An analyst has pinned a "buy" rating on shares of Poughkeepsie Savings Bank, citing a reduction in asset-quality problems at the $710 million-asset thrift.

"We believe that the shares are an attractive investment for accounts willing to speculate on the ongoing improvement in the fundamentals," Frank J. Barkocy wrote in a research report released last week.

Mr. Barkocy, an analyst at Advest Inc., Hartford, Conn., also called the bank a possible "takeover target" in the report.

Nonperforming assets at June 30 were $48.6 million, or 6.9% of total assets, compared with $76.2 million, or 10.5%, at year-end 1992. The bank, which was operating under a "prompt corrective action" directive, raised all capital ratios in June and is now designated "well-capitalized" by the Office of Thrift Supervision.

Suburban Bankshares, Lake Worth, Fla., said it lost $84,000 in the second quarter, versus net income of $6,000 a year ago.

The banking company lost $66,000 for the six months of the year, versus earnings of $404,000 the same time in 1992, according to its Aug. 18 release.

John Dorland, president and chief executive of the $172 million-asset bank, said the quarterly loss was attributable to the high level of nonperforming assets, and a reduction in net interest margin.

Nonperforming assets totaled $13.4 million as of June 30, down 4.3% since Dec. 31. Mr. Dorland, who was named president July 1, expects nonperformers to continue to decline in the second half of the year.

He also expects Suburban Bank's capital levels to continue to rise: tier I capital stood at 4.66% in the quarter, while risk-based capital was 5.91%, and leveraged ratio was 3.50%.

Mr. Dorland said Suburban is negotiating a revised offer to merge with Command Credit Corp., a Long Island, N.Y.-based credit card marketing and service business.

In an effort to further strengthen its capital. $1.8 billion-asset Citfed Bancorp. Dayton. Ohio, offered $40.25 million in subordinated notes last week.

The issue has an 8.25% yield and comes due Sept. 1, 2063. It was underwritten by Chicago Corp. and McDonald and Company Securities.

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