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CENTRAL HOLDING COMPANY REPORTS RESULTS OF QUARTER ENDED MARCH 31, 1993

 CLINTON TOWNSHIP, Mich., May 10 /PRNewswire/ -- Central Holding Company (the "Company" or "CHC") (NASDAQ: CHOL) reported net income of $332,000 or $0.09 per share for the quarter ended March 31, 1993, and net income of $701,000 or $0.19 per share for the nine months ended March 31, 1993, as compared to a net loss of $4.34 million or $1.20 per share and a net loss of $8.12 million or $2.24 per share for the corresponding periods one year earlier.
 CHC reported net income from continuing operations of $332,000 and $590,000 for the three- and nine-month periods ended March 31, 1993, as compared to net losses from continuing operations of $2.90 million and $3.75 million for the corresponding periods one year earlier.
 CHC attributed the significant improvement in operating results for the three and nine months ended March 31, 1993, as compared to the corresponding periods one year earlier to a significant reduction in the provision for losses and expenses associated with foreclosed real estate and declines in general and administrative costs. The three and nine months ended March 31, 1992, included losses from discontinued operations of $1.44 million and $3.69 million, respectively, related to the partial write down of net assets of the Company's real estate brokerage franchise operations which were sold during 1992. Additionally, the nine months ended March 31, 1992, included an extraordinary loss of $680,000 related to the prepayment of borrowings from the Federal Home Loan Bank of Indianapolis. The quarter ended March 31, 1993, included a non-recurring federal income tax benefit of approximately $423,000 due primarily to the recovery of previously expensed federal income taxes as a result of a more favorable resolution of an IRS examination of the Company's 1987 through 1990 fiscal years.
 As of March 31, 1993, CHC's wholly owned subsidiary, Colonial Central Savings Bank, F.S.B. (Colonial), had a tangible capital ratio and core capital ratio of 5.87 percent as compared to current minimum tangible and core regulatory capital ratio requirements of 1.50 percent and 3.00 percent, respectively. Colonial had a risk based capital ratio of 10.60 percent at March 31, 1993, as compared to a minimum required risk based capital ratio of 8.00 percent.
 At March 31, 1993, Colonial had assets classified substandard or doubtful of $7.8 million or 49.8 percent of tangible capital and general valuation allowances. This compares to assets classified substandard or doubtful of $16.4 million or 148.27 percent of tangible capital and general valuation allowances at June 30, 1992. The ratio of non- performing assets to total assets was 2.80 percent at March 31, 1993, as compared to 4.16 percent at June 30, 1992. Colonial also announced that it had disposed of an additional $1.3 million in foreclosed real estate during April 1993.
 Colonial was required, under a Capital Directive which it executed with the Office of Thrift Supervision in October 1992, to meet all regulatory capital requirements and reduce its ratio of assets classified substandard and doubtful to less than 75 percent of tangible capital and general valuation allowances by June 30, 1993. Colonial has met these requirements as of March 31, 1993.
 CHC also plans to pursue a rights offering in the next 30 to 90 days to raise net proceeds of approximately $2.0 million to $3.0 million primarily to pay off debt obligations maturing during the last six months of 1993. First of Michigan Corporation will act as financial adviser to CHC in connection with the rights offering.
 CHC is a financial services organization headquartered in Clinton Township. Its main operating subsidiaries include: Colonial Central Savings Bank, F.S.B., a federally chartered stock savings bank with six branches in Michigan, and Central Mortgage Corporation, which originates residential mortgage loans.
 CENTRAL HOLDING COMPANY
 OPERATING HIGHLIGHTS
 (In thousands of dollars, except per-share data; unaudited)
 Three Months Ended Nine Months Ended
 March 31, March 31,
 1993 1992 1993 1992
 Net interest income $1,476 $2,641 $5,991 $7,648
 Net income (loss) from
 continuing operations 332 (2,899) 590 (3,753)
 Net income (loss) from
 discontinued operations --- (1,440) 111 (3,686)
 Net income (loss) after
 discontinued operations
 but before extraordinary
 items 332 (4,339) 701 (7,439)
 Net loss from
 extraordinary items --- --- --- (680)
 Net income (loss) $332 ($4,339) $701 ($8,119)
 Per share data:
 Net income (loss)
 per share from
 continuing operations $0.09 ($0.80) $0.16 ($1.04)
 Net income (loss)
 per share from
 discontinued operations --- (0.40) 0.03 (1.02)
 Net income (loss) per share
 after discontinued operations
 but before extraordinary
 items 0.09 (1.20) 0.19 (2.06)
 Net loss per share from
 extraordinary items --- --- --- (0.18)
 Net income (loss)
 per share $0.09 ($1.20) $0.19 ($2.24)
 Average shares
 outstanding (000s) 3,782 3,622 3,717 3,622
 Balance Sheet Highlights
 (In thousands of dollars, except per-share data; unaudited)
 March 31, June 30, March 31,
 1993 1992 1992
 Total assets $228,401 $357,859 $375,164
 Loans receivable, net 140,810 240,565 281,154
 Deposit accounts 177,613 303,067 316,996
 Stockholders' equity 11,279 10,418 10,033
 Book value per share 2.98 2.88 2.77
 -0- 5/10/93
 /CONTACT: Margaret S. Makela or Robert N. Shuster of Central Holding Company, 313-792-7000/
 (CHOL)


CO: Central Holding Company ST: Michigan IN: FIN SU: ERN

JG-DH -- DE028 -- 6685 05/10/93 17:05 EDT
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Date:May 10, 1993
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