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Suffolk Bancorp gets Nasdaq non-compliance notice

Suffolk County National Bank in Riverhead.

Suffolk County National Bank in Riverhead. Photo Credit: Jessica Rotkiewicz

The 30-branch Suffolk County National Bank, based in Riverhead, said Monday that it has received a delisting warning from the Nasdaq stock market saying its failure to file a quarterly report on time means that it is not in compliance with the exchange's requirements.

The bank's holding company, Suffolk Bancorp, said it is "working diligently to complete the necessary filings as soon as practicable." The quarterly earnings report is for the period ending June 30.

The bank said it had expected to get the Nasdaq letter, which is routine in similar situations.

The bank has until Nov. 7, it said, to file the June 30 report as well as earlier filings that have also been delayed.

The bank last week said it made a profit in its second quarter -- and added $2.7 million to its loan-loss allowance, bringing that reserve to nearly $50 million.

The bank said that its actual losses had not yet been disclosed, but said that, in general, banks set their loan-loss allowance in excess of the actual total of loan write-offs. The actual write-offs won't be disclosed until later this month, the bank said. 

The bank had previously set the loan-loss allowance at about $46.9 million in a March financial report, and added $2.7 million in its Wednesday filing. The $49.6-million loan loss allowance is equivalent to 4.68 percent of its commercial loan portfolio. 

Suffolk Bancorp also said it may have to restate its loan-loss reserves for previous quarters.

The company's share price has dived in recent months, from a high near $28 in November to around $9.38 Monday.

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