MYRTLE BEACH — Horry County State Bank has delayed the filing of its annual report so that it can re-evaluate its real estate holdings, HCSB Financial Corp. spokesman Reed Byrum said Friday.
The bank has been told by the Federal Reserve and the Federal Deposit Insurance Corp. that it needs to raise its capital ratio, and refiguring real estate values now could help to do that.
The area’s real estate market began to improve late last year, with a significant jump in sales noted in January, the month that Byrum said the bank began the re-evaluation process. The bank has no deadline for completing the process, Byrum said.
He said that HCSB has $470 million in total assets, a significant portion of which is in real estate.
The bank’s real estate holdings were affected by the economic downturn, as were those of other banks, and are a primary reason HCSB has been operating under the scrutiny of federal banking regulators.
Byrum said the bank will send a letter to its shareholders explaining the reason for the delay in filing the annual report.
Contact STEVE JONES at 444-1765.