Late yesterday, the Bank announced that it had entered into an agreement, issued by both the FDIC and the Maryland Division of Financial Regulation, called a Cease and Desist Order. The primary points of the order require the Bank to increase its capital levels, reduce our level of non-performing assets, and enhance our liquidity. The formal agreement between the bank and the regulators can be found here.
Mark Keidel, the Chief Operating Officer of the Bank, has provided clarification on some points of the agreement that may not have been clear in the reporting by the media. We want to share those with you.
- 1st Mariner management has been working closely and in cooperation with regulators from the FDIC who oversee the bank. We've been actively working with the FDIC to determine the goals and objectives in the Order. We've agreed to targets that we are comfortable we can achieve in those timeframes.
- We have already instituted a number of FDIC recommendations, even prior to the agency issuing the order. For example, the order requires that we charge-off all loans classified as “loss” in the March 2009 regulatory exam within 10 days of this order. We actually did that prior to signing the Order.
- There is no impact to our current operations and all deposit insurance remains in place.
Like many of our peer banks, both large and small, we have dealt with economic conditions unlike any experienced in recent memory. We are working hard to rebuild the bank and make it a stronger, even more vibrant member of the Baltimore business community. We welcome your questions and comments.
Both individually and as a banker, I've been a pretty active participant in Twitter over the last few months. It is a fun, vibrant, and growing community with a lot going on. But, like many users, I was unsure of the usefulness and value of the space. Now I know.
We recently worked with one of our customers, Aaron Brazell, to resolve some issues on his account. His blog post at technosailor describes the series of events in some detail so I won't repeat them here. We've found that Twitter is an excellent way to stay tuned into discussions about our brand and interact when appropriate. In this case, the ultimate resolution involved all of our customer service channels: Twitter, the Contact Center, and the local branch. So I guess the lesson I've learned is that social media (like Twitter) is just another way of interacting with your customers and prospects. It isn't necessarily the answer, but it can be part of the solution. I welcome your comments.
To help promote our First Access checking account, designed specifically for 18-25 year olds, we are conducting quarterly contests throughout the year. Each quarterly winner receives a check for $250 to be used any way they want. Our first contest, asking people to tell us about or show us their first car, ended this week. Based on a random drawing from all the eligible entries, the winner is Bonnie Gill who submitted the following entry.
" I was 17 years old when I bought my first car. I had worked since I was 14 years old and saved my money, since I knew I wanted a nice car. I finally found the one, a 1996 Lexus ES 300. It was maroon and fully loaded, amazing! I didn't even have my license yet. My mom decided to drive my car to work that day (since I couldn't drive yet) and the first day I owned it, an elderly lady backed up and hit my car. Then, 3 days after I got my license, I was leaving work at 11pm, and I was turning left onto a major highway where there was an accident. I got the green arrow and as I was entering the intersection I saw a car coming straight for my driver's side door. The driver was looking at the accident and not the red light! Within 2 weeks, my car was in two accidents. Since then, another person hit my car and a huge tree branch fell on it and crushed the sun roof. My car has been on several road trips and college outings. Amazingly, I'm now 23 years old, still driving the Lexus that has 250,000 miles on it...knock on wood. I would love to buy a new car and that $250 could definitely put me that much closer to being a new car owner! Thanks for reading! "
Well Bonnie, we hope that the $250 you won is going to go towards that new car. Congratulations!
In keeping with our theme of " Firsts", our next contest asks entrants to tell us or show us what they did to celebrate their graduation. The contest is open to anyone between the ages of 18-25. For more details, including the complete contest rules, go to our site at http://firstaccess.1stmarinerbank.com/.