Earnings set record at First Place
WARREN — First Place Bank reported record earnings but also some concerns.
The Warren-based company said Wednesday that it earned $25.6 million in its fiscal year that ended June 30, which topped previous years.
The concern comes from the bank’s non-performing loans. These loans, which aren’t producing any payments, amounted to $34 million on June 30, compared with $27.6 million a year earlier.
The bank noted that a large part of the increase was tied to a $3.9 million commercial loan in Michigan. It said it is working with the borrower on a resolution.
Of the non-performing loans, 92 percent are secured by real estate. The bank noted that if these loans do default, only a fraction of the loan amount is expected to be lost.
Steve Lewis, First Place president and chief executive, said the company is concerned and is aggressively pursuing collection on these loans.
For more on this story, see The Vindicator or www.vindy.com Thursday.