Provident Financial Holdings Inc. of Riverside, Calif., said Friday that it is setting aside a $2.5 million reserve to cover possible losses stemming from a housing construction project.
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The $1.7 billion-asset company said it has placed 23 loans for the construction of homes by a Coachella, Calif., developer on nonaccrual status because the project is taking much longer than scheduled. Provident is developing a workout plan for these loans and did not say whether the reserve would affect its fiscal second-quarter earnings.
