Your market has faced challenging economic times before. What best practices will
the bank utilize in order to weather the current situation?
The key is prudent lending practices before the downturn. Maintaining a strong credit
environment when times are good is the best way to survive a market when the economy
weakens. As a community bank, we look at each loan individually and maintain a lending
discipline based on both the strength of the request and the people supporting the
inquiry.
The second most important thing during difficult times is maintaining an active
and open line of communication with our clients. Our smaller size gives us an advantage
when it comes to relationship banking because we know our clients personally. As
part of their inner circle, we are more likely to minimize surprises and make more
informed decisions.
Lastly, we have maintained a very low overhead operation. As a single bank location
with a small, talented staff, we have minimized our overhead costs.
Although we are monitoring the economic situation as closely as we can, we do not
know how long this downturn will last. We do know that by maintaining a strong credit
environment, continuing to maintain communications with our clients and controlling
costs, we have put ourselves in the best position to successfully respond to issues
and look forward to better days ahead.
— Steven L. Brown, President & CEO