CRE and ADC Loan Concentrations
As discussed previously, FSB’s lending strategy included a focus on CRE and ADC
loans, which accounted for a substantial amount of FSB’s loan portfolio. Specifically,
between December 2004 and June 2009, FSB’s total CRE and ADC loans accounted for
67.3 percent to 70.5 percent of the bank’s total loan portfolio, with ADC loans ranging
from 9.3 percent to 17.1 percent during that same period. Figure 2 illustrates FSB’s loan
composition from December 2004 to June 2009.