1.     
BACKS Community Bank
| Member FDIC
Always Having Your Back in Banking!

2. BACKS Executive Team
B- EVP
A- EVP
C- EVP
K- EVP
S- CEO B A C K S

3. Mission Statement
“Our Mission is to grow shareholder value through holding the highest standard of customer service with our customers by consistently exceeding expectations, building relationships and maintaining a strong and active presence in our communities.”

4. Team Strategy & Goals
Primary Goal- Increase Profitability at a Slow and Steady Growth Rate
Increase Net Interest Margin
Improve ROA
Improve ROE
Safety and Soundness

5. BACKS Community Bank Starting Position and Concerns
$777 million in Total Assets
Loans Growing at a Faster Pace than Deposits
Had to borrow funds = cost
Decrease in Net Interest Margin
Decrease in ROE
Decrease in ROA

6. Loan Strategy Loan Growth Slow and Steady
Increase Rates Above Market & Maintain
Strong Credit Quality
Emphasis on Commercial & Business Loans
More Income
More Business Deposits
Marketed and Advertised Special Terms on Commercial Real Estate

7. Loan Results
Kept our rates at a competitive rate, due to us being profit driven
Overall loans grew $117 million over 2 years
1st Year: Growth of $32 million
2nd Year: Growth of $85 million
Commercial Real Estate- Growth of $88 million
Special Loan Product

9. Deposits Strategy Increase Core Deposits
Support a Trending Loan Growth
Pay Minimal Interest on all Deposit Accounts
Increase Net Interest Margin
Maintain Competitiveness in Market
Increase Marketing as Needed
Maintain Fee Structure for Checking Accounts
More Income

10. Deposits Results Core Deposit Growth of $100 million
Core Deposit as a percentage of Total Assets from 82% to 88%
Borrowed Funds Decreased from 3.76% to .51%

12. Funds Management
Minimal purchase of Fed Funds due to result of positive management
Reviewed every quarter
Utilized the least expensive method of funding assets
Purchased short term funding sources to match short term uses

13. Summary

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