Minnesota bank earnings are down, but reserves and capital levels still strong
July 6, 2009
By MoneyAisle
According to Finance and Commerce, FDIC data “show that Minnesota banks wrote off $151 million from their loan portfolios during the first quarter of 2009, three times the amount they charged off two years ago.”
“The ration of delinquent loans to total loans in Minnesota banks climbed for the seventh consecutive quarter to 2.93 percent, triple the ration in 2007 and double last year’s delinquency rates.”
Despite these grim numbers, area banks have managed to keep strong capital reserves. Additionally, these same banks have managed to post profits.