Corporate debt bubble

C&F Financial Corporation Announces Net Income for Third Quarter and First Nine Months

Retrieved on: 
Thursday, October 26, 2023
Consolidated, Car, Insurance, Sale, FDIC, Federal Deposit Insurance Corporation, Government, Share repurchase, GAAP, Federal Reserve Bank of St. Louis, Federal Reserve Bank, Corporate debt bubble, Environment, Growth, COVID-19, Employment, Current Expected Credit Losses, FHLB, Corporation, CECL, External commercial borrowing, Community, Investment, Bank, Cryptocurrency, Arms industry, Health care, Real estate, Reinsurance, Security (finance), Basel

Asset quality remains strong, although we are monitoring economic conditions and their impact on our borrowers’ financial positions.”

Key Points: 
  • Asset quality remains strong, although we are monitoring economic conditions and their impact on our borrowers’ financial positions.”
    Key highlights for the third quarter and first nine months of 2023 are as follows.
  • Average deposits increased $16.8 million, or less than one percent, for the third quarter of 2023 compared to the second quarter of 2023.
  • Management believes that the level of the allowance for credit losses is adequate to reflect the net amount expected to be collected.
  • During the third quarter of 2023, the Corporation repurchased 23,856 shares, or $1.3 million, of its common stock under this share repurchase program.

C&F Financial Corporation Announces Net Income for Second Quarter and First Six Months

Retrieved on: 
Wednesday, July 26, 2023
External commercial borrowing, Federal Deposit Insurance Corporation, Federal Reserve Bank, Insurance, Federal Reserve Bank of St. Louis, Employment, FHLB, Share repurchase, Anxiety, COVID-19, Current Expected Credit Losses, FDIC, GAAP, Sale, Federal Home Loan Banks, Corporate debt bubble, Community, Corporation, Car, Investment, CECL, Growth, Consolidated, Bank, Real estate, Cryptocurrency, Reinsurance, Security (finance), Basel

“We are very pleased with our second quarter results,” commented Tom Cherry, President and Chief Executive Officer of C&F Financial Corporation.

Key Points: 
  • “We are very pleased with our second quarter results,” commented Tom Cherry, President and Chief Executive Officer of C&F Financial Corporation.
  • Average deposits decreased $2.8 million, or 0.1 percent, for the second quarter of 2023 compared to the first quarter of 2023.
  • Mortgage loan originations in the second quarter of 2023 increased $39.3 million compared to the first quarter of 2023.
  • During the second quarter of 2023, the Corporation repurchased 47,024 shares, or $2.5 million, of its common stock under this share repurchase program.

C&F Financial Corporation Announces Net Income for First Quarter

Retrieved on: 
Wednesday, April 26, 2023
External commercial borrowing, Federal Deposit Insurance Corporation, Uncertainty, Federal Reserve Bank, Federal Reserve Bank of St. Louis, Employment, FHLB, Share repurchase, COVID-19, Current Expected Credit Losses, FDIC, GAAP, Sale, Federal Home Loan Banks, Corporate debt bubble, Community, Corporation, Investment, Car, CECL, Growth, Consolidated, Bank, Real estate, Cryptocurrency, Security (finance), Video game, Reinsurance, Basel

"We are very pleased with our first quarter results,” commented Tom Cherry, President and Chief Executive Officer of C&F Financial Corporation.

Key Points: 
  • "We are very pleased with our first quarter results,” commented Tom Cherry, President and Chief Executive Officer of C&F Financial Corporation.
  • Our total deposits are down less than 1% from December 31, 2022, and are up 1.3% from March of 2022.
  • Mortgage loan originations in the first quarter of 2023 increased $3.7 million compared to the fourth quarter of 2022.
  • During the first quarter of 2023, the Corporation repurchased 35,984 shares, or $2.1 million, of its common stock under this share repurchase program.

Drivers of firms’ loan demand in the euro area – what has changed during the COVID-19 pandemic?

Retrieved on: 
Friday, July 31, 2020
Money, Finance, Economy, Credit, Bank, Economic history of Italy, Loans, Economic bubbles, Corporate debt bubble, Subprime mortgage crisis

The coronavirus (COVID-19) pandemic is having multiple impacts on firms business plans and financing needs.

Key Points: 
  • The coronavirus (COVID-19) pandemic is having multiple impacts on firms business plans and financing needs.
  • In view of the importance of bank borrowing for euro area firms,[1] the euro area bank lending survey (BLS) is a rich and unique source of soft information not only on bank lending conditions, but also on the financing needs of firms.
  • [3] This box starts by discussing the long-term relationship between survey indicators from the BLS and actual developments in business investment.
  • Empirical evidence shows that qualitative indications from banks on firms loan demand generally correlate well with actual developments in economic variables (see Chart A).
  • In particular, there is a close relationship between the maturity of the loan,[4] the drivers of loan demand and the purpose for which the loan is intended to be used.
  • By the same token, long-term loan demand and the associated financing needs for fixed investment co-move closely with actual developments in gross fixed capital formation.
  • During the COVID-19 pandemic, this close connection between loan maturity and loan purpose has remained valid for the short-term maturity spectrum.
  • Firms loan demand was fuelled by a decline in their capacity to finance their costs via cash flows, owing to a sharp fall in revenues during the pandemic.
  • [7] Moreover, in an environment of high uncertainty, firms demanded loans with a view to building up precautionary liquidity buffers.
  • Chart B Recent developments in firms financing needs and demand for loans (net percentages of banks reporting an increase in loan demand, and contributing factors)
  • During the pandemic, the close relationship between loan maturity and loan purpose has been interrupted at the long-end of the maturity spectrum.
  • While demand for longer-term loans expanded in the first half of the year, firms financing needs for fixed investment declined sharply (see Chart B, panel (b)).
  • The perceived longer duration of the pandemic and the ensuing high degree of uncertainty have also contributed to the increase in firms demand for long-term borrowing.
  • At the same time, their high demand for loans has been met by banks at very low lending rates.
  • Chart C Recent developments in demand for loans and lending rates by size (panel (a): net percentages of banks reporting an increase in loan demand; panel (b): percentages per annum)
  • A comparison of financing needs across sectors shows that in the sectors most affected by the crisis, the demand for bank loans increased considerably, while value added dropped.
  • [11] In addition, further indicators, such as capacity utilisation and production in the capital goods sector, point to a strong decline in euro area investment in the second quarter of 2020.
  • By contrast, loan demand increased less in the construction sector, and more particularly in the real estate sector, where firms have so far been less affected by the crisis.
  • This can be attributed to the lower labour intensity and fixed costs of real estate activities, which resulted in smaller liquidity needs during the lockdown period.