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First Commonwealth third-quarter losses grow
Friday, November 06, 2009

First Commonwealth Financial this morning said it lost more money in the third quarter than previously reported because of another soured commercial loan and another write down on an investment.

The Indiana, Pa.-based bank said it lost $5.9 million, or 7 cents a share, in the third quarter. That is nearly double the loss of $3 million, or 4 cents a share, that it reported two weeks ago.

The loss compares with a profit of $10.2 million, or 14 cents, in the September quarter last year.

First Commonwealth said it took a charge of $2 million after being notified that interest payments were being deferred on certain pooled trust preferred securities.

In addition, the bank upped its provision for loan losses by $1.6 million, to $23 million, after receiving "updated financial information and projections" from an undisclosed commercial real estate borrower.

Both events occurred after the release of third-quarter results on Oct. 22, First Commonwealth said.

Patricia Sabatini can be reached at psabatini@post-gazette.com or 412-263-3066.
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First published on November 6, 2009 at 10:35 am
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