IRWINDALE, Calif -- H.F. Ahmanson & Co. said it has completed a yearlong effort to clean up its balance sheet by selling $1.2 billion of delinquent and nonaccruing single-family real estate loans.
The parent of Home Savings of America, the nation's largest thrift, said the sale and a $163 million provision for certain real estate development projects will result in a loss of about $290 million for the second quarter.
Richard H. Deihl, chairman and chief executive officer, said Ahmanson will be profitable in the third and fourth quarters and plans to raise $200 million of capital in preparation for future expansion.
After the bulk sale, the $50 billion-asset company's nonperforming assets will equal about 2.04% of total assets, down from a peak of 5.02% in the fall.
