VNB earns nearly $1 million on trusts
Managing trust accounts, that high-fee business of investing the money of rich people who can't or won't do it themselves, brought Charlottesville-based Virginia National Bank $980,000 in income last year, nearly a third of its overall net earnings of $3,086,000. Further good news for the bank is that loan write-offs amounted to just $11,000 last year, according to the February 15 release from the bank. While the loan-loss amount is nearly double 2004's loan losses of $6,000, both figures are microscopic in the banking world. (Consider that the other locally-operated bank founded in 1998, Albemarle First, lost $2.4 million in just one botched situation in 2003 when the president of a now-defunct picture moulding company engaged in a criminal check-kiting scheme.) Shares in VNB, which have been trading in the $25-$26 range for about a year, were little changed by the news.