Texas Regional Bancshares Inc. in McAllen said Monday that its third-quarter earnings fell about 17.5% from the year earlier, to $16.4 million, due largely to an increase in its provision for loan losses. Per-share earnings fell 16.7%, to 30 cents.
The $7 billion-asset company said it took a reserve of $9.6 million for one large, nonperforming loan and a total loss provision of $13.5 million, up 54% from the year earlier. Last year's results were also boosted by distributions received from the purchase of Pulse EFT Association by Morgan Stanley's Discover Financial Services.
In June, Texas Regional announced that it was selling itelf to the Spanish banking company Banco Bilbao Vizcaya Argentaria SA for $2.16 billion. The deal is expected to close this quarter.
