Question-and-Answer Session
Operator
(Operator Instructions) Your first question comes from Joe Morford - RBC Capital Markets.
Joe Morford - RBC Capital Markets
Thanks. Good morning everyone. I was curious if you’ve seen sales activity of problem assets pick up at all since quarter-end and can you give us a better sense of the gap you need to close between your carrying values and current market values.
Dominic Ng
I think that we were selling the REO pretty much at similar kind of discounts than last quarter the carrying value.
Irene Oh
That’s correct. For our REO assets roughly the discount on them was 24%.
Dominic Ng
Yes, so actually it’s very consistent to three months ago and in terms of we picking up any more additional sale volume, I would say that it’s a little bit too early to tell, I think that our intent always is to try and to sell as much as possible, but I think since we only have three weeks that past us we wouldn’t want to be commenting about quick access or anything because we got two and half months to go.
Joe Morford - RBC Capital Markets
Yes, I understand. I guess the other question I have would be is on C&I portfolio, I know you said you identified most of these problems in your review last year, but given that they were about a third of the charge offs this quarter and now represent about 10% of MPAs. Can you just talk a little bit more about what types of problems you are seeing there and is it mostly in real estate or related businesses?
Dominic Ng
Actually, I would say that the vast majority of them are now real estate related at all. These are business at one time were great business in terms of importing certain type of merchandise and selling to real estate regional or business. However, because of the consumer market have dropped substantially some of these businesses couldn’t survive and then that caused the major of the write down.
Operator
Your next question comes from the line of Aaron Deer - Sandler O’Neill.
Aaron Deer - Sandler O’Neill
Dominic, you gave some good color on some of the improvements in the past dues since quarter end. I was wondering if looking back from the positives at year end, what percentage of those migrated into non-accrual status versus were result during the quarter.
- To read the full transcript on Seeking Alpha, click here »
