GBA e-Bulletin

April 24, 2009

Prepping for D.C. Visit in Full Swing: Your Input is Important

We’re in full prep mode in advance of our annual banker visit to legislators and key regulators in Washington, D. C. As always, your input about issues is helpful. We’ve already got a number of things on our agenda to discuss, including the possible effects of proposed legislation that could limit credit and debit card interchange income to your banks. We mailed a survey about this to bank CEOs this week to gauge potential impact and have gotten very good response to date. If you are a CEO and haven’t had a chance to weigh in yet, there’s still time. We’d appreciate the input, and you can find the survey link in the e-mail memo from Joe Brannen dated April 21.

Other issues we’ll be educating legislators and regulators about include regulatory interpretations of accounting guidelines, the proposed FDIC assessment, FDIC disposal of closed-bank assets, availability of capital, other issues we feel are artificially depleting capital and a host of other items. If there are issues you want us to be sure to address, please call or e-mail Joe, 404.420.2026, or Elizabeth Chandler, 404.420.2027.

New Georgia CPP Recipient Brings State List to 18

The Tifton Banking Company is the most recent Georgia bank to receive investment funding from the Treasury’s Capital Purchase Program. The company received a $3.8 million investment April 17. There are now 18 Georgia banks that have received CPP capital investments.

Treasury's CPP investments in Georgia's banks total more than $6.2 billion. For a full list, visit Treasury’s Local CPP Impact web site.

Governor Signs Two Banking-Related Bills

Gov. Perdue this week signed into law two pieces of legislation we tracked during the session. The first was the Banking Department’s Housekeeping bill sponsored by House Banking Committee chair Rep. James Mills dealing with certain capital provisions, fines and penalties for failing to respond to Department requests for information, and the extension of regulatory orders to holding companies. The bill takes effect July 1.

The second bill signed by the governor was Rep. Lee Anderson’s bill that extends for another two years the real estate filing fee of $10 paid to the clerk of superior court as part of the statewide real estate filing system. This bill became effective immediately upon the governor's signature.

Public, Media Outreach Calendars Remain Busy

GBA continues to be a resource to community groups, banks and media looking to help their publics understand the current banking environment. This week, GBA’s Joe Brannen spoke to the Canton Rotary Club and to the Chatuge Bank Shares annual shareholder meeting. Joe outlined the current banking environment and noted that despite well-documented economic problems plaguing many industries and areas of the state, there are some positive signs cropping up. For example, “I’ll clue you in on a news story that many people may have missed a couple weeks ago. It was just a small news brief, so you’d have to have been really looking to find it. U-haul reported that metro-Atlanta remains the top one-way destination for their rentals," he said.

"The message in that is even in tough times, Atlanta and Georgia are destinations for people seeking a better life.” Speculation about first quarter bank earnings drove several requests for comment from GBA by state media. In a radio interview with Georgia Public Broadcasting that ran throughout the state, GBA’s David Oliver provided perspective about how the distressed residential real estate market has been the main issue hampering Georgia bank earnings. And, we assisted two bankers by providing information for public and shareholder meetings they were holding. Please contact David, SVP, Communications and Marketing, 404.420.2036, with questions.

Stress Test Results for Large Banks begin to Roll Out

There will be lots of attention in the next couple of weeks on results of the government’s stress tests on the nation’s 19 largest financial institutions. Even if your bank is not among those being evaluated, the results are likely to generate discussion among your customers, employees, shareholders and directors. Meetings are being held Friday, April 24, with all 19 institutions to discuss the results. They will have until Tuesday, April 28, to respond with any disagreements with the results, and May 4 is the date they’ll be asked to disclose, in some form, the results publicly. The Wall Street Journal reported this week some of the criteria being used to evaluate banks. The paper reported it had been given access to a confidential document that said under a more adverse economic scenario, which assumes a 10.3% unemployment rate at the end of 2010, banks would have to calculate two-year losses of up to 8.5% on their first-lien mortgage portfolios, 11% on home-equity lines of credit, 8% on commercial and industrial loans, 12% on commercial real-estate loans and 20% on credit-card portfolios.

Credit Card Legislation Creates Concern for Industry

The Obama administration met Thursday with executives of the nation’s largest credit card companies to outline its agenda for proposed changes to how companies manage their credit card business. In related news, the House Financial Services Committee Wednesday approved a credit card bill (H.R. 627) that could have a negative effect on lenders’ ability to offer reasonably priced credit to consumers. The panel also approved an amendment to the legislation that would require issuers to provide 45 days notice of any rate increase, effective 90 days after the bill’s enactment.

“GBA’s position is that the legislation is unnecessary because of similar new credit card rules adopted by the Federal Reserve and other regulators in December,” said Joe Brannen, GBA president and CEO. “For the most part, both bills cover the same issues including universal default, allocation of payment, over-the-limit fees and prohibiting students under the age of 21 from having three cards without parental permission.”

Looking for Prospects? Check out These Seven Growth Industries

GBA Associate Member Sageworks has released a list of seven successful industries in 2008. Businesses on the “Seven Successful Industries” list have seen average profit growth greater than 7% and sales growth greater than 4.5% over the past 12 months. From accounting firms to grocery wholesalers, there are sectors that are growing despite all of the doom and gloom in today’s economy.

NEW! Join GBA-U’s Bank Trainer Peer Group – June 2

If you’re a bank trainer and you’re looking to share ideas, get fresh training yourself and build professional relationships, sign up now to be a part of GBA-U’s Bank Trainer Peer Group. You’ll also learn more about GBA-U and how we can help you and your bank be successful.

Join us for our organizational meeting Tuesday, June 2, at Oconee State Bank in Watkinsville. With questions about the meeting or to register, contact GBA’s Alison Moreau at 404.420.2034.

Exhibiting and Sponsorship Opportunities Available for Annual Convention

This year, we’re offering exhibition opportunities to Strategic Partners and Associate members that have products and services of interest to Annual Convention attendees. However, we have limited space, so this opportunity is on a first-come, first-served basis. Sponsorship opportunities are also still available. Sponsoring an event is a great way to show the financial community your support and commitment to helping our banks be successful.

The 2009 Annual Convention is June 15-16 at the Renaissance Waverly Hotel in Atlanta. To reserve your exhibit space or a sponsorship, please contact GBA’s Susie McGehee at 404.420.2010.

Register Now for Georgia Banking School Class of 2011

The Georgia Banking School is a three-year program designed for first-level and mid-level managers to provide a thorough understanding of critical banking functions such as asset-liability management, lending, human resource management, sales and marketing, investments and technology. In addition, the legal, regulatory and economic environments are analyzed from the perspective of the banking industry.

Enroll now and join the Class of 2011. This year’s session will take place May 3-8 at the University of Georgia’s Center for Continuing Education in Athens. For more information, please contact Marybeth Jones at 404.420.2032.

Valuable Tools for Career Bankers: Leadership Conference and Leadership GBA

Jim Edwards, like many CEOs and career bankers, benefited by being involved in Leadership GBA and attending the annual Leadership Conference. “Early in my career, my involvement in Leadership GBA really helped me grow as a banker. I found I always learned a lot from the speakers at the annual Leadership Conference, but I learned even more from the other bankers in attendance,” said Edwards, CEO, United Bank in Griffin.

“So many of the personal and professional banking relationships that I value the most today began through people I met in Leadership GBA years ago.” This year’s conference will be July 12-15 at Amelia Island Plantation in Amelia Island, Florida. With questions about the conference or Leadership GBA in general, please call GBA’s Susie McGehee at 404.420.2010 or Jennifer Stevens at 404.420.2024.

Problem Loans: Managing Workouts to Optimize Portfolio Value: Only $99!

This seminar covers workout issues and is intended to optimize the resolution of problem loans in the bank’s commercial portfolio. Participants will learn about handling individual loans and portfolio management. It is designed to provide participant with skills to support early recognition of problems, assessment of client viability, alternative courses of action for the lender and decision support for the selection of appropriate actions.

Dr. Ruediger Mueller CTP, president, Turnaround Consulting & Management International, Inc., Suwanee, is the instructor. The seminar is June 2 at Idle Hour Country Club in Macon. Registration is only $99 for members. With questions or to register, contact GBA’s Courtenay Pope at 404.420.2015.

RESPA Seminar for only $99! – May 12

Learn about many changes, prohibitions, new categories of closed-end mortgages and much more in this one-day seminar. Some of these significant changes have been made to the Truth in Lending and RESPA regulations that will greatly affect your institution’s lending compliance program and loan operations.

Harriett P. Price and W. Brad Washburn of Steve H. Powell & Co. will lead this seminar. The seminar is scheduled for Tuesday, May 12, at the Idle Hour Country Club in Macon. The registration fee is only $99. With questions, please contact GBA’s Courtenay Pope at 404.420.2015.

Last Chance for the Legal Issues for New-Account Documentation Seminar!

Designed for new-accounts representatives, back-up new account personnel, certificate-of-deposit staff, bookkeeping and accountholder service personnel, this one-day seminar will teach new-account personnel proper account-opening procedures and compliance requirements. Topics to be covered include signature-card contracts, a CIP Compliance overview, TIN compliance, individual accounts and much more.

Patrice M. Konarik of Sunwest Training Corp. in Kendalia, Texas, will be presenting. The seminar is Wednesday, April 29, at Idle Hour Country Club in Macon. Registration is $225. With questions, contact GBA’s Courtenay Pope at 404.420.2015.

Internal Audit Seminar – May 13

GBA will host its Internal Audit seminar Wednesday, May 13, at Idle Hour Country Club in Macon. Designed for internal auditors, audit committee members, operations officers, compliance officers and internal control personnel, this one-day seminar will cover the basic concepts related to community bank internal controls and internal audit techniques. Topics to be discussed include:

Essentials of Risk-Based Auditing
Effectively Managing the Internal Audit Plan
Primary Internal Controls/Audit Techniques
Building an Anti-Fraud Framework.

Registration is $225 for members, and Mike Thomas with Crowe Chizek and Company, LLC is the instructor. With questions, call GBA’s Courtenay Pope at 404.420.2015.

Improve Speed, Accuracy of your Call Reporting: Seminar - June 3

This one-day seminar is designed for CFOs, operations officers and anyone responsible for preparing call reports. Presented by Mauldin & Jenkins, LLC, Atlanta, this seminar offers practical techniques to improve your overall reporting process. Participants will get a, line-by-line review of how to complete each schedule of a Call Report.

Highlights include proven organizational techniques to improve speed and accuracy in your bank’s, call-reporting processes, hands-on experience in call-report preparation, and how to identify common mistakes and problems with call reporting. Please call GBA’s Courtenay Pope at 404.420.2015 with questions or to register.

Next Week's Webinars: Debit/Credit Card Fraud, Background Investigations, and Branch Management

Just a reminder that GBA will offer the following webinars the week of April 27:

Managing a Financial Institution Branch, Part 1 – April 28
Conducting Background Investigations – April 29
Debit and Credit Card Fraud – April 30

All webinars are live and allow time for questions and answers. The $250 registration fee gives you access to one web site “seat,” one telephone site license and all handout materials. If you can’t attend the webinar, you may buy the audio CD, handout materials and a password to see the information online. With questions, please call GBA’s Courtenay Pope at 404.420.2015.

Lending Courses Highlight AIB Offerings

The following instructor-led AIB online classes begin the week of May 18. These courses are instructor-facilitated with weekly assignments, and can be taken from your home or your office. All you need is a computer, printer and Internet access. (Classes with an asterisk * require Microsoft Excel Software.) Please register two weeks in advance to secure a seat in the class.

ABA Online Review Course for the CTFA Exam (open enrollment), 12 weeks, $795
Commercial Lending , 16 weeks, $405
Consumer Lending , 16 weeks, $405
Economics for Bankers , 16 weeks, $405
Introduction to Mortgage Lending, 16 weeks, $405
Law & Banking: Principles , 16 weeks, $455
Principles of Banking , 16 weeks, $405
Today's Teller: Developing Basic Skills* (open enrollment), 8 weeks, $315

Understanding Your Construction Borrower, 10 weeks, $405

There is still availability in the following AIB Online classes beginning May 11. Please register as soon as possible to secure a seat in the class.

Analyzing Financial Statements*, 16 weeks, $485
Banking Today, 5 weeks, $315
Financial Accounting*, 16 weeks, $485
General Accounting*, 16 weeks, $515
Principles of Banking Accelerated, 10 weeks, $335
Problem Loan Workouts, 6 weeks, $315

Please see the AIB Online Course Schedule for a complete listing or call GBA’s Alison Moreau at 404.420.2034 with questions.

How to Leverage Interactive Marketing

People are spending more and more time online. Plug into the power of the Internet and its interactive marketing capabilities to reach your customers and prospects. Financial Marketing Solutions (FMS) can help you understand, reach and engage your audience online with interactive media channels that feature:

Interactive experiences
E-mail marketing campaigns
Word-of-mouth marketing by social networking
Real-time messaging, when and how consumers want it
Online searches that catch people in the moment of relevance
Highly targeted, interactive, online display ads
Increased conversions with a combination of search and display methods
Online branded, viral, interactive and user-generated video interactive campaigns.

Marketing has never been more targeted, measurable, precise, affordable and perfectly controllable. Learn more about interactive marketing by visiting www.fms4banks.com or downloading the interactive info sheet. FMS is a GBA Strategic Partner. For more information, contact FMS’s Sean Hockenbery at 615.591.2073, or GBA’s Levi Crabtree at 404.420.2022.

Get a Quality Overdraft Privilege Program

In business since 1976, Strunk and Associates, L.P. is a financial institution advisory service recognized nationally for its innovative design, development and implementation of the original Overdraft Privilege Service Program for the financial institution community. The firm's reputation is built on more than three decades of providing expert, objective, unbiased and independent advisory service to thousands of financial institutions. For the past decade, Strunk and Associate's resources have been dedicated to developing the Overdraft Privilege Service Program.

Strunk and Associates, L.P. serves nearly 2,000 Overdraft Privilege Service clients throughout the Unites States and the Caribbean. For more information about Overdraft Privilege and other financial solutions such as REWARDChecking®, check Strunk's web site or give them a call at 800.728.3116.

Proof Encoder For Sale

Century Bank of Georgia has a 7766 NCR Single Pocket Proof Encoder for sale. Priced at $2,500 or best offer. For more information, please contact Tamara Knight at 678.721.2009.

Find a Job, Post a Job with GBA Job Bank

The Georgia Bankers Association offers free job posting resources for our member banks. These listings can be viewed online or through our bi-weekly publication included in the GBA Bulletin.

Resume postings are also available. For more information, please call Kenyetta Parks at 404.420.2035.

Make Money, Save Money With GBA Services, Inc. Offerings

Bond and D&O Insurance	Holiday Decals
Checking Club Programs	Human Resources Solutions
Community Reinvestment Act	Job Bank
CRM	Marketing & Sales
Discounted Local & Long Distance Program	Non-Qualified Executive Benefits (BOLI)
Federal Flood Certification Corp.	Pledging Pool Program
Financial Industry Pre-Employment Assessments	Record Retention Guide
FinCrime	Senior Housing Crime Prevention Foundation
Financial Marketing Solutions (FMS)	Strunk & Associates, L.P.
Full Service Check Recovery	Thumbprint Signature Program
Georgia Financial Directory	Trust and Investment Services
Georgia Law Code Book

GBA Services, Inc. is governed by a board composed primarily of community bank presidents who look for the best products and services available.

They do the due diligence for you and you can rely on their efforts. For more information or to order any of these products or services, please call 404.522.1501.

Read All About It -- Send Us Your News

Please remember to include the Georgia Bankers Association on the list of recipients for announcements about promotions, new employees and special recognition your bank has received.

We want to share your news with your colleagues across the state. Please forward your announcements and photos to GBA's Lydia Thomas.

Newsmakers

We Will Miss...
Our sympathies to the family of longtime Gainesville banker, Ray McRae, who died late last week after a brief illness. Ray was the former Chairman and President of the First National Bank of Gainesville and its parent company, First National Bancorp, until its merger with Regions Bank. Please click here to read a tribute about Ray in the Gainesville Times.

Our sympathies to the family of Ellijay banker Glen W. Marshall who died Wednesday, April 22. Glen joined The Bank of Ellijay in 1951, became president in 1968 and Chairman of the Board in 1995. He was a decorated WWII Army veteran and local civic leader.

Atlanta - Private Bank of Buckhead
Dondrea Payne has joined the bank as SBA Portfolio Manager.

Cuthbert - First State Bank of Randolph County
Congratulations to C.T. Martin Sr. on his recent retirement after serving 45 years as Director.

Jasper - Crescent Bank and Trust
Melissa Richards has been promoted to Senior Vice President and Chief Risk Officer and Billy Johnson to Vice President and Internal Auditor.

Cornelia - Financial Supermarkets, Inc.
Elise Hatcher has joined the company as Sales Consultant and Matt Paul has been promoted to Assistant Vice President, Client Support & Senior Training Consultant.

McRae

Hatcher

Marshall

Paul

Johnson

Payne

Richards


New Hope Elementary Students Learn How to SAVE
On April 20, Judy Jordan, Alicia Washington and Cassie Parker with McIntosh State Bank in Jackson taught the 3^rd- 5^th grade students of New Hope Elementary School the importance of saving money. During a presentation of items for needs versus wants, students were tested on items to see if they were a need or a want to encourage good savings decisions. Each of the 300 students who attended the presentation received a certificate for participating in the “Teach Children to Save Million Child Challenge.” The employees of McIntosh State Bank have a goal of reaching 500 students throughout the month to contribute to the national goal of the American Bankers Association of reaching 1 million students.