UPDATE 1-Pacific Capital Bancorp posts Q3 loss

* Posts Q3 loss

* Provision for bad loans soars * Impairment charge hurts results

Nov 6 (Reuters) - Bank holding company Pacific Capital Bancorp (PCBC.O) posted a third-quarter loss, hurt by higher provision for loan losses and an impairment charge, and said it received about $188 million of investment from the U.S. treasury.

The company had a loss of $47.5 million, or $1.03 a share, compared with a profit of $3.9 million, or 8 cents a share, a year earlier.

Analysts were looking for a profit of 5 cents a share, excluding items, according to Reuters Estimates.

Provision for loan losses more-than-doubled to $64 million.

The company said it took a $22.1 million of non-cash goodwill impairment charge during the quarter related to its commercial banking segment.

The parent company of Pacific Capital Bank said net interest income rose slightly to $60.8 million, while net interest margin -- the difference between the interest it makes on loans and the interest it pays on deposits -- fell 8 basis points to 3.57 percent.

"Going forward, we expect to see a moderation in loan growth due to more caution on the part of borrowers, a declining net interest margin due to reductions in prevailing interest rates and a downward trend in expense levels, Chief Executive George Leis said in a statement.

Shares of the company closed at $17.85 Wednesday on Nasdaq.

For the alerts, please double click on [ID:nWNAB9160] . For a company press release, double click on [ID:nBw065503a] (Reporting by Anurag Kotoky in Bangalore; Editing by Amitha Rajan)