Bank of Virginia in Midlothian said it expects to record a huge increase in its loan-loss provision when it reports third-quarter earnings.

The $220.2 million-asset bank estimated on Friday that the provision could swell to as much as $5.5 million, more than 10 times its provision in the second quarter, which totaled $487,000. It attributed the expected increase to continued deterioration in the credit ratings of certain loans.

The company also amended its stock purchase agreement with Cordia Bancorp in Washington to reflect the drop in Bank of Virginia's book value as a result of the higher provision.

Cordia agreed to increase the maximum amount that it may invest in the bank, to $20 million, from $15 million. It also increased the minimum investment to $10 million, from $6 million.

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