PSB Group’s fourth quarter results were impacted by a $3.18 million addition to the allowance for loan losses, resulting from an increase in the level of non-performing loans included in the loan portfolio of the company’s subsidiary, Peoples State Bank.
The bank’s full year results for 2007 represent a loss of $2.74 million, or $0.89 per average share outstanding, compared to net income of $2.89 million or $0.95 per average share outstanding during the same period in 2006.
Total assets as of December 31, 2007 were $492. 27 million compared to $4.97 billion a year ago and total loans were $3.89 billion as against $3.98 in 2006. Deposits increased to $4.38 billion for the period compared to $4.34 billion at the same time in 2006.
Michael Tierney, president and CEO of PSB Group, said: Peoples State Bank had a challenging year in 2007. Southeast Michigan banks faced one of the toughest economic years on record in 2007. We expect another difficult economic year for Michigan businesses and consumers in 2008. Our board and management team are taking the necessary steps to improve our performance even in a slow economy.
