WASHINGTON, Jan 10 (Reuters) - Banks in Louisiana and Mississippi suffered significant earnings declines in the months immediately following hurricanes Katrina and Rita, but they may not feel the full extent for some time, the Federal Deposit Insurance Corp. said on Tuesday.
In Louisiana, which lost a net 223,000 jobs in August and September, median return on assets for state headquartered institutions dipped to 1.09 percent in the third quarter of 2005 from 1.14 percent in the previous quarter and 1.12 percent a year earlier, the FDIC said in its latest state banking profiles report.
In the hard-hit New Orleans and Lake Charles areas, median return on assets dropped to 0.67 percent from 0.88 percent in the second quarter, FDIC said, citing higher loan loss provisions and overhead likely related to clean-up and repair costs. [Read more - Reuters]
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