Printer Friendly

Bank of Lake Village emerges from Federal order.

The Federal Deposit Insurance Corp. has announced the termination of a cease-and-desist order it issued against the Bank of Lake Village almost two years ago.

The March 2004 order required the bank's directors to take specific steps to clean up its portfolio of problem loans and to stabilize the bank's capitalization.

Bank President Terence J. Alpe said the termination of the order followed a positive examination by federal bank regulators last summer.

Alpe had blamed the problems in 2003 and 2004 on a depression in the catfish industry. And, conversely, he said the bank's rebound was also a direct reflection of improvements in the aquaculture industry.

Bank of Lake Village, which had $60 million in assets as of Sept. 30, lost $1.58 million in 2004 after net charge-offs of $2.17 million. Year-end figures for 2005 are not yet available from the FDIC, but Alpe said the bank's Dec. 31 call report would show full-year net income of $416,775.

"Surprisingly enough, the local public here recognized what was happening to the economy and that what was happening to the bank was a direct result of that economy," Alpe said.

The bank maintained its deposit base and was positioned to rebound along with the local catfish farmers, he said.
COPYRIGHT 2006 Journal Publishing, Inc.
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 2006 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Title Annotation:BANKING & FINANCE
Author:Turner, Lance
Publication:Arkansas Business
Date:Feb 13, 2006
Previous Article:Storm Cat Energy buying Fayetteville Shale leases.
Next Article:P.A.M. Transportation earnings up 146%.

Related Articles
NY Federal Savings names new mortgage lending head.
Former Parkin banker fined $50,000.
Bank of Lake Village grapples with catfish.
Arkansas business list: largest SBA lenders.

Terms of use | Privacy policy | Copyright © 2020 Farlex, Inc. | Feedback | For webmasters