Baylake Corp. Fact Book - Ambassador Financial Group

CORPORATE PROFILE
& FACT BOOK 2014
Executive Summary
MARKET DATA AS OF 1.31.2014 (SOURCE: SNL FINANCIAL)
STOCK PRICE
$12.00
PRICE/LTM EARNINGS
14x
1 YR. STOCK PRICE CHANGE
46%
PRICE/TANGIBLE BOOK
107%
52-WEEK HIGH / LOW
$14.00 / $8.30
SHARES OUTSTANDING
7.8 MIL
DIVIDEND YIELD
2.28%
MARKET CAP
$93.7 MIL
AVERAGE DAILY TRADING VOL.
6,481 (12 mos)
INSIDER OWNERSHIP
13%
Baylake Corp. (the Company) (NASDAQ: BYLK), through its subsidiary Baylake
Bank (the Bank), serves the banking needs of Northeastern Wisconsin in the counties
of Brown, Outagamie, Kewaunee and Door, which have a combined population of more
than 600,000 and provide employment for more than 300,000. The Bank has a 136-year
operating history in the area, with strong brand recognition and significant deposit
market share in its served markets.
The Bank provides full service capabilities in retail, private and commercial banking,
fiduciary and investment management, and mobile and electronic banking services. The
Company has executed a dramatic financial turnaround during the past several years,
strengthening asset quality, selling or closing small and less productive branches,
trimming selected assets, and concentrating resources on its strongest markets.
Management believes the Bank is well-positioned to build market share in its existing
markets, and to pursue expansion opportunities in Northeastern Wisconsin and other
attractive markets within a one hundred mile radius of Green Bay, including the
metropolitan statistical area surrounding Milwaukee.
By offering customers a greater range of financial solutions, Baylake has a significant
advantage over the more limited product and service offerings and capabilities of its
smaller community bank competitors within its market. Baylake’s strategy emphasizes
building customer relationships, thereby capturing a greater wallet share of their
customers’ banking dollars. In part because of the regional nature of its served market,
Baylake can also compete effectively against the largest banks, which are trimming or
eliminating resources allocated to Northeastern Wisconsin, and do not locally offer the
readily available full service banking solutions that Baylake offers.
The Bank’s core markets are the Green Bay, WI Metropolitan Statistical Area (MSA), the
adjacent Appleton, WI MSA south of Green Bay, and both Kewaunee and Door
Counties, which are located north and east of Green Bay. These complementary markets
offer a diverse range of retail and commercial lending opportunities, and a strong base
of lower cost core deposits to support lending.
Baylake Bank is also a 49% owner of United Financial Services (“UFS”), a data
processing and e-banking affiliate. The Bank’s equity ownership in UFS has contibuted
to growth in non-interest income. The Bank’s investment in UFS is reflected in a $3.8
million carrying value on the Company’s balance sheet at December 31, 2013. The
market value of UFS is estimated to be significantly greater than its current book value
as of the end of the most recent year.
1
The Bank is implementing a prudent growth strategy to leverage its brand and strengths.
Baylake Bank possesses several characteristics and strategic initiatives that
management believes support its business model and profitability, including:
•
•
Decreased cost of funds, thus allowing greater margins on core banking.
Increased return on assets and equity by generating growth from a leaner
balance sheet.
Improved asset quality, allowing the company to use its capital for value adding
activities rather than provisions and allowances.
A strong capital position, granting flexibility in investing and allocating resources.
An experienced management team, offering proven expertise in business lending
and wealth management.
Investment in technology to deliver services comparable to larger banks.
Improved efficiency from sale of assets, creating a leaner bank with greater focus
on its core markets.
Non-interest income growth generated by fees from trust and fiduciary services and
wealth management and UFS.
An equity stake in UFS building value, generating income.
•
•
•
•
•
•
•
BAYLAKE CORP. 1-YEAR STOCK % PRICE CHANGE
BYLK (+46.00%)
80
KBW BANK INDEX (+25.46%)
60
40
20
0
(20)
FEB
2013
MAR
2013
MAY
2013
JUL
2013
SEP
2013
NOV
2013
JAN
2014
FEB
2014
The Company’s fourth quarter and twelve month 2013 results reflected the Company’s
focus on asset quality and growth. For the twelve months ended December 31, 2013,
net income increased 4.84% to $8.01 million or $0.87 per diluted share compared with
$7.6 million or $0.84 per diluted share for the comparable period in 2012. The 2012
results included a $0.8 million gain on sale of four branches.
The year-over-year financial comparisons reflected the Company’s ongoing focus on
streamlining its business operations, having sold four branch offices located in Waupaca
County, Wisconsin in 2012, closing one branch location in the second quarter of 2013,
and the sale of approximately $15.6 million in deposits associated with two branch
facilities located in Berlin and Poy Sippi, Wisconsin, and the corresponding closing of
those two branches in the fourth quarter of 2013. By emphasizing Baylake’s most
profitable markets, the Bank has trimmed its balance sheet, positioned the organization
to operate more efficiently and profitably, and enabling it to direct resources to markets
with more robust commercial lending opportunities.
2
Investment Appeals
•
•
•
•
•
•
Consistent earnings and book value growth.
Stock price trading near tangible book value.
Turnaround of underperforming bank completed.
Attractive market positioning versus both smaller and larger competitors.
Seasoned management team, with larger bank experience, and the ability
to guide growth strategy.
Focus on building shareholder value, including cash dividend payments.
FINANCIAL HIGHLIGHTS
YEAR TO DATE (AT DEC. 31)
2013
2012
NET INCOME ($000s)
8,009
7,642
DILUTED EPS
$0.87
$0.84
BOOK VALUE / SHARE
$12.02
$11.73
ASSETS ($000s)
996,776
1,023,971
DEPOSITS ($000s)
744,212
806,015
GROSS LOANS ($000s)
617,960
595,533
NET INTEREST MARGIN
3.58%
3.53%
EFFICIENCY RATIO
67.57%
72.52%
TIER 1 CAPITAL RATIO
14.26%
13.34%
TOTAL RISK BASED CAPITAL RATIO
16.71%
15.96%
NPAs / ASSETS
1.30%
2.43%
Financial Performance Reflects Income Growth, Loan and
Deposit Diversification, Increased Commercial Activity
Despite the Bank’s leaner balance sheet, financial results are reflecting growth and new
lending activity. Net interest income after provision for loan losses was $7.96 million for
the three months ended December 31, 2013, compared with $7.48 million for the same
period in 2012, partially reflecting no loan loss provision in fourth quarter 2013 versus
$300,000 in the fourth quarter of 2012. The Bank’s net interest margin for the three
months ended December 31, 2013 increased to 3.77%, compared with 3.51% for the
three months ended December 31, 2012. The Bank’s efficiency ratio, which was
impacted in the fourth quarter of 2013 by expenses related to transferring two branch
bank properties to Other Real Estate Owned (“OREO”) and related fair value
write-downs, was 70.67% compared with 72.80% in the fourth quarter 2012.
Management’s goal for a more normalized efficiency ratio is the 65% to 67% range.
The Bank’s attention to managing deposit interest rates and building core deposits
contributed to lower total interest expense in the fourth quarter of 2013 of $953,000
compared with $1.38 million in the fourth quarter of 2012. Total non-interest income
reflected increased fees from fiduciary services, financial services and income from UFS,
which partially offset lower gains on sales of loans and securities and lower
service charges due to the sale of deposits.
3
NONPERFORMING ASSETS (IN $ MILLIONS)
YEAR TO DATE AS OF 12.31.2013
35
30
25
20
15
10
5
0
2010
2011
2012
2013
Management feels the Company’s 2013 income statement results clearly reflect the
positive impact of addressing asset quality and growth. Net interest income after
provision for loan losses in 2013 was $28.80 million, compared with $27.01 million in
2012, partially reflecting a sharp decline in the Bank’s loan loss provision to $1.40 million
in 2013 versus $5.43 million in 2012. Total non-interest income in 2013, which reflected
year-over-year fee income growth, was $9.83 million compared with $13.82 million in
2012, which included a $1.59 million gain from the sale of securities, a $0.83 million
gain on sale of branches, a $0.58 million gain on sale of premises and equipment and a
$0.50 million life insurance death benefit. Total non-interest expense in 2013 declined to
$27.30 million compared with $31.70 million in 2012. Reflecting the Bank’s ongoing
reduction of OREO, expenses related to operating foreclosed properties declined 80%
in 2013 compared with the same period in 2012. Strong improvements in asset quality
contributed to 50% lower FDIC insurance premiums and reduced loan and collection
expenses, while a decline in occupancy, and salary and employee benefits expenses
reflected a leaner branch network.
EFFICIENCY RATIO TREND (IN %)
YEAR TO DATE AS OF 12.31.2013
100
90
80
70
60
50
40
30
20
10
0
2010
4
2011
2012
2013
LOAN PORTFOLIO COMPOSITION
At December 31, 2013
3.1%
1.1%
20.3%
23.0%
6.0%
46.5%
REAL ESTATE–COMMERCIAL
REAL ESTATE–MORTGAGE
MUNICIPAL
CONSTRUCTION
CONSUMER
COMMERCIAL
At December 31, 2013, total assets were $996.78 million, compared with $1.02 billion
at December 31, 2012, primarily reflecting branch sales late in 2012 and pay-offs of
problem and substandard credits. Total gross loans were $617.96 million at December
31, 2013, compared with $595.53 million at December 31, 2012, demonstrating the
Bank’s addition of commercial loans in 2013. The Bank’s loan loss coverage (allowance
for loan losses as a percentage of non-performing loans) was 115.02% at December
31, 2013. Total deposits were $744.21 million at December 31, 2013, compared with
$806.02 million at December 31, 2012. The Bank selectively lowered pricing of retail
deposits and continued to grow non-interest bearing DDAs, which primarily reflected
growing business banking relationships.
The Company’s measures of capital strength were above accepted regulatory standards
for a well-capitalized institution. The Company’s shareholders’ equity to assets ratio
increased to 9.42% at year end, compared to 9.10% the prior year-end. In 2013, the
Company increased full year common shareholder dividends from $0.08 per share to
$0.22 per share. Book value per share increased to $12.02 compared with $11.73 at
December 31, 2012.
COST OF TOTAL INTEREST-BEARING DEPOSITS (IN %)
YEAR TO DATE AS OF 12.31.2013
1.50
1.25
1.0
.75
.50
.25
0
2010
5
2011
2012
2013
Key Markets Deliver Diversity, Expansion Potential
Baylake Bank serves three distinct and diverse market areas in Northeast Wisconsin –
the Appleton Metropolitan Statistical Area (MSA), the Green Bay MSA, and Door County,
where the bank is headquartered. While these markets are anchored by the cities of
Appleton, Green Bay and Sturgeon Bay (Door County), these adjacent markets also form
an interconnected regional economy. According to the latest U.S. Census Bureau and
Wisconsin Department of Revenue estimates, these markets, which incorporate several
counties and numerous small and midsize municipalities, have a combined population of
nearly 600,000 and provide more than 300,000 jobs. As a prime tourism destination and
vacation home location for residents of Wisconsin and surrounding Midwestern states,
Door County’s year-round population of 30,000 can swell to more than 200,000 in late
spring, summer, and early fall.
The Appleton MSA, located in the Fox Valley region of Wisconsin, is the fourth largest
MSA in Wisconsin. With approximately 72,000 residents, the City of Appleton is the hub
of an MSA with a population of more than 240,000. The state’s Department of Revenue
notes the area’s annual population growth of 12% in the past decade is nearly double
the state’s population growth rate. The economy is led by manufacturing, utilities,
healthcare and a diverse range of small and midsize businesses.
6
The Green Bay MSA, adjacent to and directly to the east and north of the Appleton MSA,
with the City of Green Bay at its hub, is the third largest metropolitan area in Wisconsin
with approximately 311,000 residents and provides 170,000 jobs. The Port of Green Bay
provides shipping access to the Great Lakes and international waters through the St.
Lawrence Seaway system, and supports numerous related businesses. Rail lines and
highways provide access to Milwaukee and Minneapolis/St. Paul markets. Key business
segments include paper manufacturing, furniture factories, automobile parts suppliers,
cold storage plants, dairy products plants, fisheries, meat processing, machinery
production, transportation business services and national communications. The Green
Bay Packers, Wisconsin’s “unofficial” professional football franchise, generate a
significant amount of business for the area. With an attractive cost of living,
well-educated workforce and positive business climate, and a supporting infrastructure
of midsize and retail businesses, the area is attractive as a corporate headquarters
and operations center.
The Door County Peninsula, adjacent to the Green Bay MSA and bordered by the Bay of
Green Bay to the west and Lake Michigan to the east, is a popular vacation and tourism
destination, with an economy serving the vacation and part-time residents, but also with
businesses serving and employing the 30,000 permanent residents. Baylake Bank is one
of the largest employers in Door County. Shipbuilding has been a key industry in Door
County for 150 years, and companies like Palmer Johnson Yachts and Fincantieri have
expanded their shipbuilding facilities in Door County in recent years and provided direct
employment and service opportunities for related businesses. Tourism is a seasonal but
important market. The market is somewhat unusual in that it has a large segment of
second home owners from surrounding states who may reside in the area several
months a year. Many part-time residents maintain banking relationships with Baylake
Bank. The City of Sturgeon Bay is Door County’s government seat, serving 14 towns
and four villages in the 492 square mile peninsula. The positive impact of “upscale”
visitors from three surrounding states and the remainder of Wisconsin supports a vibrant
array of businesses and nonprofit organizations offering arts, fine dining, golfing,
snowmobiling, shopping, and outdoor activities.
Management and Board of Directors:
Exceptional Community and Financial Experience Leadership
The Company’s seasoned management team features strong knowledge of Northeast
Wisconsin markets, and a blend of community bank and larger bank experience. Team
members, who have spearheaded the Bank’s financial turnaround and invigorated
growth strategy, include veteran managers and individuals who have joined the Bank
since prior to 2006.
Robert J. Cera, President and CEO, joined Baylake Bank in 2006, bringing more than
20 years of banking management experience. He has led the turnaround of the Bank’s
operating performance, asset quality improvement, branch network rationalization and
implementation of a strategy to expand the Bank’s market penetration in key markets.
Before joining the organization, he served as Market President – Chicago Region of
Associated Bank following the acquisition of State Financial Services Corporation,
a $1.7 billion financial institution headquartered in Milwaukee, WI, by Associated
Banc-Corp. Cera served as President and COO of State Financial Bank, and as
President and Director of State Financial Services Corporation prior to its sale in 2005
to Associated Banc-Corp. He received his Bachelor’s degree in Managerial Accounting
from the University of Wisconsin – Green Bay. He is a CPA, and has professional
affiliations as a member of the Wisconsin Institute of Certified Public Accountants,
Chairman-elect of the Wisconsin Bankers Association Board, and President of the
University of Wisconsin - Green Bay Founders Board.
7
Kevin L. LaLuzerne, CFO, joined Baylake Bank in 1980
and previously served the bank as EVP Finance, Controller,
Supervisor of Retail Loan Department, and Auditor. He is a
CPA, having received his BA in Accounting and Business
Administration from Lakeland College in Sheboygan, WI and
completed studies at the University of Wisconsin’s Graduate
School of Banking. He is a member of the American and
Wisconsin Institutes of Certified Public Accountants and has
served for many years as Treasurer Trustee of the Corpus
Christi Parish.
David J. Miller, Chief Credit Officer, has served in his current
position since 2007 and has more than 20 years’ banking and
finance experience. He manages and supervises loan
underwriting and administration, credit administration, loan
review and loan work-outs, and has played a key role in
managing the company’s drive toward asset quality improvement
during the past several years. His previous experience includes
VP – Commercial Lending and Senior Commercial Loan Officer
with Baylake Bank and Co-Owner of Cornerstone Appraisal. He
received his undergraduate degree in Agricultural
Economics from the University of Wisconsin – Madison,
is a Wisconsin Certified General Appraiser, and is active in
community and civic activities.
Michael J. Gilson, Market President – Lakeshore Region,
has more than 30 years in banking and as an active leader in the
Door County community during his years at the Bank. During his
career, he has managed commercial and retail banking activities,
including EVP Business Services, VP Loan Services, AVP and
Manager of the bank’s Sister Bay Financial Center, and Consumer
Loan Officer. He received a Bachelor’s of Science degree in
Business Management from the University of Wisconsin –
Oshkosh and completed studies at the University of Wisconsin’s
Graduate School of Banking. He has been active in
numerous civic and charitable activities throughout his career,
and co-founded the Sturgeon Bay Plan Commission.
Jamie Alberts, Market President – Bay Region, joined
Baylake Bank in 1995, and was most recently the Bank’s VP and
Senior Commercial Banker. He is responsible for leading the
commercial banking, cash management and private banking
teams in the Green Bay area, and heads business development
in wealth services and commercial banking – two key areas of
focus for the Bank. He received a Bachelor’s Degree in Business
Administration from Carroll University, and is a graduate of the
Wisconsin Bankers Association Commercial Lending School.
He is a Director of Door Cancer, Inc. and active in
community organizations.
Kenneth R. Lammersfeld, SVP Retail Banking, Investment
Services and Human Resources, joined Baylake Bank in 2008.
His prior experience includes Training & Sales Development
Manager with Associated Banc-Corp in Appleton, VP - District
8
Retail Manager with Bank One in Oshkosh/West Bend, WI, and
Banking Center Manager with First of America Bank, Park Ridge,
IL. He holds Series 6 and 63 FINRA securities licenses and
Wisconsin Life/Accident and Health Insurance licenses. He
received his undergraduate degree in General Management and
a Master’s degree in Organizational Leadership & Quality from
Marian College in Fond du Lac, WI, where he currently services
as an instructor.
Teresa A. Rosengarten, EVP, joined Baylake Bank in 2007 and
directs the Bank’s Mortgage Division (sales and
processing), Audit, Compliance, and Consumer Lending, and
chairs the Bank’s Enterprise Risk Management Committee. She
serves as the Company’s Vice President and Secretary. Her
25-plus years of financial services experience include EVP,
Consumer Banking with Associated Banc-Corp., Green Bay, SVP
and Treasurer, First Horizon National Corporation, Memphis TN,
and Assistant Treasurer, Wells Fargo & Company, Minneapolis,
MN. She earned her undergraduate degree in Business
Administration and Finance from the University of Minnesota and
an MBA from the University of St. Thomas, St. Paul, MN, as well
as completed the Stonier Graduate School of Banking program.
She is a Certified Risk Professional, and holds FINRA Series 7
and Series 63 licenses. Her community activities include serving
as President of the Green Bay YWCA and a director of
Lutheran High School.
John A. Hauser, SVP – Asset Management and Trust, has
more than 25 years’ experience in banking and financial
management. His previous positions with Baylake Bank include
Treasurer and Chief Investment Officer and Trust Officer, and
he was Financial Advisor with Robert W. Baird & Co., Inc. He
received his Bachelor’s degree in Mathematics from the
University of Chicago, his MBA from the University of Wisconsin
– Madison and graduated from the University of Wisconsin
Graduate School of Banking. His community involvement
includes serving as a Trustee of the Bordui Foundation, and
service on the YMCA Board of Directors, the Sturgeon Bay City
Council, Sturgeon Bay Utility Commission (Vice President) Door
County Library Board, and Miller Art Museum Board.
Daniel M. Hanson, SVP, Operations & Information
Services, joined Baylake Bank in 1980. He oversees Bank
operations, including data processing, bookkeeping, check
processing, system technology and facilities management. His
depth of experience includes previously serving as the Bank’s
Chief Investment Officer, AVP of Retail Investment Sales and
Internal Auditor. He earned his Bachelor of Business
Administration from the University of Wisconsin, Whitewater and
completed the Graduate School of Banking at the University of
Wisconsin Madison. He is a Board Member of the Wisconsin
ACH Association, and has served on the boards of several Door
County civic and charitable organizations.
Susan F. Anschutz, SVP, Marketing, joined Baylake Bank in
1992 and directs all aspects of the Bank’s marketing, has more
than 25 years of professional experience in the field. Prior to joining the Bank, she served as Marketing Coordinator with Development Services and Marketing Specialist with PortSide Properties
and Builders, both based in Sturgeon Bay, WI. She holds a
Bachelor’s of Science degree from the University of Wisconsin,
Oshkosh, and is a graduate of the University of Wisconsin’s
Graduate School of Banking. She serves on the Boards of the
United Way of Door County and Money Management Counselors (FISC) of Door County and a member of the Rotary Club of
Sturgeon Bay.
Baylake Corporation and Baylake Bank Directors
The Company’s Board reflects a blend of banking, finance,
corporate, regulatory, public company, and entrepreneurial
acumen. With 13 members, the Board offers an unusually robust
source of experience to guide and enhance the Company’s
market and financial activities. Since 2010, the Board has added
four new Directors, with the Board reflecting the Company’s
transition to a larger publicly traded banking organization.
Robert W. Agnew, Co-Chairman of the Board of Baylake
Corp., has served as a Director since 2001. He is President of
Tipperary Partners, LLC.
Richard A. Braun, Co-Chairman of the Board of Baylake
Corp., is retired Executive Vice President of the Bank. His
extensive experience with the area business community includes
his former roles as Board Chair and Chief Executive Officer of
Kewaunee County Banc-Shares, Inc. and State Bank of Kewaunee.
Robert J. Cera, Director, is President and CEO of Baylake
Corp. and Baylake Bank.
Roger G. Ferris, Director, has served on the Board since 1998
and was President of Aon Risk Services of Wisconsin (retired).
Terrence R. Fulwiler, Director, has served on the Corporation
and Bank Boards since 2010. He is Chairman of the WS
Packaging Group of Companies, Chairman of Bellin Health
Systems of Green Bay, Board Member of the Green Bay Packers,
Innovata LLC of Atlanta, GA, EMT International of Green Bay, and
the Northeast Wisconsin Technical College Foundation. Member
of the Bellin College Board of Trustees; and board member of
East Shore Industries, Greater Green Bay Community
Foundation, and NPS, Inc.
9
Dee Geurts-Bengtson, Director, has been a member of the
Board since 2003. She serves as Director of Community
Relations for St. Norbert College, and is a past Director of the St.
Norbert Fund and Executive of Special Events for the Green Bay
Packers.
Thomas L. Herlache, Director, has served on the Baylake
Corp. Board since 1977. Previously Chairman and CEO of
Baylake, he is a Director of the Federal Home Loan Bank
of Chicago.
Louis J. (Rick) Jeanquart, Director, joined the Bank and
Corporate Boards in 2010. He is President of Jeanquart
Associates and Chairman of Just In Time Corporation.
Joseph J. Morgan, Director, has served on the Baylake Corp.
Board since 1995. He serves as a consultant for Mary Morgan
Printing and Mailing, a Coakley Tec Company, since 2006.
Previously he was President of Mary Morgan Printing and Mailing,
a Gannett Company.
William C. Parsons, Director, has served as a member of the
Board since 1979. He was formerly President of Palmer Johnson
Enterprises (off-highway transmission remanufacture and repair),
a key employer in Door County.
Elyse Mollner Stackhouse, Director, has been a member of
the Corporation’s and Bank’s Boards since 2010. She is
Associate General Counsel for Integrys Business Support, LLC,
a subsidiary of Integrys Energy Group, Inc.
Paul J. Sturm, Director, has served on Baylake’s Board since
1998. He is Of Counsel with the firm of Omholt & Forsythe S.C.
(Attorney at Law).
Dean J. Nolden, Director, is Executive Vice President of Finance
of The Manitowoc Crane segment of The Manitowoc Company, Inc.;
previously Vice President of Finance and Treasurer of The Manitowoc
Company, Inc.; also, previously Corporate Controller of The
Manitowoc Company, Inc.
Contact Information:
Robert J. Cera, President and CEO
Baylake Corp.
217 N Fourth Ave.
Sturgeon Bay, WI 54235
Ph: (920)-743-5551
[email protected]
Forward-Looking Statements
This document contains forward-looking statements about the financial condition, results of
operations and business of Baylake Corp. Forward-looking statements can be identified by the fact
that they do not relate strictly to historical or current facts. They often include the words “believe,”
“expect,” “anticipate,” “intend,” “plan,” “estimate” or words of similar meaning, or future or conditional verbs such as “would,” “should,” “could” or “may.”
Forward-looking statements, by their nature, are subject to risks and uncertainties. A number of
factors, many of which are beyond the control of Baylake Corp., could cause actual conditions,
events or results to differ significantly from those indicated by the forward-looking statements.
These factors, which are described in this document and in the annual and quarterly reports filed
by Baylake Corp. with the Securities and Exchange Commission, including its Annual Report on
Form 10-K for the year ended December 31, 2012 under “Item 1A. Risk Factors,” include certain
credit, market, operational, liquidity and interest rate risks associated with the Company’s business
and operations. Other factors include changes in general business and economic conditions,
developments (including collection efforts) relating to the identified non-performing loans and
other problem loans and assets, world events (especially those which could affect our customers’
tourism-related businesses), competition, fiscal and monetary policies and legislation.
Forward-looking statements speak only as of the date they are made, and Baylake Corp. does not
undertake to update forward-looking statements to reflect circumstances or events that occur after
the date the forward-looking statements are made.