Question-and-Answer Session
Operator
(Operator Instructions) Your first question comes from Heather Wolf - UBS.
Heather Wolf - UBS
Just a couple of questions on the OTTI mark; first of all, can you give us a little bit more color on what piece of that was the private MBS and what piece of it was TruPS. Also can you just outline how much is remaining in the TruPS portfolio that was not marked on the PPKS deal?
Rene Jones
Yes, sure. The Partners Trust piece was $2 million out of the $47 million, and just the amount that is all written down to today is $10 million.
Heather Wolf - UBS
So it sounds like the majority of it was from private MBS: was that from the hybrid arms book or??
Rene Jones
It’s from the private label mortgage backed securities book, and as you kind of look in the Q, we sort of outlined that portfolio by sort of saying how much is senior, and how much is subordinate, and how much is investment grade, and how much is not. Most of this came from the more subordinate portion of the portfolio, and we sort of the went through our standard process that we’ve used every quarter, and wrote down the $45 million.
Operator
Your next question comes from Craig Siegenthaler - Credit Suisse.
Craig Siegenthaler - Credit Suisse
First, just on the reserve level; can you talk about where you expect to build reserve levels over the next year and are you having any discussions with your regulators around reserving?
Rene Jones
Well, I’ll take that in reverse. As far as our regulators are concerned, and all of the other parties that review us, our reserving process is very much an open book, and I think when you take into consideration things like shared national credit and those things, it probably should make an investor feel that much better, that a lot of people are looking at those processes.
To get to the first part of your question, I would say that we still see increases in the overall classified loan book, as well as into non-performing that you can see in our results, albeit the pace that those increases have seemed to slow down, but given that you’re going to continue to see, we continue to see that migration, our reserving process will follow that migration.
To the extent that we see some large credit that we think has loss content that we haven’t identified, we would provide for that, but generally I think our process is very consistent and you’ve kind of seen that over the last several quarters.
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