Question-and-Answer Session
Operator
(Operator instructions) Our first question will come from Dave Rochester at FBR Capital Markets.
Dave Rochester – FBR Capital Markets
Hi, good morning, guys.
Jim Giancola
Good morning.
Jay Fritz
Good morning.
Dave Rochester – FBR Capital Markets
Okay. For the 10% to 12% EPS guidance range for the second quarter, could you provide a little color as to what you're expecting for the provision?
Jim Giancola
We are not providing guidance for the second quarter. I think what we're trying to communicate is where we think the second quarter, April 1st starts which is in the 10% to 12% range. And then the number goes up or down from there based on loan growth, deposit growth and the credit spreads and what happens to net interest margin.
Dave Rochester – FBR Capital Markets
Right. Okay.
Jim Giancola
I want to be clear that we're not providing guidance. We just want because there's so much noise in the first quarter, I wanted everybody to understand where we are starting the second quarter.
Dave Rochester – FBR Capital Markets
Okay. I got you.
Jim Giancola
The provision will be charge-offs plus our estimate of any potential additional new risks in the portfolio. So, we're not going to be – we are using essentially the same methodology to evaluate risk going forward.
Dave Rochester – FBR Capital Markets
Okay. Thank you very much. And it looked like excluding the LPC, the NPA has increased to about $31 million from roughly $22.5 million in the prior quarter. Outside of that large condo project you mentioned in the release, could you give us some color as to what the rest of that increase was?
Jim Giancola
We had $7.5 million increase offsetting the $10.8 million decrease. That's one project, it's a condo project to about a third sold and we have sales scheduled for this quarter. So, it's really just one big project –
Jay Fritz
Two would be correct.
Jim Giancola
One project that went in at $7.5 million. And as I said, it's a completed project. It's about a third full and we expect pay downs as units that we have in the queue continue to close during the quarter.
Dave Rochester – FBR Capital Markets
Okay. Thanks. And the net charge-offs outside of the LPC, what were those, the $1.1 million?
Jim Giancola
A variety of small things, nothing with any substance.
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