Foreclosed properties at September 30, 2011 declined to $44.9 million compared with $67.6 million at December 31, 2010, and $73.6 million at September 30, 2010. Our ratio of non-performing assets to total assets decreased to 6.6% at September 30, 2011, compared with 7.4% at December 31, 2010, due to loans working their way through the collections, foreclosure and disposition process, and sales and write-downs on other real estate owned.
Our loan loss reserve as a percentage of total loans was increased to 3.27% at September 30, 2011, compared with 2.21% at September 30, 2010. Net loan charge-offs for the third quarter of 2011 were $7.2 million, or 0.59% of average loans for the quarter.
Our provision for loan losses was $8.0 million in the third quarter of 2011, a decrease from $13.7 million in the second quarter of 2011, and an increase from $5.0 million in the prior year third quarter.
|Non-Accrual Loan Activity|
|Non-accrual loans at June 30, 2011||$||60,331|
|Loans returned to accrual status||(929||)|
|Net principal pay-downs||(3,059||)|
|Loans foreclosed and transferred to OREO||(3,613||)|
|Loans collateral repossessed||(10||)|
|Loans placed on non-accrual during the period||11,216|
|Non-accrual loans at September 30, 2011||$||59,132|
|Other Real Estate Owned (OREO) Activity (Net of Allowance)|
|OREO at June 30, 2011||$||49,913|
|Real estate acquired||15,971|
|Valuation adjustment write downs||(15,265||)|
|Proceeds from sales of properties||(5,189||)|
|Gain (loss) on sales, net||(673||)|
|OREO at September 30, 2011||$||44,933|