Olympus Capital Corp., parent company of Olympus Bank, formerly Prudential Federal Savings and Loan, reported an unaudited loss of $1.9 million in the quarter ending Sept. 30, which brings to $12.7 million the loss for the first nine months of the year.
A. Blaine Huntsman, corporation chairman and president, said Olympus Bank had a net income of $18,229 in the quarter ending Sept. 30, 1988, and $1.1 million in the first nine months last year.Huntsman said underperforming loans and real estate owned through foreclosure continues to have a negative effect upon operating results. Accordingly, a major priority of the bank continues to be the disposition and, if appropriate, the write-down of such assets.
Toward that goal, the bank has established the largest reserve in its history for possible losses on loans and real estate owned. The bank continues to liquidate underperforming assets at a record pace and Huntsman believes this strategy is the quickest road to profitability and better service to customers.
Huntsman also expressed regret over the resignation of Kent W. Larsen as president of the bank and the corporation. Larsen will serve as a consultant until Dec. 31 and will continue to serve as a director of the bank and the corporation.
He also announced a management realignment designed to support the bank's decision to re-enter the retail banking market. In addition to the name change last June, Huntsman said the management changes will focus attention on the administration of loans and other real estate assets and develop and implement a new consumer banking business group.
R. Gibb Marsh has been appointed executive vice president for special projects with responsibilities in liquidation of bank-owned real estate and managing a portfolio of troubled loans and other assets.
John L. Richards is the executive vice president of consumer banking and will be chief operating officer to build and implement a wide range of profitable consumer financial services and strengthen the bank's five branches.
J. John Jones is a senior vice president and chief financial officer to direct finance, accounting, investments and budget analysis.
Janet M. Frost is a vice president and chief accounting officer and also will serve as treasurer. Jeffrey R. Morrow has been appointed marketing director.