Monona State Bank boosts profits for 2010

Monona State Bank reported net income of $1.8 million for 2010, up slightly from $1.7 million in 2009, with assets of $335 million, compared to $347 million as of Dec. 31, 2009.

The bank, founded 20 years ago by local business owners, had $5.6 million earmarked for loan losses in 2010, an increase from the $4.6 million loan loss allowance for 2009. During 2010, more than $900,000 worth of loans were written off as uncollectible and $2 million was added to the loan loss allowance.

The privately owned bank had a total risk-based capital ratio of 14.7 percent for 2010, up from 14.5 percent the year before. A bank's capitalization is a measure of the cushion available, beyond the loan loss allowance, in case of unexpected losses.