another building block in place
Local Federal Bank Forms Corporate Lending Unit
OKLAHOMA CITY, Dec. 7 /PRNewswire/ -- Local Federal Bank took yet another major step in its continuing reemergence as a leading Oklahoma financial institution. Today, Jan Norton, President of both Local Federal and its publicly-held holding company Local Financial Corporation (Amex: LO), announced that Randy Roper and Ty Downs are joining Local to establish a corporate lending group. Roper will head the new unit as President -- Oklahoma City Market with Downs serving as Senior Vice President. Both have served in similar capacities in area banks.
Since Local Federal's purchase late last year by an investment group led by Ed Townsend, Local's Chairman & CEO, and Norton, Local has focused upon returning the bank to its Oklahoma roots. Early this year, Local recruited another prominent area banker, Jim Young, to lead the company's statewide commercial lending activity, including the establishment of commercial lending capabilities in Tulsa. Young commented that the new corporate unit along with the existing commercial unit in Oklahoma City led by Brad Swickey gives Local the ability to service all segments of the Oklahoma marketplace.
Additionally, Local announced the promotion of Alan Goss to Executive Vice President in the commercial real estate unit headed by Robert Vanden. "Goss has been instrumental to our excellent underwriting record," Vanden stated.
The new management team has directed a dramatic turnaround of the bank. After initial restructuring charges, Local has reported successive and increasing quarterly profits. The acquisition of Citizens Bank in Lawton has been completed and at year-end, 1998, Local Federal Bank and its affiliate Local America Bank will be consolidated. This action will place 50 offices under a single banner and operating system statewide.
Although the financial restructuring initially reduced the size of the bank, Local has experienced substantial growth this year. Through the nine months ended September 30, total loans rose $309 million. Townsend noted that all the loan growth occurred within Oklahoma, consistent with the Company's objective of enhancing franchise value through a strong in-state market presence. Furthermore, transaction accounts increased to 25% of total deposits from 19% at the beginning of the year.
"We are rapidly evolving into a major commercial bank in Oklahoma and the strategy of hiring experienced loan officers with the ability to move banking relationships is working well," concluded Mr. Townsend. "We look forward to the addition of Randy Roper and Ty Downs as Local Bankers and to our company's continued resurgence in 1999." |
