Bank Valuation and the Capital Markets

Transcription

Volume 13, No. 6
November/December 2010
Inside:
Economic Forecast: Stormy Weather . . . . . . . . . . . . . . . . . . . . . . 4
New Incentive Compensation Guidance from Regulators . . . . . 8
Community Banking Will Always Have a Niche . . . . . . . . . . . 10
Community Involvement . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
Banconomics . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13
Bank Valuation and the Capital Markets . . . . . . . . . . . . . . . . . 18
CBW Announces Retirement . . . . . . . . . . . . . . . . . . . . . . . . . . . 26
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Economic Forecast: Stormy Weather
New Incentive Compensation Guidance from
Regulators
Community Banking Will Always Have a Niche
Community Involvement
Banconomics
CBW Announces Retirement
Published by Community Bankers of Wisconsin
through Client Communications
Editor and Publisher: Doris Green
Contributor: Mary Lou Santovec
Art Director: Lisa Imhoff, Grey Horse Studio
Editorial or subscriptions: e-mail Doris Green at
[email protected] or fax (608) 583-2084
Advertising: Penny Heberlein, CBW vice president,
membership services, at (608)833-4229 or contact Doris Green
COMMUNITY BANKERS OF WISCONSIN
BOARD OF DIRECTORS
2010-2011 CHAIRMAN: Steve Bell, Community State Bank, Union Grove
CHAIRMAN ELECT: James Tubbs, State Bank of Cross Plains
VICE CHAIRMAN: Paul Hoffmann, Monona State Bank
PAST CHAIRMAN: Russ Kuehn, The First National Bank of Berlin
SECRETARY/TREASURER: Mary Jo Ceniti,
Farmers Savings Bank, Mineral Point
ICBA DIRECTOR: Rick Busch, Royal Bank, Gays Mills
ICBA DIRECTOR: Butch Pomeroy, International Bank of Amherst
Jon Mentink, First Bank of Baldwin
Tom Armstrong, The First National Bank of Park Falls
Steve Zeman, Union State Bank, West Salem
John Slatky, Bank of Luxemburg
Stan Leedle, Choice Bank, Oshkosh
Jerry O’Connor, The National Bank of Waupun
Gregory Kolton, Foundations Bank, Pewaukee
John Dorshorst, Gratiot State Bank
Sigurd Bringe, Bank of Deerfield
Fred Siemers, River Cities Bank, Wisconsin Rapids
Randolph Malueg, Heritage Bank, Spencer
CBW STAFF
President and CEO: Daryll Lund
Executive Vice President: Rick McGuigan
Senior Vice President (CBW Financial Services): Kevin Christians
Senior Vice President (CBW Financial Services): Phil Hoover
Vice President (Membership Services): Penny Heberlein
Program Administrator: Sandra Gruber
Account Manager and Legislative Assistant: Shannon Schlueter
Account Manager: Jami Erickson
455 County Road M, Ste. 101
Madison, WI 53719
Ph: (608) 833-4229 Fax: (608) 833-8114
E-mail: [email protected]
Wisconsin Community Banking News is provided at no cost to CBW members.
The current and past issues are available on the CBW Web site: www.
communitybankers.org.
CBW Moves Forward
Following 2010 Elections
Steven Bell, CBW Chairman, and President and CEO,
Community State Bank, Union Grove
I
n the last magazine I offered two goals for our association
this year:
• That all members understand that CBW is your organization — it’s not about me, the board, or Daryll [Lund]. It’s
about you.
• That we become more politically
active — we have to understand our issues
and get these issues out to the legislators
in Wisconsin and out nationally through
ICBA.
To those of you who were active during the fall elections, thank you for stepping forward to advocate for community
banking at all levels. The better informed that candidates and
media representatives are about community banking issues,
the greater the benefit to the economic health and quality of
life in our communities.
Recently, CBW announced a new task force to review the
38-year-old Wisconsin Consumer Act (WCA), which provides
a framework for the state’s consumer protection laws. It regulates consumer credit transactions and debt collection—for
example, loans, credit cards, credit sales, second mortgages, and
leases. It mandates detailed disclosures in credit contracts and
advertisements; limits certain interest and non-interest charges
assessed in credit transactions; provides a three-day right to
cancel certain contracts; requires judicial process in specific
repossessions; and prohibits certain collection practices.
The WCA has not kept pace with the changes in consumer
credit, such as electronic and Internet banking. With the newly
created federal Consumer Financial Protection Bureau (CFPB),
it is important that state consumer credit regulations such as
the WCA do not provide for redundant overlay of disclosures
and regulations. Review and possible changes to the WCA will
be a top priority of CBW in the upcoming legislative session.
The CBW task force includes community bankers, CBW
legal counsel Godfrey & Kahn and possibly other interested
groups. Community bankers interested in serving on the task
force should contact Daryll Lund at 608-833-2381 or daryll@
communitybankers.org. We also welcome your thoughts on
other concerns to address in 2011.
On our cover...
The Bank of Lake Mills, which
dates to 1893, opened a full-service branch office in Watertown earlier this year. It is located at 400 Bernard St., in front
of a new Pick ’N Save store and near the intersection with
Church Street (Hwy. 26). The facility was designed by TWP
Architecture, Elm Grove, and features a community room,
office, and retail space. The interior was designed to celebrate
historic Watertown, with wood beams and columns, as well
as a custom mural of images depicting the historic city.
Wisconsin Community Banking News
3
Economic Forecast: Stormy Weather
Mary Lou Santovec
A
re you classical or Keynesian?
Your preferred theory drives
your economic philosophy and
your perceptions of the economy.
Classical economists think the economy is inherently stable and that government policies produce business cycles
and inflation. It’s government mistakes
that cause booms and busts.
Keynesians take the opposite
approach believing that in an inherently
unstable economy, confidence drives
spending and markets. Active government policies can stabilize the economy.
Booms and busts are caused by bad decision-making. A “wise” government will
offset any mistakes.
Dr. Robert Genetski is a dyed-in-thewool classical economist. He’s also the
president of his own economic forecasting consulting firm, a former senior vice
president and chief economist for Harris
Bank, an author, a faculty member at
the University of Chicago, and a selfprofessed optimist. Genetski brought
his economic expertise (and sense of
humor) to the Community Bankers
of Wisconsin’s annual Conference and
Expo in September—prior to the Federal
Reserve decision to purchase $600 billion in bonds.
Five Conclusions
With the world in recovery from the
worst recession since the Great Depression, there’s limited confidence in what
lies ahead. Genetski, who defined an
economist as someone who loves to
play with numbers but doesn’t have the
personality to be an accountant, offered
some hope.
He began by drawing five conclusions.
The recovery that’s existed in the past
year will stall out over the next six to
nine months.
Interest rates will stay close to historic
lows for the same time period.
With huge increases in government
spending and debt, we’ll be borrowing
huge portions from savings.
Policy changes related to tax increases
and the cost for the new health care legislation will put significant pressure on
the banking industry and its customers.
4
The good news: all the barriers to
significant economic recovery are put
in place by our representatives and can
be removed.
While all policymakers want to do
the right thing, the Great Recession has
revealed a wide gap between the two
schools of economic thought. Pointing
to what he sees as a flaw in Keynesian
reasoning, Genetski noted that although
individuals can spend more than they
earn, nations can’t. “Borrowing involves
using other people’s income.”
If your salary is $100,000, you produced $100,000 worth of goods and services to earn it. We all collectively earned
$14 trillion last year, so that’s the amount
of money the government has to spend.
Classical economists believe that
government doesn’t spend money as
efficiently as people in the private sector
do. And because the government doesn’t
produce goods and services but borrows
or takes away money that could be used
to produce them, government spending
can’t stimulate the economy.
Classical economists advocate low
taxes and limited government, protection of property rights, and a stable
currency. “Low tax rates are found in
the Old Testament,” Genetski quipped.
“Even God doesn’t ask for more than 10
percent of our income.”
Whenever classical principles have
been adopted, improved economic conditions have followed close behind. At
the end of World War I under President
Woodrow Wilson, high interest rates
created much misery. When Warren
Harding was elected in the early 1920s,
he cut government spending by almost
50 percent. That money went to people
who created goods and services and
led to the most rapid period of growth
ever seen from $2 trillion to a collective $4 trillion. The 1930s brought rapid
increases in government spending and
the result, said Genetski, was the Great
Depression.
For a modern-day example, look east.
China has had the most spectacular performance during the past three decades.
Genetski expects the Chinese to pass
the United States economy within five
years. To achieve this staggering growth,
Chinese leaders are following the tenets
of classical economists.
During the presidencies of Reagan
through Bush, cuts in the tax rates, a
positive classical principle, slowed government spending. But increases in
government stimulus put the brakes on
whatever growth was occurring. During
the 1980s and ‘90s, the number of jobs
created and the number of hours worked
both rose. But both have been in decline
during the past decade.
Genetski believes it’s the Federal
Reserve that leads people to increase
or decrease their spending levels. “It’s
the only group other than counterfeiters to create money out of thin air,” he
quipped.
What would happen in your community if a counterfeiter passed off money
as if it was real? Spending would appear
to have gone up. Classical economists
believe that scenario accurately reflects
some of the Federal Reserve’s actions.
When the Federal Reserve writes a
check to purchase government securities from an investment bank, the bank
then sends the securities to the Fed
and deposits the check. The Fed gets
cash reserves to spend. But during that
transaction, no goods or services were
created.
After the Fed increases its bank
reserves, it should cause a boom in
spending. But some individuals, fearful of the future, won’t put the extra
money in the bank; they’ll want to hold
it. Some banks will decide to not keep
their money on deposit at the Federal
Reserve. Both practices halt the expansion of credit.
When the Fed saw inflation climb in
2005, it reduced the amount of reserves
in the system by 3 percent. The result
was a drop in growth from 5 percent to a
negative 3 percent. “We have never had a
peacetime recession without the Federal
Reserve slowing down bank reserves,”
Genetski said.
Beginning in fall 2008, the Fed
increased the amount of reserves in the
system and agreed to pay interest on
continued on page 6
Elections Have Consequences … And Create
Opportunities
Daryll Lund, CAE,
T
hank you for the support you have
given to the Community Bankers of
Wisconsin during this past year. Because
of your support CBW will be finishing
2010 in a strong financial condition and
is well positioned to carry out our mission of exclusively serving the Wisconsin community banking industry in the
coming years.
Looking ahead to 2011, CBW will
be celebrating its 30th anniversary as
an association. As it was in 1981 and
is still true today, CBW remains committed to being a strong advocate for
the community banking industry before
lawmakers, regulators, and the public.
Now more than ever the CBW founding
principles provide important guidance
for your association to follow. These
aims include:
Encourage continuation of the dual
system of state and national banking,
which recognizes the autonomy of states
in banking matters.
Preserve competition in banking and
oppose the concentration of control of
banking resources.
Extend the usefulness and influence
of our banking system and strengthen
our economy through closer cooperation among the independent bankers
of Wisconsin.
Promote new, more versatile, and
service conscious ideas; better business
methods, and higher ethical standards;
and improve education in banking.
Assist in the advancement of independent banking and the protection of
the public.
We all agree this past year has truly
been historic for our industry with passage of sweeping financial reform legislation. In addition, the 2010 elections
will bring about many new faces both in
Madison and Washington D.C. Wisconsin led the nation in changes due to the
recent elections as the only state where
Republicans gained the governor’s office,
a U.S. Senate seat, two U.S. House seats,
and both houses of the state legislature.
While elections have consequences,
elections also create opportunities.
Community bankers must now work
together to make sure policymakers fol-
low through on the important distinctions made in the financial reform legislation between Main Street community
banks and Wall Street firms.
Over the next few years, as the rulemaking takes place, CBW, working in
partnership with ICBA, will be there
every step of the way, visiting members
of Congress and regulators, attending
hearing and rulemaking sessions, and
taking every appropriate opportunity
to influence how the regulations will be
written and enforced. We will also continue to work with Congress to explore
changing some aspects of the new law
that may hinder community banking.
On the state level, CBW recently
announced the formation of a task force
to review the Wisconsin Consumer Act
(WCA). The WCA was enacted in 1972
to regulate consumer credit transactions
and collection of consumer debt. Community banks, as well as other financial
services providers, are directly impacted
by the WCA which provides a framework for Wisconsin consumer protection laws.
The WCA is now almost 40 years old
CBW President
and CEO
and has not kept pace with the changes
in consumer credit such as electronic
and Internet banking. Review of and
possible changes to the WCA will be a
top priority of CBW in the upcoming
legislative session. With the newly created federal Consumer Financial Protection Bureau (CFPB), it is important that
state consumer credit regulations such as
the WCA do not provide for redundant
overlay of disclosures and regulations.
Thank you again for your support off
CBW this past year. We look forward to
our continued partnership in the coming year, filled with new opportunities
for the Wisconsin community bankingg
industry and your association.
Customers Enjoy Expanded
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Participating ATMs
CBW’s ATM Access network has
partnered with the In Balance® Alliance
offered by the Independent Community
Bankers of Minnesota, to expand
surcharge-free access. Cardholders
traveling across the WisconsinMinnesota border can now freely
withdraw money at 900 ATMs.
Cardholders driving anywhere in the
two states can find the closest surchargefree ATMs by connecting to the Internet
via their Blackberry® or other mobile
device. Cardholders can also visit the
CBW website (www.communitybankers.
org) to search for participating ATMs by
city or participating community bank.
To learn more, call CBW at
608-833-4229.
5
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Stock Valuations
Capital Markets
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money banks kept on deposit. But during the past year, there’s
been no increase in reserves at the Fed and no new money
entering the system. But there have been some green shoots,
unsustainable ones, but shoots nonetheless of recovery.
The burden of the new legislation will dramatically increase
the cost of compliance: $2.7 trillion to comply with the health
care legislation alone. “This is not for helping people with health
care,” Genetski said. “This is just the cost for complying with
the legislation and hiring consultants.” The financial reform
legislation is expected to cost $1.5 trillion and be 30 times
more involved and costly than Sarbanes Oxley.
Strategies for Bankers
What strategies can bankers employ to succeed in such
a challenging environment? Because monetary policy is an
extremely powerful tool, Genetski recommends bankers closely
monitor their reserves. Data produced by the Federal Reserve
Bank of St. Louis can offer good guidance.
Bankers must guard against potential future price increases.
Now is the time to acquire technology associated with the
shortest payback period.
Understand that there’s no such thing as a fiscal stimulus.
Increases in government spending tend to weaken the economy
and don’t increase spending by businesses or individuals.
We’ve been down this road before—during the late 19-teens,
the 1930s, and the 1970s. During those years, politicians said
more regulation was needed and the economy got worse.
Whenever classical economic principles have been shunned,
the stock market has had months of declines.
Longer-term forecasts for the stock market show the fundamentals to be significantly undervalued. Companies are
building up their cash reserves because they don’t know what
the new programs will eventually cost them.
Genetski doesn’t see much in the way of spending in the
next six to nine months, nor does he believe that a double-dip
recession is around the corner. He expects very little, if any,
growth.
Financial institutions will continue to be under pressure
until the Fed loosens its monetary policy. There will be delayed
potential for higher inflation.
Tax increases will hit various segments of the population in
2011. Income taxes for all taxpayers will be up. Capital gains
will increase from 15 to 20 percent as will taxes on dividends.
But Genetski, ever the optimist, noted, “Research out of
Europe has uncovered more bad news for pessimists compared
to optimists. Optimists live longer, are happier, and play better
golf.”
Daryll Lund Earns CAE Recertification
800.525.9775
younginc.com
Bankers Working For Bankers
6
The Certified Association Executive (CAE) Commission
of the American Society of Association Executives recently
renewed the CAE credential of CBW president and CEO
Daryll Lund. CAE applicants undertake significant studies and
an exam, and the certification must be renewed every three
years through additional studies and leadership activities. Less
than five percent of all association professional have achieved
certification.
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COUNSELOR’S CORNER
New Incentive Compensation Guidance from Regulators:
What It Means for Community Banks
Recognizing how out-of-control
incentive compensation practices at
some large financial institutions impacted
our current financial crisis, the Federal
Reserve, OCC, FDIC, and OTS have issued
f ina l guid ance
on incentive
compensation (the
“Guidance”), to steer
banks into crafting
more appropriately
risk-balanced
compensation
programs. (See,
F.R. Docket No. M. Scott LeBlanc
OP-1374, June 21, 2010). Unlike the
European Union, which created rigid,
specific limits on bonuses, the Guidance
is a flexible set of guidelines to help banks
identify the risks inherent in certain
compensation arrangements.
While the Guidance’s main focus is
on the largest banks, it also creates new
regulatory expectations for everyone.
Community banks and their boards
should address these new expectations
regarding incentive compensation
practices during the exam process.
To determine how this new Guidance
will affect your bank, first identify
how much your bank uses incentive
compensation. Here, “incentive
compensation” is defined as any portion
of an employee’s salary or potential
compensation tied to achieving certain
metrics—such as a level of sales, revenue,
or income. While this captures a wide
range of compensation systems, the
Guidance is primarily concerned with
arrangements that could encourage risky
behavior.
If your bank’s only use of incentive
compensation is through a lowerrisk program, such as a firm-wide
profit sharing or bonus plan based on
your bank’s overall profitability, the
Guidance will have few, if any, additional
requirements for your bank. The
Guidance does not cover other forms
of compensation or benefits, such as
salaries or 401(k) plans.
If your bank uses an incentive
compensation system for some or all
8
employees, the Guidance requires banks
to identify whether those employees
expose your institution to material
amounts of risk. These employees
could include not only senior executives
and others responsible for overseeing
company-wide policies and activities,
but also non-executive employees who
expose the firm to large amounts of risk,
and any groups of employees receiving
similar incentives who, in the aggregate,
expose the organization to material
risks. These may include loan officers
who, as a group, originate loans that
account for a material amount of your
institution’s credit risk.
Next, identify the range of risks
created by the incentivized employees.
Such risks may include credit, market,
liquidity, operational, legal, compliance,
and reputational risks. When available,
the Guidance suggests that banks use
quantitative measures of risk and risk
outcomes to develop their incentive
compensation arrangements. When
reliable data is not available, banks
should be able to show that they made
informed judgments in estimating risks.
If your staff includes risk-management
personnel, the Guidance says those
employees should assess and evaluate the
risks of your incentive compensation.
For every incentive-compensated
employee that exposes your organization
to material risks, the regulators will
be looking to see that the incentives
appropriately balance risk with financial
results. For example, if two employees
generate the same short-term revenue,
but the activities of one employee creates
larger risks, the higher-risk employee
should be paid less under a “balanced”
incentive compensation arrangement.
The Guidance encourages banks to
review any existing or proposed golden
parachute arrangements, where an
employee is guaranteed a payout upon
leaving the institution regardless of
performance. Tying incentive compensation to firm-wide (rather than individual) performance, using deferred
payments and clawbacks, and extending
performance periods are some of the
methods suggested by the Guidance for
those banks looking to “balance” their
incentive compensation practices.
The Guidance says that all banks
should create and maintain sufficient
documentation to facilitate a review of
the effectiveness of the bank’s processes
for establishing, modifying, and
monitoring incentive compensation
arrangements. These reviews should be
incorporated into your bank’s normal
compliance monitoring procedures. A
monitoring process, appropriate for the
size and complexity of your bank, could
be set up to track payments made, risks
taken, and actual risk outcomes so that
compensation levels may be appropriately
adjusted.
The Guidance sets forth new
responsibilities for boards of directors.
The board should be directly
responsible for approving any incentive
compensation arrangement for senior
executives, as well as any adjustments
in those arrangements. The board
should make sure such arrangements
are balanced and keep the bank’s safety
in mind. Management should provide
the board with appropriate data and
analysis to allow it to make informed
decisions about incentive compensation.
If your board does not have a level of
expertise appropriate for your bank’s
use of incentive compensation, the
Guidance suggests that outside counsel
or consultants facilitate the board’s
review processes.
While the new Guidance is targeted
toward large, complex financial institutions, the regulatory agencies will also
pay closer attention to incentive compensation during their safety and soundness examinations of community banks.
By taking the steps above, banks can
increase their safety and stability while
decreasing the possibilityy of a regulatory
enforcement action.
M. Scott LeBlanc is a third-year law
student at Duke Law School in Durham,
N.C., and executive editor for the Duke
Journal of Constitutional Law & Public
Policy and staff editor of the Duke
Environmental Law and Policy Forum.
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Community Banking Will Always Have a Niche
James Ghiglieri Jr., SHAZAM
Vice President of Corporate
Communications
A
s I travel around the country and
hear the sad stories about good
financial institutions and good bankers caught up in the collapse of the real
estate market and the changing financial
landscape, it leads one to question the
future of community banking. The big
financial institutions will always survive
because they are systemically important to our economy, and the government will always be there as their safety
net. Unfortunately, community financial
institutions do not enjoy the same level
of reassurance. Community bankers must adapt to
the changing economy and are preparing for literally hundreds of new regulations that always fall disproportionately
hard on community financial institutions. I have heard speculation that the
number of financial institution charters
will fall from around 8,000 to 3,000 in
the next couple of years. Many so-called
experts suggest that hundreds of financial institutions will fail and thousands
more will tire of fighting the fight and
sell their institutions, which will lead to
massive industry consolidation.
I, however, have a much different and
more optimistic view of the future of
community banking. I started my banking career in 1976 during another difficult time in the history of banking. During that time, banking was protected by
an old regulation, Regulation Q. This
regulation set limits on the rates that
could be paid on deposits, and various
state laws limited the rates that could
be charged for loans. Every financial
institution had, by regulation, a built-in
net interest margin that allowed banks
to prosper. The only thing they had to
worry about was credit quality. Then our economy experienced double-digit inflation and Regulation Q was
repealed. Institutions could set their own
interest rates. The early 1980s saw the
prime rate increase to a high of 18.5
percent. Certificates of deposits were
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10
paying over 15 percent, and mortgage
rates were 21 percent. All of this was
done to break the back of inflation, and
it was successful. Despite the success,
over 1,500 institutions failed during that
time, mostly savings and loan institutions, financial institutions in Texas,
and institutions in the Midwest farm
states. These were horrible, devastating times for the industry, and widely
held speculation said that we were moving toward the Canadian model where
we would only have a handful of huge,
national banks. Of course, a review of the results
of that period showed a very different
outcome. While there was a reduction of bank charters from 16,000 to
12,000, community bankers showed
their creativity, tenacity, and entrepreneurial spirit, and by 1990 were thriving
again. Community banks became our
nation’s small business lenders, where
they were providing credit to over 40
percent of the start-up companies in the
country while holding only 15 percent of
the domestic deposits. They were the
people who sat across the desk from the
business owners who had an idea but no
money. They understood character lending and fueled the creation of the greatest economy the world has ever seen. I am giving you this background to
articulate my strong feeling that there
will always be an important niche for
community banks in our economy. I
have such faith in the creativity, passion,
and spirit of community bankers. It will
not be easy for bankers to overcome the
challenges ahead. Real estate values and
suffocating regulatory burdens will test
the mettle of the bankers over the next
couple of years, but I am as confident as
I have ever been in the future of community banking.
We’re here to help
grow your capital.
For more than 75 years, RSM McGladrey has been
helping Wisconsin financial institutions maximize
their growth potential in uncertain markets.
From loan review and strategic consulting to audit
and tax planning, we provide innovative solutions to
help guide our clients through these turbulent times.
So no matt
t er what the economy may bring, we’re
here to help you grow and prosper.
To learn more, contact John Behringer at
414-298-2855 or [email protected].
www.rsmmcgladrey.com
*RSM McGladrey is a leading professional services firm providing accounting, tax and business consulting.
RSM McGladrey has an alternative practice structure with McGladrey & Pullen LLP,
P a CPA firm that provides audit
and attest services. Though separate and independent legal entities, they can work together to serve clients’
business needs. Together,r the companies rank as the fifth largest U.S. provider of accounting, tax and business
consulting services (source: Accounting Todayy).
11
COMMUNITY INVOLVEMENT
Attention Lenders:
Feeling
trapped?
You need earrning assets
but are parallyzed
between reguulatory
constraints and budget
volume expecctations.
You are not alone.
We’ve been there too,
side by side with
the banks wee serve,
working throough
challenges off the past
few years. Many stable
banks are aga
gain looking
to add loan volume.
Collectively we can assist
each other. We’re here
to reduce thee barriers
and help youu connect
to a strong neetwork
of Midwest banks also
looking for additional
interest marggin.
0DGLVRQ:,&KLFDJR,/'HV0RLQHV,$,QGLDQDSROLV,16SULQJ¿HOG,/
Scott Krieger
Jeff Niesen
Eau Claire, WI
1-800-666-5595 x5526
Madison, WI
1-800-666-5595 x5566
www.bankersbankusa.com
CROSS PLAINS—The State Bank of Cross Plains raised $3,620
for Common Threads Family Resource Center at an October
brat sale and November
bake sale. In addition, the
bank collected 103 new
teddy bears for HospiceCare, Inc.’s Dori Bear
Program.
Common Threads
Family Resource Center
enhances the development of children with emotional, behavioral, and cognitive
challenges and supports their families. Common Threads
provides innovative services to assist families in maintaining a
balance between meeting their many challenges and flourishing
as a family (www.commonthreadsmadison.org).
HospiceCare, Inc.’s Dori Bear Program provides new teddy
bears to patients and their loved ones. Patients appreciate the
bears, and family members find comfort in the bears during
their experience with HospiceCare and then cherish their
“Dori Bear” for years (www.hospicecareinc.com).
Bank Helps Revitalize Downtown
Your freedom is just a phone call away.
12
State Bank of Cross Plains Aids
Charitable Programs
OCONOMOWOC—Between the two-year-long road construction project that shut down traffic through downtown
and the U.S. economy plunging into
the Great Recession,
many downtown
Oconomowoc businesses struggled to
survive while others
shut their doors for
good. To help attract
more businesses to
the downtown area, Jen Simons, owner of Ambiance Salon,
the City of Oconomo- outside her new storefront
woc and First Bank
Financial Centre (FBFC) established a Downtown Oconomowoc Business Loan Pool and FBFC committed $300,000 to the
loan pool. Eligible expenses for the loans include acquisition
of property, building improvements, equipment purchases,
and environmental or safety compliance.
Three businesses have so far taken advantage of the Loan
Pool funds in addition to an SBA loan from FBFC. When her
lease expired, Jen Simon, owner of Ambiance Salon, received
funding through the Loan Pool program and partnered with
FBFC to obtain an SBA loan to purchase a building on Wisconsin Avenue. Ambiance Salon will open in its new location
in early 2011. Debbie and Marcos Contreras-Lopez, owners of
Fiesta Cancun, are increasing and remodeling their restaurant.
Finally, Lori Boldig is opening The Gallery, a new framing
business.
CBW Banconomics Update: Selected FDIC Bank Figures as of September 30, 2010
Institution, City
Net
NonCharge- Current Equity
Total Assets
offs
Loans/ Capital/
($000)
/Loans Loans Assets
Net
Total Assets
offs
Loans/ Capital/
($000)
/Loans Loans Assets
Institution, City
M&I Marshall & Ilsley Bank,
Milwaukee
$50,022,857 4.41
4.04
11.71
National Bank of Commerce,
Superior
$524,177 1.7
7.57
11.37
Associated Bank, NA, Green Bay
$22,244,020 3.76
6.06
12.77
Mid-Wisconsin Bank, Medford
$499,987 0.91
3.79
9.54
Johnson Bank, Racine
$5,215,445 3.51
6.27
7.89
PyraMax Bank, FSB, Greenfield
$489,321 3.42
4.96
8.59
AnchorBank, FSB, Madison
$3,808,056 1.81
11.48
4.47
Equitable Bank, SSB, Wauwatosa
$475,575 1.76
5.63
7.97
Bank Mutual, Milwaukee
$3,432,488 1.16
4.37
11.36
RidgeStone Bank, Brookfield
$464,977 3.52
7.98
10.52
FPC Financial, FSB, Madison
$2,309,454 2.62
0.25
12.45
North Shore Bank FSB, Brookfield
$1,911,721 2.08
3.08
11.37
Wisconsin Community Bank,
Madison
$461,822 0.35
3.68
11.49
WaterStone Bank, SSB, Wauwatosa
$1,888,680 1.35
6.87
8.87
Dairy State Bank, Rice Lake
$458,394 0.14
2.77
9.71
Guaranty Bank (MHC), Milwaukee
$1,319,547 0.86
3.48
5.76
Bankers’ Bank, Madison
$446,301 1.4
1.2
11.29
West Pointe Bank, Oshkosh
$431,166 0.27
0.49
9.24
ISB Community Bank, Ixonia
$394,463 1.8
3.54
9.05
Bank of Wisconsin Dells
$391,434 1.8
2.87
9.12
Southport Bank, Kenosha*
$381,688 5.71
11.92
7.64
National Exchange Bank & Trust,
Fond du Lac
$1,264,430 0.38
3.51
14.75
Tri City National Bank, Oak Creek
$1,076,651 0.28
4.6
11.04
Baylake Bank, Sturgeon Bay
$1,052,547 0.67
2.97
9.74
River Valley Bank, Wausau*
$1,010,342 1.06
2.75
10.86
First Business Bank, Madison
$951,771 0.4
3.49
9.54
Peoples State Bank, Prairie du
Chien*
$380,536 0.22
1.05
10.15
Park Bank, Madison
$824,505 1.61
4.04
9.69
River Bank, Stoddard*
$375,644 -0.05
0.75
11.42
First National Bank & Trust Co.,
Beloit
$823,561 0.5
0.97
9.9
The Port Washington State Bank
$366,396 0.94
3.8
9.31
Denmark State Bank
$365,418 0.34
3.28
10.67
Bank First National, Manitowoc
$803,137 0.35
0.9
11.01
McFarland State Bank*
$360,571 0.04
0.32
10.24
Baraboo National Bank
$791,513 2.53
5.2
9.41
DMB Community Bank, De Forest
$347,015 0.41
0.33
8.64
Park Bank, Milwaukee*
$784,431 0.67
5.94
10.19
State Bank of Cross Plains
$778,219 0.46
4.31
8.93
Fox Valley Savings Bank,
Fond du Lac
$344,226 1.13
5.43
10.93
Waukesha State Bank
$752,846 1.11
2.4
13.45
Northwestern Bank, Chippewa Falls
$339,585 0.25
3.69
11.19
First Banking Center, Burlington
$750,724 1.96
15.6
1.13
Monona State Bank
$335,183 0.22
4.13
11.27
Business Bank, Appleton
$333,293 2.08
3.18
9.44
WoodTrust Bank, NA, Wis. Rapids*
$321,401 0.17
0.6
11.4
Bank of Sun Prairie
$312,583 1.27
4.83
14.2
State Bank Financial, La Crosse*
$311,890 1.76
7.07
10.61
Peoples Bank of Wisconsin,
Hayward*
$311,283 0.95
3.94
13.45
First National Bank, Waupaca*
$738,424 0.51
1.33
9.89
Town Bank, Hartland
$733,974 1.36
1.2
12.75
First Bank Financial Centre,
Oconomowoc
$656,554 0.52
1.23
9.28
Bremer Bank, NA, Menomonie
$652,645 1.07
2
9.05
Investors Community Bank,
Manitowoc
$652,486 0.41
2.5
9.87
First State Bank, New London
$307,581 2.01
4.75
11.27
Westbury Bank, West Bend
$636,093 0.4
4.16
8.68
Security National Bank, Durand*
$306,571 2.97
3.98
7.95
Citizens Bank of Mukwonago
$626,981 2.44
5.26
10.89
Commerce State Bank, West Bend
$305,713 0.49
1.95
9.65
Nicolet National Bank, Green Bay
$625,914 1.18
1.36
10.39
Abby Bank, Abbotsford
$294,015 0.22
1.74
9.06
Community Bank & Trust,
Sheboygan
$614,890 1.36
3.29
9.7
PremierBank, Fort Atkinson
$291,598 0.38
1.89
14.69
First National Bank of River Falls*
$291,335 0.88
4.55
9.66
Peoples State Bank, Wausau
$599,622 0.35
2.14
9.96
Blackhawk State Bank, Beloit
$598,623 1.03
2.3
8.82
Farmers & Merchants Union Bank,
Columbus
$283,050 0.17
0.43
8.77
Citizens Community Federal, Eau
Claire
$594,892 0.97
1.18
8.35
First National Bank-Fox Valley,
Neenah
$276,801 0.24
2.12
9.66
Time Federal Savings Bank,
Medford
$578,780 0.02
0.2
16.05
Stephenson National Bank & Trust,
Marinette*
$275,698 0.34
2.26
10.3
Great Midwest Bank, SSB, Brookfield
$568,165 0.46
1.86
16.58
Bank of Prairie Du Sac
$273,732 0.27
2.1
16.33
Thrivent Financial Bank, Appleton
$559,815 0.43
0.79
10.79
Marshfield Savings Bank
$264,790 0.68
1.97
11.06
Charter Bank Eau Claire*
$544,115 1.81
2.97
12.9
Coulee Bank, La Crosse*
$263,632 0.27
3.26
9.99
Horicon Bank*
$525,256 0.6
2.24
10.27
* Subchapter S Corporation
13
Institution, City
Net
Total Assets
offs
Loans/ Capital/
($000)
/Loans Loans Assets
Mound City Bank, Platteville
$261,866 1.35
1.9
8.98
Institution, City
Net
Total Assets
offs
Loans/ Capital/
($000)
/Loans Loans Assets
Eagle Valley Bank, NA, St. Croix Falls
$190,011 1.35
7.08
4.21
River Cities Bank, Wisconsin Rapids
$189,076 0.28
1.3
11.11
Oregon Community Bank & Trust
$185,927 4.47
1.08
12.78
Union Bank & Trust Co., Evansville
$185,401 0.66
2.36
8.97
Private Bank, NA, Milwaukee
$184,307 0.47
0.95
9.35
The Farmers State Bank of Waupaca
$182,605 0.46
1.83
14.69
9.28
Bank of Lake Mills*
$182,318 1.58
4.99
8.89
8.34
Woodford State Bank
$182,121 1.18
2.92
8.84
Peoples Bank, Elkhorn
$181,470 0.24
3.73
9.98
Hometown Bank, Fond du Lac
$179,792 0.77
1.61
13.34
Sterling Bank, Barron*
$176,736 0
0.13
8.48
First Bank of Baldwin*
$176,377 0.07
4.84
12.31
Timberwood Bank, Tomah
$176,214 -0.09
1.82
12.17
Community State Bank, Union
Grove*
$260,524 0.34
3.9
11.21
Community Bank CBD, Delavan
$254,589 0.68
1.26
10.43
InvestorsBank, Pewaukee*
$251,456 0.63
7.82
12.82
Clare Bank, NA, Platteville*
$249,852 0.05
0.15
9.3
The First National Bank of Berlin
$248,709 0.85
5.54
Securant Bank & Trust, Menomonee
Falls
$248,075 0.14
4.92
Evergreen State Bank, Stoughton
$246,484 8.48
11.13
1.32
Community First Bank, Boscobel*
$244,365 1.89
5.47
8.77
East Wis. Savings Bank, SA,
Kaukauna
$244,058 0.42
0.6
7.33
Bank of Mauston*
$243,727 0.67
1.86
10.67
Peoples Community Bank,
Mazomanie
Farmers & Merchants Bank, Berlin
$171,694 0.73
1.45
11.53
$241,274 0.59
1.64
11.31
First Bus. Bank-Milw., Brookfield
$170,047 0.69
3.72
7.96
Capitol Bank, Madison
$237,747 0.26
1.33
8.76
Marathon Savings Bank, Wausau
$168,206 1.15
6.01
12.28
Choice Bank, Oshkosh
$161,221 1.12
0.75
10.91
Oostburg State Bank
$160,582 0.68
0.97
12.92
Livingston State Bank
$158,264 2.09
2.63
10.2
Intercity State Bank, Schofield
$157,723 0.05
2.84
16.04
American Nat'l. Bank-Fox Cities,
Appleton*
$237,662 0.64
0.87
11.63
American Bank, Fond du Lac
$232,543 -0.03
0.37
16.58
Walworth State Bank*
$229,930 0.38
4.16
9.29
Bank of Luxemburg
$228,330 0.45
1.22
10.23
The First National Bank of Hartford
$157,507 0.29
1.09
13.48
Chippewa Valley Bank, Winter*
$225,485 0.02
2.56
8.8
Peshtigo National Bank*
$157,028 0.24
1.94
9.08
Royal Bank, Elroy
$222,865 0.01
1.07
9.82
Paper City, SA, Wisconsin Rapids
$155,737 0.09
0.6
8.86
Home Savings Bank, Madison
$154,218 0.6
3.59
6.93
Farmers & Merchants Bank & Trust
Co., Marinette
$152,998 -0.02
4.11
9.97
State Bank of Chilton*
$152,693 1.89
4.23
12.97
First Citizens State Bank of
Whitewater
$221,548 -0.11
0.29
15.24
Banks of Wisconsin, Kenosha*
$220,904 2.19
11.43
7.29
Middleton Community Bank
$220,806 0.98
0.77
11.41
Farmers Savings Bank, Mineral
Point*
$220,465 0.6
2.43
8.87
First National Bank of Eagle River*
$150,857 2.08
4.42
8.92
Northern State Bank, Ashland*
$219,306 0.11
1.24
8.32
First National Community Bank,
New Richmond*
$149,827 0.65
2.49
9.86
Jackson County Bank, Black River
Falls*
$218,421 0.25
1.63
10.05
Citizens State Bank, Hudson*
$148,928 2.54
6
6.06
Waumandee State Bank
$148,917 0.41
0.78
9.68
BLC Community Bank, Little Chute*
$217,845 0.04
3.05
11.36
Citizens First Bank, Viroqua*
$147,646 0.12
1.37
10.56
Hartford Savings Bank
$217,263 0.68
7.97
8.92
Citizens State Bank of Loyal
$146,392 0.42
2.45
10.52
Foundations Bank, Pewaukee
$212,673 0.98
7.89
8.07
State Bank of Newburg
$146,365 0.74
4.73
13.64
United Bank, Osseo
$207,871 0.06
2.16
9.4
Laona State Bank
$144,462 0.32
5.92
10.64
Farmers & Merchants Bank, Tomah
$207,163 0.18
3.06
9.74
Layton State Bank, Milwaukee
$142,737 0.75
2.84
10.21
Oak Bank, Fitchburg
$207,074 0.72
2.42
9.98
Alliance Bank, Mondovi*
$142,215 0.57
1.95
10.05
Nekoosa Port Edwards State Bank,
Nekoosa*
$205,703 0.05
1.89
11.31
Sunset Bank & Savings, Waukesha
$139,855 0.75
2.61
Legacy Bank, Milwaukee
$205,395 0.95
23.39
2.6
Shell Lake State Bank*
$133,770 0.17
2.09
19.5
Premier Community Bank, Marion
$200,143 0.08
1.85
10.5
Farmers & Merchants State Bank,
Waterloo
$132,193 1.33
4.37
12.97
Bank of Alma
$195,534 1.17
6.64
33.36
Markesan State Bank
$127,873 0.19
2.79
11.45
The First National Bank of Bangor
$193,399 0.04
3.2
20.05
The Bank of New Glarus
$192,725 0.31
2.45
10.09
First Federal Bank of Wis.,
Waukesha
$127,488 1.07
1.14
10.01
14
9.73
Institution, City
Net
Total Assets
offs
Loans/ Capital/
($000)
/Loans Loans Assets
Community Bank of Northern Wis.,
Rice Lake*
$126,625 0.08
1.77
8.51
American Bank & Trust Wis., Cuba
City*
$125,651 0.37
1.57
10.35
Net
Total Assets
offs
Loans/ Capital/
($000)
/Loans Loans Assets
Institution, City
Union National Bank & Trust Co.,
Sparta
$89,770 0.32
0.52
16.37
Farmers State Bank Hillsboro
$89,418 0.04
1.79
16.05
TSB Bank, Lomira
$88,730 1.23
2.09
7.69
Commercial Bank, Whitewater
$88,594 0
0.04
11.21
Calumet County Bank, Brillion
$86,585 0.54
3.18
9.9
Badger State Bank, Cassville*
$86,532 2.14
7.22
2.97
The First National Bank of
Platteville
$123,757 -0.04
2.91
11.24
Cornerstone Community Bank,
Grafton
$123,648 0.32
2.03
8.69
Community Bank of Central Wis.,
Colby
Heritage Bank, Spencer
$86,451 2.28
0.6
10.07
$123,295 2.44
10.55
6.67
First National Bank at Darlington
$85,236 0.21
2.62
12.76
The National Bank of Waupun
$123,242 4.18
5.55
9.6
Cumberland Federal Bank, FSB
$84,877 0
2.13
11.26
$84,868 1.67
3.53
9.79
Bay View Federal S&L, Milwaukee
$122,802 1.7
4.09
13.14
First Bank, Tomah
Bank North, Crivitz
$120,180 0.48
1.36
11.01
Bank of Poynette
$84,738 -0.11
5.33
9.36
Union State Bank, Kewaunee
$83,441 0.31
2.99
9.95
Bank of Galesville*
$83,059 0.34
3.98
13.71
River Falls State Bank*
$82,825 0.01
2.73
16.22
KeySavings Bank, Wisconsin Rapids
$80,819 0.38
2.23
14.41
Dairyland State Bank, Bruce*
$79,125 0.43
2.11
11.71
Cleveland State Bank
$79,053 0.52
0.86
8.91
Bank of Wausau
$78,799 0.1
10.28
10.59
Farmers State Bank, Markesan
$78,798 0.99
4.1
13.62
First Community Bank, Milton*
$77,747 0.64
3.97
9.52
$75,379 0.05
4.45
14.86
Advantage Community Bank,
Dorchester
$120,071 0.4
0.6
10.1
Wolf River Community Bank,
Hortonville
$118,782 0.05
2.86
11.13
Bay Bank, Green Bay
$118,359 3.78
0.86
8.44
The Bank of Brodhead
$117,110 0.13
0.42
13.75
Integrity First Bank, Wausau
$114,189 3.92
6.63
7.22
Grand Marsh State Bank
$112,701 0.12
2.89
16.01
Badger Bank, Fort Atkinson
$109,838 3.39
7.29
10.39
State Bank of Arcadia*
$109,574 0.1
0.63
8.57
Marathon State Bank
$107,710 0.23
0.04
18.85
Hiawatha National Bank, Hager
City*
Peoples State Bank of Bloomer
$107,583 0.09
2.85
12.45
First American Bank, NA, Hudson*
$74,851 0.13
3.47
8.85
Tomahawk Community Bank S.S.B.
$74,345 3.47
2.81
11.01
Settlers Bank, De Forest
$73,928 0
0
13.05
Bank of Oakfield
$73,093 0.16
2.71
9.28
Bank of Monticello
$72,483 0.5
7.36
11.06
Black River Country Bank, Black
River Falls*
$71,565 0.17
2.23
12.35
State Bank of Florence
$71,429 0.24
5.93
9.47
Mitchell Bank, Milwaukee
$70,748 1.19
15.02
12.77
Unity Bank, Augusta*
$70,588 0.23
0.89
11.88
Security Bank, New Auburn
$68,968 2.24
6.19
10.85
Union Bank of Blair*
$67,955 0.25
1.16
10.11
Bancroft State Bank*
$66,940 1.01
6.85
8.89
Bank of Milton
$66,905 -0.08
0.35
9.01
Greenwood's State Bank, Lake Mills
$66,771 1.43
3.23
12.33
Community First Bank, Rosholt*
$65,766 1.94
2.66
9.24
The First National Bank of Niagara
$64,397 0.03
3.41
10.29
Superior Savings Bank
$64,255 0.7
0.25
15.87
The American National Bank of
Beaver Dam
$106,502 0.95
4.99
10.1
Richland County Bank, Richland
Center
$105,172 0.12
1.01
20.9
Pioneer Bank, Auburndale
$104,236 0.17
0.3
12.81
Spring Bank, Brookfield
$102,739 0
1.19
11.36
Community Bank of Cameron*
$102,315 0.09
1.48
8.04
Fox River State Bank, Burlington
$102,258 2.02
4.17
10.18
Stratford State Bank
$102,163 0.35
2.07
10.87
Mid America Bank, Janesville
$100,875 0.48
0.61
12.81
Citizens State Bank, Cadott
$98,035 1.58
2.42
8.79
Bank of Kaukauna*
$96,613 0.85
2.97
12.27
First National Bank of Park Falls*
$96,588 0.07
0
11.31
Security State Bank, Iron River
$95,089 1.03
17.38
North Milwaukee State Bank
$94,646 0.17
6.62
8.47
Fidelity National Bank, Medford
$94,346 2.43
3.2
10.47
Portage County Bank, Almond*
$92,776 0.42
2.04
10.19
Cambridge State Bank
$92,528 4.94
12.59
12.65
Bank of Deerfield*
$92,195 0.09
2.39
12.87
Community Business Bank, Sauk
City
$63,748 1.38
4.02
9.03
Banner Banks, Birnamwood*
$92,039 0.73
3.69
11.91
Greenleaf Wayside Bank*
$62,723 -0.2
1.27
9.19
Citizens Bank of Clayton*
$90,453 0.02
0.03
7.96
Lincoln Community Bank, Merrill
$62,103 0.17
3.84
10.9
Pigeon Falls State Bank
$62,031 0.8
1.25
11.4
11.35
15
Net
Total Assets
offs
Loans/ Capital/
($000)
/Loans Loans Assets
Institution, City
Headwaters State Bank, Land
O'Lakes*
$61,530 0.29
4.03
Bank of Turtle Lake*
$59,449 0.61
Independence State Bank*
$58,979 1.39
Pineries Bank, Stevens Point*
Bank of Cashton
Institution, City
Net
Total Assets
offs
Loans/ Capital/
($000)
/Loans Loans Assets
13.06
John O. Melby & Co. Bank,
Whitehall*
$40,189 0.08
0.65
18.32
1.04
10.84
Gratiot State Bank
$39,286 3.26
2.07
12.62
3.72
8.55
$58,048 0.37
1.14
9.59
Merrill Federal Savings and Loan
Association
$38,355 0.27
0.29
11.2
$57,463 -0.24
0.75
10.28
The Necedah Bank
$38,185 0.53
3.38
11.24
Farmers & Merchants Bank, of
Orfordville
$37,898 0.28
5.5
10.18
Palmyra State Bank
$37,349 0
0.04
17.87
WPS Community Bank, FSB,
Madison
$32,999 0
0
27.14
Superior Bank*
$32,714 1.11
2.34
12.61
Community Financial Bank,
Prentice
$32,068 0.66
4.58
14.22
State Bank of Cazenovia
$31,264 0
0.15
18.14
Bank of Ontario*
$31,198 0.13
1.75
10.77
Woodhouse & Bartley Bank,
Bloomington*
$28,538 0
0.24
13.24
91.73
Farmers & Merchants Bank,
Rudolph
$27,093 0.73
0.36
9.72
Highland State Bank*
$26,805 0.29
0.06
Community State Bank, Norwalk*
$25,563 0.31
3.15
Columbia S&L, Milwaukee
$22,940 0
10.49
12.15
State Bank, Gresham*
$21,734 -0.04
0.93
28.1
First National Bank in Tigerton*
$20,897 -0.02
0
14.88
Milton Savings Bank
$16,410 -0.2
3.53
Farmers & Merchants Bank of
Kendall*
$57,385 0.59
3.23
11.18
Pioneer Bank of Wisconsin,
Ladysmith
$56,717 2.57
6.41
10.21
Rural American Bank-Luck*
$55,921 0.14
4.22
7.81
Union State Bank of West Salem
$54,907 0.03
2.87
14.28
Mayville Savings Bank
$53,253 0.03
1.23
9.3
Farmers Exchange Bank, Neshkoro
$53,098 1.16
1.7
12.96
Hustisford State Bank
$52,701 0.12
2.32
13.85
First National Bank & Trust, Barron*
$48,582 0.8
5.49
8.34
La Farge State Bank
$48,370 0
10.01
30.06
Northwestern Mutual Wealth
Mngmnt Co., Milwaukee
$48,124
Bonduel State Bank
$47,657 0.05
1.44
23.42
Ladysmith Federal Savings and
Loan Association
$47,045 0.21
4.49
9.22
State Bank of Reeseville
$47,031 1.55
0.5
13.56
Benton State Bank*
$46,482 0.73
1.06
8.94
Town & Country Bank, Watertown
$46,362 0.74
5.22
9.56
Collins State Bank
$45,657 0
0
8.66
Waldo State Bank
$45,462 0.28
5.61
13.66
International Bank of Amherst*
$44,155 0.06
2.9
14.76
State Bank of Drummond
$43,623 1.21
1.24
13.29
Park Bank, Holmen
$41,030 0.39
1.92
14.87
M&I Bank of Mayville
Milton Savings Bank
M&I Bank of Mayville
$3,274
$17,159 -$202
$3,033 $4
-1.16
-15.85
0.13
0.17
www.edgeone.com ■ 1-800-423-EDGE (3343) ■ 161 Business Park Circle, Stoughton, WI 53589
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73.09
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Mary Lou Santovec
With non-performing assets trading at 35 percent of book
Capital position has become a theme in many recent bankvalue, strong capital levels and solid asset quality have replaced
ing articles, but capital is not just about loan loss reserves in the
growth as the driver for investors. Other factors include the
current recession. To take advantage of future opportunities,
level of core deposits, an experienced management team, a
you must improve your capital position, Eric Radzak reminded
strong geographic footprint, attractive valuation, consistent
attendees at the Community Bankers of Wisconsin’s Manageprofitability, and a distinct vision and business model.
ment Conference and Expo held in Green Bay in September.
In seeking more capital, is your bank “filling a hole or filling
Radzak is vice president, investment banking for Howe
its war chest?” Radzak asked. Banks issue a stock offering for
Barnes Hoefer & Arnett, a full-service brokerage firm headtwo reasons: defense and offense. If a bank is playing defense,
quartered in Chicago. Its equity capital markets department
they need to protect against future asset quality issues. They
specializes in sales, trading, research, and investment banking
may anticipate a change in future regulatory capital requireservices for community banks and thrifts.
ments or they may be doing it for regulatory relief.
The golden years for bank valuations were between 2000
Those on the offense want to capture market share from
and 2004, Radzak observed. Beginning in 2005, rising interest
distressed competitors. “They can buy a competing institurates, concerns over credit quality, the start of the slide in the
tion at a considerable discount and branch into new markets,”
housing markets, and the yield curve’s inversion all served to
Radzak said. They may be preparing for growth in a recovering
figuratively push the industry off a
economy or want to use the capital
cliff. “Bank stocks used to trade at
for an acquisition.
Wisconsin banks are still making
two times book.”
When investors review the details
money and are profitable.
The median Midwest commuof a defensive offering, they consider
nity bank now trades at 65 percent
how big the hole is to fill, whether
of book value (tangible assets minus liabilities) while across
the current management will stay or go, and the bank’s core
the rest of the country, the median community bank trades
deposit franchise. They also will want a third-party loan review
at 80 percent of book value. “If you’re trading at 80 percent of
and to appraise the pre-tax, pre-provision earnings power.
book value, you have more pain to go through,” Radzak told
Investors reviewing an offensive offering will look at reguthe Wisconsin community bankers. And, with value at 65
latory standing, management depth, the state of the markets,
percent, the pain seems agonizing.
and the bank’s vision/business plan.
Wisconsin’s banks trade at a discount when compared to
For banks wanting to raise $5 to $10 million in equity capiother Midwestern states. Despite having higher capital ratios
tal, it’s likely they will have to expand outside of their markets
and a better overall economy, investors are leery about buying
(or their board or community).
Wisconsin community bank stocks.
Stock dilution can be a concern. The more capital a bank
Radzak blames the discounting partly on the fear of conraises below tangible book value, the more their stock is diluted.
tagion. “People wonder what’s happening in Wisconsin when
Debt capital is as difficult to raise as equity capital. Many
they look at M&I,” he said. “But Wisconsin banks are still makinvestors were burned by trust-preferred pools and are now
ing money and are profitable despite getting beaten up a little.”
skeptics. Going forward with Dodd Frank, trust preferreds
won’t exist in the same form anymore.
If you’ve been able to raise a good amount of capital, what
should you do with it? There are “strong” uses and “weak” uses.
Repaying TARP, getting involved in FDIC-assisted transactions, and refinancing high-cost debt or de novo expansions
into adjacent markets are good ways to use new capital.
Rebuilding your capital base, because the regulators say so
and survivability are weak reasons.
In the year ahead, Radzak expects ratios to increase to 8 and
12. The exam cycle will get more difficult, calls for rebuilding
the FDIC insurance fund will get louder, and mergers will
increase. Expect more bank consolidations beyond 2010-2011.
In short, hang on to your seats. It’s going to be a bumpy
ride.
18
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800.242.4735
19
HOW WELL
DID YOU
SURVIVE?
Did your BOLI take
on water…or did you
pick up steam?
The market turmoil of last
year took its toll on many
BOLI carriers leading to ratings
downgrades and increased
expenses. Now more than
ever, banks need to learn more
about what type of BOLI
they own.
As financial members of the
Northwestern Mutual Financial
Network, David Fritz and
John Anderson have access to
Northwestern Mutual’s unique,
high quality BOLI products.
Plus, nobody provides better
service and answers to your
BOLI questions than EBN’s
team of professionals.
EBN specializes in the design
and administration of
Bank Owned Life Insurance
programs. Find out why over
150 regional banks have
chosen EBN to provide a
long-term BOLI solution.
626 E. Wisconsin Avenue
Suite 1000
Milwaukee, WI 53202
800.780.4EBN
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CBW’s Telephone/Webcast training
sessions bring the latest regulatory
information right to the desks of
your bank employees.
Tuesday, Dec. 14: IRA Year-End
Critical Issues
Wednesday, Dec. 15: The DoddFrank Act: Strategic Issues
for Directors and Senior
Management
Thursday, Dec. 16: Simplified
NACHA Operating Rules:
Effective January 1, 2011
Tuesday, Jan. 4: Terminating or
Modifying HELOCs: Special
Regulation Z Requirements
Thursday, Jan. 6: IRA and HSA
Annual Review and Update:
2010 Tax Year
Tuesday, Jan. 11: Business Continuity Planning Including IT
Issues
Thursday, Jan. 13: ACH for
Frontline Staff
Wednesday, Jan. 19: Performing Your Social Media Risk
Assessment
Thursday, Jan. 20: Director
Series: Directors and Enterprise Risk Management
Friday, Jan. 21: FinCEN New
Chapter X—BSA Rules Simplification: Effective March 1,
2011
Tuesday, Jan. 25: Mandatory
Compliance Training Series:
Red Flags for Identity Theft
Thursday, Jan.27: Deposit Operations Legal Update: A Look
Back at 2010; A Look Ahead
to 2011
2011 Community Bankers for
Compliance (CBC) Program
For the ninth straight year Community Bankers of Wisconsin is
sponsoring the Community Bankers
for Compliance Program (CBC) in
conjunction with Young & Associ-
ates, a nationally recognized compliance consulting firm that specializes
in community banking. The CBC
program is CBW’s most highly rated
educational program.
The CBC program offers indepth training in banking compliance regulations. It consists of quarterly full-day seminars based on the
most recent industry and regulatory
developments, access to the Young
& Associates toll-free compliance
hotline, and a CBC members-only
Web site that provides timely information and tools.
The quarterly compliance seminars include a regulatory update and
a comprehensive discussion of one
or more compliance regulations.
Attendees receive a 200-plus page
compliance manual each quarter.
The manual is a reference to the
changing regulations and a training manual for other employees.
The 2011 seminars will take place
in Wausau on Jan. 25, April 19, July
26, and Oct. 18. They will also be
held in Madison on Jan. 26, April
20, July 27, and Oct. 19.
During the next two years there
will be a record number of changes
to the compliance regulations. It is
extremely important for community bank compliance officers to
understand and respond to these
changing regulations. One of the
program’s major advantages is the
peer networking that occurs during
each quarterly seminar.
If you have any questions about
the CBC program, please contact
Sandy Gruber at 608-833-2384,
[email protected], or
Rick McGuigan at 608-833-2382,
[email protected].
Series on Jan. 20 and the FinCEN session on Jan. 21 begin at 10:00 a.m. For
questions on any of these conferences or about the Webcast itself, please call
Sandy Gruber at (608) 833-4229 or e-mail [email protected].
Visit CBW’s Web site, select the desired workshop, and follow the link to
register online.
20
Member Owned. Member Focused.
• Competitively priced funding
• Mortgage purchase programs
• Support for community investment activities
(312) 565-5700
www.fhlbc.com
21
CHANGING SCENE
TechMecca: Wetherington
Leads Community
Bankers Panel
AUSTIN, Texas—Sponsored by the
Independent Bankers Association of
Texas, TechMecca is set for Monday,
January 24, through Tuesday, January
25, 2011 at the Hilton Austin Hotel.
Sessions will focus on the conference
theme, “Secure Your Future” in the current economy.
Lee Wetherington will lead a distinguished panel of community bankers
through a candid discussion covering
new ideas around bank technology, marketing in the new economy, and innovative ways to generate noninterest income
while improving customer service.
Pricing has been changed to benefit
multiple registrations from each bank
— $595 for the first attendee and two
additional registrants. In other words,
three for the price of one. To learn more
or register online, visit: www.ibat.org/
techmecca.
Expansion Plans
Not all appears to be doom and
gloom for the state’s community banks.
Several are opening branches outside of
their original footprint.
Horicon Bank will purchase all of the
deposits from the two Westbury Bank
locations in Beaver Dam and occupy the
grocery store branch inside of the Beaver Dam Piggly Wiggly. The purchase,
expected to be completed by the end of
the year, will join the bank’s other 15
branches in five counties.
Janesville’s Mid-America Bank plans
to open a new loan production office
at 7071 S. 13th St. in Oak Creek. The
Oak Creek office will join two loan production offices located in Brookfield
and Madison. The bank also has two
branches, one in Janesville and the other
in Williams Bay.
In December, the community of Sauk
City will welcome a new full-service
branch of Middleton Community Bank.
The bank will move into a remodeled
space at 603 Phillips Blvd., the former
location of Line-X of Madison, a truck
bed liner franchise. The new branch will
be called Sauk Prairie Community Bank
and will become the fourth office for
the bank. Other branches are located
in Middleton, Belleville, and Brooklyn.
The de novo Settlers Bank in De
Forest has begun construction on a
10,000-square-foot headquarters building located at 4021 Meridian Drive.
Madison architect Potter Lawson
designed the new building, which will
have five times the amount of space as
the bank’s current location at 128 Commerce St. The project is expected to be
completed in spring 2011.
Oconomowoc’s First Bank Financial
Centre has opened a new, full-service
branch in Menomonee Falls at the
corner of Lilly Road and Silver Spring
Drive, bridging its current locations in
Waukesha and Washington counties.
Foundations Divests
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22
PEWAUKEE— Generations Bancorp
has sold its American Foundations
Mortgage Banc’s retail offices and operations to Inlanta Mortgage, a Waukeshabased mortgage banker.
American Foundations Mortgage
Banc is a wholly owned subsidiary of
Generations Bancorp Inc., the parent
company of Foundations Bank.
Bank Honored by Small
Business Group
WEST BEND—The Council of Small
Business Executives (COSBE) named
Commerce State Bank as one of its
Future 50 winners. The Future 50 represents the fastest growing companies
in southeastern Wisconsin. Focusing on
small- and medium-size businesses with
loan needs of $500,000 to $5 million,
as well as homeowners and homebuyers, the bank’s projected 2010 revenue
is $17 million.
The de novo, which opened in 2005,
has increased its lending for business
credit lines and commercial real estate by
a combined total of 56 percent between
2007 and 2009 leading to increases in
the bank’s revenue of 49 percent during
those two years.
Commerce State Bank’s offering of
10-year notes surpassed its initial plan.
The de novo sold $3.1 million of 10-year
notes, which earn 8 percent interest.
Money from the notes, due on March 31,
2020, will be used to fund debt restructuring, support growth, and maintain
the bank’s solid capital base.
PyraMax Named Top
Workplace
GREENFIELD—The Business Journal
named PyraMax Bank third in the 2010
Top Milwaukee Workplaces. The bank,
formed from the merger of Mitchell
Savings and South Milwaukee Savings
banks in 2000, differentiated itself from
other area banks by “lending to custom-
ers close to home.”
Retaining workers who were “goaloriented and satisfied in their positions”
was also a priority. In addition to a good
benefits package, the bank believes in a
solid work/life balance for its employees. This balance is achieved through
flex time, liberal paid time off, paid sick
leave, and vacation. Employees with
time off remaining for the year can get
it back in the form of cash or roll it over
for the next year. The bank also holds an
annual award ceremony honoring its
outstanding workers, encourages volunteer activities, and supports internal
promotions.
Mentoring Grows
Leaders
MADISON—Mentoring is a big factor
in developing the next level of leaders for
First Business Financial Services. In an
interview in the Capital Region Business
Journal, Corey Chambas, president and
CEO of the financial services company,
explained how he carries on the priority
of succession planning from founder
Jerry Smith.
“[Jerry] was directly involved in set-
ting the direction for growth, recruiting
senior leaders, and more importantly
mentoring us to succeed in our role and
careers,” Chambas said. “He didn’t delegate to human resources, but led every
aspect of succession planning, recruitment, and development.”
Succession planning for the top position began when Smith announced his
retirement. But it has since expanded
to include other executives in the bank
and holding company and even for
specific roles and specialists within the
organization.
“We encourage all employees, regardless of their role, to develop their skills
and expertise.” Much of the development
takes place on the job. Recently, the bank
has begun a process called “skip-level
meetings,” where people are mentored
by their boss’ boss.
Lombardi as a Banker?
The new, 95-minute play “Lombardi”
now playing on Broadway reveals a surprising tidbit about Packers coach Vince
Lombardi. It seems that Lombardi had an
offer to become a loan officer before he
took the head coaching job in Green Bay.
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23
Instead, the legendary coach followed
his wife’s advice to move to Green Bay—
and the rest is history.
Wisconsin Community
Bank Reports Earnings
MADISON—Wisconsin Community
Bank reported net income of $2.2 million for the quarter ended September 30,
compared to net income of $1.2 million
for the same period last year.
“Our bank continues to produce
strong earnings in the current fragile
economic environment,” said Thomas
J. Wilkinson, chairman and CEO.
For the first nine months of 2010,
Wisconsin Community Bank’s earnings
were $5.8 million compared to $3.7 million for the first nine months of 2009, an
increase of 58 percent. Return on average common equity was 16.50 percent
and return on average assets was 1.85
percent for the quarter, compared to 9.86
percent and 1.09 percent, respectively,
for the same quarter in 2009.
As of September 30, the bank had
total assets of $462 million compared to
assets of $434 million as of September
30, 2009. Also as of September 30, loans
totaled $326 million compared to $290
million one year ago. Total deposits were
$364 million compared to $338 million
the previous year.
Banks Encouraged to
Participate in Treasury
Program
Do you have bank customers who
still receive their Social Security payments via a paper check? Gain recognition from the U.S. Department of the
Treasury’s “Go Direct” campaign by
participating in its third installment of
the Go Direct Community Ambassadors
Program. Registration is now open and
there is no cost to participate. The program, which runs from October 2010
through March 2011, recognizes community- and medium-sized financial
institution partners that go the extra
mile to promote direct deposit to senior
citizens, people with disabilities, veterans, and others who still receive federal
benefits by paper check.
All financial institutions with fewer
than 100 branches are invited to register
online by visiting the Partners section of
24
www.GoDirect.org.
The Go Direct Community Ambassadors Program is simple to implement
and provides a flexible way to demonstrate a commitment to your community’s financial health. To be recognized
as a Go Direct Community Ambassador,
your financial institution must implement at least two Go Direct campaign
activities between October 2010 and
March 2011. Financial institutions that
successfully participate in the Community Ambassadors Program will receive a
letter of recognition and certificate from
the Treasury Department’s Go Direct
campaign.
Participation helps your customers
simplify their lives, protect their identity,
and gain more control over their money.
Participants in the Community
Ambassadors Program will have access
to a variety of free Go Direct materials for promoting the benefits of direct
deposit.
The Go Direct campaign has already
helped more than 4 million Americans
make the switch from paper checks to
direct deposit for their federal benefit
payments. For more information about
the Community Ambassadors Program
or the Go Direct campaign, call 952-3466055, or visit www.GoDirect.org.
ICBA and LenderLive
Launch ICBA Mortgage
Solutions
WASHINGTON, D.C.—The Independent Community Bankers of America
(ICBA) and LenderLive Network, Inc.
recently announced the launch of ICBA
Mortgage Solutions, an innovative,
multi-functional suite of mortgage services designed to help ICBA member
community banks continue to originate,
process, close, fund, and sell residential
loans.
“Main Street community banks are
relationship lenders that continue to
serve the needs of their local customers
nationwide by providing common-sense
mortgage loans that they can afford
and afford to keep,” said Ron Haynie,
president and CEO of ICBA Mortgage
Corporation, the mortgage services
subsidiary of ICBA. “ICBA Mortgage
Solutions is a testament to our dedication to offering value-added services
to our member community banks as it
will provide them with greater access to
high-quality mortgage products, easyto-use technology, and the necessary
tools to manage risk.” ICBA Mortgage Solutions delivers
a technologically advanced platform
supported by well-trained mortgagelending professionals to help community
bankers originate and process residential
loans efficiently and sell them to multiple “community bank friendly” preferred mortgage investors. This innovative, multi-functional suite of mortgage
lenders and services will help community banks:
Access advanced technology to
reduce overhead and increase efficiency.
Mitigate secondary market exposure
and risk.
Manage operational risks and remain
compliant.
Grow market share and increase fee
income.
Supported by dedicated and seasoned mortgage lending professionals
and a highly scalable platform, community banks are able to deliver loans
through a retail, wholesale, and correspondent (with and without delegated
underwriting) channel. ICBA Mortgage
Solutions program offers options and
opportunities for community banks to
gain more control of the process and
execute loans through a system that is
both intuitive and user friendly. The new
platform provides greater transparency
and information management, to help
mitigate secondary market exposure
and risk while supporting a community bank’s ability to compete in today’s
lending marketplace. This single point
of delivery program is supported by one
technology platform, one team, and one
process specifically designed to meet the
needs of community banks.
To bring this platform to the community bank market, ICBA Mortgage
has partnered with LenderLive Network
Inc., an experienced provider of mortgage technology and loan-fulfillment
services. Based in Denver, LenderLive is the engine
g
for ICBA Mortgage
Solutions.
Credit Administration Issues
Mary Lou Santovec
Imagine a three-legged stool with
asset quality as the seat that anchors
the legs of capital, earnings, and liquidity. “Asset quality will drive your ability
to earn and the ability of your assets to
drive cash flow,” said John Behringer,
director, financial institutions for RSM
McGladrey, at the CBW Management
Conference and Expo in September.
Savers trust their hard-earned money
to banks assuming them to be experts
in managing financial risk. Borrowers
come to banks for credit because as a
financial intermediary, you assume the
credit risk. Failure to properly manage
risk exposes savers to losses and disrupts
a borrower’s line of credit.
Credit has two sides: marketing
(business development and loan origination) and administration (loan management). Business development should
never supersede credit administration.
When extending credit, banks should
have formal, sound, and well-defined
criteria. Have you established appropriate credit limits for individual lenders?
Do loan renewals go back through a
loan committee?
Establishing an infrastructure for
monitoring loans is critical. Do you
know what your risks are on your loan
and lease losses? Are your appraisals
current? Have you updated your valuation model? Someone independent
of the loan origination process should
conduct all reviews.
Determining if a loan is impaired can
be tricky. When the terms and conditions change so that the credit is unlikely
to be collected under the terms of the
original agreement, the loan is impaired.
In practice, determining an impaired
loan requires judgment based on fact and
circumstance. The guidance is intentionally vague. Before the current economic
cycle, once the loan was 90 days past
due, it was considered impaired. Now
loans can be evaluated after 30 days.
Chronically slow payers, loans risk-rated
at substandard or lower, borrowers with
significant overdraft positions, and loans
serviced from interest reserves not performing in line with projections should
all be evaluated.
Interest-only loans have to show they
will eventually be paid to avoid being
labeled “impaired.” “If they can’t amortize,” Behringer said, “it’s likely to be
impaired.”
When a lender changes the terms
of the original loan to improve collections or mitigate losses, examiners
consider that a troubled debt restructuring (TDR). A TDR is considered an
impaired loan.
A loan modification may—or may
not—constitute a TDR. You may want
to modify a loan to retain a good customer who can get credit at a lower rate
elsewhere. Behringer urged bankers to
get documentation in the borrower’s file;
otherwise the examiners will consider
it a TDR and behave accordingly.
25
PEOPLE
CBW Announces
Retirement
MADISON—When Penny Heberlein
retires on December 31, as vice president
of member services
at the Community
Bankers of Wisconsin (CBW), she will
have touched the
lives of countless
community bankers and associate
members.
She began her career with the Independent Bankers of Wisconsin, the original CBW name, on Sept. 6, 1985, and
her role expanded as CBW added more
member services and activities. During
the past 25 years, Heberlein served more
than 20 elected association chairmen
and three executive directors/presidents;
she coordinated 23 state conferences.
Two former chairmen, Dave Ballweg
and Tom Sheehan, went on to serve as
chairman of the Independent Community Bankers of America (ICBA), and
for many years Heberlein organized
the Wisconsin receptions at the ICBA
annual conventions.
Heberlein’s role at CBW covered a
wide spectrum of activities, encompassing Community Banking Month
in March, Member Appreciation Days in
the summer, and the CBW Management
Conference and Expo in September, for
which she prepared the brochure cover
and organized the golf outing, the sponsors, and exhibitors.
She played an integral role in expanding CBW corporate and associate memberships and sponsorships. Heberlein
also directed advertising sales for Wisconsin Community Banking News and
worked with the editorial team to ensure
accurate, timely content. In addition, she
served on the team that worked with
the CBW Products and Services Committee to create a for-profit subsidiary
providing added member benefits to
community bankers.
At the 2010 CBW Management Conference and Expo banquet in Green Bay,
CBW President and CEO Daryll Lund
presented Heberlein an award in appreciation of her long service. He noted: “All
of you know Penny for her role in orga26
nizing numerous successful conferences
and Member Appreciation Days, as well
as coordinating numerous other association activities. Penny considers all of you
friends, and it is appropriate tonight that
with her pending retirement at yearend, that we take this opportunity to say
thank you to Penny for a job well done
in service to CBW and the Wisconsin
community banking industry.”
“I’ve met a lot of people and made
a lot of friends,” Heberlein said. “The
wonderful memories will remain.” She
and husband Bill reside in Madison
and spend more time with their three
children, six grandchildren, and other
family members.
New Faces at Bank First
National
MANITOWOC—Bank First National
welcomes Joan Woldt and Meghann
Kasper. Woldt joins the bank as regional
president for the Oshkosh and Fox Valley area and Kasper is the bank’s new
vice president. Both were previously
employed at Associated Bank.
Schilling Earns
Promotion
SHEBOYGAN—Grant Schilling was
promoted from senior vice president
commercial banking to office president
at the Glendale office of Community
Bank & Trust. Schilling has more than
13 years of experience in the financial
services industry.
New SVP at Wisconsin
Community Bank
MADISON—Mike Weber has joined
Wisconsin Community Bank as senior
vice president of business banking.
Weber brings 13 years of banking experience to his new position.
Falbo Joins Southport as
President
KENOSHA—Michael Falbo has joined
Southport Bank as its president. Falbo
most recently was CEO of TierOne Bank
in Lincoln, Neb., which regulators closed
in May. His banking experience also
includes stints with Associated Bank
and State Financial Bank.
First Bank Financial
Centre Welcomes Martin
OCONOMOWOC—First Bank Financial Centre welcomes Jon Martin, assistant vice president and
branch sales manager to
its Hartford branch.
With nearly 30 years
of banking experience,
Martin has worked in Jon Ma
Mart
Martin
tin
n
many facets of the business including mortgage lending, merchant services, and as market president.
Staff Changes at North
Shore Bank
BROOKFIELD— North Shore Bank
promoted Bob Hoepfner to vice president and commercial banking manager.
Hoepfner previous served as regional
vice president in the Fox Valley area.
Molly Schissler has joined the bank as
vice president of human resources. Her
human resources experience includes
stints at a technology and manufacturing
firm and with another bank.
Legacy Welcomes Barnett
MILWAUKEE—Legacy Bank welcomes
Errol Barnett as senior vice president
and chief lending officer.
Left, Daryll Lund, CBW, presents a 40year Lifetime Service Award to Fritz Ruf,
Commerce State Bank, West Bend. On
the right is Joe Fazio, CEO of Commerce
State Bank.
White Joins WHEDA
Board
GREENFIELD—Gary White, who serves
as the community development coordinator at PyraMax Bank, was appointed
vice chairman of the WHEDA Lender
Advisory Board. White will help advise
WHEDA in home mortgage product and program development
and implementation.
Two Bankers Honored as CFO of the
Year
Robert Makowski Jr., executive vice president and CFO
with Milwaukee’s Park Bank and Nate Zastrow, senior vice
president, CFO, and treasurer with Oconomowoc’s First Bank
Financial Centre were honored as the Milwaukee Business
Journal’s 2010 CFO of the Year. Both Makowski and Zastrow
were honored in the category of Small Private Companies with
Less than $50 Million in Revenue.
Zastrow was named to his current position in 2006;
Makowski was named executive vice president in March.
brings over 30 years of experience in retirement and estate
planning, will offer access to bonds, mutual funds, annuities,
life, disability, and long-term care insurance to individuals
and businesses. Kleinschmidt’s office is located at 108 N. Main
Street, Verona in the State Bank of Cross Plains’ bank building.
He is also available at the Oregon and Madison State Bank of
Cross Plains’ locations.
LPL Financial is a leading financial services firm with a network of more than 5,500 representatives in over 3,300 branch
offices across the United States. Unlike many of the major
investment companies, LPL Financial does not develop its own
investment products, so its representatives are free to recommend the products they think are best for their clients.
ADVERTISER INDEX
Financial Services Hires Financial
Advisor
Pulse. . . . . . . . . . . . . . . . . . . . . . 2
VERONA— SB Financial Services, located at the State Bank
of Cross Plains, has hired Bob Kleinschmidt, a registered
representative of LPL Financial, as a financial advisor for their
Verona, Oregon, and Madison locations. Kleinschmidt, who
Young & Associates, Inc. . . . . 6
ATM Access Network . . . . . . . 5
Shazam . . . . . . . . . . . . . . . . . . . 7
Travelers Insurance. . . . . . . . . 9
WACHA . . . . . . . . . . . . . . . . . . 10
RSM McGladrey . . . . . . . . . . . 11
Compliance
The ideal candidate for this Compliance position will have a minimum of five years of bank compliance experience. This position
will be responsible for the bank’s overall compliance program
along with ongoing support and training. Please send a letter
of interest along with resume and salary history to Bank of Sun
Prairie 228 E. Main Street, Sun Prairie or e-mail to ann.wood@
bankofsunprairie.com.
Bankers’ Bank . . . . . . . . . . . . 12
Edge One . . . . . . . . . . . . . . . . . 16
Wipfli LLP. . . . . . . . . . . . . . . . . 17
Integrated Security Solutions .18
Spectrum Investment
Advisors . . . . . . . . . . . . . . 19
EBN: Executive Benefits
Network . . . . . . . . . . . . . . 20
Federal Home Loan BankChicago . . . . . . . . . . . . . . 21
WHEDA . . . . . . . . . . . . . . . . . . 22
Godfrey & Kahn, S.C. . . . . . . . 23
Secure Banking Solutions . . 25
Capvest Venture Fund . . . . . . 28
CBW Financial Services . . . . 28
DIRECTORY OF COMMUNITY BANKING SERVICE PROVIDERS
Community bankers, you have a choice.
Commercial Lender
Greenwood State Bank in Lake Mills, Wisconsin is seeking a
customer-oriented individual with excellent verbal and written
communication skills to join our team of lending professionals. This
individual will be responsible for aggressively soliciting and servicing prospective customers and producing a variety of commercial
loans, as well as generating and managing a portfolio of business
and corresponding relationships, while seeking new accounts
through calling efforts, marketing, and referrals.
The successful candidate will have strong customer service
and sales orientation, credit training or equivalent experience,
bachelor’s degree (MBA a plus), and 5+ years of solid loan production experience with emphasis on commercial lending and
production sales.
Relationship management skills for key commercial, small business, and personal relationships.
Highly developed analytical and underwriting expertise, credit
quality focus
Strong community leadership experience—preference to living
in the community of Lake Mills.
Sales cnergy, with sustained record
Please resend resume and salary requirements to:
Greenwoods State Bank
Attn: Becky Anhalt
117 N Main Street
Lake Mills, WI 53551
You can spend your valuable time finding
one prime candidate to fill your mid- to upper-level
position, or you can call me. I will present you with the
right person for the job in less time
with less hassle.
Del Garcia
Office location:
155 E. Capitol Dr., Ste. 5
Hartland, WI 53029
Phone: (262) 369-8109
Fax: (262) 369-8028
email: [email protected]
Superior Safe & Security LLC
Electronic & Physical Security Products
Access Control
Alarm Monitoring
Alarms
Audio Systems
Close Circuit T.V.
Drive Up Systems
Fire Safes
Media Safes
Metal Undercounter Cabinets
Modular Vaults
Night Depositories
Point to Point Systems
Safes
Safe Deposit Boxes
Security Systems
Teller Counters
Vault Doors
Walk Up Windows
Sales, Installation & Service
800-626-0888
27
AN INVESTMENT RESOURCE TO REMEMBER
Your local business customer seeks equity capital for expansion. What to tell them?
Partner with the Capvest Venture Fund (CVF) to:
Provide equity capital to businesses with annual revenues of $5 million or
more in manufacturing, distribution, business services, healthcare, and
information technology supporting these industries.
Help your business customers grow, create jobs, and build the local economy.
Review your business accounts today. Help them reach their goals
of expansion, market development, and acquisition.
CapVest Venture Fund: Focused on Wisconsin businesses
www.capvestvc.com.
Contact Daryll Lund or Rick McGuigan at (608) 833-4229.
Or e-mail Daryll at [email protected]
or Rick at [email protected].
Financial Institution
Products & Services
Offered by Your Association
Kevin Christians
Phil Hoover
◆
Financial Institution Bond
◆
Directors and Officers Liability
◆
Property, Casualty, and Workers’ Compensation
◆
Forced Placed Property Mortgage Protection
◆
$9.00 Life of loan flood determinations
CBW Financial Services offers a wide variety of products and services for the
benefit of you, our members. For additional information on any of our
financial institution programs call CBW at (608) 833-4229.

Bank Valuation and the Capital Markets

Transcription

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