First Federal Bancshares Sees Net Income Drop

Harrison-based First Federal Bancshares of Arkansas Inc. announced Nov. 13 that its third-quarter results included net income of $1.4 million for the period ended Sept. 30.

That compares with a 1999 third-quarter net income of $1.7 million. The company’s filings say the 18 percent decrease was “primarily due to a decrease in net interest income and an increase in noninterest expenses.”

First Federal’s third-quarter assets amounted to $710.3 million compared with $680.7 million for the third quarter of 1999. That $29.6 million, or 4.3 percent, increase was attributed primarily to an increase of $33.1 million, or 7.2 percent, in net loans receivable.

Loan originations for the nine-month period ended Sept. 30 consisted of $62.4 million in one- to four-family residential loans, $800,000 in multifamily residential loans, $23.3 million in commercial loans, $25.0 million in construction loans, and $29.6 million in consumer installment loans. Of the consumer installment loans, $10.7 million was attributed to home equity loans and $10.3 million to automobile loans.