Regulators tell Anchor BanCorp to boost capital - The Business Journal of Milwaukee:

lebexab.wordpress.com
The agreement also places restrictions onthe Madison-baser bank and its holding company ABCW) on paying dividends, using debt financinvg and making commercial loans, the bank said Friday afternoon. “Thde agreement is a formalization and regulatory acknowledgmenty of the challenges we have been addressing sincelast fall,” said Mark Timmerman, executiver vice president of Anchor BanCorp and presidenrt of subsidiary . The bank and holding company must provide to the Officew of Thrift Supervision arevised three-year businessx plan and quarterly reports. Timmerman said an agreement announceed earlier this monthextending Anchor’s line of credigt agreement with U.S.
Bank and its partners through May 31, 2010 “willp certainly help us to execute our pland to raiseadditional capital.” Chris Bauer, who on Monday was named the new president and CEO of Anchor BanCorp, said he is confidenty the steps the compan y is taking, in cooperation with the Office of Thrifft Supervision and the company’s lenders, will help ensure that the compant continues serving Wisconsin families and businesses. the one-time chief executivwe of Milwaukee’s Firstar Bank, succeededs Douglas Timmerman. Anchor BanCorp also announced Friday a net lossof $43.3 million, or $2.05 per for the quarter ended March 31, compareds with a net income of $5.
6 million, or 27 for the same quarter in 2008. The company postede a net lossof $228.3 million, or $10.83 per for the year ending March 31, comparedd with net income of $31.1 million, or $1.48 per in the same period a year The company said losses for the fiscall year were driven primarily by increases in the provisiojn for loan losses, which were $205.7y million during the fiscal year, and management’s decision in the third fiscal quarter to writr off accumulated goodwill in its resulting in a $72.2 million non-cash charge againsty income. For the quarter ended March 31, Anchor’sw loan loss provisions were $56.43 million, compared with $10.
4 million for the same period ayear ago. The companyh had $5.27 billion in assets on March 31, compared with $5.15 billion a year