Oregon Public Broadcasting

The NASDAQ exchange has demoted Sterling Bank stocks, because the share price fell below the $1 level for more than 30 consecutive days. David Nogueras reports from Bend

Sterling operates 58 branches throughout Oregon. It's one of the many banks across the nation to get tangled up in own bad real estate loans.

NASDAQ bumped the stock Thursday from its Global Market group to its Capitol Market, which it reserves for stocks in companies that have smaller capitalization.

Dave Brukardt is the Executive Vice President at Sterling Bank. He says the bank is in the process of recapitalizing and focusing on its core business.

Dave Brukardt: "Through the time period that Sterling has been affected by the Real Estate Market Downturn, our deposits have grown, our checking accounts are up, and our customer satisfaction numbers are the highest in the Northwest. We're focusing on that. The core bank is very strong."

Sterling Financial has announced two deals in recent months with large investment houses.

It until December 6th to raise its share price or face a further demotion within the NASDAQ.