Chambers Bank of Danville Records Loss Of About $4M

Chambers Bank of Danville posted a nearly $4.3 million loss during the third quarter. The lick comes after the bank generated net income of almost $5.2 million through the first half of 2012.

The $704 million-asset lender entered into a consent order with the Federal Deposit Insurance Corp. over its banking practices earlier this year.

The bank posted a loss of almost $5.5 million during 2011 after enduring a $17.8 million loss in 2010. Chambers Bank is carrying total equity capital of $70.7 million.

The bank’s Other Real Estate Owned portfolio ballooned from $33.5 million at year’s end to more than $43.8 million as of Sept. 30.

For a comparison of scale, that’s about half the OREO total for the largest Arkansas bank. Arvest Bank of Fayetteville reported total assets of $13.8 billion and OREO of nearly $84.6 million at the end of the third quarter.