Millennium Revises Mortgage-Related Earnings

Millennium Bankshares Corp., Reston, Va., has revised its results for the fourth quarter of 2006 and the full year due to a $4.5 million pretax increase in the amount of reserves recorded in those periods for the wind-down of its mortgage operating subsidiaries at the end of last year.The company now reports a net loss of $3.1 million ($0.35 per share) for the quarter and a net loss of $481,000 ($0.05 per share) for the year. Millennium had a 51% stake in three joint-venture mortgage banking firms: Millennium Sunbelt Mortgage LLC, a retail originator; Millennium Bank Mortgage LLC; and Millennium Hyland Mortgage LLC, which did both retail and wholesale. The shutdown of those ventures was due in part to credit quality problems that surfaced in the subprime sector of its held-for-sale loan portfolio. The additional reserves were based on an analysis of its portfolio and are associated with $16 million in loans held for sale and $10 million in estimated repurchase obligations. The company can be found online at http://www.millenniumbank.com.