The Connecticut Bank and Trust Co. saw its second-quarter earnings plummet 55 percent due largely to what the Hartford community lender says was ongoing weak loan demand and higher expenses, including salaries and benefits.
The bank earned $116,000, or a penny a share, in the latest quarter vs. net earnings of $261,000, or a nickel a share, the same April-June period a year ago.
Chairman and CEO David A. Lentini said the bank, though profitable, “continues to be adversely impacted by the effects of this prolonged recession.”
Loan demand remains soft, he said, despite the bank’s successful efforts luring $12 million in fresh deposits that could be leveraged into borrowings down the road.
The bank’s portfolio of past-due loans climbed at June 30 to $13.7 million, or 6 percent of its total loans, up from $8.8 million, or 4 percent, at end of 2010.
