Question-and-Answer Session
Operator
(Operator Instructions) Your first question comes from Mark Fitzgibbon – Sandler O’Neill & Partners, LP.
Mark Fitzgibbon – Sandler O’Neill & Partners, LP
Jim, you had mentioned earlier in the call that you intend to file a plan with the Treasury Department to repay TARP in the third quarter. I’m wondering is that plan incorporate raising additional capital?
James C. Smith
Not necessarily, no. I would cite the very successful exchange that we have undergone, the tier I common ratio of 6.4%. But, at the same time I would say we’re in a very strong position to take advantage of opportunities that may appear including the announced dividend reinvestment program with the discretionary stock purchase plan and so we’re in a good position to make whatever moves we might we believe on the capital side to the extent that we decide that as part of not just the capital plan but specifically the decision to begin to repay the TARP that we might want to raise incremental additional capital.
Mark Fitzgibbon – Sandler O’Neill & Partners, LP
Secondly, based on what you are seeing out there on your consumer books, do you think we’re getting close to the consumer side of non-performers peaking?
Gerald P. Plush
I’m really going to be careful not to give an opinion on that Mark. I guess all that I can say is that you did see some reasonably positive metrics in the second quarter where you had deceleration in the rate of deterioration and in some areas actually saw some modest improvement. So, I don’t think we want to say that that’s a trend but it’s better than what we have seen in previous quarters so it could possibly be a hopeful sign but at this point I think we shouldn’t be counting on it.
Mark Fitzgibbon – Sandler O’Neill & Partners, LP
The last question, I wondered if you could share with us in the commercial real estate portfolio how much of that is non-footprint?
James C. Smith
You know that we define our real estate footprint as sort of Northeast Philadelphia up through Boston. 92% of our portfolio is in our real estate footprint in the Northeast.
Mark Fitzgibbon – Sandler O’Neill & Partners, LP
One last question if I may, can you help us think about the loan loss provision over the next couple of quarters? I recognize that there are a lot of unknowns but, it’s been pretty volatile in recent quarters and I just wondered any guidance you could share with us on the outlook for the provision would be great?
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