logo
Share SHARE
FONT-SIZE Plus   Neg

Naugatuck Valley Financial Expects To Record Deposit-Related Charge In Q1

Naugatuck Valley Financial Corp. (NVSL), the holding company for Naugatuck Valley Savings and Loan or the "Bank", announced that it expects to record a pre-tax deposit-related charge of $800,000 during the quarter ending March 31, 2012. On an after-tax basis, the charge is expected to be about $528,000, or $0.08 per common share.

The company said that the charge relates to the underpayment of interest on certain certificates of deposit renewals potentially dating back to 2007, attributable to the renewal of certificate accounts at rates lower than the special rates that should have been offered in accordance with the Bank's deposit account disclosures. The affected certificate accounts are those that renewed under the accounts' automatic renewal option feature at a time when the Bank was offering promotional interest rates for new certificate accounts.

The company said that the Bank is in the process of calculating the amount of underpayment, which is contingent on identifying the specific certificate accounts that may have been affected. Currently, the Bank is only able to estimate the amount of the underpayment, which may range from $750,000 to $850,000. The company expects to complete its determination during the quarter ending June 30, 2012.

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Quick Facts

Editors Pick
Many apps are designed to enhance productivity, simplify social networking or provide other useful benefits. These apps are practical and functional. Others are shaping day-to-day lives. Thanks to these apps, the smartphones have already replaced the watch, calendar, calculator, address book, voice... The global app market would be worth $6.3 trillion by 2021, compared to $1.3 trillion in 2016, according to a new report from analyst firm App Annie. The expected growth in the global app market is said to reflect the significantly increasing number of smartphone owners and their use of mobile apps. Agricultural products giant Monsanto Co. on Wednesday reported a nearly 18 percent increase in profit for the third quarter from last year, reflecting strong sales growth in the agricultural productivity segment and a lower tax provision. Looking ahead, the company affirmed its outlook for fiscal 2017 ongoing earnings.
comments powered by Disqus
Follow RTT