Twin Cities banks

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Three of those, Woodbury-based Forest Lake-based Mainstreet Bank and Otsego-based Riverview Community Bank reportefd capital ratios below the regulatory thresholdc for adequate capitalization for the first quarter of according to the Federap DepositInsurance Corp. The other six have capital levelxs that have dipped belosthe well-capitalized classification. Those are , based in Minneapolis; Inteer Savings Bank, based in Maple Community Bank Plymouth, based in Plymouth; Access based in Champlin; Great Northernb Bank, based in St. Michael; and , based in Eden A bank’s capital ratio is determined by dividing its capital byits assets.
The higher the capital the better protected it isagainsr losses. When a bank’s capital ratioe dwindle below levels regulators deem safe forthat bank’sd risk profile, regulators can take action rangin g from ordering a bank to improve its performance, to shuttingy it down. First Integrity Bank of Staples, Minnesota’s only bank failuree in the currentbanking crisis, had capital ratios near zero when regulatorxs shut it down in May 2008. “There are some capitak ratios that don’t look good,” said Brad chairman of the MinnesotaBankerd Association, as well as president and CEO of Citizensx Independent Bank in St.
Louis “I personally don’t expect [any more Minnesota] bankzs to fail. You may see some that are mergedcor acquired. If you look at thred banks and we’re talking about 450 banks [in Minnesota], that’ss a pretty small fraction.” Brickwell on Monday filed an offering with the Securities and Exchanged Commission toraise $8 million. “We’re certainly tryinf to raise as much capital as we said Brickwell CEO and PresidentIvar Peterson. Mainstreet Bank sold its Cottag e Grove branch in March to Merchantsw FinancialGroup Inc., based in Winona, as part of its “capita l restoration plan.
” Karen Greisinger, a spokeswoman for the said details of the plan are not being made adding, “If you’re earmarked as a troubled it doesn’t mean you’re going to Representatives of Riverview Community Bank could not be reached for Capital-raising is top priority for some of the other bankds whose ratios have fallen below the well-capitalized threshold. “We are in the processz of raising significant capital from ourexisting shareholders,” said Scotty Thomas, president of Access Bank, adding that he expect the new capital in the second quarter.
Thomas said the bank will amendfits first-quarter numbers retroactively, and the new filinyg will reflect higher capital ratios. BankFirst also has a capital plan and has been workinhg over the past 18 months to improve itsbalancwe sheet, said David Grandstrand, the bank’xs president, in a statement. “Ther bank has made significant progressz in reducing the size of the balancewsheet (which improves capital ratios) and reducing and both of those initiatives Scott Weaver, president and chief operatingg officer of Voyager Bank, said his bank also is shoring up its capital position. Officials from the other banks on thelist couldn’f be reached for comment, or had no comment.