The Bank Slate


1895 Bancorp of Wisconsin sells more AFS securities at loss

A second balance sheet restructuring has taken place at 1895 Bancorp of Wisconsin in Greenfield.

The $553 million-asset company said in a press release that it sold $28.1 million of lower-yielding investment securities for a $2.7 million pretax loss. The proceeds were redeployed into about $28.7 million of U.S. government-sponsored mortgage-backed securities.

The move should generate $1 million of additional pretax earnings on an annualized basis. The loss from the securities sale should be recouped in less than three years.

The company sold $21.4 million of securities in September for an after-tax loss of $1.4 million with proceeds used to buy government-sponsored mortgage-backed securities.

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