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Mixed results for tribal banks in 2007

NEW YORK - Tribally owned banks showed mixed earnings results for 2007, with one showing a loss for the year, two showing small net increases and two others posting reduced earnings, federal filings of a sample of Native financial institutions show.

Borrego Springs (Calif.) Bank, owned by the Viejas Band of Kumeyaay Indians, lost $801,000 during 2007, according to a call report it filed with the Federal Deposit Insurance Corp. Bank2, Oklahoma City, owned by the Chickasaw Nation, showed a small gain in earnings last year, going to $316,000 in profits from $210,000 in 2006.

Canyon Bancorp, Palm Springs, Calif., posted a healthy profit of $3.6 million for 2007, but the bank, owned by the Agua Caliente tribe, saw a decrease from 2006 profits of more than $4 million. Woodlands National Bank, Hinckley, Minn., owned by the Mille Lacs Band, also made more than $1 million in 2007 ($1.3 million) but was down from 2006 ($1.8 million). And Bay Bank, Green Bay, Wis., owned by the Oneida Tribe of Wisconsin, saw a small increase in its earnings year to year. It made $836,000 for 2007, versus $700,000 for 2006.

Canyon Bancorp, which owns Canyon National Bank, said it earned $421,000 during the fourth quarter, down from $1.2 million in the fourth quarter of 2006, but gave no reason for the decrease in earnings.

It did, however, note that its assets increased 15 percent during the year, to $289 million. Net loans were up a hefty 22.5 percent, to $248 million. Deposits increased slightly, from $226.4 million to $230.6 million as of Dec. 31, 2007.

Shareholder equity, also known as net worth, rose by 17 percent at the bank during 2007, to $28.6 million. The bank also noted it has bought a parcel of land in Indio, Calif., to develop its fifth branch in the Palm Springs area.

The Oneidas' Bay Bank managed a small increase in assets from year to year, according to its call reports. Assets increased from $99.6 million at the end of 2006 to $102.4 million at the end of last year. It had $78.6 million in deposits at the end of 2007, down from $83.2 million at Dec. 31, 2006. Equity stood at $11.1 million at the end of 2007, up a little from $10.8 million at the end of the previous year.

The Mille Lacs Band's Woodlands National Bank reported $114.2 million in assets to FDIC at the end of last year. That was down from $119.6 million in assets on its books the year before. Deposits also fell, from $99 million at the end of 2006 to $94 million at the end of 2007. Equity, however, increased during that time, from $15.5 million to $16.6 million.

The Chickasaws' Bank2 grew in asset size. It reported $86.5 million in assets on its books at the end of last year to the government, up from $82.9 million as of Dec. 31, 2006. Deposits were at $77 million at Dec. 31, 2007, up from $72.8 million a year earlier. And equity grew modestly as well, to $8.8 million from $8.2 million.

The Viejas Band's Borrego Springs Bank saw a sharp drop in income. The bank earned $5 million for 2006 but lost $801,000 for 2007. But 2006 saw an extraordinary item that added $5.8 million to its revenues.

Assets also fell at the bank, from $86 million to $81.3 million. Deposits were flat at $67 million, while equity decreased from $13.3 million to $12.4 million, according to its call reports.