Saturday, September 26, 2009

Harrington Bank

Calculated risk just posted a link to a website that has calculated the troubled-asset ratio for all banks in the US.

I've seen a couple familiar banks show up again and again in the HELOC records for Chapel Hill properties. Harrington Bank, which is headquartered in Chapel Hill, is one of those banks.

What's Harrington Bank's troubled-asset ratio? 24. That means the value of its assets tied up in non-performing assets (foreclosures) and 90-day delinquencies are 24% of its capital + reserves.

That's well above the national median of 13. It's also way up from this time last year when its troubled-asset ratio was 1.3.

To avoid blowing this out of proportion, I should point out that when the FDIC closed the Georgian Bank in Atlanta on Friday, the bank had a troubled asset ratio of 198.

A couple other ratios for banks based in North Carolina:
New Dominion 56.
RBC Bank 38
Mechanics and Farmers Bank 35
Wachovia 34 (I thought they were gone?)
Bank of America32

Dark days for bankers ahead. They have a lot of writing down to do.

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