Business Digest.Byline: The Register-Guard Profit-taking sends stocks falling again NEW YORK New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of - Wall Street made an expected retreat Wednesday on discouraging earnings from Intel and profit-taking from a four-day rally that had boosted the Dow Jones Dow Jones the best known of several U.S. indexes of movements in price on Wall Street. [Am. Hist.: Payton, 202] See : Finance industrials nearly 1,000 points. The Dow fell almost 220 points, its losses widening after President Bush signed a congressional resolution that would allow him to use force if necessary against Iraq. CITY/REGION Pacific Continental's quarterly profit slips A hotel that stopped making mortgage payments and severance pay Severance Pay Compensation that an employer gives to someone who is about to lose their job. Notes: Severance pay is not always paid to employees. It depends on the situation in which the employee is losing their job and whether legislation requires severance to be paid. for a chief executive caused third-quarter profits to slide at Pacific Continental Bank. The Eugene-based bank's holding company on Wednesday reported that it earned $400,000, or 8 cents a share, in the quarter ended Sept. 30, compared with $1.5 million, or 29 cents a share, in the year earlier period. Pacific Continental on Oct. 1 had announced that a loan on a Portland-area hotel that was in default forced it to boost its allowance for potential loan losses by $1.2 million, cutting into profits. Hotel loans account for 9 percent of the bank's loan portfolio, the firm said. On Wednesday, Pacific Continental also said executive severance costs shrunk the bottom line. In July, former Chief Executive J. Bruce Riddle left the bank with a one-year severance package A severance package is pay and benefits an employee receives when they leave employment at a company. In addition to the employee's remaining regular pay, it may include some of the following:
v. perked, perk·ing, perks v.intr. 1. To stick up or jut out: dogs' ears that perk. 2. To carry oneself in a lively and jaunty manner. . The bank on Wednesday said loans increased 7 percent compared with the year-earlier quarter, and deposits grew 5 percent. Assets at the end of September were $362 million compared with $299 million a year earlier. The bank's net interest margin, the difference between what it earns on loans and what it pays on deposits, declined slightly from the year-ago quarter. However, Pacific Continental said the margin remains strong because of a healthy loan-to-asset ratio and its lower than average cost of funds Cost of Funds The interest rate paid on an outstanding loan. Notes: Money isn't free! Cost of funds is the cost of borrowing money. See also: Interest Rate Cost of funds Interest rate associated with borrowing money. as a percent of earning assets Earning Assets Any income-earning asset owned by a company. Notes: These assets are generally interest-bearing accounts, bonds, and securities available for sale. See also: Asset, Asset Valuation, Earnings, Net Interest Margin . |
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