Origin Bancorp in Ruston, La., announced a plan to improve annual pretax, pre-provision earnings by $20.8 million.
The $9.7 billion-asset company said in a press release that the effort will include branch closings, layoffs, cash/liquidity management and securities and capital optimization strategies.
Branch and staff consolidation, set for completion in the first quarter, will improve pretax profit by $4.6 million. Optimizing commercial and mortgage banker profitability should boost pretax earnings by $6.7 million.
Origin sold $188 million of securities in the fourth quarter at a $14.6 million loss. Over time, the move should add $6.2 million to annual profit.
The plan is for return on average assets to exceed a 1% run rate by the fourth quarter. ROAA was 0.57% on Dec. 31.