Guaranty Bank (Wisconsin) Bank Performance and Growth

Guaranty Bank (Wisconsin) has a strong track record of performance and growth. The bank has consistently demonstrated financial stability, with a net worth of $1.3 billion as of 2020.

Guaranty Bank's assets have grown significantly over the years, reaching $2.5 billion in 2020. This growth is a testament to the bank's effective management and strategic planning.

The bank's loan portfolio has also expanded, with a notable increase in commercial loans. Guaranty Bank has a strong focus on serving the local business community, providing financing options to help businesses grow and thrive.

Guaranty Bank's commitment to its customers and community has contributed to its success. By prioritizing relationships and providing exceptional service, the bank has built a loyal customer base and established itself as a trusted financial partner.

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Guaranty Bank was established on January 1, 1923 as GUARANTY SAVINGS AND LOAN ASSOCIATION in Milwaukee, Wisconsin.

The bank operated under this name until 1989 when it was renamed Guaranty Bank For Savings, Savings Association, and later changed to Guaranty Bank, State Savings Bank.

In 1992, the bank moved its offices to 7901 West Brown Deer Road Milwaukee, WI, and changed its name to Guaranty Bank, S.S.B.

Less than two years later, the bank moved its offices again to 4000 West Brown Deer Road Milwaukee, WI.

In 2002, the bank changed its status to a Federal Savings Bank and was renamed Guaranty Bank.

In July 2004, the bank joined Fannie Mae in a 2-year $2 billion program to offer residential mortgages to members of ethnic minorities.

The bank shut down its wholesale mortgage division, GB Mortgage, in May 2009.

In January 2013, the bank sold its Shelter Mortgage division to CIVC Partners.

That same year, the bank moved its headquarters from Brown Deer to Glendale, Wisconsin.

On Friday, May 5, 2017, the bank was shut down by the Office of the Comptroller of the Currency due to bank failure, and its assets were sold to First Citizens BancShares.

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Guaranty Bank (Wisconsin) has a strong presence in the community with 18 locations throughout the state.

The bank offers a range of personal and business banking services, including checking and savings accounts, loans, and investment products.

Guaranty Bank's financial performance has been solid, with net income increasing by 15% in 2020 compared to the previous year.

The global financial crisis of 2008 had a significant impact on bank performance, with many institutions facing massive losses and widespread job cuts.

In 2009, the US government passed the Troubled Asset Relief Program (TARP) to provide financial assistance to struggling banks.

The Dodd-Frank Act was signed into law in 2010, introducing new regulations aimed at preventing another financial crisis.

Banks have since increased their capital buffers to meet regulatory requirements, with many holding capital ratios above the minimum 10% threshold.

The crisis also led to a significant increase in bank lending standards, with stricter credit criteria and higher interest rates for borrowers.

Regulatory pressure has driven banks to adopt more conservative risk management practices, including increased provisioning for loan losses.

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Performance Ratios (2011) provide a snapshot of a bank's financial performance. The net interest margin was 3.97%, indicating that the bank earned 3.97% of its earning assets through interest income.

The yield on earning assets was 4.36%, meaning the bank earned an average of 4.36% on its earning assets. This is a relatively high yield, indicating the bank's ability to generate income from its assets.

Noninterest income to earning assets was 14.01%, showing that the bank generated a significant portion of its income from noninterest sources, such as fees and commissions. This is a positive sign, as it indicates the bank has a diverse income stream.

Noninterest expense to earning assets was 18.47%, which is a relatively high ratio. This means the bank spent a significant portion of its earning assets on noninterest expenses, such as salaries and overheads.

Here's a summary of the key performance ratios for 2011:

The return on assets (ROA) was -1.66%, indicating that the bank's net operating income was negative relative to its assets. This is a concern, as it suggests the bank may be struggling to generate income from its assets.

The efficiency ratio was -0.24%, which is a relatively low ratio. This means the bank was able to keep its operating expenses low relative to its revenue.

We're excited to announce the opening of our new headquarters, a state-of-the-art facility that will serve as the hub for our operations.

The new headquarters is located in a prime area, close to major transportation hubs and amenities, making it easily accessible for our employees and clients.

This strategic location will enable us to better serve our customers and improve our overall efficiency.

The new building features a modern design and cutting-edge technology, providing a comfortable and productive work environment for our team.

Our new headquarters will accommodate our growing workforce and provide ample space for future expansion.

The facility includes a range of amenities, such as a fitness center, cafeteria, and collaborative workspaces, to support the well-being and productivity of our employees.

Our new headquarters is a significant investment in our future and a testament to our commitment to excellence.

Guaranty Bank is reopening, but not in the way you might expect. Only the 12 stand-alone branch locations in Wisconsin, Illinois, and Minnesota will reopen as branches of First Citizens Bank.

First Citizens has agreed to purchase $892.6 million of Guaranty's assets, making it the least costly resolution for the FDIC.

The FDIC will retain the remaining assets for later disposition, and all depositors of Guaranty Bank will automatically become depositors of First Citizens.

Guaranty had been under orders to improve its financial condition since 2009, but the bank struggled to return to profitability and boost its capital to required levels.

The bank has about 1,000 employees, and FDIC estimates that the cost to its Deposit Insurance Fund will be $146.4 million.

Guaranty Bank started in 1923 as Guaranty Building & Loan, and it's the fifth FDIC-insured institution to fail in the nation this year, and the first in Wisconsin.