Blue River posts loss on poor loan climate

Back to TopCommentsE-mailPrintBookmark and Share

Shelbyville-based Blue River Bancshares Inc. on Tuesday afternoon said mounting loan losses contributed to a third-quarter loss of $356,000.

That translates to a loss of 14 cents per share compared with a profit of 3 cents per share during the same quarter last year, when the bank earned $96,000.

The bank’s net loss of $431,000 to common shareholders was even steeper in the third quarter, when including $70,000 it received from the federal Troubled Asset Relief Program, and $5,000 of preferred stock discount accretion.

For the third quarter, the bank’s loan-loss provision grew to $786,000, from $402,000 during the same three months in 2008. However, $468,000 of the most recent loan- loss provision was related to just one loan, said Russell Breeden III, Blue River’s chairman, CEO and president, in a written statement.

“As a result of the recent economic conditions, we have experienced a dramatic increase in the amount of our non-performing loans,” Breeden said. “We consider this to be a very serious issue and are working aggressively to identify potential losses and proactively address them.”

Blue River’s total assets remained relatively flat at $260.8 million. Deposits grew 5 percent, to $209.8 million.

Blue River is the holding company for Shelby County Bank.

Shares of the bank trade over the counter and opened Wednesday morning at $2.10 each.


Post a comment to this story

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

facebook - twitter on Facebook & Twitter

Follow on TwitterFollow IBJ on Facebook:
Follow on TwitterFollow IBJ's Tweets on these topics:
Subscribe to IBJ
  1. If I were a developer I would be looking at the Fountain Square and Fletcher Place neighborhoods instead of Broad Ripple. I would avoid the dysfunctional BRVA with all of their headaches. It's like deciding between a Blackberry or an iPhone 5s smartphone. BR is greatly in need of updates. It has become stale and outdated. Whereas Fountain Square, Fletcher Place and Mass Ave have become the "new" Broad Ripples. Every time I see people on the strip in BR on the weekend I want to ask them, "How is it you are not familiar with Fountain Square or Mass Ave? You have choices and you choose BR?" Long vacant storefronts like the old Scholar's Inn Bake House and ZA, both on prominent corners, hurt the village's image. Many business on the strip could use updated facades. Cigarette butt covered sidewalks and graffiti covered walls don't help either. The whole strip just looks like it needs to be power washed. I know there is more to the BRV than the 700-1100 blocks of Broad Ripple Ave, but that is what people see when they think of BR. It will always be a nice place live, but is quickly becoming a not-so-nice place to visit.

  2. I sure hope so and would gladly join a law suit against them. They flat out rob people and their little punk scam artist telephone losers actually enjoy it. I would love to run into one of them some day!!

  3. Biggest scam ever!! Took 307 out of my bank ac count. Never received a single call! They prey on new small business and flat out rob them! Do not sign up with these thieves. I filed a complaint with the ftc. I suggest doing the same ic they robbed you too.

  4. Woohoo! We're #200!!! Absolutely disgusting. Bring on the congestion. Indianapolis NEEDS it.

  5. So Westfield invested about $30M in developing Grand Park and attendance to date is good enough that local hotel can't meet the demand. Carmel invested $180M in the Palladium - which generates zero hotel demand for its casino acts. Which Mayor made the better decision?