Hello, and welcome to the Brookline Bancorp third quarter 2021 earnings call. My name is Emma, and I'll be your operator today. All participants are currently in listen-only mode, and this call is being recorded. If you would like to ask a question at the end of the presentation, simply press Star followed by one on your telephone keypad. If you would like to withdraw your question, please press Star followed by two. For operator assistance, press Star followed by zero. It's now my pleasure to hand over to Marissa Martin, General Counsel, to begin. Please go ahead. Thank you, Emma, and good afternoon, everyone. Yesterday, we issued our earnings release and presentation, which is available on the investor relations page of our website, brooklinebancorp.com, and has been filed with the SEC. This afternoon's call will be hosted by Paul A. Perrault and Carl M. Carlson. This call may contain forward-looking statements with respect to the financial condition, results of operations, and business of Brookline Bancorp. Please refer to page two of our earnings presentation for our forward-looking statement disclaimer. Also, please refer to our other filings with the Securities and Exchange Commission, which contain risk factors that could cause actual results to differ materially from these forward-looking statements. Any references made during this presentation to non-GAAP measures are only made to assist you in understanding Brookline Bancorp's results and performance trends and should not be relied on as financial measures of actual results or future predictions. For a comparison and reconciliation to GAAP earnings, please see our earnings release. If you can join us on page three of the earnings presentation, I'm pleased to introduce Brookline Bancorp's Chairman and CEO, Paul A. Perrault. Thanks, Marissa, and good afternoon, everyone. Thank you for joining us for today's earnings call. I'm pleased to report we had another quarter of solid earnings of $28.8 million or $0.37 per share. As our core loan portfolio grew, our margins slightly expanded, and asset quality and the economic environment continued to improve. The loan modifications under the CARES Act dropped to $56 million. We recorded a $3.1 million release of our reserves and now have a reserve coverage ratio of 151 basis points on non-PPP loans. In Q3, $187 million of PPP loans were satisfied as our core loan portfolio grew about $100 million or 1.5% from Q2. Our pipelines continue to be very strong. Trends continue to be positive, and we remain optimistic as we go into the final quarter of this year and into next year. I'm also pleased to report that the board approved a 4.2% increase in our quarterly dividend to $0.125 per share. This was the second increase this year in our dividend. As previously announced, we have recently created a new affiliate of Brookline Bancorp called Clarendon Private. Clarendon Private is a boutique investment and wealth management firm led by Marc White. They are working closely with Brookline Bank and Bank Rhode Island to deliver comprehensive investment advisory and private banking services to individuals, families, endowments, and foundations. I will now turn you over to Carl, who will review the company's third quarter results. Thank you, Paul. On slide four, we've provided summary comparative income statements. Net income this quarter was $2.8 million lower than last quarter and $10.1 million greater than a year ago. Performance was driven by solid core loan growth and a slightly better margin, offset by lower revenues related to PPP loans and higher expenses. Non-interest expense was $2.9 million greater than Q2, due primarily to the $2.1 million gain on sale of OREO in Q2. Expenses were flat with last year. As illustrated on page five, net interest income decreased $400,000 from the prior quarter, driven by a decrease of $1.4 million in PPP-related revenue, as well as $890,000 in fees to prepaid Federal Home Loan Bank borrowings during the quarter. Overall, our net interest margin improved to 353 basis points. On the bottom of slide 5, we've provided the estimated impact of the PPP loan program on the net interest margin. Assuming no cost of funding, PPP interest income contributed 17 basis points to the third quarter margin versus 15 basis points in the second quarter. The impact of the Federal Home Loan Bank prepayment penalties in Q3 on the net interest margin was 5 basis points. Adjusting for the impact of PPP and Federal Home Loan Bank prepayment fees, the net interest margin improved 4 basis points on a linked quarter basis to 341 basis points. Please follow me to slide 6 in our comparative summary balance sheets. Third quarter finished with $8.3 billion in assets, down $159 million from Q2. Loans were down $88 million, while cash and securities combined declined $43 million. On the funding side, total deposits declined $22 million, and borrowings declined $95 million. Slide 7 reflects the linked quarter in year-over-year activity and composition of our significant loan and deposit categories. As I mentioned, the loan portfolio overall declined $88 million from the prior quarter, driven by a $187 million decline in PPP loans as our core loan portfolio grew $99 million. In the third quarter, we originated over $535 million in non-PPP loans at a weighted average coupon of 397 basis points. The weighted average coupon on the core portfolio dropped 5 basis points during the quarter to 402 basis points at September 30. We continue to experience solid deposit growth, and we're using excess liquidity to reduce outstanding broker deposits and borrowings. Broker deposits declined $75 million to a total of $186 million at the end of the quarter. Our loan to deposit ratio is just under 101% at September thirtieth. Slide 8 provides a snapshot of the PPP program at each of our banks. At the end of the quarter, we had 819 loans with $161 million outstanding, net of unearned fees. Net deferred fees of approximately $5.4 million remains to be recognized into income over the life of the loans or will accelerate on loan satisfaction. We saw strong PPP loan forgiveness, and we expect that activity to continue for the remainder of the year, with perhaps a small remaining balance spilling into 2022. On slide nine, we are providing the status of our loan payment deferment activity. As Paul mentioned, as of quarter end, 77 credits totaling $56 million have a loan modification under the CARES Act, representing less than 1% of total loan balances. Loan modifications are provided by sector on slide ten. All loans remain accruing, with modifications concentrated in the fitness and retail sectors. As shown on slide eleven, the company continues to be well capitalized, exceeding all regulatory requirements as well as our own internal policies and operating targets. At the end of the quarter, we had a capital buffer of 4.3% or $287 million on our regulatory well-capitalized standards. The company also purchased 690,253 shares during the quarter, completing the $10 million stock buyback program authorized on January 21, 2021. No shares were purchased in Q1 and Q2. Slide 12 provides a history of our regular common stock dividend payout. Yesterday, the board approved a 4.2% increase in the quarterly dividend to $0.125 per share to be paid on November 26 to stockholders of record on November 12. On an annualized basis, our payout approximates a 3.1% yield. This concludes my formal comments, and I will turn it back to Paul. Thanks, Carl. Now joining us for the Q&A session is Robert Rose, our Chief Credit Officer, and we will now open it up for questions. Thank you. If you'd like to ask a question today, you can do so by pressing star followed by one on your telephone keypad. Our first question today comes from Mark Fitzgibbon from Piper Sandler. Please go ahead, Mark. Your line is now open. Hey, guys. Thanks for taking my question. Good afternoon. Hi, Marc. Mark. I was curious if you could maybe sketch out some of the details on Clarendon Private, maybe what the rough plan looks like, sort of how big this business is likely to be, how many people, you know, kind of time to break even, those sorts of things? Sure. We currently have about 4 employees. It's really getting kicked off here in the fourth quarter. You know, we've been talking about this as a seed versus sod strategy, so we're starting from nothing and growing this business. We think we're in an excellent market to do it, and it's the right time to do it for us. It's gonna take some time to build this up. We do expect it to grow to break even within 3 years. We approximate we'll have to be around $500 million-$600 million with assets under management to hit that break-even point as we add people along the way. These are very, very seasoned people in this area, in this business, Mark. You know, they're very well known. Okay, great. Separately on the deposit front, I guess I'm curious, do you feel like you still have some room to push your deposit costs down from where they are today? You know, very little, quite frankly. We've gone quite a bit through our CD portfolio. We have about $235 million that will reprice in the next quarter. You know, the coupon on that is around 65 basis points or so, and things are repricing down into 35-40 basis point range. There's a little bit of room on that side. At this point, I think we've largely exhausted that. I'll just add that we continue to see some pretty good growth in the DDA sector, which is helpful in the aggregate cost of funding. Okay. On the lending side, I wondered if you could kind of share with us what you're seeing out there from a competitive standpoint in the commercial market. Is pressures easing up much, and what does your pipeline look like and maybe the average rate? Well, the competitive situation has probably calmed down a bit, where we've had a number of meaningful M&A things going on around here, so that certainly distracts people. I think it's still very competitive, but it feels not quite as down and dirty as it had been. I think Carl mentioned what the originations were at. Pipeline's very strong. Yes, the pipeline's very strong. We originated $535 million in the quarter. The coupon on that was 397 basis points, so right around that 4% rate. Of course, that all depends on the mix on any given quarter, but that's stuff and I don't see that going down much from here. that was a similar origination level as we saw the previous quarter, but we didn't see quite as many payoffs in Q3 as it did in Q2, and it slowed down some more, I think, in Q4. Great. Lastly, in terms of the reserve coverage, you guys obviously have a really strong reserve, but if you know, loan growth is really starting to pick up, I'm curious, do we see maybe another quarter or two reserve releases before, you know, we sorta get to zero or maybe even start to provide again? Well, I'd say that our reserve is adequate at September 30, Marc. Well. Okay. Thank you. Okay, Mark. You're welcome. Thank you, Marc. Our next question today comes from Laurie Hunsicker from Compass Point. Please go ahead, Laurie. Your line is now open. Great. Hi. Thanks. Good afternoon. Hi, Laurie. Carl, I'm hoping that you can just give me the actual dollar amount of PPP forgiveness in the quarter. I'm getting that it's around $4 million. I'm just hoping you have a more actual number. Yeah. One second. I have that at my fingertips here. Okay, great. So, uh- Maybe you could also go ahead. Deferred fees that were recognized during the quarter was $5,152,000 on PPP loans. We had interest income of, I wanna say, $641,000 in interest income on that. Combined, that's the contribution of the PPP loans during the quarter. Okay, great. I see there's 5.4 remaining. Prepaid fees, do you have that number? I'm sorry, I didn't hear the question. Prepaid fees. Prepays were $1,579,000. Okay, I just want to sort of put some of your comments together. As we're looking at this ex-PPP in terms of, I guess how you see the margin play out, it looks like on the funding side, and certainly you referenced it, that we continue to see the CD book come down, but your core deposits can't really go anywhere, you know. How should we be thinking about margin as we head out into 2022? You know, of course, there's a lot of moving pieces to this. When you look at what I've broken out there on page 5, I believe it is, excluding PPP, excluding the Federal Home Loan Bank impact, the margin would have been in that 3.41% range. We see that to be fairly consistent going forward. That reflects the recent move in the yield curve, the 2-year and the 5-year rates moving a little bit higher. We do see the margin in the 3.35%-3.40% or 3.40%+ range for next year. Okay, that's helpful. Excluding- And then, um- Excluding any impact of PPP. I wanna be clear on that. Excluding impact of PPP. Correct. Well, there shouldn't be much PPP next year, right? The repurchase that you completed, so all $10 million was done, all $10 million worth done this quarter. The share number, you went through that really quickly. Again, I meant an approximate number. Just hoping you could give me that share count that was repurchased this quarter. It's right around 690,000 shares. 690. Okay. Am I right, all $10 million was actually done this quarter? Correct. The $10 million. Correct. So, the average price is a little under $14.50. Okay, perfect. Paul, how are you thinking about a buyback refresh? Love seeing the dividend increase, but how should we think about that here? I'm not sure I follow. We've been targeting sort of a core operating earnings payout ratio maybe 40 or so. The capital build is enough for the sort of mid- to high single-digit growth that we tend to see in a more normalized environment. Carl and I like to keep the share count contained if we can buy back opportunistically, 'cause we do annual grants of equity. This is helpful in that sense. It's kind of all part of capital management. Okay. Carl can elaborate too. Okay. Then just last question. Any comments? We're now a quarter out from when we last chatted about this M&A. Can you help us think about there's a lot going on in your marketplace. Can you help us think about where you are currently and how you're approaching it into next year? Thanks. Well, we certainly are planning to have our people take advantage of any disruption in the market, which will probably happen between now and the middle of next year, maybe a little bit longer than that, both in people and customers and that kind of thing. Beyond that, I mean, we keep our ear to the ground. We talk to people. We will pursue objectively any reasonable M&A opportunity. Okay. Thanks so much. Okay, Laurie. We currently have no further questions today, so I'll hand the call back to Paul Perrault for some closing remarks. Well, this concludes the question and answer session, I guess. I'd like to just thank you all and thank you, Emma, for joining us, and we look forward to talking to you again next quarter. This concludes today's call. Thank you all for joining us. You may now disconnect your lines.