Banking

CommunityOne first-quarter profit rises 55 percent

CommunityOne Bank President Bob Reid stands outside the bank’s Charlotte headquarters.
CommunityOne Bank President Bob Reid stands outside the bank’s Charlotte headquarters. dlaird@charlotteobserver.com

CommunityOne Bancorp said Friday its profits in the first three months of the year grew 55 percent from the same period last year, as the Charlotte-based community bank recorded higher net interest income and non-interest income.

The parent company of Asheboro-based CommunityOne Bank reported net income of $3.9 million, or 16 cents per diluted share. CommunityOne’s results also included higher expenses associated with its acquisition by Charlotte-based Capital Bank Financial Corp.

Bob Reid, CEO of CommunityOne, said in a statement Friday the purchase is on track to close in the second quarter of this year.

For Charlotte, the deal will mean the loss of the CommunityOne brand. CommunityOne moved its holding company headquarters to Charlotte from Asheboro in 2013.

But it will also mean the creation of the second-biggest bank by assets based in Charlotte, behind Bank of America. Capital Bank is expected to have about $10 billion in assets following the $350 million purchase.

In reporting its first-quarter results last week, Capital Bank said net income fell 14 percent to $9.8 million. Adjusted net income, which excludes some merger costs and other items, rose 30 percent.

CommunityOne has 14 branches in the Charlotte metropolitan area and is the 10th-largest bank by deposits, according to the most recent federal data.

Deon Roberts: 704-358-5248, @DeonERoberts

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