Pittsfield-based Legacy Bancorp Inc. has reported a net loss of $1.4 million for the quarter ended June 30. This is a slight improvement over 2009, when the company had a net loss of $1.5 million in the second quarter. Year to date, the company has incurred a net loss of $2.6 million, as compared to a net loss of $2.3 million for the same period in 2009.
The year-to-date increase in net loss was the result of an increase in the provision for loan losses, partially offset by a decrease in charges on investments deemed to be other-than-temporarily impaired.
J. Williar Dunlaevy, chief executive officer, said the weak economy was driving asset values lower, particularly in commercial real estate, forcing the bank to increase both its loan loss provision and its charge-offs in both the first and second quarters.
The bank brought in a new president and CEO, Patrick J. Sullivan. effective April 1. That month, the bank also completed the acquisition of Renaissance Investment Group, an independent registered investment advisory firm based in Pittsfield. The bank will transfer the investment management portion of Legacy Portfolio Management over to the Renaissance platform.
