HERITAGE COMMERCE CORP (NASDAQ:HTBK) Files An 8-K Other Events

ME Staff 8-k
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HERITAGE COMMERCE CORP (NASDAQ:HTBK) Files An 8-K Other Events

HERITAGE COMMERCE CORP (NASDAQ:HTBK) Files An 8-K Other Events
ITEM 8.01 OTHER EVENTS

Management of Heritage Commerce Corp, the holding company of Heritage Bank of Commerce (collectively referred to as the “Company”), based on information received in July2018 from a borrower regarding events that occurred in the second quarter of 2018, determined that loans associated with that borrower’s $22.9 million lending relationship became impaired and were placed on nonaccrual status as of June30, 2018. The Company estimates it will require a $6.1 million specific reserve for this relationship. This will accordingly increase the provision for loan losses for the second quarter of 2018 by $6.1 million. This lending relationship was previously discussed in the Company’s Form8-K filed with the Securities and Exchange Commission on March13,2018, the Company’s Form10-K for the fiscal year ended December31, 2017 filed on March16, 2018, and the Company’s Form10-Q for the quarterly period ended March31, 2018 filed on May8, 2018.

As previously announced, the Company completed the mergers with Tri-Valley Bank effective as of the close on April6, 2018, and United American Bank effective as of the close on May4, 2018. During the second quarter of 2018, the Company successfully completed the system conversion and integration of both banks. The Company estimates that the acquisition and integration costs for these mergers will be approximately $8.2 million for the second quarter of 2018.

The Company expects to release earnings for the second quarter and the first six months of 2018 after the market closes Thursday, July 26, 2018.


About HERITAGE COMMERCE CORP (NASDAQ:HTBK)

Heritage Commerce Corp is a bank holding company. The Company, through its subsidiary Heritage Bank of Commerce (the Bank), provides a range of banking services. The Bank is a California state-chartered multi-community independent bank that offers a range of commercial banking services to small and medium-sized businesses and their owners, managers and employees. The Company offers a multitude of other products and services to complement its lending and deposit services. These include cashier’s checks, traveler’s checks, bank-by-mail, automated teller machines (ATMs), night depositories, safe deposit boxes, direct deposit, automated payroll services, electronic funds transfers, online banking, online bill pay, homeowner association services and other customary banking services. In addition to the traditional financial services offered, the Bank offers remote deposit capture, automated clearing house origination, electronic data interchange and check imaging.