RENTON, Wash., July 23, 2010 (GLOBE NEWSWIRE) -- First Financial Northwest, Inc. (the "Company") (Nasdaq:FFNW), the holding company for First Savings Bank Northwest (the "Bank"), today reported a net loss for the second quarter ended June 30, 2010 of $24.9 million, or $1.43 per diluted share, as compared to a net loss of $28.0 million, or $1.49 per diluted share for the quarter ended June 30, 2009. For the six months ended June 30, 2010, the Company reported a net loss of $42.6 million, or $2.45 per diluted share as compared to a net loss of $26.8 million, or $1.41 per diluted share for the comparable period in 2009.
- Provision for loan losses of $26.0 million;
- Loan charge-offs of $32.7 million;
- Nonperforming assets decreased $29.3 million to $137.1 million from the previous quarter;
- Deposits increased $9.5 million from the previous quarter while our cost of funds decreased 16 basis points;
- We reduced the overall risk level of our loan portfolio by decreasing the amount of speculative construction/land development loans to $94.5 million, or 9.24% of total loans from $164.0 million, or 14.7% at December 31, 2009;
- The interest rate spread increased 72 basis points to 2.26% during the second quarter of 2010 as compared to the second quarter of 2009 as our cost of funds declined 83 basis points between periods;
- Pretax, pre-provision core operating earnings, exclusive of net expenses related to other real estate owned ("OREO"), were $2.7 million for the second quarter of 2010 compared to the goodwill adjusted, pretax, pre-provision core earnings of $389,000 for the comparable quarter in 2009 1;
- The Company's consolidated ratio of tangible common equity to tangible assets ended the quarter at 15.95% 1.