January 1st, 2023, and are currently operating under the incurred loss model. As we look to the future, we believe that the path to profitability will come from a growing loan portfolio, realizing a slight incremental reduction in our cost of funds, and continued control over expenses. We expect the roughly $12 million-$12.5 million in expenses incurred for Q1 through Q3 to remain fairly consistent into Q4 and may increase slightly in the first half of 2022 as we continue to invest in technology and hire lending compliance and support personnel. Thanks, Alex. The operator can now begin the Q&A session. Thank you very much. Of course, if anyone would like to register a question, please press star followed by one on your telephone keypad. If you would like to withdraw your question, please press star followed by two, and when preparing to ask your question, please ensure you are unmuted locally. That's star followed by one on your telephone keypad to register a question. Our first question comes from Laurie Hunsicker from Compass Point. Laurie, your line is open. Please go ahead. Great. Thanks. Good morning. Alex, if we could just go back to what you were talking about on the expense side. I'm just trying to get to the sort of $12 million- $12.5 million quarterly run rate, if I heard you right. If I'm taking your current $33 million, and obviously I'm backing out the pension at $9.2 million, the foundation at $9 million, and the FHLB prepay at $1.4 million, I'm at $13.5 million. Are there other things coming out? Is data processing potentially going back? How should I be thinking about that? Hi, Laurie. Thanks for the question. In other words. Yeah, go ahead. Thanks. I think Q4 is going to return back to that $12.5 million-$ 13 million more long-term average. I think Q3, with the IPO happening in July and some of the transitions there was definitely some more discrete one-time items that weren't called out in that chart at the bottom of page 10 of the press release. We do think in the shorter term, the average is probably around $12.5 million. Okay, that's helpful. Can you just update us on where you are with the headquarters sale, how that's progressing? We still have a live contract with an interested buyer. We continue to negotiate terms and try to bring it to a final closing, but the contract is still out there as of this time. We believe it's been marked to fair value, so we don't expect there to be any additional noise for any particular reason, but still going. Okay. Is that likely to close this year, or are you thinking next year? We are pushing hard to close for this year. I can't tell you anything further than that's our objective. That's what we're trying to close out before year-end. Okay. Then, again, your share count, your diluted income statement share count with the earnings per share that you reported didn't include the first two weeks, I guess, of the quarter because you weren't public. That's correct. That number. That's correct. That number is. Those days were. Correct. Okay. First two weeks were counted as zero in the weighted average count, and then the ESOP shares were reduced, also weighted average, as the participants earn those shares over the course of the quarter. The weighted average used in that computation to get to the $0.68 per share is around 21.98 million shares outstanding for the quarter. Going forward, those abnormalities will be behind us, and it'll just be the impact of the growth shares minus the unallocated ESOP. Okay, right. Closer to 26.5, give or take, on the income statement. Correct. Okay. Just in terms of the CFO search, Jim, could you help us think about where you are with that and what the timing is? What the board is thinking? Sure. Absolutely. I've interviewed several candidates. There is a great field of CFOs in our metropolitan area. I continue to meet with and try to discover who's the right fit for Blue Foundry. There's no shortage, and I think more CFOs will become available in probably the next quarter as well, as there's been many mergers announced in our marketplace. We are patiently combing through the applicants, if you will, and I've had more than a half a dozen discussions with different parties. It's going well. The board has been very accommodative. They're very patient, and I would also tell you that Alex is doing a great job as their interim CFO. He's closed out the quarter with extreme care and precision. It's all going well. Okay, great. Just one last question, Alex, actually back to you. If you could help us think about margin. There's obviously a lot of moving parts. You're putting the proceeds to work. Obviously, rates have moved up. You had the FHLB borrowings to pay the $49 million. When in August did that occur? Was that early in the month or late in the month? Right around in the middle of the month. I think it was the 18th or 19th of the month. We actually just announced this morning, I'm not sure if you caught it in the 8-K, in connection with the press release. We announced that yesterday we prepaid $62 million of additional borrowings with a weighted average life of about nine months. We expect that that will further reduce our cost of funds by about 5 bps. In the shorter term and more medium term, our target NIM is right around that 2.5 to 2.7 range. We think 2.6 is relatively attainable in the medium term. I think Q4 is going to look a lot better than it had in Q2, just given that you'll see those higher-cost time deposits have continued to run off. Those FHLB borrowings, you'll see a full quarter of impact of them being off the balance sheet. Okay, perfect. Sorry, just one last thing. The higher-costing CDs, how much actually mature this coming quarter, in the fourth quarter? In the fourth quarter, it's beginning to taper off. I think our cost of funds, we're probably nearing the bottom of that range on the deposit side. I think in Q3, we had over $200 million of time deposits mature. Some of that we kept, some of that had left the bank. I think overall, the cost of deposits number will probably bottom in the 55-60 basis point range into Q4. Okay, great. Thank you. I'll leave it there. Thanks, Laurie. Oh, I do apologize. Our next question comes from Ross Haberman from RLH Investments. Ross, your line is open. Please go ahead. Good morning. How are you guys? I just have a follow-up. Great. Question regarding your loan growth, and you talked about buying residential loans. One, are you actively looking for additional lenders? Have you brought any new ones on in the last couple of months? Will you continue to buy as opposed to self-originate? Could you sort of talk about your backlog of loans? Thank you. Sure. Good morning. Thanks for dialing in. Yes, we are actively growing our book. We are actively looking for additional lenders. We have not hired a lender in the last quarter. We are looking for an additional senior lender. We will continue to purchase on the one to four resi side, until we hit a number that we're comfortable where we're growing organically. It's a backfill until we grow the one to four. I'm hoping I'm answering your question, but is that covering what you're looking for? Are you buying commercial loans or are you buying multifamily as well? What kind of yield do you get in on, if you're buying any of those? On the purchase side, we're buying one to four family. We are participating with other banks in our area on the commercial side. Those are not purchases, those are participations. Okay. I think that's about it. Thank you very much. The best of luck. Thank you. I appreciate it. As a reminder, ladies and gentlemen, if you would like to register a question, please press star followed by one on your telephone keypad. We have a follow-up question from Ross Haberman. Ross, your line is open. Please go ahead. I'm sorry. I just left out one thing. Are you happy with your mix of loans today in terms of commercial, residential, and so forth? If not, what are you sort of shooting for in terms of percentage mix, which you want to get to over the next couple on a year or two? Thanks. Great question. I think the bank will become more commercial over time, and I think you'll find us driving into the C&I business. That's where we'd like to grow. As far as a specific target, we don't have a disclosure around a specific target, but I can tell you more commercial, more C&I over the coming quarters is definitely our direction. Just one follow-up question. In terms of the huge gorilla within your market is being taken over, is that going to be good for you in terms of personnel and customers in terms of gaining some business from that merger? It's hard to tell at this juncture. I think I understand the market participant you're speaking of. They're a very great competitor in our marketplace, and I know the folks that are acquiring them are also going to be trying to defend their marketplace and all the key people that work for them. With that said, I believe there may be opportunities in our marketplace to see some additional customers and also some personnel may shake free from the institution over the coming months and quarters. They are a great player in the marketplace. Okay. Thanks a lot again. Thank you. We have no further questions at this point in time, so I'll hand back over to the management team. Well, thank you very much for dialing in today for our very first earnings call. We appreciate your participation, and we look forward to speaking with you again after we conclude our fourth quarter and full-year results. Thank you and have a great weekend.