BOK Sees Red Over SemGroup

The Bank of Oklahoma says SemGroup's collapse has the bank seeing red.  BOK has changed its second quarter earnings report and now says it is more than a million dollars in the hole.  News On 6 anchor Scott Thompson reports there is more fallout from SemGroup.

The Bank of Oklahoma made the adjustment in a filing with the Securities Exchange Commission on Friday.  It's just the latest on SemGroup's road through bankruptcy.

The Bank of Oklahoma had previously stated it made more than $43 million during the second quarter of this year.  But, that was before it adjusted its ledger because of SemGroup's bankruptcy.    

BOK's total exposure to SemGroup is $147 million that includes money lost on hedging in the oil market as well as loans to the energy company.  Once the numbers were crunched a second time, BOK announced instead of profiting $43 million it had lost $1.2 million.

The Bank of Oklahoma declined an on-camera interview, but a spokesman told The News On 6 the million dollar deficit will have no impact on its operations, adding the bank has nearly $2 billion in equity that could be used to cover any losses.

The spokesman said evidence of the banks strength is that it's opening 12 new branches in eight states this year.

Banking analysts agree.  Karen Dorway monitors banks for BauerFinancial in Florida.

"So, when you look at the size of the bank, the $1.2 million is certainly a hit to them, but is one that they are well prepared to absorb," said analyst Karen Dorway.

Dorway rates BOK with four stars out of five, calling it historically profitable.  She says people with accounts at BOK shouldn't worry about their money.

"The consumer or the customer of the bank, from their perspective, it's really a non-issue," said analyst Karen Dorway.

A day after 110 SemGroup employees lost their jobs in Tulsa; more is learned about their potential severance pay.

According to court records, SemGroup wants to pay each former employee two weeks base salary and provide one month access to an outplacement service to help them find a new job.  SemGroup says it plans to spend a little more than a million dollars in severance pay.

But, nothing is final yet.

SemGroup has to go before a federal bankruptcy judge in Delaware next Monday to learn if the court will allow it to pay the former employees.

For expanded coverage of SemGroup, CLICK HERE.