First United in Oakland, Md., sold a batch of securities at a loss.
The $1.9 billion-asset company disclosed in a regulatory filing that it sold $20.4 million of securities at an after-tax loss of $3.2 million. The securities had a book value of $24.6 million.
Proceeds will be used to fund loans with a conservative rate of about 7.85% and should increase earnings per share by about 15 cents. It should take about three years to earn back the loss from the securities sales.