TCF Financial said it has taken steps to reposition its balance sheet by prepaying $3.6 billion of long-term debt and selling $1.9 billion of mortgage-backed securities, which it anticipates will increase net interest margin and reduce interest rate risk.

The company said the actions will result in TCF recognizing a one-time, net after-tax charge of $293 million, recorded in the first quarter of 2012.

William A. Cooper, chairman and CEO said, “This balance sheet repositioning enables TCF to realize its true franchise value from its ongoing strategy of originating high-yielding, low-risk, secured loans and leases funded by a low-cost, core deposit base.”

To read the TCF Financial news release click here.