ConnectOne Bancorp, Inc. (NASDAQ:CNOB) Q2 2020 Earnings Conference Call - Final Transcript

Jul 30, 2020 • 10:00 am ET

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ConnectOne Bancorp, Inc. (NASDAQ:CNOB) Q2 2020 Earnings Conference Call - Final Transcript

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Q & A
Analyst
Chris O'Connell

assuming the trajectory for the PPP loan forgiveness?

Executive
William S. Burns

Well. We are estimating on average a nine-month timeframe. We'll reassess on October one for the fourth quarter. But right now, we're amortizing it over a nine-month life which results in a yield on the portfolio in the low fives.

Analyst
Chris O'Connell

Okay, great. And just last question. I know it hasn't an issue in a while, but as for the remaining taxi portfolio has anything changed with the pandemic? And how you guys are looking at that portfolio?

Executive
William S. Burns

Well, quantitatively, we have it valued at $150,000 a medallion. We understand there's some pressure on it now. We just don't know for sure -- the valuation is based on the long-term outlook and not necessarily the short term of the pandemic. So, that's where we are right now and not much else to say there, any qualitative thoughts, Frank, on the prospect of the industry?

Executive
Frank S. Sorrentino III

Yeah. I mean, it's just hard to determine what's ultimately going to happen there. The city is really operating at 20% or 30% of its ultimate capacity, in all forms of business there. So it's really hard. All forms of transportation in the city are negatively impacted right now. The transportation network companies are down 70% or so. Guys are afraid to drive. The unemployment benefits are impacting, people not going to drive. They'd rather stay home and collect their $600. So until this pandemic sort of makes its way through, it's going to be really hard to determine what's happening. One of the encouraging things that we have seen in the last two weeks though, is the number of taxicabs that are getting onto the road are beginning to increase, at a fairly steady pace. So we're certainly going to keep our eyes on that. And keep well positioned to follow the trends there, but I think it's a little too early to make any determinations.

Analyst
Chris O'Connell

Got it. Understood. Appreciate the color. Thanks.

Executive
William S. Burns

Okay. Thank you. Chris.

Operator
Operator

This concludes our question-and-answer session. I would like to turn the conference back over to management, for any closing remarks.

Executive
Frank S. Sorrentino III

Yeah. So thank you. Thanks for the questions. We really appreciate everyone taking the time in joining us on our second quarter conference call. And we certainly look forward to speaking with you again, at our next call. So thank you everyone and enjoy the rest of the summer.

Operator
Operator

[Operator Closing Remarks]