Fannie and Freddie Stock Ownership Impacts VIST Financial
September 18 2008 - 4:02PM
PR Newswire (US)
WYOMISSING, Pa., Sept. 18 /PRNewswire-FirstCall/ -- VIST Financial
Corp. (NASDAQ:VIST) announced today that the U.S. Treasury, Federal
Reserve and Federal Housing Finance Agency actions on September 7,
2008 with respect to Fannie Mae and Freddie Mac have adversely
impacted the value of certain equity securities held by VIST
Financial. As of June 30, 2008, VIST Financial held $2.5 million in
Fannie Mae preferred stock and $4.8 million in Freddie Mac
preferred stock with a total cost of $7.3 million. The market value
of these investments is difficult to determine at this time.
"Although these securities were purchased as a long-term investment
from government-sponsored entities Fannie Mae and Freddie Mac, it
now appears unlikely that the market value of these investments
will improve in the future from their current levels," stated
Robert D. Davis, President and Chief Executive Officer, VIST
Financial. "Given this unfortunate news, VIST Financial expects to
record a non-cash other than temporary impairment charge of up to
$7.3 million on these investments for the quarter ending September
30, 2008," he added. "The exact amount of the impairment charge has
not yet been finally determined and we are working through the
implications but expect to continue to meet all regulatory 'well
capitalized' benchmarks after giving effect to the charge," stated
Mr. Davis. As we look to the end of the 3rd quarter, VIST
Financial's core operating results continue to be strong. However,
in an effort to preserve capital the Board of Directors for VIST
Financial Corp. announced today it will postpone the decision to
pay a cash dividend to shareholders for the 3rd quarter, 2008 until
October, 2008. VIST Financial (formerly Leesport Financial Corp.)
is diversified financial services company headquartered in
Wyomissing, PA, offering banking, insurance, investments, wealth
management, and title insurance services throughout Berks, Southern
Schuylkill, Montgomery, Delaware, and Philadelphia Counties.
http://www.vistfc.com/ This release may contain forward-looking
statements with respect to the Company's beliefs, plans,
objectives, goals, expectations, anticipations, estimates, and
intentions that are subject to significant risks and uncertainties,
and are subject to change based on various factors, some of which
are beyond the Company's control. The Company does not undertake to
update any forward-looking statement, whether written or oral, that
may be made from time to time by or on behalf of the Company.
DATASOURCE: VIST Financial Corp. CONTACT: Robert D. Davis,
President and Chief Executive Officer, +1-610-603-7212 Web site:
http://www.vistfc.com/
Copyright
VISTERRA, INC. (NASDAQ:VIST)
Historical Stock Chart
From Jun 2024 to Jul 2024
VISTERRA, INC. (NASDAQ:VIST)
Historical Stock Chart
From Jul 2023 to Jul 2024