JPMorgan Chase & Co. has again cut some slack for United Western Bancorp Inc. in Denver.
The $2.2 billion-asset United Western said in a Jan. 12 filing with the Securities and Exchange Commission that it had entered into its sixth forbearance agreement on a $16.25 million line of credit with the New York banking company. The latest amendment pushes the due date to Feb. 15.
United Western said its creditor agreed to an extension because late last year it was able to get as much as $94 million of capital commitments from private-equity firms and other investors. Still, JPMorgan Chase and the investors are requiring the company to raise $200 million. The extension also calls for United Western to make three months of interest payments, which must be approved by the Office of Thrift Supervision. The OTS approved such payments last year.
The Denver company has yet to report its third-quarter results, but it said last month that its thrift unit was undercapitalized at Sept. 30 after writedowns of its holdings.
