Community Shores Bank Corp. in Muskegon, Mich., said Wednesday that its first-quarter loss widened to $734,000, from $440,000 a year earlier.
Heather Brolick, the company's president and chief executive, said in a press release that the losses involved "the final phase of credit problems" adding that Community Shores is not expected to return to profitability this year.
The $242.4 million-asset company's loan-loss provision fell 73% from the fourth quarter but increased 33% from a year earlier, to $705,000. Nonperforming assets rose slightly from the fourth quarter but fell nearly $4 million from a year earlier, to $11.9 million.
Its total risk-based capital ratio was 6.84% at the end of the first quarter.
"The capital markets and investment environment have been tepid to virtually nonexistent in Michigan," Brolick said. "The board … is actively working on various scenarios to improve the company's capital position."
