Deposits totaled $348.4 million at December 31, 2010, down $37.0 million, or 10%, from year-end 2009. During 2010, core deposits (NOW, demand, money market and passbook accounts) decreased by $6.8 million and certificates of deposit (“CDs”) decreased by $30.2 million. Included in the $30.2 million decrease in CDs was an $82.8 million reduction in our brokered deposits, which was partially offset by a $52.6 million increase in our regular CDs. Brokered deposits represented 5% of total deposits at December 31, 2010 compared to 26% at December 31, 2009.
Stockholders' equity was $32.9 million, or 7% of the Company’s total assets, at December 31, 2010. At December 31, 2010, the Bank’s Total Risk-Based Capital ratio was 13.05%, its Tier 1 Risk-Based Capital ratio was 11.76%, and its Core Capital and Tangible Capital ratios were 8.82%. The Company is currently implementing a Recapitalization Plan to increase capital and reduce debt and senior securities, including a sale of additional common stock and exchanges of preferred stock for common stock at a discount to the liquidation amount, to further strengthen the Company’s capital ratios, and position the Bank for future growth.
Non-performing assets, comprised of non-performing loans (“NPLs”) and REO, were $46.5 million, or 9.60% of total assets, at December 31, 2010, compared to $37.0 million, or 7.10% of total assets, at December 31, 2009. During 2010, NPLs increased by $8.5 million to $43.4 million from the balance at the end of 2009. These loans consist of delinquent loans that are 90 days or more past due and troubled debt restructurings (“TDRs”) that do not qualify for accrual status. The NPLs included 37 commercial real estate loans totaling $28.6 million, 15 one-to-four family residential real estate loans totaling $6.2 million, four multi-family residential real estate loans totaling $2.2 million, two commercial loans totaling $3.8 million, two consumer loans totaling $2.3 million, and one land loan of $0.3 million. In addition to the NPLs discussed above, there were $22.5 million and $21.5 million of accruing TDRs at December 31, 2010 and 2009. These TDRs are on accrual status as the loans have complied with the terms of their restructured agreements for a period of six months or longer.