Weiss Ratings News Briefs


Central Progressive Bank shuttered by Louisiana banking regulators

11/21/2011

Central Progressive Bank in Lacombe, with assets of $397.9 million at June 30, was rated E- ("Very Weak") at the time of failure and was first identified as "Weak" in March 2007. It reported a loss of more than $9 million through the six months ending June 30. Central Progressive had below-FDIC-mandated Tier 1 (5%) and risk-based capital (6%) ratios of 2.03% and 3.87%, respectively. Nonperforming loans represented 11.5% of its loan portfolio.

First NBC Bank, located in New Orleans, Louisiana, with assets of $1.65 billion and a Weiss Financial Strength Rating of B- ("Good"), assumed the deposits of Central Progressive Bank. First NBC has high Tier 1 capital of 10.88% and moderate risk-based capital of 14.1%. The bank also has very low nonperforming loans and earned more than $8.9 million through June 30 or an ROA of 1.17%, well above industry standards of 0.87%.