Professional Bancorp of Santa Monica, Calif., Wednesday reported third-quarter earnings of $1.4 million, or 67 cents a share, compared to a loss of $2.4 million, or $1.17 a share, the year earlier.
The $268 million-asset parent company of First Professional Bank attributed its gain to $3.7 million in proceeds on a life insurance policy that covered the late Joel Kovner, founder and former chief executive of Professional Bancorp and First Professional Bank.
The company reported a loss of $7.4 million in 1999 due to lingering troubles in its loan portfolio. Professional lends primarily to doctors, dentists, and medical billing companies.
In August, First Community Bancorp of Rancho Santa Fe, Calif., announced that it had agreed to buy Professional for $16.2 million. The deal is expected to close in December.