The losses First Busey Corp. is projecting for the third quarter would have left it in dire straits without the capital it just raised.

Hammered by bad loans in southwest Florida, the $4.3 billion-asset company in Urbana, Ill., said it expects to take up to a $125 million loan-loss provision for the third quarter. Analysts said this surprisingly large hit — on top of other hefty provisions in recent quarters — would have resulted in dangerously low capital levels.

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