HomeFed’s Problem Loans Increase: San Diego-based HomeFed...
From Times Staff and Wire Reports
HomeFed’s Problem Loans Increase: San Diego-based HomeFed Bank said its loan portfolio continues to worsen as non-earning assets jumped by $100 million during January and February to $1.3 billion, or 6.79% of the savings and loan’s total assets. In a filing with federal regulators, HomeFed said its bad loans were up from the $1.2 billion, or 6.44% of assets, it reported as of Dec. 31. The S&L;’s high level of problem loans, more than double the benchmark ratio of healthy thrifts, seriously impairs its earning power and could prompt significant writedowns of asset values in the future.
