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Old Second National (OSBC) in Aurora, Ill., has been released from a 2011 consent order issued by the Office of the Comptroller of the Currency.
October 18 -
Old Second Bank in Aurora, Ill., aims to prove that it and other Tarp banks that burned through all their common equity can survive.
March 7 -
Old Second Bank remained well-capitalized at year-end, but the company's stubborn portfolio of nonperforming assets continues to present a challenge to capital levels.
February 7
Old Second Bancorp (OSBC) in Aurora, Ill., is set to begin a stock offering that could help it dig out of a deep capital hole.
The $2 billion company plans to sell up to $70 million of common stock, it said in a
Old Second did not say when the sale would begin or what the share price would be.
The company has reached an agreement with an investor to buy back 33% of its total outstanding Tarp shares at a slight discount to their face value, it said in the filing. Old Second received $73 million through the program in 2009, and the Treasury auctioned the shares last year for $24.7 million.
The interest rate on the company's remaining Tarp debt will rise to 9% from 5% next month, it said. The rate on Tarp shares increases five years after the shares' issuance.
Old Second has about $58.4 million in outstanding trust-preferred debt, along with the $15.7 million in compounded interest payments. Old Second stopped paying interest on the trust-preferred in 2010, it said.
Old Second has been slowly recovering after losses it suffered following the financial crisis that ate through its capital buffer. The bank had
Old Second's bank was