“Grassroots politics works.”
Our Chairman Lon Rylander, President/CEO of First State Bank of Ashby, in the upcoming Impact magazine, look for it in the mail!
Sioux Falls-based CorTrust Bank is beefing up its Minnesota presence with its deal to buy First Minnesota Bank, Minnetonka.
Acquisition of the $347 million First Minnesota will grow the CorTrust Bank footprint in the Minnesota from 4 branches to 15 branches. The transaction is expected to close before September 30, 2019, and will bring the bank to combined assets of nearly 1.2 billion, positioning CorTrust Bank for continued growth.
“We believe CorTrust Bank and First Minnesota Bank share a common culture and commitment to hometown, community banking and the value it brings to our customers,” said Lowell Wakefield, First Minnesota president and CEO.
Minnesota’s 288 banks pulled in $221 million in net income in the first quarter of 2019, down from $233 million in the first quarter a year prior. Return on assets also decreased, down to 1.21 percent from 1.28 percent in 2018. Net interest margin increased to 3.90 percent from 3.82 percent.
Nationwide, banks had net income of $60.7 billion in the first quarter, up $4.9 billion (8.7 percent) from a year earlier. The 4,930 insured institutions identified as community banks reported net income of $6.5 billion in the first quarter, up $596 million (10.1 percent) from a year earlier.
Total loan and lease balances for all banks increased by 4.1 percent, a slight decline from the 4.4 percent annual growth rate reported last quarter. For community banks, loan and lease balances increased $99.2 billion (6.6 percent) during the past 12 months.
The number of small businesses reporting revenue and employment growth increased from 2017, but the share of firms operating at a profit remained flat, according to a Federal Reserve survey.
The outlook for 2019 is more tempered. While credit demand increased marginally in 2018, the share of firms receiving credit remained essentially flat.
Also last year, ag lending hit $108 billion, and farm banks’ asset quality remained healthy and non-performing loans stayed at a pre-recession level of 0.52 percent of total loans. More than 94 percent of farm banks were profitable in 2018, with more than 63 percent reporting an increase in earnings.
Registration is open for a Bank Member Appreciation event near you!
Want to meet Mike Max, the new face of WCCO Sports? Want to golf on a beautiful June day?
This year’s convention is a true Minnesota gathering of community bankers. We’re bringing all the things you love about ICBM’s convention – great education, inspiring speakers, golf, fun and networking with peers, and community bank advocacy – to the lakeside in beautiful Bemidji.
Unless field conditions improve soon, some producers could be forced to consider not planting a portion of their crops because of wet field conditions. As June 1 approaches, producers in affected areas will be evaluating their crop insurance coverage for late planting or prevented planting options.