Community Bankers Association of Illinois
Community Bankers Association of Illinois    Community Bankers Association of Illinois CBAI E-Newsletter Sponsor - SHAZAM
 
     A Bi-Weekly News Bulletin for CBAI Members                   March 7, 2012 Graphic
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Community Bankers Association of Illinois
Community Bankers Association of Illinois Community Bankers Association of Illinois

  • Register Now for 28th Annual CBAI Capital Conference
  • Urge Congress Today to Oppose C.U. Expansion Measure!
  • Staff Visit to Washington Reinforces Support for Community Bank Initiatives
  • Small CUs Should Beware of Big CU Agenda
  • ICBA President Camden Fine on Too-Big-to-Fail
  • Geithner: Beware of Financial Crisis Amnesia
  • Dallas Fed’s Fisher: Wall Street Addicted to Cheap Money
  • 30th Annual Call on Washington Set for April 24-27
  • Baker Market Update
  • Bernanke Offers Tempered Economic Perspective
  • Year-End FDIC Data Show Improvement for Community Banks
  • Farm Economy May Become More Dependent on Exports
  • Gain Statewide Recognition for Your Bank!
  • CBSC, Southwest Renew Agreement for Flood Zone Determination Services
  • Strategic Selling for Today’s Community Banker Set for March 16
  • Residential Real-Estate Lending Institute Scheduled for March 19-21
  • CDD Spring Conference Scheduled for March 21-22
  • Directors’ Workshop to be Held March 27-29
  • Register Today for Early-Bird Pricing at CBAI’s 38th Annual Convention!


  • Register Now for 28th Annual CBAI Capital Conference

    Register Today for CBAI’s 28th Annual Capital Conference. This one-day event will be held on April 17th, 2012, at the Springfield Hilton. Early Bird Registration of $175 per institution ends after March 30.
    Click here to register.

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    Urge Congress Today to Oppose C.U. Expansion Measure!

    CBAI is encouraging all community bankers to immediately communicate with their congressmen to urge opposition to H.R. 1418 and S. 509 which would raise the credit union cap on member business lending. The C.U. lobby is trying to get the provision added to two jobs bills advancing in Congress, and a vote could take place as early as tomorrow! To send a message,
    Click Here.

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    Staff Visit to Washington Reinforces Support for Community Bank Initiatives

    CBAI's David Schroeder, Vice President of Federal Governmental Relations, called on lawmakers in Washington, D.C., in late February to continue building congressional support for several important legislative initiatives and opposition to the unwarranted expansion of credit union powers. CBAI's 2012 Federal Policy Priorities include: important tax and regulatory relief to help community banks serve their community banks, address excessive bank regulation and harsh regulatory examinations, and support a 5-year extension of the Transaction Account Guarantee (TAG) program. Several beneficial bills have been introduced in both the House of Representatives and Senate, and Schroeder urged all Illinois congressmen to support and co-sponsor the favorable measures and oppose credit union expansion. CBAI members are encouraged to participate in the association’s annual Call on Washington, scheduled for April 24-27, 2012. For more details and to register,
    click here.

    Schroeder frequently visits Illinois congressmen and their staffs when they are in their districts, and he travels to Washington at least quarterly and on an as-needed basis. He works in close cooperation with the ICBA’s talented staff. See Full Report.

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    Small CUs Should Beware of Big CU Agenda

    In a recent opinion piece, Chris Williston, president and CEO of the Independent Bankers Association of Texas, compellingly asserts that small credit unions are being sucked into the perilous efforts of their much larger counterparts. He cautions small credit unions to be careful when joining forces with the big CUs that have a different agenda, for they might get saddled with paying taxes and dealing with additional regulations like community banks.
    See BankThink Article.

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    ICBA President Camden Fine on Too-Big-to-Fail

    Isn’t too-big-to-fail wonderful? AIG got over $300 billion in direct capital and balance-sheet support from the taxpayers. And there are trade groups that want to block the too-small-to-save from having a paltry temporary extension of the TAG that will cost the taxpayers nothing!! How much profit did you report last quarter at taxpayer expense? If community bankers don’t get it when they read this article from the New York Times, then they deserve what they get.

    AIG GETS HUGE TAXPAYER GIFT - Andrew Ross Sorkin: "Last week, [AIG] reported a whopping $19.8 billion profit for its fourth quarter. It was a quite a feat for a company that was on its death bed just a little over three years ago ... But if you dug into the numbers, it quickly became clear that $17.7 billion of that profit was pure fantasy - a tax benefit, er, gift, from the United States government. ... The tax benefit comes in the form of something called net operating losses - NOLs in Wall Street parlance - that could be worth more than $25 billion, possibly more.

    "Those losses can be very valuable, in part because companies can spread them over many years to lower or wipe out their income tax bills. However, according to longstanding securities laws, if a company files for bankruptcy or is taken over, it loses the ability to use its net operating losses. ... Still, the Treasury issued 'Notices' exempting A.I.G. from losing its right to make use of its net operating losses. In total, the insurer estimated those losses were worth $26.2 billion as of 2009, and it claimed almost $9 billion in other "unrealized loss on investments.'"

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    Geithner: Beware of Financial Crisis Amnesia

    In a Wall Street Journal op-ed response on March 1st, Treasury Secretary Tim Geithner said some people are suffering from amnesia about how close America came to complete financial collapse under the former regulatory system prior to the Wall Street Reform Act of 2010. He noted that hundreds of millions of dollars are now being spent on lobbyists trying to weaken or repeal financial reform. Geithner added, ”We cannot afford to forget the lessons of the crisis and the damage it caused to millions of Americans. Amnesia is what causes financial crises. These reforms are worth fighting to preserve.”
    See Geithner Op-Ed.

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    Dallas Fed’s Fisher: Wall Street Addicted to Cheap Money

    Richard Fisher, President of the Federal Reserve Bank in Dallas, stated forcefully this week that the Federal Reserve should not provide more monetary-policy stimulus to the economy by purchasing more government bonds. He said Wall Street banks “…have become hooked on the monetary morphine we provided when we performed massive reconstructive surgery.” Fisher is also an outspoken proponent of breaking up the mega banks, a position also shared by CBAI.
    See Fisher Speech.

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    30th Annual Call on Washington set for April 24-27

    CBAI's annual lobbying trip to Washington, D.C., has a new name and a new look. Please join us for CBAI's 30th Annual Call on Washington which will be held at the Gaylord National Harbor Hotel and Convention Center, National Harbor, Maryland. Celebrating its 30th year, CBAI bankers from across Illinois will travel to our nation's Capital and call on their members of Congress and federal regulators to support issues of importance to Illinois community banks. YOUR VOICE DOES MAKE A DIFFERENCE! Now is the time to get involved. Again this year our Call on Washington will be held in conjunction with the ICBA's Spring Policy Summit. Along with CBAI coordinated events, our entire delegation will attend ICBA's meetings and events.
    CLICK HERE for more information and to register.

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    Baker Market Update

    The durability of the recent resurgence in the manufacturing sector suffered a bit of a setback early in the week as a 4% decline in Durable Goods orders was reported on Tuesday.
    Read More.

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    Bernanke Offers Tempered Economic Perspective

    In congressional testimony last week, Fed Chairman Ben Bernanke said the job market is far from normal, and recent recovery trends could be derailed if Congress fails to address a “massive fiscal cliff” of tax increases and spending cuts scheduled for implementation in early 2012. He also said overnight rates will stay between zero and 0.25 percent through late 2014. The Fed cut the overnight rates to near zero in 2008 and has purchased $2.3 trillion in bonds since then.
    See Moneynews Article.

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    Year-End FDIC Data Show Improvement for Community Banks

    In an analysis prepared by Ryan Hadley, ICBA Director of Policy research and Statistics, community banks showed continuing improvement in 2011 with net operating income of $7.5 billion. During the year, 84% of banks under $1 billion in assets were profitable, representing a 6.2% increase over 2010 and the highest since 2007.
    See ICBA Analysis.

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    Farm Economy May Become More Dependent on Exports

    Ag leaders last week at the Commodity Classic in Nashville emphasized the importance of expanding trade to maintain profitable commodity prices. With a large corn crop predicted for 2012, expanding sales overseas is essential, and the U.S. is projected to export $131 billion worth of ag products this year, which would be the second-highest total on record.
    See Article.

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    Gain Statewide Recognition for Your Bank!

    The
    2012 CBAI BKD Award process is underway. Past winners have been recognized for outstanding products and services, as well as for philanthropic or civic efforts that went above and beyond. The winner is recognized at the CBAI Annual Convention and with a spread in the January 2013 issue of Banknotes magazine.

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    CBSC, Southwest Renew Agreement for Flood Zone Determination Services
    CBAI Members May Earn Additional Discounts

    Community BancService Corporation, Inc. (CBSC), the business services affiliate of Community Bankers Association of Illinois (CBAI), the only state association that exclusively serves Illinois community banks, announced today that it has extended its agreement with Southwest Financial Services (SFS) of Cincinnati, OH, as a CBSC Preferred Provider.
    Read More.

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    Strategic Selling for Today’s Community Banker Set for March 16

    CBAI is pleased to offer “
    Strategic Selling for Today’s Community Bankers” in Springfield this March. This program is a highly interactive, informative, and educational workshop that is designed to increase the skills and attitudes that are necessary to increase your bank’s market share. In this program, bankers learn and develop proven techniques to open new accounts and sell more products and services to customers. This program has helped thousands of bankers find new qualified prospects, generate more internal and external referrals, reduce the fear of change with prospects, sell more effectively against the competition, create more urgency, understand the selling process more effectively, and develop better time management skills. Leading this seminar is Jack Litzelfelner, founder and president of Jack Litz Seminars, a national training and consulting company, where he has trained and spoken to more than 200,000 people.

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    Residential Real-Estate Lending Institute Scheduled for March 19-21

    This
    three-day mini-institute provides the real-estate lending professional with a solid foundation for managing and producing a quality mortgage portfolio. It includes exercises in buying and selling mortgages in the secondary markets, a visit to a construction site, and analysis of the tax return of a self-employed borrower. The institute’s objective is to assist in three areas: improved customer service, more efficient processing and servicing, and stronger underwriting. Topics covered on day one include regulatory compliance, the secondary mortgage market, loan applications and interviewing, and closing documentation. Day two covers lending to self-employed borrowers, underwriting, construction financing and site visit, and loan origination. Day three includes how to analyze appraisals and loan processing. Heading up the faculty is David Kemp, founder and president of Bankers Management Inc. in College Park, GA. Bill Elliott, senior consultant with Young & Associates of Kent, OH, a nationally recognized, compliance-consulting firm for community banks, also co-leads this institute.

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    CDD Spring Conference Scheduled for March 21-22

    The
    Annual Spring Conference and Mini-Exposition for CBAI's Career Development Division (CDD) is scheduled for March 21-22 at the Hilton Hotel in Springfield. This conference combines motivational, energetic, and informative general sessions with important messages for today’s banker, as well as six breakout sessions with practical solutions and ideas that can be immediately implemented at the bank and a fun-filled social event. Additional conference highlights include Scott Friedman, a certified speaker professional and motivational humorist located in Golden, CO, who is conducting two sessions entitled, “A Funny Thing Happened on the Way to the Sale,” and “Employee Innovation for Turbulent Times.” The mini-exposition, following the Business Meeting Luncheon, features a fabulous dessert table and networking opportunities with vendors.

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    Directors’ Workshop to be Held March 27-29

    CBAI offers the annual “Directors’ Workshop” in three locations this March. In this workshop, “Community Bank Survival Guide: How To Stay Independent in a Consolidating Environment,” the negative myths about the future of community banks are debunked. This program shows how to increase value without the sale of the organization, and also discusses current trends in the M&A market from a buyer's standpoint and a seller's standpoint. Topics covered include fundamental board duties, tips for building a better board, ways to increase shareholder value without sale, new strategic planning techniques, buy, sell, or remain independent, new regulatory issues and trends, and key tips on ways to remain independent. Leading this seminar is Philip K. Smith, president and a member of the board of directors of the Memphis-based law firm of Gerrish McCreary Smith, PC, and its affiliated bank consulting firm, Gerrish McCreary Smith Consultants, LLC.

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    Register Today for Early-Bird Pricing at CBAI’s 38th Annual Convention!

    Early-bird registration is now open for CBAI’s 38th Annual Convention & Expo. Scheduled for September 20-22, “Building for Tomorrow,” will be held at the Hyatt Regency at The Arch in St. Louis, MO. The convention features expert general session speakers, 24-break sessions on the hottest issues in community banking, exciting social activities, a 96-booth exhibit hall with the latest in products and services, and countless networking opportunities. Don’t hesitate! The early-bird deadline is April 30, so
    register today!

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    CBAI
    ACT Appraisal

    PROFESSIONAL DEVELOPMENT PROGRAMS THROUGH 4/30/2012


    TELEPHONE/WEBCASTS THROUGH 4/30/2012


    CBAI EVENTS
    CBAI’s Career Development Division Spring
    Conference & Exposition

    March 21-22, 2012 – Hilton Hotel, Springfield

    CBAI'S 2012
    Capital Conference

    April 17, 2012 – Hilton Hotel, Springfield

    CBAI’s 30th Annual
    Call on Washington

    April 24-27, 2012 – Gaylord Resort and Convention Center, National Harbor, Maryland



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