Bryn Mawr Bank in Pennsylvania reported a quarterly loss after terminating its pension plan.

The $3 billion-asset company lost $6.4 million, or 37 cents a share, in the fourth quarter, compared to a $7 million profit a year earlier. Bryn Mawr recorded a $17.4 million pretax loss to terminate the pension.

"Our decision to terminate the corporate pension plan will eliminate the earnings volatility associated with this defined-benefit program," Frank Leto, Bryn Mawr's chief executive, said in a press release.

Net interest income, after the loan-loss provision, increased 19%, to $23.7 million. Bryn Mawr attributed the increase to organic growth and $424.2 million of loans it obtained from its January 2015 acquisition of Continental Bank Holdings in East Norriton, Pa. The net interest margin compressed by 7 basis points, to 3.77%.

Fee income rose 6%, to $13.7 million, because of increased income from bank-owned life insurance, an rise in the value of trading securities and income tied to the full payoff of a purchased credit-impaired loan obtained in the Continental acquisition.

Noninterest expense more than doubled, to $47 million. In addition to the pension costs, Bryn Mawr incurred $1.3 million in expenses tied to the early termination of a lease on Continental's headquarters. Bryn Mawr also had higher expenses because it converted Continental's core system.

Bryn Mawr also paid $218,000 in severance during the quarter. It also elected to unwind a $15 million forward interest rate swap, which included a $611,000 fee.

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