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Associated Banc-Corp's Net Dips

TSC and IRIS Staff

Associated Banc-Corp(ASBC Quote) said its profit declined 5.1% for the third quarter, hurt by the mortgage industry slowdown.

The company earned $76.9 million, or 58 cents a share, compared with $81 million, or 63 cents a share, in the year ago period. Analysts polled by Thomson First Call were expecting earnings of 60 cents a share.

Third-quarter net interest margin was 3.63% compared with 3.56% last year. Net interest income rose 2.5% to $168.22 million. Total non-interest income slipped to $73 million from $77 million in the quarter. Nonperforming assets were 0.68% as on Sept. 30 compared with 0.58% in the corresponding period last year.

"While operating in a challenging banking environment, we are focused on margin improvement, deposit growth, sustained credit quality and prudent expense management," the Green Bay, Wis.-based company said. "We have undertaken several important initiatives to manage risk and improve the contribution of our commercial banking business."

Shares fell 22 cents to $32.89.