Eman Elshahawy on LinkedIn: Regional bank taps former Truist exec as South Florida market leader -… | 11 comments (2024)

Regulators Step In: Republic First Bancorp Inc Seized and Sold to Fulton Bank📰 In a move to protect depositors, the U.S. regulators have taken control of the troubled Republic First Bancorp and agreed to sell it to Fulton Bank. 🏦 The Federal Deposit Insurance Corp (FDIC) seized Republic First Bancorp andappointed itself as the receiver. The FDIC then sold Republic Bank, the operating name for Republic First, to Fulton Bank, a unit of Fulton Financial Corp.💰 Republic Bank had around $6 billion in total assets and $4 billion in total deposits as of January 31, 2024. The FDIC estimates the cost of this failure to its fund will be $667 million.🤝 Fulton Bank will assume substantially all deposits and purchase all the assets of Republic Bank. This deal will almost double Fulton Bank's presence in the Philadelphia market, with combined company deposits of approximately $8.6 billion.🏛️ The decision marks the latest U.S. regional bank failure following the unexpected collapses of Silicon Valley, Signature, and First Republic banks in 2023.📈 "With this transaction, we are excited to double our presence across the region," said Fulton Chairman and CEO Curt Myers.🏪 Republic Bank's 32 branches in New Jersey, Pennsylvania, and New York will reopen as branches of Fulton Bank on Saturday or Monday during business hours.#BankingNews #RegionalBanks #FDICStay updated on the latest developments in the banking industry by following our page and engaging with our content. Share your thoughts on this news in the comments below.

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The Annual Meeting of Corporators of Charles River Bancorp, MHC - the mutual holding company of Charles River Bank - was held on Tuesday, May 16th at Franklin Country Club.Chairman Steven M. Richardson opened the Annual Meeting and discussed the current banking environment and the significant differences between the risk factors that led the recent failures of the large regional banks and the operating model at Charles River Bank.He also reiterated that Charles River Bank is one of 74 banks in the country that has full deposit insurance for all customers, with FDIC covering at least $250,000 and DIF covering all deposits in excess of FDIC limits. President & CEO of Charles River Bank Derek Plourde, shared 2023 year-end financial results.At year-end 2022, assets were $308 million with Net Income of $1,147,000, which is 12.6% higher than year end 2021 Net Income. Net interest Margin also showed positive trends, improving from 2.99% at 12/31/21, to 3.13% at 12/31/22, and 3.34% at 3/31/23.CRB’s capital position, as measured by the Tier 1 Leverage Ratio, improved from 6.86% at 12/31/21 to 7.25% at 12/31/22, and improved further to 7.62% at 3/31/23, exceeding regulatory requirements in all periods.Corporators and Trustees voted to elect Paula Cassidy a Trustee of Charles River Bancorp, MHC. Like all Trustees, Cassidy will also serve as a Director of Charles River Bank.Additionally, Paul Rao of Milford, Peter Brunelli of Franklin, and James Reardon of Natick were re-elected as Trustees, and David Tuttle III of Bellingham, Paul Gerrish of Bellingham, and Wayne Simpson of Millis were re-elected as Corporators.Cassidy, who has served as a Corporator since 2021, is an Executive Business Consultant with over 30 years of experience in Human Resources, Business Operations and Strategic Project Management, including global and regional businesses within the Software, IT Services, Life Sciences and Financial Services Industries. She is the recipient of the Worcester Business Journal “40 Under Forty” Award, and is a mentor for “Women and Leadership” course at Bryant university.Cassidy is a graduate of St. Anselm College. She and her husband John reside in Milford, MA with their two sons.President & CEO Plourde stated, “Paula brings a unique perspective to our Board of Directors with her senior management roles in Human Resources and experience in strategic project management at a wide array of companies across a variety of industries.I am confident that she will have a positive impact on our organization through her board involvement.”

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Bank deposit flight continues into August, and community banks cannot sustain paying more for deposits than big banks. This trend does not end well. Get ready for more pre-arranged bank mergers like PacWest as regulators want to side step the 485 bank failures saga from 2008-2011. Note the following from this article:"Deposits into smaller banks are rising simply because they are being forced to pay more for their customers.The regionals are winning the deposit battle right now because they’re willing to pay the most.”Yokum’s analysis is supported by JPMorgan’s impressive Q2 presentation, which recorded a 67% rise in quarterly profits to $14.47 billion in the quarter ended June 30th, despite the large drop in deposits."#cre #ccim #trepp #banks #redshoeeconomics #commercialrealestate #uli #sior #naiop https://lnkd.in/gQmw-ATx

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2023 was an exciting year for Liberty Bank, with the launch of Owners Bank and our first branches in Western Massachusetts as some of the biggest milestones. We're exploring more of the ways that we can expand and enhance our services to better serve customers in new and existing areas. Read this article featuring Liberty Bank President and CEO, David W. Glidden, to learn more about our roadmap for 2024 and the 'I-91 corridor strategy' for expansion. #Banking #LibertyBank #OwnersBank #BeCommunityKind

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#CBC was one of the few OC-based banks to experience a growth in assets this year. This week Ash Patel shared details of that growth with Orange County Business Journal.Here's an excerpt: CBC continued its upward trajectory, climbing 16% to $2.25 billion. A year ago, assets jumped 15%. The increase was because privately held CBC doesn’t face the same pressure for profits as publicly traded banks that took bigger risks, Chairman and Chief Executive Ash Patel said.“We’re a privately held bank so we’re not susceptible to the whims of the market,” Patel said.“We were able to create a narrative around the safety of CBC. We lost a little in assets at the beginning (of the bank turmoil in March), but at the end we gained more than we lost.”CBC’s assets have steadily climbed from $200 million in 2013 when Patel took the CEO position.Read more here (login required): https://lnkd.in/ezy8bzD4 #strongbank #communitybank #smallbusinessbanking #bankingindustry

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The latest reminder of the difficulties that exist for medium and small banks.The confluence of market pressures, work from home impacts on commercial real estate, rising employee costs, and management mistakes have made the last few years some of the most trecherous periods of our lifetime.The vast majority of banks are operating through this environment and remaining strong but it is challenging time for all community banks.Now more than ever community banks need their communities support.They need vendors who are true partners. Partners who understand the important role they play in local economies. QDS has a 40 year history of supporting community banks and credit unions. We strive to give them a competitive advantage in the marketplace. We care deeply about their success, we celebrate their successes. We understand that we are only successful when our partners are successful and the communities they serve are thriving. We will continue to fight the fight everyday for their success!https://lnkd.in/ey966jZ6

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The nation’s top six banks recently reported charges totaling $9.4 billion related to the Federal Deposit Insurance Corp.’s special assessment aimed at replenishing the agency’s deposit insurance fund after several bank failures last year. The fund was drained ofroughly $16.3 billionafter the agency agreed to backstop the uninsured deposits of Silicon Valley Bank and Signature Bank after bank runs led to their collapses last March. The agencyannounced in Novemberthat the largest banks would pay the majority of the fee. Lenders with less than $5 billion in assets are excluded from paying the special assessment. paid the largest share, at $2.9 billion. The bank reported $49.6 billion in annual net income.Bank of America’sfee to help the FDIC replenish the fundscame in at $2.1 billion, while Wells Fargoreported a special assessment chargeof $1.9 billion.#FDIC #SVB #depositinsurance

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To be a great bank you need great people. Sometimes companies forget you need those great people on your board, not just in your employment. With only two pillars, our board strategy is pretty simple:-Help guide us and keep Capra safe. That’s why it is full of experienced bankers with diverse skills. -Ensure local representation. Leadership from every market has or will soon have a spot on our board. When we say local, we mean it and we live it. I am so thankful not only for the client and employee support, but for the belief this board has in what we are aiming to achieve here at Capra.

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From today’s WSJ talking about consumer credit and savings patterns.Select article excerpts worth noting:"...more loans are going bad after what had been record-low losses. American consumers are starting todeplete coffers of extra cashthey built up during the pandemic. Fighting in the Middle East, the continuing war in Ukraine and risinggovernment deficitsare adding to the uncertainty."Consumers broadlycontinue to spend and borrow, a sign that many are optimistic about their own financial prospects. However, some households are spending just to keep up with rising prices, or because high housing prices have made them give up on the idea of saving for a down payment."Credit-card spending was up at all three banks. Overall credit-card loans jumped by more than spending at both JPMorgan and Citigroup, a sign that borrowers are carrying over bigger balances each month."Borrowers are falling behind on some loans at faster rates than before the pandemic, squeezed by higher interest rates."More loans started to go bad in the third quarter. Net charge-offs roughly doubled at all three banks from a year earlier, though they remained a small proportion of overall lending."Mortgage originations slid 9% from a year earlier at JPMorgan and 17% at Citigroup. At Wells Fargo, which said it would dramatically shrink its mortgage business this year, originations dropped 70%."I've posted frequently about the early warning indicators of savings depletion combined with increased credit card utilization coupled with increased month-over-month credit card balances being carried by the consumer. For a large part of the population, much of this spending is on life in general (food, gas, etc.), not vacations, toys and other recreational items.I recognize that many don't want to talk about this, especially in light of the tremendous challenges and headwinds we have been facing in the mortgage industry, but we need to. It's better to be prepared with the right loss mitigation and default strategies and have little to nothing occur, rather than see borrowers hit the tipping point and servicers not be prepared to address a shift. We might get lucky. Then again, we might not. Feel free to reach out in confidence if you would like to have a conversation about planning or validating your preparedness involving people, process and technology. We at ALE Advisors are here to help. Prabhakar Bhogaraju, Terri Davis, and I will be at the MBA Annual in Philly next week if you would like to do a quick meet and greet.

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