* Q4 shr loss wider than estimates
* To cut staff by about 10 pct
* Management to forego 2008 bonus
* Employees to miss 2009 pay hikes
Jan 26 (Reuters) - Macatawa Bank Corp posted a wider-than-expected loss for the fourth quarter on higher expnses and said it would reduce staff by about 10 percent.
The Holland, Michigan-based company also said its management will forego bonuses in 2008 and all employees will forego annual pay hikes in 2009. Quarterly loss was $35.1 million, or $2.11 a share, compared with a loss of $2.6 million, or 15 cents a share, last year.
The company said fourth-quarter results included non-cash impairment charges of $27 million. Three analysts on average expected the company to post a loss of 15 cents a share, excluding special items, according to Reuters Estimates.
Non-interest expense jumped three-fold to $43.9 million, including the impairment charge.
Net interest income fell $1.2 million to $13.5 million and net interest margin fell 24 basis points to 2.74 percent.
Shares of Macatawa, which operates 26 branch offices, closed at $2.72 Monday on Nasdaq.
(Reporting by Amiteshwar Singh in Bangalore; Editing by Anil D'Silva) Keywords: MACATAWABANK/ (amiteshwar.singh@thomsonreuters.com; within U.S. +1 646 223 8780; outside U.S. +91 80 4135 5800; Reuters Messaging: amiteshwar.singh.reuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
* To cut staff by about 10 pct
* Management to forego 2008 bonus
* Employees to miss 2009 pay hikes
Jan 26 (Reuters) - Macatawa Bank Corp posted a wider-than-expected loss for the fourth quarter on higher expnses and said it would reduce staff by about 10 percent.
The Holland, Michigan-based company also said its management will forego bonuses in 2008 and all employees will forego annual pay hikes in 2009. Quarterly loss was $35.1 million, or $2.11 a share, compared with a loss of $2.6 million, or 15 cents a share, last year.
The company said fourth-quarter results included non-cash impairment charges of $27 million. Three analysts on average expected the company to post a loss of 15 cents a share, excluding special items, according to Reuters Estimates.
Non-interest expense jumped three-fold to $43.9 million, including the impairment charge.
Net interest income fell $1.2 million to $13.5 million and net interest margin fell 24 basis points to 2.74 percent.
Shares of Macatawa, which operates 26 branch offices, closed at $2.72 Monday on Nasdaq.
(Reporting by Amiteshwar Singh in Bangalore; Editing by Anil D'Silva) Keywords: MACATAWABANK/ (amiteshwar.singh@thomsonreuters.com; within U.S. +1 646 223 8780; outside U.S. +91 80 4135 5800; Reuters Messaging: amiteshwar.singh.reuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.