KeyCorp reports second quarter net loss, dividends announced

first_imgKeyCorp (NYSE: KEY) today announced a second quarternet loss from continuing operations attributable to Key of $236 million, or $.69 per common share. Per share results for the current quarter are after cash and deemed preferred stock dividends of $164 million, or $.28 per common share. These dividends include a noncash deemed dividend of $114 million related to the exchange of Key common shares for Key s Series A Preferred Stock as part of the company s efforts to raise an additional $1.8 billion of Tier 1 common equity, and a cash dividend payment of $31 million made to the U.S. Treasury Department under the Capital Purchase Program. Results for the current quarter compare to a net loss from continuing operations of $1.128 billion, or $2.71 per common share, for the second quarter of 2008.The loss for the current quarter is largely the result of an increase in the provision for loan losses. During the second quarter, Key continued to build its loan loss reserves by taking an $850 million provision for loan losses, which exceeded net charge-offs by $311 million. As of the end of the quarter, Key s allowance for loan losses was $2.5 billion, or 3.53% of total loans, up from $1.4 billion, or 1.87% one year ago. The loss for the year-ago quarter was largely attributable to a $1.011 billion after-tax charge recorded as a result of an adverse federal tax court ruling that impacted Key s accounting for certain lease financing transactions. Our results continue to reflect the weak economic environment and the aggressive steps we ve taken to address credit quality, strengthen our capital position and control costs as we manage through this difficult credit cycle, said Chief Executive Officer Henry L. Meyer III.During the second quarter, Key successfully raised more than $1.8 billion in new Tier 1 common equity as required by the Supervisory Capital Assessment Program ( SCAP ) initiated by the U.S. Treasury and, as of today, is well on its way to further supplement that amount through an additional offer to exchange common shares for retail capital securities, which is currently in progress. The additional capital will serve as a buffer in the event the U.S. economy worsens considerably through 2010. Throughout the current financial crisis, Key s capital ratios have remained in excess of the well-capitalized levels established by the federal regulators. At June 30, 2009, Key had a Tier 1 risk-based capital ratio of 12.42% and a Tier 1 common equity ratio of7.27%.Meyer continued: Key s fortified capital position will also enable us to support our clients borrowing needs and benefit from other business opportunities when the economy recovers. During the second quarter, Key originated approximately $8.2 billion in new or renewed loans and commitments to consumers and businesses. In conjunction with our efforts to improve Key s competitive position, late last year we initiated a process known as Keyvolution, a corporate-wide initiative designed to build a consistently superior experience for clients, simplify processes, improve speed to market and enhance Key s ability to seize growth and profit opportunities, Meyer said. Through this initiative, we expect to achieve annualized cost savings of $300 million to $375 million by 2012.Over the past fifteen months, we have been addressing certain noncore businesses, such as retailmarine and private student lending activities. We have also deployed new teller platform technology throughout our company. These and other efforts have resulted in a reduction in our employee workforce of approximately 8%, or 1,500 positions, over the fifteen month period.Compared to the year-ago quarter, our personnel costs are down 6%. Additionally, we have continued to build upon our relationship-based, client-focused business model. Our Community Banking business continues to benefit from these efforts as evidenced by a $2.7 billion, or 5%, increase in deposits compared to the second quarter of 2008.DIVIDENDSKeyCorp (NYSE: KEY) announced July 20, 2009, that its Board of Directors approved the following dividends for the third quarter, 2009:– A regular cash dividend of $0.01 per share of its common shares, or $0.04 per share on an annualized basis. The dividend is payable September 15, 2009 to shareholders of record on September 1, 2009.– A cash dividend of $1.9375 per share on the Corporation’s outstanding 7.750% Non-cumulative Perpetual Convertible Preferred Stock, Series A. The dividend is payable September 15, 2009 to holders of record on August 28, 2009, for the dividend period commencing on June 15, 2009.Cleveland-based KeyCorp is one of the nation’s largest bank-based financial services companies, with assets of approximately $98 billion. BusinessWeek Magazine named Key the top bank in its Customer Service Champ 2009 edition, ranking Key 11th out of the top-25 companies that include many known for their customer service acumen. Key companies provide investment management, retail and commercial banking, consumer finance, and investment banking products and services to individuals and companies throughout the United States and, for certain businesses, internationally. For more information, visit is external). INVESTOR KEY MEDIA RELATIONS: is external) NEWSROOM : is external)SOURCE KeyCorp.last_img read more

New York’s Glen Ridge Motorsports Park puts IMCA Modifieds on Friday programs

first_imgFULTONVILLE, N.Y. – A perfect little track in eastern New York puts IMCA Modifieds on its Friday night programs beginning this season.Opening night for the sanctioned division at ¼-mile clay Glen Ridge Motorsports Park is now planned for April 14.“I have commitments from 15 guys now and that’s good enough for us to get the class started,” said Promoter Pete Demitraszek. “This is a perfect little track for them, I’ll tell you that. It’s a pretty quick little track.”IMCA Modifieds have made one previous appearance on the Fultonville oval, about four years ago.Demitraszek believes the economy of the division and the rules it brings with it, notably the crate engine option, will make it a success at the newest sanctioned track in IMCA’s Dirt Works Eastern Region.“I really like the rules package and the way IMCA enforces it,” he said. “Keeping the cost of racing down is important. The IMCA Modified is an economical race car and I think the crate engine is going to save the class in this area.”IMCA Speedway Motors Weekly Racing National, regional, Allstar Performance State and track points will be awarded at Glen Ridge through August.A special event may be added to the schedule in September.last_img read more

Wellington Police Notes: Friday, Feb. 28 – Sunday, March 2, 2014:

first_imgSunday, March 2, 2014No reports Saturday, March 1, 2014•6:30 a.m. Officers investigated cultivate any controlled substance, no drug tax stamp, possession of paraphernalia with Intent to manufacture, possession of marijuana and possession of drug paraphernalia by known suspect(s) in the 700 block E. Lincoln, Wellington.•6:30 a.m. Officers took a report of a child in need of care in the 700 block E. Lincoln, Wellington.•12:26 p.m. Officers investigated burglary of miscellaneous electronics in the 400 block N. Woodlawn, Wellington.•1:58 p.m. Officers investigated criminal damage to property in the 1300 block N. B, Wellington.•6:15 p.m. Non-Injury accident in the 200 block N. U.S. 81, Wellington involving a vehicle operated by Daniel D. Jones, 61, Wellington.•6:24 p.m. Non-Injury accident in the 1200 block S. U.S. 81, Wellington involving a vehicle operated by Catherine M. King, 26, Wellington and a fixed object/street sign and utility pole owned by the city of Wellington. Wellington Police notes for Friday, Feb. 28 – Sunday, March 2, 2014:Friday, February 28, 2014:•1:16 a.m. Chase D. Clinkingbeard, 25, Wellington was issued a notice to appear charged with headlight violation and no proof of insurance.•1 p.m. Donald J. Elliot, 20, South Haven, was issued a notice to appear charged with defective brake lamp and defective muffler.•1:20 p.m. Kent J. Eyman, 35, Wellington was arrested, charged and confined with possession of stimulant and possession of drug paraphernalia.•2:04 p.m. Dustin J. Gooch, 41, Kaw City, Kans. was arrested and bonded on a city of Wellington Warrant for theft.•2:04 p.m. Dustin J. Gooch, 41, Kaw City, Ks was arrested and bonded on a city of Wellington bench warrant for failure to appear.•5:30 p.m. Officers took a report of found bicycle in the 800 block N. Washington, Wellington.•5:50 p.m. Officers investigated a theft by a known suspect of tablets and currency in the 1300 block Michigan, Wellington. One tablet was recovered.center_img nlast_img read more