Associated Banc-Corp heals its balance sheet

Associated Banc-Corp reported third quarter net income of $41.3 million, or 20 cents per share, up from $14.3 million, or 4 cents per share, in the same period a year ago.
The Green Bay-based parent company of Associated Bank said its commercial and business lending (C&I, leasing, and owner-occupied commercial real estate loans) grew $198 million during the quarter. Retail loans and residential mortgage loans grew $108 million during the quarter, and the company’s provision for loan losses of $4 million was down significantly from the prior quarter.
Net charge-offs of $30 million were down 32 percent from $45 million for the prior quarter, and the company completed the repurchase of remaining Troubled Asset Relief Program (TARP) funds through senior note and preferred stock offerings.
"We are pleased with our improving results. Our focus remains on meeting the needs of our customers and investing in our core businesses. We continue to see opportunities to invest in our franchise and expect to see these investments pay-off in the future," said president and chief executive officer Philip Flynn. "Our capital ratios following our September senior notes and preferred stock offerings and the subsequent TARP repayment continue to exceed the standards for well-capitalized banks. This strong capital position provides us with flexibility as we continue to execute our strategic plans for growth. We are pleased with the solid results of this quarter. We are proud to have delivered on our commitment we made to our shareholders to repay TARP in a shareholder-friendly manner. Despite the soft economy, we continue to see opportunities to create shareholder value and are committed to capitalizing on these opportunities."