City National Corp

City National Corp., the parent of City National Bank, has proudly noted over the last year that it never got involved in subprime mortgages. But the Los Angeles-based firm's second-quarter earnings report showed growing trouble in the bank's bread-and-butter commercial-loan portfolios, including loans to small businesses and to builders. City National's shares slumped $1.63, or 4.6%, to $34.

City National Corp. to Reinstate Dividend: The parent of Los Angeles-based City National Bank said its improving profit will allow it to reinstate a quarterly dividend of 5 cents a share. The dividend was suspended in 1991 as the recession took hold and the bank's profit plummeted. The business bank, which last week reported a third-quarter net income of $10.4 million compared to a $3.5 million profit a year earlier, said the new dividend will be payable Nov. 18 to shareholders of record Nov.

A tough economy battered first-quarter earnings at City National Corp. of Beverly Hills, although deposits grew to a record high of $13.7 billion. The largest bank based in Los Angeles County on Thursday reported that net income plummeted 84% for the first three months of the year to $7.6 million, or 4 cents a share, compared with $47.3 million, or 91 cents, a year earlier. The company cut its dividend to 10 cents a share from 25 cents the previous quarter.

City National Corp. reported 12% higher profit on increases in lending and asset management, saying stronger demand for business loans boded well for the coming year. The Beverly Hills-based parent of City National Bank earned $49.7 million, or 97 cents a share, during the fourth quarter, up from $44.4 million, or 87 cents, a year earlier. For all of 2004, net income was $206.3 million, or $4.04 a share, up 10.5% from $186.7 million, or $3.72, in 2003.

Beverly Hills-based City National Bank said Thursday that it would pay a $750,000 fine to settle an investigation by federal regulators into its compliance with money-laundering laws. The City National Corp. subsidiary, which caters to businesses and wealthy individuals, disclosed in January that it was in talks with regulators over its practices related to the Bank Secrecy Act.

City National Corp. of Beverly Hills on Thursday joined the slew of banks reporting disappointing earnings, saying its fourth-quarter profit tumbled 86%. The company joined another growing list of banks as well -- by slashing its dividend: The quarterly payout now will be 25 cents a share, down from 48 cents. The largest bank based in Los Angeles County said it earned $6.5 million, or 13 cents a share, in the latest quarter, compared with net income of $46.9 million, or 96 cents, a year earlier.

City National Corp. on Thursday named Russell Goldsmith to succeed his father, Bram Goldsmith, as the Beverly Hills-based banking company's chief executive and as chairman of its principal business unit, City National Bank, effective Oct. 16. Russell Goldsmith, 45, a lawyer who has been chairman of Republic Pictures Corp., chief operating officer of Lorimar Inc.

City National Corp. of Beverly Hills on Thursday joined the slew of banks reporting disappointing earnings, saying its fourth-quarter profit tumbled 86%. The company joined another growing list of banks as well -- by slashing its dividend: The quarterly payout now will be 25 cents a share, down from 48 cents. The largest bank based in Los Angeles County said it earned $6.5 million, or 13 cents a share, in the latest quarter, compared with net income of $46.9 million, or 96 cents, a year earlier.

Washington Mutual Inc., the nation's largest savings and loan, Wednesday posted an 8% increase in second-quarter earnings and said it would quit making certain risky loans to borrowers with blotchy credit. City National Corp. of Beverly Hills, the largest commercial bank based in Southern California, said profit rose 1%. Pasadena's East West Bancorp, the second-largest Southland bank, beat expectations with a 10% gain. But Downey Financial Corp., a Newport Beach S&L, said net income slid 32%.

City National Corp. said Tuesday that it would acquire Lydian Wealth Management, a Rockville, Md.-based company that handles investments for the very wealthy. Beverly Hills-based City National didn't disclose terms of the transaction but said it expected the all-cash deal would close in the second quarter of 2007. The bank said the acquisition would dilute its per-share earnings slightly this year and add to them thereafter. Shares of City National sank $1.34 to $74.05.

City National Corp. said Wednesday that it would buy Business Bank Corp. of Nevada in a $161 million cash-and-stock deal that would be the first out-of-state acquisition for the Beverly Hills bank. City National Chief Executive Russell Goldsmith said the management team and most of the employees at the Nevada bank would stay on.

City National Corp., the Beverly Hills-based parent of City National Bank, cut its full-year profit forecast for the second time in nine weeks Thursday, citing a lower-than-expected increase in net interest income as funding costs increase. The news was announced after the close of regular trading, in which City National shares slipped 31 cents to $71.96. The shares tumbled 89 cents after hours. City National said it expected 2006 earnings per share would rise 1% to 4% from a year earlier.

City National Corp. on Wednesday reported weaker-than-expected earnings for the first quarter and cut its profit forecast for the year, saying a slowdown in real estate had depressed the amount of funds deposited in escrow and title accounts. The Beverly Hills-based bank earned $57.2 million, or $1.12 a share, up 3% from $55.5 million, or $1.09, a year earlier. Revenue totaled $207 million, up 5% from $197 million. Wall Street had expected earnings of $1.21 a share.

City National Corp. said Friday that it agreed to buy Manulife Financial Corp.'s Independence Investment unit to expand its institutional money management assets. The acquisition of Independence Investment, which oversees $7.5 billion in U.S. equities for institutions such as endowments and pension funds, will add to 2006 earnings, Beverly Hills-based City National said. The bank expects the transaction to close in the second quarter. Terms of the deal weren't disclosed.

City National Corp. of Beverly Hills, parent of City National Bank, reported 2005 net income of $235 million, or $4.60 a share, compared with $206 million, or $4.04 a share, for 2004. Revenue rose 12%, to $821 million. For the fourth quarter, net income was $61.8 million, or $1.21 a share, up from $49.7 million, or 97 cents a share, for the same period in 2004. City National also said its board raised its annual cash dividend to $1.64 a share, up from $1.44.