West Coast Bancorp has reported earnings of $2 million or $0.13 per diluted share for the first quarter of 2008, compared to earnings of $7.9 million or $0.49 per diluted share for the same period of 2007.
The first quarter 2008 net interest income of $23.6 million declined $4.3 million or 15% from the first quarter of 2007. A positive loan volume variance was more than offset by the $4.2 million in interest reversals associated with two-step loans moved to nonaccrual status. As a result, the first quarter net interest margin fell 70 basis points to 3.92% from 4.62% in the fourth quarter of 2007.
First quarter non-interest income rose $2.2 million or 27% from the same quarter in 2007.
Robert Sznewajs, president and CEO of West Coast Bancorp, said: The first quarter 2008 operating results were significantly impacted by current economic conditions in the residential real estate markets and are disappointing.