Security Bank Corp. expects to record a loan loss provision of $16 million to $20 million for the rest of the year, due to declines in the residential real estate market. The Macon, Ga., bank holding company is still evaluating how much of the provision should be set aside for the third quarter. Net charge-offs as a percentage of average loans are expected to increase to 75 to 85 basis points, compared with the company's previous forecast of 20 basis points. The increase is related to fewer loans, mostly in the Atlanta region. If the North Atlanta markets remain soft, Security Bank's loan growth for the rest of the year may fall below previous estimates of 10% to 12%.
Processing Content
