United Western Bancorp, Inc. (NASDAQ: UWBK) (the "Company”), today
announced that its federal savings bank subsidiary, United Western Bank®
(the "Bank”), purchased the lead participation (in an amount of
$750,000) in a $62 million non-performing commercial construction loan
from the FDIC as the receiver for BankFirst, which was closed by the
South Dakota Division of Banking on July 17, 2009. The purchase of the
loan participation closed on May 4, 2010. The Bank was the successful
bidder on the loan participation though the FDIC auction process. The
Bank already owned a $2.8 million loan participation in the construction
loan. Last year, the Bank charged off the entire balance of this loan
participation. By acquiring the lead participation, the Bank will
service the loan for itself and a consortium of 44 other loan
participants, with the goal of providing a recovery for the
participants, including the Bank.
"We were pleased that we were the winning bidder during the FDIC auction
for this loan and that we purchased this loan from the FDIC, as
receiver. By being the servicer of this loan, we can manage the workout
process which should hopefully result in a benefit to each of the loan
participants, including our Bank,” said Guy A. Gibson, chairman of the
Company’s Board of Directors.
About United Western Bancorp, Inc.
Denver-based United Western Bancorp, Inc. is focused on developing its
community-based banking network through its subsidiary, United Western
Bank®, by strategically positioning branches across Colorado’s Front
Range market and certain mountain communities. United Western Bancorp,
Inc. and its subsidiaries offer deposit services to institutional
customers and custodial, administrative, and escrow services through its
wholly owned subsidiary, UW Trust Company. For more information, please
visit our website at www.uwbancorp.com.
Forward-Looking Statements
This press release contains certain statements that may be deemed to
be "forward-looking statements” within the meaning of the Private
Securities Litigation Reform Act of 1995 that are subject to significant
risks and uncertainties.
Forward-looking statements include
information concerning the loan participation and servicing and recovery
of such loan purchased by United Western Bank. These statements often
include terminology such as "may,” "will,” "expect,” "anticipate,”
"predict,” "believe,” "plan,” "estimate,” "continue,” "could,” "should,”
"would,” "intend,” "projects,” or the negative thereof or other
variations thereon or comparable terminology and similar expressions.
As you consider forward-looking statements, you should understand
that these statements are not guarantees of performance or results.
They
involve risks, uncertainties and assumptions that could cause actual
results to differ materially from those in the forward-looking
statements.
These factors include, but are not limited to: the
successful implementation of our community banking strategies; the
ability to secure, timing of, and any conditions imposed thereon of any,
regulatory approvals or consents for new branches or other contemplated
actions; the availability of suitable and desirable locations for
additional branches; the continuing strength of our existing business,
which may be affected by various factors, including but not limited to
interest rate fluctuations, level of delinquencies, defaults and
prepayments, increased competitive challenges, and expanding product and
pricing pressures among financial institutions; changes in financial
market conditions, either internationally, nationally or locally in
areas in which we conduct our operations, including without limitation,
reduced rates of business formation and growth, commercial and
residential real estate development, real estate prices and other recent
problems in the commercial and residential real estate markets; demand
for loan products and financial services; unprecedented fluctuations in
markets for equity, fixed-income, commercial paper and other securities,
including availability, market liquidity levels, and pricing; increases
in the levels of losses, customer bankruptcies, claims and assessments;
the extreme levels of volatility and limited credit currently being
experienced in the financial markets; changes in political and economic
conditions, including the economic effects of terrorist attacks against
the United States and related events; legal and regulatory developments,
such as changes in fiscal, monetary, regulatory, trade and tax policies
and laws, including policies of the U.S. Department of Treasury and the
Federal Reserve Board; our participation, or lack thereof, in
governmental programs implemented under the Emergency Economic
Stabilization Act (the "EESA”), including without limitation the
Troubled Asset Relief Program ("TARP”), and the Capital Purchase Program
(the "CPP”), and the impact of such programs and related regulations on
our business and on international, national, and local economic and
financial markets and conditions.
Additional information concerning these and other factors that may
cause actual results to differ materially from those anticipated in
forward-looking statements is contained in the "Risk Factors” section
included in the Company’s Annual Report on Form 10-K filed March 15,
2010, and in the Company’s other periodic reports and filings with the
Securities and Exchange Commission. The Company cautions investors not
to place undue reliance on the forward-looking statements contained in
this press release.
Any forward-looking statements made by the Company speak only as of
the date on which the statements are made and are based on information
known to us at that time. The Company does not intend to update or
revise the forward-looking statements made in this press release after
the date on which they are made to reflect subsequent events or
circumstances, except as required by law.
