The Bank Slate

INSIGHTS INTO THE BANKING INDUSTRY

Flushing in N.Y. uses capital raise to restructure its balance sheet

Flushing Financial in Uniondale, N.Y., which recently raised $70 million, had a noisy quarter as it restructured its balance sheet.

The $9 billion-asset company lost $49.2 million in the fourth quarter. The company sold $445 million of securities and moved $73.9 million of loans to held-for-sale status, resulting in a $76.4 million pretax loss.

Flushing then bought $384 million of higher-yielding securities. It also terminated $200 million of related investment securities swap for a $3 million pretax gain.

Flushing also prepaid $251 million of FHLB advances at a $2.6 million pretax loss.

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