Search
* probes baseball world Net nonperforming world classic baseball schedule diagnoses assets to total assets at June 30, 2009 declined to 3.45% compared with 3.53% at December 31, 2008 and 3.67% at March 31, 2009. * Net interest margin improved to 3.58% at June 30, 2009 from 3.44% at March 31, 2009. * Provision for loan losses for the second quarter of 2009 was $1.8 million compared with $1.5 million in the second quarter of 2008 and $7.3 million for the first quarter of 2009. * Allowance for loan losses was 1.84% of total loans at June 30, 2009 compared with 1.80% at December 31, 2008 and 1.81% at March 31, 2009. * Total risk-based capital ratio increased to 13.58% at June 30, 2009 compared with 10.17% at December 31, 2008 and 13.09% at March 31, 2009.George M Lee, President and CEO of MetroCorp Bancshares, Inc.
stated,"Management's focus in identifying and remediating weak and problematic loansduring the last 12 months has produced encouraging results as reflected in oursecond quarter performance baseball classic . We have achieved improvements in earnings, assetquality and net interest margin, while maintaining stable loan and depositlevels with strong risk based capital, liquidity and allowance for loan losses."Net income of $1.2 million for the second quarter of 2009, as compared to a netloss of ($2.0) million during the first quarter of 2009, was achieved in spiteof a $700,000 FDIC special assessment accrual."Our focus on reducing nonperforming assets has yielded a net decrease of $4.7million from March 31, 2009 to $57.7 million at June 30, 2009 world classic of baseball . As a result, netnonperforming assets to total assets declined from 3.67% at March 31, 2009 to3.45% at June 30, 2009 world series baseball classic . Net charge-offs for the three months ending June 30,2009 were $1.7 million or 0.13% of total loans, which is in line with ourexpectation world classic baseball puerto rico . Allowance for loan losses to total loans increased slightly from1.81% at the end of March 31, 2009 to 1.84% at the end of June 30, 2009."Our deposit franchise continued to be one of our strengths, and average totaldeposits grew from $1.27 billion as of December 31, 2008 to $1.39 billion insecond quarter. The decrease in net interest income was dueprimarily to lower loan yields as a result of interest rate cuts by the FederalReserve, which caused the prime rate to decrease from 5% to 3.25% during thelast 12 months, and an increase in nonperforming assets. On a linked-quarterbasis, net interest income before the provision for loan losses for the threemonths ended June 30, 2009 increased $866,000 or 6.8% compared with $12.8million for the period ended March 31, 2009 as a result of increased loan yieldsand lower funding costs.Net interest income before the provision for loan losses for the six monthsended June 30, 2009 was $26.5 million, down $2.0 million or 7.0% compared with$28.5 million for the same period in 2008.
The decrease in net interest incomewas due primarily to lower loan yields as a result of interest rate cuts and anincrease in nonperforming assets.The net interest margin for the three months ended June 30, 2009 was 3.58%, down42 basis points compared with 4.00% for the same period in 2008 world baseball championship . The yield onaverage earning assets decreased 102 basis points, and the cost of averageearning assets decreased 60 basis points world classic baseball scores . On a linked-quarter basis, the netinterest margin for the three months ended June 30, 2009 increased 14 basispoints compared with 3.44% for the three months ended March 31, 2009 world classic baseball jerseys . The yieldon average earning assets decreased 5 basis points, and the cost of averageearning assets decreased 19 basis points.The net interest margin for the six months ended June 30, 2009 was 3.51%, down53 basis points compared with 4.04% for the same period in 2008 world classic baseball japan .
The yield onaverage earning assets decreased 126 basis points, and the cost of averageearning assets decreased 73 basis points.Interest income for the three months ended June 30, 2009 was $22.1 million, down$2.5 million or 10.4% compared with $24.6 million for the same period in 2008,primarily due to lower loan yields and increased nonperforming assets world baseball championships . However,the effect of the decrease was partially offset by floor rates set on certainvariable rate loans, almost all of which had reached the floor rate as of June30, 2009 world series of baseball classic . Average earning assets grew 5.2% for the second quarter of 2009compared with the same period in 2008 world classic baseball schedule . Average total loans increased 2.1% to$1.32 billion in the second quarter of 2009 compared with $1.29 billion for thesecond quarter of 2008 world classic of baseball . The yield on average earning assets for the secondquarter of 2009 was 5.78% compared with 6.80% for the second quarter of 2008.Interest income for the six months ended June 30, 2009 was $43.8 million, down$5.9 million or 11.9% compared with $49.7 million for the same period in 2008,primarily due to lower loan yields and an increase in nonperforming assets, butpartially offset by the effect of loan floor rates. Average earning assets grew7.5% for the six months ended June 30, 2009 compared with the same period in2008. Average total loans increased 6.1% to $1.33 billion for the six monthsended June 30, 2009 compared with $1.25 billion for the same period of 2008.
Theyield on average earning assets for the six months ended June 30, 2009 was 5.80%compared with 7.06% for the same period in 2008.Interest expense for the three months ended June 30, 2009 was $8.4 million, down$1.7 million or 17.2% compared with $10.1 million for the same period in 2008,primarily due to lower cost of funds that was partially offset by the effect ofan increase in interest-bearing deposits national baseball classic . Average interest-bearing deposits were$1.18 billion for the second quarter of 2009 compared with $1.00 billion for thesecond quarter of 2008, an increase of $177.5 million or 17.7% world series baseball classic . The cost ofinterest-bearing deposits for the second quarter of 2009 was 2.60% compared with3.51% for the second quarter of 2008 world classic baseball puerto rico . Average other borrowings, consistingprimarily of borrowings from the FHLB, but excluding junior subordinateddebentures, were $28.3 million for the second quarter of 2009, a decrease of$121.8 million or 81.1% compared with $150.1 million for the second quarter of2008 . Other borrowings decreased primarily due to liquidity provided by depositgrowth and funds received from participation in the Capital Purchase Program("CPP").
- In: General