Wisconsin banking news
Johnson family to pump $235 million into Johnson Bank
The boards of directors of Johnson Financial Group and Johnson Bank announced the company will receive a $235 million infusion of new capital from the Johnson family.
“My father, Sam Johnson, founded Johnson Bank over 40 years ago to deliver the exceptional service our customers deserved but couldn’t get from the large national banks and that need has never been greater,” said Helen Johnson-Leipold, chairman of the board of Johnson Financial Group. “This is a commitment by the family to ensure we remain independent, privately-owned and focused on meeting the needs of our local customers and communities for the long term.”
The Johnson family’s investment was formalized on Oct. 28 and will close following completion of the regulatory approval process. The additional capital will raise the bank’s capital ratios above well-capitalized status and position the company and its customers for sustainable, long-term success.
“There is a growing need for a strong, local bank that provides businesses and customers with a full service offering and deep understanding of their unique needs,” said Thomas Bolger, chief executive officer of Johnson Financial Group and Johnson Bank. “This investment by the Johnson family will allow us to continue to meet that need with a combination of exceptional service, expertise and shared commitment to our local communities.”
To focus on meeting the needs of its customers and the communities it serves, Johnson Financial Group is sharpening its strategic focus and continuing to recruit talented people in the industry to best serve customers moving forward.
Barclays Capital, Inc. acted as financial advisors and sole placement agent to Johnson Financial Group.
Johnson Bank is a member of Johnson Financial Group, a financial services company offering comprehensive financial solutions in the areas of banking, trust, insurance, investment management and leasing. The $4.2 billion financial services company has operating companies in Wisconsin and Arizona.
Principal owners of Johnson Financial Group are members of the Samuel C. Johnson family. Helen Johnson-Leipold is chairman of Johnson Financial Group and chairman, CEO and chairman of the board of Johnson Outdoors Inc. in Racine, Wisconsin.
Johnson Bank earns awards
The Wisconsin Bankers Association recently honored Johnson Bank for its financial education initiatives.
The bank, which reached more than 63,000 individuals with basic money management tips in the past year, received two Certificates of Excellence and five WBA state awards honoring the Racine, Kenosha, Mukwonago, Fort Atkinson and Janesville areas.
Wisconsin credit unions see boost from ‘Bank Transfer Day’
Wisconsin credit unions added around 14,700 new members and $102 million in new deposits in just the past four weeks, according to the Wisconsin Credit Union League.
Nationwide, 650,000 new members brought $4.5 billion in new deposits to the not-for-profit, member-owned financial institutions.
The single-month growth – which surpassed the influx credit unions saw during all of 2010 – is expected to keep increasing well beyond Bank Transfer Day, a social media campaign that urged consumers fed up with fees from large banks to make the switch on or after Nov. 5.
“Consumers have hit their pain threshold and are reacting. They’re saying ‘I’ve had enough’ and moving to a financial institution that will treat them better,” said Brett Thompson, president and chief executive officer of the Wisconsin Credit Union League. “Because a credit union is a cooperative in which each account holder is part owner – and there are no stockholders seeking profits – it’s the depositors who benefit.”
Thompson said that credit unions, most of which still offer free checking, have “switch kits” and will review consumers’ existing car loans, credit cards, mortgages, student loans and more to find savings.