A bank with a mortgage investment portfolio of more than $2 billion is unloading a consumer lending subsidiary and closing branches.
As of March 31, F.N.B. Corp. had $2.131 billion in residential mortgages on its balance sheet, according to its first-quarter earnings report.
The Pittsburgh-based financial institution said that it serviced $3.418 billion in mortgages for third parties.
Mortgage banking operations accounted for $6 million of its $108 million in first-quarter earnings.
Home-lending operations are likely to be significantly impacted from a consolidation announced Thursday.
According to F.N.B., it has reached an agreement to sell Regency Finance Co. to Mariner Finance LLC. The unit operates 77 branches in four states.
Among the benefits of the sale is the enhancement of the consumer loan portfolio credit risk profile.
The sale is expected to be completed during the second half.
In addition, F.N.B. said it is consolidating 20 bank branches. F.N.B. says it operates more than 400 banking offices.
