The Bank Slate

INSIGHTS INTO THE BANKING INDUSTRY

Guaranty in Texas restructured AFS securities in 2Q

Guaranty Bancshares in Addison, Texas, restructured a portion of its securities portfolio during the second quarter.

The $3.2 billion-asset company said in a press release that it retooled about $14.3 million of available-for-sale securities “with minimal realized losses” that should be earned back in less than a year.

Several other moves offset the losses, including a $2.8 million gain from selling nonmarketable correspondent bank stock. A $299,000 annual service provided bonus boosted merchant and debit card fee income.

Guaranty also noted that it joined the IntraFi CDARS and ICS programs during the second quarter, which allow the bank to provide full FDIC deposit insurance to customers. About 22.3% of the bank’s deposits were uninsured on June 30.

Overall, net income fell 11.1% from a year earlier, to $9.6 million. The decline reflected higher funding costs and a slight uptick in operating expenses.

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