Capital Corp of the West (NASDAQ:CCOW), parent company of County Bank,
today announced that it filed a Notification of Late Filing on Form
12b-25 with the Securities and Exchange Commission to report that it was
not able to timely file its Form 10-Q for the quarter ended September
30, 2008. This is a formal notice filed with the SEC as a condition to
obtaining additional time to prepare and file the Company’s
quarterly report on Form 10-Q for the third quarter.
The Company requires additional time to review a limited number of
specific and complex accounting issues that may impact the Company’s
third quarter results. These include proper accounting of the Company’s
goodwill, deferred tax assets and possible additional loan loss
provisions.
Prior to the resolution of the accounting issues, the Company expects to
report a net loss of approximately $2.7 million for the third quarter of
2008 and a net loss of $12.4 million for the nine months ended September
30, 2008. The major contributing factor to these losses is the Company’s
provision for loan losses of approximately $7.5 million for the third
quarter of 2008 and $22.8 million for the first nine months of 2008.
The Company continues to dedicate significant resources to the
finalization of its financial statements and expects to file its Form
10-Q for the quarter ended September 30, 2008 on or before November 17,
2008.
The Company also announced plans to file an application to participate
in the U.S. Department of Treasury’s TARP
Capital Purchase Program. If its application is approved, the Company
could sell up to $46 million of senior preferred stock to the Treasury
Department, based on its risk weighted assets as of September 30, 2008
prior to resolution of the accounting issues.
About Capital Corp of the West
Capital Corp of the West, a bank holding company established November 1,
1995, is the parent company of County Bank and is headquartered in
Merced, California. With more than 30 years of service as California’s
leading regional community bank, County Bank currently operates 39
retail branch offices serving 13 counties throughout California. County
Bank’s primary concentration is in
California's Central Valley.
