BNC Bancorp increases earnings, sheds assets

High Point-based BNC Bancorp said Monday it more than tripled its net income in the first quarter over the year before, earning $3.8 million for shareholders.

The parent of Bank of North Carolina, which opened a regional headquarters in Charlotte last year, also spent $1 million on integration costs as it continues to work through the acquisition spree it's been on of late.

In December 2011, it announced it would buy Durham-based KeySource Financial. Six months later, BNC said it would buy Charlotte commercial bank First Trust. Three days later, it assumed the deposits and bought most of the assets of Charleston's failed Carolina Federal Savings Bank.

As Bank of North Carolina digests those acquisitions, it's also strategically shedding some of its assets.

The bank reported Monday its assets decreased 5 percent in the first quarter as it used cash and securities from the acquired banks to pay off their brokered deposits and others it didn't feel were core to its business.

BNC now has $2.93 billion in assets. The bank said the moves have improved its capital position and net interest margin.

The bank said Friday that it took out a $30 million loan to redeem the preferred stock related to its involvement in the Troubled Asset Relief Program. The securities were sold to a private investor last year in a public auction conducted by the U.S. Treasury.