$54.4-Million Negative Net Worth at End of ’84 : Central S&L;’s Condition Worsens

Financially ailing Central Savings & Loan Assn.’s net worth plunged to a negative $54.4 million for the year ended Dec. 31, 1984, according to preliminary figures filed with federal regulators.

Under federal regulations, Central’s net worth--or the excess of assets over liabilities--should be $75 million, or 3% of its $2.5 billion in assets. Central’s loss for the year would appear to be about $67.2 million, based on the company’s reported loss of $35.3 million and negative net worth of $22.5 million for the nine months ended Sept. 30, 1984.

A spokesman for the Federal Home Loan Bank of San Francisco cautioned, however, that the figures--compiled as part of the agency’s 1985 Directory of Members--”are only estimates.” He would not confirm the loss computation.

Central officials would not confirm any of the year-end financial figures. Net worth as of Dec. 31, 1983, was $14.3 million, and losses for that year reached nearly $25 million.

Central’s agreement with regulators allowed the pursuit of a government-coordinated merger or purchase of the San Diego-based institution.

Regulators received only one bid--from First Global Investors Inc.--but the sale soured when the Miami-based firm was also asked to buy a failing thrift back East. Other financial institutions, including Citicorp and Chase Manhattan, have reportedly first examined Central’s financial records and later declined to acquire the troubled 50-year-old thrift.

Negotiations for an influx of new capital “are still going on, but they are between the bidders and the regulators, and we’re not privy to that,” according to Bill Van Erte, Central’s senior vice president.

Savings deposits dropped to $1.7 billion at year-end from $1.8 billion in 1983, while mortgage loans increased to $1.7 billion from $1.3 billion in 1983. Total assets increased to $2.5 billion in 1984 from $2.4 billion the year before.

Central has more than four dozen branches in Southern and Central California, including 19 in San Diego County, 12 in Los Angeles County and three in Orange County.