Roma merges with Sterling for $14.7M by ProQuest

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									   10,000
                          New Jersey Job Loss
                                                                                              Roma merges with Sterling for $14.7M
        0                                                                                             By Martin C. Daks                     2008, according to its Federal Deposit           Commission filing, Sterling said its
                                                                                              A $14.7 MIllION merger agreement              Insurance Corp.                                  capital ratios “continue to be below
  -10,000                                                                                     between roma Bank and Sterling                filings. Roma’s                                  the level considered well capitalized,”
                                                                                              Bank was a lifeline to Sterling, accord-      parent com-                                      though it is “adequately capitalized
  -20,000                                                                                     ing to a principal involved in the deal.      pany,     roma                                   by established regulatory standards,”
                                                                                                     The transaction, which will leave      financial Corp.,                                 according to the filing.
  -30,000                                                                                     Robbinsville-based Roma as the survi-         earned      $2.6                                       “But in today’s environ-
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                                                                                              vor, is expected to close by September.       million in 2009,                                 ment, adequately capitalized isn’t
                                          Government                                                 “Sterling had to raise its capital     down from $4.7                                   enough,” said Peter J. ostrowski,
                                          Private Sector                                      base to cover nonperforming loans,”           million in 2008,      Peter A. Inverso           a former analyst at the Federal Re-
                                                                                              said Peter a. inverso, Roma chief exec-       according to its U.S. Securities and Ex-         serve Bank of Boston who serves
 A look at the more than 237,000 jobs lost in New Jersey since the start of the reces-
                                                                                              utive and former state senator. “Right        change Commission filings.                       as a managing director at the
 sion shows virtually all have occurred in the private sector, while government jobs
                                                                                              now, the market wouldn’t be condu-                  The Sterling loss reflects hikes           Cranford-based consulting firm
 have increased by 2,000. This, combined with the disproportionately large growth
                                                                                              cive for the bank to try to raise capital.”   to its loan losses and other allow-              ostrowski & Co. inc.
 in public-sector jobs earlier in the decade, has resulted in one of six New Jersey jobs
                                                                                                     Mount laurel-based Sterling re-        ances following an examination by                      “So this takeover was a reason-
 today being in government.
                                                                                              corded a $10.4 million loss for 2009,         the Federal Reserve Bank of Philadel-            able alternative,” he said. u
                                     Source: Otteau Valuation Group Inc., www.otteau.com
                                                                                              compared with a $15.9 million loss in         phia. In a Securities and Exchange                            E-mail to mdaks@njbiz.com

sticks for new entrants to progres-
sively expand beyond 200 rooms,
                                                  Students propose athletic
according to media reports.                       facility for speedway                     strictly for a
								
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