Independent Takes A Dip

IONIA — Independent Bank Corp. reported fourth quarter 2007 net income of $2.4 million, or 11 cents per diluted share, compared with net income of $0.3 million , or 1 cent per diluted share, in the fourth quarter of 2006. For the year ended Dec. 31, 2007, the company’s net income was $10.4 million, or 45 percent per diluted share, versus $33.2 million, or $1.43 per diluted share, in the prior year.

“Unfortunately, economic conditions throughout Michigan remained sluggish during the year, particularly within the residential housing market,” said President and CEO Michael M. Magee. “Our business has not been immune to these adverse conditions, which have resulted in elevated levels of non-performing loans and loan losses during 2007, when compared to the prior-year period. However, despite these elevated credit costs, we have remained profitable …”

Magee said that throughout 2007, the bank’s team went to great lengths to improve the operational efficiency and strategic positioning of the organization. The efforts included consolidation of four bank charters, sale of the company’s insurance premium financing business, a re-branding campaign, upgrades to the company’s information technology infrastructure and a major realignment of its internal management and reporting structure.

On March 23 of last year, Independent company completed the acquisition of 10 branches from TCF National Bank. At the time of the acquisition those branch locations, in Battle Creek, Bay City and Saginaw, represented approximately $241.4 million in deposits.