IBJNews

Bank to report loss on sour Indianapolis loans

Back to TopCommentsE-mailPrintBookmark and Share

Indiana Community Bancorp expects to report a $5.8 million loss in the third quarter largely due to several bad commercial loans in the Indianapolis area.

The Columbus-based parent of Indiana Bank & Trust said on Wednesday that it is writing off $13.3 million for the period ending Sept. 30, primarily due to nine commercial customers in the area with total loan balances of $32.7 million.

Indiana Bank & Trust has 20 branches in Indiana, including six in Columbus and three in Greenwood.

Of the nine commercial customers, three are real estate investment firms that accounted for $18.5 million of the loan balance and $8.1 million of the write-offs, the bank said.

Its provision for loan losses in the quarter grew $737,000, to $14.8 million. As a result, Indiana Bank & Trust expects to report a $5.8 million loss, or $1.80 per share.

The bank, however, said it has noticed an uptick in commercial real estate activity in the Indianapolis market and is pursuing several letters of intent and purchase agreements to pay down non-performing loans.

Indiana Bank & Trust is set to report third-quarter earnings on Oct. 25.
 

ADVERTISEMENT

  • Indiana Bank
    When loans are written off, the stockholders (OWNERS) of the bank should be able to access the names of the deadbeats. Not in this case so these entitites let the stockholders suffer...just like Irwin Financial.

Post a comment to this story

COMMENTS POLICY
We reserve the right to remove any post that we feel is obscene, profane, vulgar, racist, sexually explicit, abusive, or hateful.
 
You are legally responsible for what you post and your anonymity is not guaranteed.
 
Posts that insult, defame, threaten, harass or abuse other readers or people mentioned in IBJ editorial content are also subject to removal. Please respect the privacy of individuals and refrain from posting personal information.
 
No solicitations, spamming or advertisements are allowed. Readers may post links to other informational websites that are relevant to the topic at hand, but please do not link to objectionable material.
 
We may remove messages that are unrelated to the topic, encourage illegal activity, use all capital letters or are unreadable.
 

Messages that are flagged by readers as objectionable will be reviewed and may or may not be removed. Please do not flag a post simply because you disagree with it.

Sponsored by
ADVERTISEMENT

facebook - twitter on Facebook & Twitter

Follow on TwitterFollow IBJ on Facebook:
Follow on TwitterFollow IBJ's Tweets on these topics:
 
Subscribe to IBJ
ADVERTISEMENT