After selling a foreclosed property for less than it expected, MBT Financial Corp. in Monroe, Mich., said it must revise the first-quarter loss that it reported last week.
The $1.5 billion-asset company said late Monday that it lost $1.37 million, or 8 cents a share. That is 68% more than its previously reported loss of $816,000, or 5 cents a share.
H. Douglas Chaffin, MBT's president and chief executive officer, said in a press release that, after reporting preliminary results, the company agreed to sell a residential development property with 42 lots. MBT expected the lots to fetch a total of $1.3 million, or 68% of the appraisal value, but decided to let the whole property go at once for less than half that amount.
"We had planned to sell the lots individually at prices at or above our carrying value when we received an offer to purchase the entire development for approximately $500,000," Chaffin said. "Due to the length of time required to sell the lots individually and the substantial costs of carrying the property, we decided to accept the offer."
The company said it would file quarterly results with the Securities and Exchange Commission next week.