Loan loss provisioning
Today, the bank holding company for Pacific Continental Bank Pacific Continental Corporation reported a forthcoming fourth quarter 2011 increase in loan loss provisioning. Pacific Continental currently projects increase over the third quarter 2011 loan loss provision of $1.8 million in the fourth quarter loan loss provision ranging from $6.0 to $7.0 million. The increase in the provision primarily relates to recent appraisals received on loans which are currently on non-accrual status.
Again based on recently received appraisals, for the fourth quarter 2011the Company expects to record other real estate valuation write downs ranging to $1.3 million from $1.0 million. Combined with the other real estate valuation write downs the increase in the fourth quarter 2011 provision for loan losses is expected to result in a net loss for the quarter ranging to $0.07 from $0.02 per share. The Company expects to report net income for the full year 2011 Although Pacific Continental expects to report a net loss for the fourth quarter 2011.
The increase in the fourth quarter 2011 secured by 156 acres of industrial zoned bare land assemblage in the greater Seattle, Washington metropolitan area and provision for loan losses primarily relates to a single loan originated in 2008.
