LANSING, Mich. and PHOENIX, March
19 /PRNewswire-FirstCall/ -- Capitol Bancorp Limited (NYSE:
CBC) announced today that it revised its 2009 results of operations
from those announced on January 28,
2010.
Results of operations for 2009 have been revised and include
additional provisions for loan losses approximating $20.7 million relating to regulatory exam reports
received after year-end 2009 and approximately $9.6 million of write-downs and related expense
recognition resulting from appraisal data received after year-end
2009 for collateral-dependent loans and other real estate owned.
Revisions relating to the provision for loan losses and
related allowance arose primarily from additional provisions made
for two of Capitol's most challenged banks to address credit
deterioration at those institutions. The allowance for loan
losses of Michigan Commerce Bank was increased with a $15.7 million addition, and $5 million was added for Sunrise Bank of
Arizona.
After giving effect to these adjustments, the net loss
attributable to Capitol Bancorp for the year ended December 31, 2009 increased from approximately
$168.3 million, or $9.73 per share, to approximately $195.2 million, or $11.28 per share.
Capitol Bancorp's Chairman and CEO Joseph D. Reid said, "We are continuing to
address credit issues contained in our loan portfolio and, as a
result, have cautiously added reserves in the challenged
Michigan and Arizona markets."
Regulatory Tier 1 leverage, Tier 1 risk-based and total
risk-based capitol ratios for Capitol as of December 31, 2009 were 4.6 percent, 6.0 percent
and 9.5 percent, respectively, and, accordingly, Capitol was
classified as adequately-capitalized.
About Capitol Bancorp Limited
Capitol Bancorp Limited (NYSE: CBC) is a $5.1 billion national community banking company,
with a network of separately chartered banks in 17 states.
Founded in 1988, Capitol Bancorp Limited has executive
offices in Lansing, Michigan, and
Phoenix, Arizona.
SOURCE Capitol Bancorp Limited