Anchor Bancorp, the holding company for Anchor Bank, today reported negative earnings for the quarter ended Sept. 30. Management stressed its progress in working out problems from past years’ activities.
It reported a net loss of $12,000 for the quarter, compared to a net income of $278,000 or 11 cents per diluted share in the same period last year.
“We are pleased with the ongoing improvement of our classified loans; a decrease of 6.6 percent during the quarter and 48.4 percent decrease year-over-year,” said Jerald L. Shaw, Anchor president and CEO. “We are also pleased with the number of sales within real estate owned; we have sold 25 properties within the last 12 months.”
The executive said Anchor has several additional real estate properties under contract that are expected to close within the next 45 days. Some additional impairments for owned real estate were recorded, as the bank continues to liquidate distressed properties that secured non-performing past loans.
Total delinquent loans (past due 30 days or more), nonaccrual loans and loans 90 days or more past due and still accruing interest increased $1.7 million to $11.9 million at quarter’s end. The ratio of nonperforming loans to total loans remained unchanged at 2.2 percent.
Nonperforming loans, while increased slightly by $18,000 for the quarter, are down from $8.5 million one year ago. A statement from the bank said, “We continue to actively restructure our delinquent loans when feasible, so our borrowers can continue to make payments while minimizing the Company's potential loss.”
The largest of the bank-owned properties had an aggregate book value of $3.7 million and consisted of commercial real estate property in Pierce County. Anchor reported zero non-performing Commercial Business loans at the end of the most recent quarter.