Macatawa Bank Corp. in Holland, Mich., lost nearly as much money in the fourth quarter of 2007 as it made in the year-earlier period.
The $2.1 billion-asset company, which issued a profit warning for the fourth quarter last month, announced late Monday that it lost $2.8 million, or 16 cents per share, in the three months, versus a $2.85 million profit a year earlier. For the year its earnings fell 54%, to $9.1 million, or 53 cents per share.
Macatawa announced in December that it would add $9.5 million to its loan-loss provisions, bringing the total for the quarter to $10.3 million, because of deteriorating market conditions for residential development. Nonperforming loans increased 52%, to $73.9 million.
Macatawa's shares closed at $9.41 Tuesday, up 1.6% from Monday's closing price. They are off 51% from their 52-week high.
