Anchor BanCorp Wisconsin ‘Substantially’ Reverses DTA Valuation Allowance

Anchor BanCorp Wisconsin ‘Substantially’ Reverses DTA Valuation Allowance

  • Posted: 07/30/2015
  • Castle Creek

MADISON, Wisc.–(GLOBE NEWSWIRE)–Anchor BanCorp Wisconsin Inc. (the “Company”) (NASDAQ:ABCW) and its wholly-owned subsidiary, AnchorBank, fsb (the “Bank”) today announced its financial results for the quarter ended June 30, 2015. The Company recorded a strong and profitable quarter with net income of $107.5 million or $11.37 per diluted common share.  Net income for the quarter ended June 30, 2015 includes a one-time income tax benefit, net of current quarter provision, of $103.0 million or $10.89 per diluted share primarily resulting from the reversal of substantially all of the Company’s net deferred tax asset valuation allowance. Pre-tax income of $4.5 million or $0.48 per diluted share included the impact of one-time gains and costs associated with several previously announced operational efficiency initiatives during the quarter ended June 30, 2015. Management anticipates these initiatives will result in annual net cost savings of approximately $5.4 million related to reduced compensation, occupancy and other operating costs.

“Our strong results reflect the significant progress the Company has made in restoring profitability, capital and improving asset quality. We’re pleased with our performance and have positioned the Company to allow for the recapture of substantially all of the deferred tax asset valuation allowance,” said Chris Bauer, President and CEO.

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