RiverBank closed by Minnesota regulators
10/10/2011
RiverBank, Wyoming, Minnesota, located north of Minneapolis-St. Paul, with assets of
$417.4 million at June 30 was rated E- (“Very Weak”) by Weiss Ratings at the time of
closing. It was first identified as “Weak” in September 2007. It reported a loss of more
than $8.1 million for the period ended June 30. RiverBank had below-FDIC-mandated Tier 1
(5%) and risk-based capital (6%) ratios of 1.32% and 3%, respectively. Nonperforming loans
represented 13.3% of its loan portfolio.
Central Bank, located in Stillwater, Minnesota, with assets of $769.6 million and a
Weiss Financial Strength Rating of C+ (“Fair”), assumed the deposits of RiverBank. Central
Bank has very strong capital with a Tier 1 ratio of 8.42% and risk-based capital of 15.28%,
both well above industry averages of 5% and 6%, respectively. In addition, nonperforming
loans make up less than 1% of its portfolio.