The data reflects wide-ranging concerns in the financial industry, said Thomas Richlovsky, National City treasurer and senior vice president.

"Clearly the mortgage environment has deteriorated," Richlovsky said. "There is a nationwide increase in delinquencies."

The value of residential real estate assets considered nonperforming, in which there are concerns about ability to collect interest and loan payments, rose to $236 million in August, compared with $149 million in August 2006, according to a company filing with the Securities and Exchange Commission.

That total declined from $195 million in April to $188 million in May but has risen each month since then.

Richlovsky said loans at risk of foreclosure or already in foreclosure are a small part of National City's approximately $41 billion in residential real estate and home equity assets.

The data was part of National City's mid-quarter report, based on information available through Aug. 31.

The results in part reflect loans still held by National City after the sale of its First Franklin Financial Corp. subprime lending business last year.

In a separate indicator involving residential real estate loans that have gone to foreclosure, the August total stood at $280 million, nearly 50 percent more than in August 2006.

National City in early September said it is laying off 1,300 workers as it remakes its mortgage business.

National City previously estimated an after-tax loss in mortgage banking within a range of $130 million to $160 million for the third quarter. The loss is likely to be around the high end of the range, according to the latest disclosure.

National City shares rose 14 cents to $25.89 Monday.