By Amy McCullough
More than half of metro area banks across Mississippi have experienced a decrease in troubled or problem assets during the most recent quarter (ending June 2010), according to data from the Bank Tracker website.
A “troubled asset ratio” compares the sum of troubled assets with the sum of Tier 1 Capital plus Loan Loss Reserves. Generally, higher values in this ratio indicate that a bank is under more stress caused by loans that are not paying as scheduled.
Will this decrease be a trend? Could it mean an end to rising problem assets? Only time will tell.
Note: For research purposes, Wells Fargo and Regions were eliminated from the study, as a significant number of their problem assets are centered outside Mississippi.
Miss. Metro Banks with a Decline in Trouble Asset Ratio:
52.4% (11 of 21 banks)
Trustmark * Bank Plus * Community * Merchants & Farmers * State Bank & Trust * Bankfirst * Omni * Liberty * Metropolitan * Peoples * Copiah National
Miss. Metro Banks with an Increase of Less than 1%:
14.3% (3 of 21 banks)
Citizens National Bank of Meridian * PriorityOne Bank * Bank of Forest
Miss. Metro Banks with Increased Troubled Asset Ratios:
33.3% (7 of 21 banks)
BancorpSouth * First Commercial * Heritage Banking Group * First Bank & Trust * Miss. National Banker’s Bank * Bank of Yazoo City * Merchants & Planters
BEFORE YOU GO…
… we’d like to ask for your support. More people are reading the Mississippi Business Journal than ever before, but advertising revenues for all conventional media are falling fast. Unlike many, we do not use a pay wall, because we want to continue providing Mississippi’s most comprehensive business news each and every day. But that takes time, money and hard work. We do it because it is important to us … and equally important to you, if you value the flow of trustworthy news and information which have always kept America strong and free for more than 200 years.
If those who read our content will help fund it, we can continue to bring you the very best in news and information. Please consider joining us as a valued member, or if you prefer, make a one-time contribution.Click for more info