The Real Deal Miami

Regions hit with Florida loan losses

January 21, 2009 11:44AM

Birmingham-based Regions Financial’s revenues fell 9 percent in the
fourth quarter, mostly due to the bank’s troubles in Florida. The bank
sold or transferred to “hold for sale” status about $1 billion in
nonperforming loans and foreclosed properties, many of them in Florida.
Those moves cost it $479 million. Regions had $3.66 billion in Florida
second mortgages at year end, up from $3.58 billion on September 30.
Charge-offs for those loans in the fourth quarter were $39.9 million,
or 4.37 percent of the total, compared with $37.8 million, or 4.28
percent of the total, in the third quarter.