MIAMI--(BUSINESS WIRE)-- Pacific National Bank today reported net income of $239,000 for the three months ended June 30, 2011, compared with a net loss of $326,000 for the three months ended June 30, 2010.

The bank’s second-quarter net income of $239,000 was primarily due to a net recovery of the allowance for loan and lease losses of $78,000, gains on sale of investment securities of $446,000, and a reduction of the valuation allowance for deferred tax assets of $355,000. These gains were partially offset by core operating losses of $180,000, and the accrual for extraordinary regulatory costs of $460,000.

For the six months ended June 30, 2011, the bank's net loss was $729,000 compared with a net loss of $1,684,000 for the same period in 2010. The provision for loan and lease losses for the six months ended June 30, 2011, was $427,000, compared with $2,165,000 for the same period in 2010.

Tier 1 capital increased to 12.47 percent, while total risk-based capital grew to 26.30 percent from the previous quarter.

Non-performing assets at the end of the second quarter were $18.5 million, or 5.4 percent of total assets, a 12 percent increase from $16.5 million at the end of 2010. However, the July 22, 2011, sale of a $2.3 million non-performing loan has since reduced non-performing assets to $16.2 million or 4.73 percent of total assets, which represents a slight decrease from the 2010 year-end ratio.

The allowance for loan losses stood at 2.63 percent of gross loans as of June 30, and the bank’s ratio of non-performing assets came to 40.68 percent of capital and reserves. The July 22 sale of $2.3 million has since reduced that ratio to 35.62 percent.

Pacific National Bank, headquartered at 1390 Brickell Avenue, was established as a national bank in 1985 and has $342 million in assets.

CONTACT:

Pacific National Bank
Carlos Fernandez-Guzman, Off: 305-539-7514 or Cell: 305-992-3224
cfernandez-guzman@pnb.com
or
Mark Sell, 305-372-1234
msell@wraggcasas.com

KEYWORDS:   United States  North America  Florida

INDUSTRY KEYWORDS:   Professional Services  Banking

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