Attached files
file | filename |
---|---|
8-K - EUROBANCSHARES INC | v163006_8k.htm |
EX-10.1 - EUROBANCSHARES INC | v163006_ex10-1.htm |
AT THE COMPANY
|
AT FINANCIAL RELATIONS
BOARD
|
|
Rafael
Arrillaga-Torréns, Jr.
|
Marilynn
Meek
|
|
Chairman,
President and CEO
|
General
Inquiries
|
|
Yadira
R. Mercado
|
212/827-3773
|
|
Executive
Vice-President, CFO
|
||
787/751-7340
|
|
EUROBANCSHARES,
INC. FORMALIZES AGREEMENT WITH REGULATORS
San Juan, Puerto Rico, October 16, 2009 –EuroBancshares, Inc.
(Nasdaq: EUBK) (“EuroBancshares” or the “Company”) today announced that the
board of directors of its wholly-owned subsidiary, Eurobank (the “Bank”), has
consented to the issuance of an Order to Cease and Desist (the “Order”) by the
Federal Deposit Insurance Corporation (“FDIC”) and the Office of the
Commissioner of Financial Institutions of Puerto Rico, which Order is effective
on October 9, 2009. Under the terms of the Order, Eurobank has agreed
to take certain actions intended to address various matters including issues
related to capital, liquidity and asset quality.
Concurrent
with the Order, the FDIC has granted the Bank a renewable waiver for the
issuance, renewal and roll over of brokered deposits. The Bank has
already taken successful steps towards diversifying its funding sources and
reducing its reliance on brokered deposits.
Rafael
Arrillaga-Torréns, Jr., President and Chief Executive Officer of EuroBancshares
and Eurobank, commented, “These difficult economic times have
been hard on financial institutions in Puerto Rico. Eurobank is not
immune to such problems. We continue to work with our banking
regulators in the spirit of mutual cooperation in adopting beneficial plans for
the Bank. We have already taken steps to address many of the issues
that are addressed by the regulators and will continue to be aggressive in our
efforts to address any remaining challenges facing the
bank.”
About
EuroBancshares, Inc.
EuroBancshares,
Inc. is a diversified bank holding company headquartered in San Juan, Puerto
Rico, offering a broad array of financial services through its wholly-owned
banking subsidiary, Eurobank; EBS Overseas, Inc., an international banking
entity subsidiary of Eurobank; and EuroSeguros, a wholly-owned insurance agency
subsidiary of Eurobank.
Forward-Looking
Statements
Statements
concerning future performance, events, expectations for growth and market
forecasts, and any other guidance on future periods, constitute forward-looking
statements that are subject to a number of risks and uncertainties that might
cause actual results to differ materially from stated
expectations. Specific factors include, but are not limited to, loan
volumes, the ability to expand net interest margin, loan portfolio performance,
the ability to continue to attract low-cost deposits, success of expansion
efforts, competition in the marketplace and general economic
conditions. The financial information contained in this release
should be read in conjunction with the consolidated financial statements and
notes included in EuroBancshares’ most recent reports on Form 10-K and Form
10-Q, as filed with the Securities and Exchange Commission as they may be
amended from time to time. Results of operations for the most recent
quarter are not necessarily indicative of operating results for any future
periods. Any projections in this release are based on limited
information currently available to management, which is subject to
change. Although any such projections and the factors influencing
them will likely change, the bank will not necessarily update the information,
since management will only provide guidance at certain points during the
year. Such information speaks only as of the date of this
release. Additional information on these and other factors that could
affect our financial results are included in filings by EuroBancshares with the
Securities and Exchange Commission.