Orrstown Financial Services Inc. reported results Thursday for its second fiscal quarter of 2012.
The bank reported a net loss of $9.9 million, or $1.23 per diluted share, compared with a net loss of $10.6 million, or $1.33 per diluted share, in the second quarter of 2011.
Orrstown said it reduced its nonperforming loans by a third since the end of 2011, from $83.7 million to $56.9 million. The bank announced earlier this month it sold a package of nonperforming loans to a group of private investors.
“As a result of this loan sale and other credit quality improvement efforts, we have decreased total risk assets by $50.4 million or 44.3 percent year-to-date,” President and CEO Thomas Quinn said in a statement.
The bank is under a regulatory decree to improve its asset quality.