NEW
JERSEY
S U MMER 2 0 1 4
B A N K E R
110th Annual Conference A ROUSING SUCCESS IN
Sunny Florida
Bankers’ Commitment to Sandy Storm Victims Continues | Banks Must Comply with New Affirmative Action Rules ENDORSED BY THE NEW JERSEY BANKERS ASSOCIATION
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NEW
JERSEY B A N K E R
NJBankers Board of Directors John W. Alexander Chairman/Chief Executive Officer Northfield Bank
James P. Genoy, Jr. President/Chief Executive Officer/Treasurer Monroe Savings Bank, SLA
Christopher Martin Chairman/President/Chief Executive Officer The Provident Bank
Norman E. Beatty Chairman/President/Chief Executive Officer First Hope Bank
Thomas J. Holt * Senior Vice President Bank of America
Kevin Cummings President/Chief Executive Officer Investors Bank
James A. Hughes President/Chief Executive Officer Unity Bank
Stewart E. McClure, Jr. * Regional President Lakeland Bank Immediate Former Chairman
John S. Fitzgerald President/Chief Executive Officer Magyar Bank
Henry P. Ingrassia President/Chief Executive Officer Glen Rock Savings Bank
Paul E. Fitzgerald * Vice Chairman First Bank
Thomas J. Kemly President/Chief Executive Officer Columbia Bank
John E. McWeeney, Jr. President and Chief Executive Officer ext. 627 jmcweeney@njbankers.com James M. Meredith Executive Vice President and Chief Operating Officer ext. 614 jmeredith@njbankers.com
Claire Anello Office Manager, Database and Website Manager ext. 631 canello@njbankers.com
Michael P. Affuso, Esq. Executive Vice President and Director of Government Relations ext. 628 maffuso@njbankers.com
Cris Goncalves Manager of Education ext. 630 cgoncalves@njbankers.com
Wendy C. Mandelbaum Controller ext. 603 wmandelbaum@njbankers.com Jenn Zorn Vice President and Director of Education and Business Development ext. 611 jzorn@njbankers.com
Contributing Editor Emily T. DeMasi
Robert Rey President/Chief Executive Officer NVE Bank
D. Nicholas Miceli Market President TD Bank, N.A.
Michael Schutzer President/Chief Executive Officer Harmony Bank
Craig L. Montanaro President/Chief Executive Officer Kearny Federal Savings Bank
Robert E. Stillwell* President/Chief Executive Officer Boiling Springs Savings Bank
William D. Moss President/Chief Executive Officer Two River Community Bank
NJBankers Officers
NJBankers Staff
Emily T. DeMasi Vice President and Director of Communications ext. 610 edemasi@njbankers.com
Michael Nardo Executive Vice President/NE U.S. Market Executive – Corporate Banking PNC Bank, N.A.
Lauren Barraza Executive Assistant ext. 618 lbarraza@njbankers.com Erin Suckiel Assistant to the Director of Communications ext. 629 esuckiel@njbankers.com Cynthia M. Zaccaro Assistant to the Director of Education and Business Development ext. 632 czaccaro@njbankers.com
Gerald L. Reeves * Chairman President/Chief Executive Officer Sturdy Savings Bank
James S. Vaccaro * Second Vice Chairman President/Chief Executive Officer Manasquan Savings Bank
Angela Snyder* First Vice Chairman Chief Executive Officer/Vice Chairman Fulton Bank of New Jersey
John E. McWeeney, Jr. President and CEO New Jersey Bankers Association
Counsel Michael M. Horn, Esq. McCarter & English, LLP Mary Kay Roberts, Esq. Riker, Danzig, Scherer, Hyland, Perretti LLP
*Executive Committee
Contact New Jersey Bankers Association www.njbankers.com 411 North Avenue East Cranford, NJ 07016-2436 Phone: 908-272-8500 Fax: 908-272-6626
The Warren Group Design / Production / Advertising custompubs@thewarrengroup.com
Katherine Davey Administrative Assistant/Receptionist ext. 600 kdavey@njbankers.com
www.thewarrengroup.com 280 Summer Street • Boston, MA 02210 617-428-5100
Published continually as a quarterly publication by the New Jersey Bankers Association from 1929 to Winter 1986. Revived as a quarterly publication by NJBankers and The Warren Group in 1998 under the name New Jersey Bank & Thrift and continued as New Jersey Banker in 2002. Combined with The League Leader, published by the New Jersey League of Community Bankers, in December 2008 and continued as New Jersey Banker.
Summer 2014 New Jersey Banker
3
Table of Contents
NEW
JERSEY B A N K E R
Departments
6 Chairman’s Platform Try Very Hard, and Care a Lot
Page 16 110th Annual Conference A ROUSING SUCCESS IN Sunny
Florida
8 From the President’s Office Another Successful Year 10 13
Politics & Policy Bankers’ Commitment to Sandy Storm Victims Continues New Associate Members
15 Upcoming Events 26 Bank Notes 28 Bank Shots
Features
11
Behind the Teller Line A Fresh Look
12 Directors' Corner The Evolving Roles and Responsibilities of Directors
4
New Jersey Banker
14 Meet Our Endorsed Service Provider EverFi, Inc. 20
Feature Social Media – A Growth Channel Banks Can No Longer Ignore
24 Feature Banks Must Comply with New Affirmative Action Rules
Summer 2014
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Chairman’s Platform
Try Very Hard, and Care a Lot By Gerald L. Reeves
I
’d like to welcome you to the summer issue of New Jersey Banker and my first letter as the association’s 2014-2015 chairman. First, I’d like to thank Stew McClure for his guidance and leadership of NJBankers over the past fiscal year. Stew’s been a good friend for years and as NJBankers chairGerald L. Reeves man, an even Chairman better friend as NJBankers I was serving on President and CEO Sturdy Savings Bank
the board and as an officer of the association. Stew’s been in the banking business for many years. His knowledge and experiences certainly were and will continue to be an asset for NJBankers. I look forward to working with Angela and Jim this year. They are seasoned bankers who will certainly add much to our efforts to guide NJBankers. I also look forward to working with the Executive Committee, our board of directors, and John McWeeney and his staff in this new year on new initiatives. NJBankers offers many resources to help you guide your bank. The association represents the industry before state and federal government and regulatory authorities. It provides excellent educational programs and support in public relations for
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New Jersey Banker
the banking industry in New Jersey. One NJBankers resource is our committees. There are over 24 committees that touch on every topic, from compliance, to ERM, to human resources, to lending and so much more. Committee members accomplish great things. Members learn from each other, share relevant issues, work on solutions to challenges, plan programs and provide legislative tracking and guidance to fellow members. This year, I will visit with each committee, to meet more bankers, ask them to encourage colleagues to join committees and get feedback for making the committee experience even more valuable. One of my favorite quotes is from Winston Churchill: “A pessimist sees the difficulty in every opportunity; an optimist sees the opportunity in every difficulty.” I am optimistic about New Jersey and feel that more involvement in our association will help drive changes in the state. We need to continue to work with community leaders, business owners, regulators and legislators to find ways to make New Jersey more business-friendly; help homebuyers achieve the American Dream; equip bankers to better compete with other financial services providers and create a climate that helps bankers continue our mission to provide funding and support to growing small businesses, as well as families. I do believe that we can accomplish great things in our state. Your association’s motto, after all, is “With New Jersey banks, New Jersey prospers.” I do believe that NJBankers is the organization to marshal the resources to make a difference. I am thrilled to serve in this capacity as chairman. I ask the staff at my bank to try very hard, and care a lot, and I promise both of these attributes from me to you.■ Gerald L. Reeves is chairman of the New Jersey Bankers Association and president and CEO of Sturdy Savings Bank. He can be reached at greeve@sturdyonline.com.
Summer 2014
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From the President’s Office
Another Successful Year By John E. McWeeney, Jr.
I
’m pleased to report to our membership that as we approach the end of our fiscal year on June 30, NJBankers has enjoyed another successful year thanks to the leadership of our officers and board, the proactive engagement of our members and, of course, a wonderful staff that carries out their mission to serve our members with pride and passion. As we head into our 111th year, NJBankers has never been stronger. Let me share some highlights: John E. McWeeney, Jr. Leadership: President/Chief Executive Officer NJBankers Our new slate of officers, Incoming Chairman Gerald Reeves (Sturdy Savings Bank), Incoming First Vice Chairman Angela Snyder (Fulton Bank of New Jersey) and Incoming Second Vice Chairman James Vaccaro (Manasquan Savings Bank) bring a wealth of enthusiasm and banking experience into their leadership positions. Working with our board of directors, they’re poised to move NJBankers forward after the outstanding job done by Outgoing Chairman Stewart McClure, Jr. (Lakeland Bank). Membership: Membership levels remain strong, with 111 bank members and 235 associate members. While we did realize a reduction of eight bank members in the past year, all due to consolidation, we still have a large membership base and, perhaps more importantly, one that’s engaged, as evidenced by the 872 bankers that currently serve on our committees. Our associate membership base is one of the largest in the country, and they’re also engaged, with over 200 currently serving on committees. In addition to offering great solutions, our associate members also provide their financial support – they generated 53 percent of the total revenues at our recently completed and very successful annual conference. Advocacy: While the legislative and
8
New Jersey Banker
regulatory challenges have been many, NJBankers continues to make progress in both Trenton and Washington, DC on the critical issues facing our industry today. Here in New Jersey, expedited foreclosures on abandoned residential properties is now the law, and commercial foreclosures are moving significantly faster. There’s certainly much more to accomplish, but the progress
by the New Jersey Bankers Education Foundation to the Rutgers’ Office of Veteran and Military Programs & Services; and the banking industry’s efforts to support the New Jersey Special Olympics Team, which has raised approximately $50,000. Programs: Virtually all of our major programs had higher attendance and sponsorship levels than the prior year.
While we’re proud of all that we achieved this past year, we know there’s more to do to ensure that NJBankers remains member-driven and provides real value is real. In our nation’s capital we continue our efforts to lighten the regulatory burden on community banks and support our mutual members. Working with the national trade groups and the other state associations, we’re optimistic that this will be the year when we achieve some victories on these issues. Certainly the rollback of the changes to flood insurance was an important win for our Shore members and communities, and evidence that sensible issues can be resolved in a bipartisan manner. Public relations: Through a multifaceted strategy, NJBankers continues to tell the banking industry’s story and to share the important and vital role our banks play in New Jersey’s communities. Whether it’s through editorial board meetings, press releases or responding to media inquiries, we seek out every opportunity to promote the banking industry. Some special programs this past year that garnered good press were the Habitat for Humanity Build for Sandy victims at the Shore; our Fourth Annual Economic Survey, conducted for the first time by Rutgers University; the $10,000 contribution
Our newer programs, like the Economic Forum, Women in Banking Conference and GROWTH Conference, enjoyed explosive growth. We’re committed to providing our members with the knowledge they require to operate successfully in today’s challenging environment. Financial results: While NJBankers is a nonprofit, we have to ensure efficient operations and a strong balance sheet so we can continue to serve our members well into the future. In our fiscal year ending June 30, NJBankers will realize net income in excess of $300,000 and our retained earnings now exceed $3.8 million. We’re dealing with the same issues our members are dealing with and, in the past year, we reduced staff through attrition, modified retirement programs to eliminate unfunded liabilities, adjusted health care offerings and reviewed all vendor relationships, just to name a few. Bankers Cooperative Group: Despite the massive changes in health care and the ever-increasing competition, BCG enjoyed strong results and stayed true to its mission of providing our members with quality and affordable employee benefits programs.
Summer 2014
BCG paid a patronage dividend of $175,000 this past year, which brings total dividends paid since 1998 to $2 million. BCG also achieved net income in excess of $400,000, and grew its retained earnings to in excess of $2.4 million. It also introduced a new website that will help our members navigate the complex world of employee benefits. While we’re proud of all that we achieved this past year, we know there’s more to do to ensure that NJBankers remains memberdriven and provides real value. Some of the new initiatives we’ve identified for the coming year include new membership drives for both bank and associate members, launching a leadership development program for the next generation of leaders,
expanding our director education programs and starting a retired bankers program. I’m very optimistic about our future, because of two powerful weapons: first, our engaged membership base that will absolutely drive the organization forward; and second, our dedicated staff of professionals.
SOME THANK-YOUS On behalf of our officers, directors, members and staff, I need to thank Stew McClure for his outstanding leadership during this past year. Stew was always there when we needed him, but had enough trust in us to let us run the day-to-day operations. Further, his effort to get out with us and visit our member banks was a huge commitment on his part that paid great dividends for
NJBankers. Thank you, Stew! The spring edition of New Jersey Banker was the first edition, in the seven years since I joined NJBankers, that I didn’t write my “From the President’s Office” column. I missed it because I was out of work dealing with a personal health issue. The level of outreach and get-well wishes that I received from so many of you was just overwhelming. I always knew that our industry and extended circle of friends was special, but I underestimated just how special you all are. Thank you so much. I feel truly blessed to work with you. ■ John E. McWeeney, Jr., is president and CEO of the New Jersey Bankers Association, and can be reached at jmcweeney@njbankers.com.
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Summer 2014 New Jersey Banker
9
Politics and Policy
Bankers’ Commitment to Sandy Storm Victims Continues By Michael P. Affuso, Esq.
L
ast year, as part of an industry-wide response, beginning in June and running throughout late September, NJBankers and our members partnered with Coastal Habitat for Humanity for a 30-day summer build program. The projects are part of a five-year program in some of the areas of New Jersey ravaged by Superstorm Sandy. There were over 10,000 homes damaged by the storm in southern Michael P. Affuso Monmouth County, Executive Vice President/ Director of Government Relations and the rebuilding NJBankers process will take several years. NJBankers and our members provided manpower and financial resources. Every Tuesday and Thursday last summer, a team of eight to 10 bankers were at work on a Habitat project. In addition, each institution pledged $100 to Coastal Habitat for each banker working on each day. In total, bankers worked 30 days providing more than 2,000 volunteer hours and thousands of dollars in donations. The support from NJBankers members was extraordinary. Within days after an email from NJBankers President and CEO John E. McWeeney Jr., the calendar was committed by members. In addition to providing community service, many bankers were excited about using the opportunity for team building. The projects also fulfill more than volunteering and team building – they also allow employees of smaller institutions that could not provide a full team to be paired with other similarly situated people to form amalgamated teams. These teams allowed bankers not only to work with coworkers, but also meet other bankers. We are back again this year. Beginning on June 17 and running
10 New Jersey Banker
throughout the summer, NJBankers and our members will once again partner with Coastal Habitat for Humanity for a 20-day summer build program. Coastal Habitat for Humanity is poised for the long-term recovery, and plans to assist more than 100 families annually. NJBankers and our members are pleased to provide manpower and financial resources. Once again, every Tuesday and Thursday this summer, a team of eight to 10 bankers will work on a Habitat project. In addition, each institution is pledging $100 to Coastal Habitat for each banker working on each day. In total, bankers will work 20 days providing nearly 1,500 volunteer hours and thousands of dollars in donations. This project is part of Coastal Habitat’s five-year Sandy recovery project. Habitat for Humanity works with low- to moderateincome families in their area to give them an opportunity to help themselves, to own a decent, affordable home of their own, which they pay for and maintain. Partner families invest hundreds of “sweat equity”
hours building their homes and the homes of others. These homes are sold at no profit and with no interest charged. Mortgage payments are then used to finance additional houses. Habitat volunteers provide the labor and individual sponsors provide the financial resourses and materials to build the Habitat houses. Please follow us on Twitter and look forward to updates in our weekly bulletin. There will also be a capstone press conference in late September to demonstrate publicly what we have accomplished during the summer. If you have an interest in participating, we may be able to accommodate your needs so please feel free to contact us. We hope with your involvement to continue to support this worthy endeavor for years to come. ■ Michael Affuso, Esq., is executive vice president and director of government relations for NJBankers. He can be reached at maffuso@ njbankers.com.
Summer 2014
Behind the Teller Line
A Fresh Look
Since fall 2009, New Jersey Banker’s feature Behind the Teller Line has highlighted a member of NJBankers. This issue, we thought we would highlight some banking industry statistics both on the state level and national level.
NUMBER OF NJ-HEADQUARTERED INSTITUTIONS
NJ-HEADQUARTERED INSTITUTIONS – (DOLLARS IN BILLIONS) 12/31/13 Number of Institutions
12/31/12
12/31/11 111
117
18,555
19,520
23,667
22,587
Total Assets
$147,889
$155,130
$171,244
$174,411
Total Loans & Leases
$99,061
$98,040
$112,755
$101,968
Total Deposits
$104,864
$112,445
$112,633
$109,192
Total Equity Capital
$15,973
$16,574
$16,276
$16,796
Source: FDIC, data as of 4Q/2013
NJ-HEADQUARTERED INSTITUTIONS – NET LOANS & LEASES (DOLLARS IN BILLIONS) 12/31/12
12/31/11
2000
152
2010
117 103 Source: FDIC, data as of 4Q/2013
110
12/31/13
Number of Institutions
2013
12/31/10
103
Total Employees
Year
NATIONWIDE NUMBER OF BANK OFFICES
Year
Domestic
Foreign
Total number of offices
1992
81,444
918
82,362
2000
86,248
908
87,156
2009
100,238
892
101,130
2013
96,855
858
97,713
Source: FDIC, data as of 4Q/2013
12/31/10
Construction & Land
2,826
2,727
3,089
3,885
Commercial Real Estate
24,457
23,128
21,765
21,067
Multi-Family
10,832
8,001
5,837
4,164
1-4 Family Residential
52,801
56,008
72,203
63,681
C&I
5,581
5,765
6,828
6,558 Source: FDIC, data as of 4Q/2013
NATIONWIDE NUMBER OF FULL TIME EMPLOYEES Year
Number of employees
1992
1,774,201
2000
1,914,517
2012
2,110,276
2013
2,068,786 Source: FDIC, data as of 4Q/2013
NATIONWIDE NUMBER OF FDIC-INSURED INSTITUTIONS BY ASSET SIZE $100 Million to $1 Billion
$1 Billion to $10 Billion
Greater than $10 Billion
Total
2002 4,680
4,118
450
106
9,354
2010 2,625
4,317
559
107
7,658
2013 2,056
4,090
559
107
6,812
Year
Less than $100 Million
Source: FDIC, data as of 4Q/2013
NJ FDIC-INSURED INSTITUTIONS Year
Number of Institutions
Total Number Deposits of Offices (in Billions)
2000
177
3,010
$156,340
2010
170
3,338
$246,492
2013
158
3,241
$276,313
Source: FDIC, data as of 2Q/2013
NATIONWIDE INSTITUTIONS, NEW CHARTERS & MERGERS COMMERCIAL BANKS
SAVINGS INSTITUTIONS
TOTAL INSTITUTIONS
YEAR
COUNT (#)
NEW CHARTERS
MERGERS
COUNT (#)
NEW CHARTERS
MERGERS
COUNT (#)
NEW CHARTERS
MERGERS
1990
12,343
163
389
2,815
28
64
15,158
191
453
2000
8,315
190
452
1,589
33
81
9,904
223
533
2010
6,530
9
184
1,128
2
13
7,658
11
197
2013
5,876
1
204
936
1
28
6,812
2
232 Source: FDIC, data as of 4Q/2013
Summer 2014 New Jersey Banker
11
Directors’ Corner
The Evolving Roles and Responsibilities of Directors By Mary Ann Deacon
S
ince the economic crisis began over six years ago, the responsibilities and roles of bank directors has continued to evolve and present ever increasing challenges. In the past, directors of community banks were recruited to provide their personal business acumen, have a strong presence and a respected reputation in the communities the bank serves, and to refer business to the bank. As we’ve faced severe economic challenges, regulatory reform, technological advances Mary Ann Deacon and shareholder activism, the expertise and knowledge required has diversified and expanded. Today the board’s role and responsibilities far exceed the expectations of only a few years ago. As the summer months are somewhat quieter, time permits reflection on how our roles and responsibilities as directors are
12 New Jersey Banker
evolving. As stakeholder interest in board composition and expertise increases, let’s consider the following question: “Is your board positioned to increase shareholder value with future growth and prosperity?” In order to thoroughly address this question and to ensure that we are positioned to enhance shareholder value through growth and prosperity, there are some key areas to evaluate. First, let’s consider the areas of board composition and director expertise. It is no longer sufficient to evaluate a potential director’s capabilities solely based upon their reputation within the community and their inherent ability to refer business to the bank. We must also consider their professional expertise. According to a recent PWCampbell director survey*, the most desirable attributes for board candidates include the following areas of expertise: Industry (banking), financial, operational, technology and risk management. While we are challenged to attract candidates with these attributes, we also need to
consider the proper “mix” for our boards to be successful. The appropriate mix will vary from institution to institution, but representation from each of the aforementioned areas is vital. Industry expertise would include having experienced bank executives on the board and on certain committees. Each board must carefully evaluate its company’s need for including this in its board composition. It is critically important to ensure that each candidate is the right fit for your institution, with both the appropriate business and cultural skill sets. Financial experts are imperative today. They are needed on the Audit Committee to oversee financial reporting and internal controls, with up-to-date knowledge of new accounting rules and standards. The evolving, forthcoming regulations will continue to challenge everyone’s financial acumen. Operational expertise is provided by management, but board members need sufficient background and knowledge to ask the right questions to challenge management, and also be a sounding board for management in these areas. Similarly, technological expertise is an inevitable need. Technology continues to change rapidly and challenges everyone. The accelerated growth of technology in recent years and its impact on our industry clearly indicates the need for technological expertise on the board. Beyond these experts, each member of the board must gain a thorough understanding of the technology impacting the way in which we conduct our business and communicate with our customers. It is important to find candidates with the appropriate skill sets and agility to keep pace with the ever changing technological world. Risk management is a burgeoning area of concern and responsibility and it is no longer limited to the Audit Committee. Key business processes and risks in the following areas need to be addressed and overseen: credit administration, finance, financial services, retail, human resources/compensation, legal, lending, operations, regulatory/compliance and technology. Serious consideration must be given to the emerging risks in these segments. The board’s strategic planning process needs to include these areas of risk management and determine the best way to administer the process. Possibilities include delegating certain segments to standing committees and, depending on each institution’s size, assessing the value of a board Risk
Summer 2014
New Associate Members as of April 2014
Committee, a Management Committee or perhaps a combined board and management committee. A final key consideration, if not already in place, is appointing a senior risk officer. In addition to board composition and director expertise, some other subjects for consideration include age limits for directors and term and tenure limits. Sitting directors with years of experience may be termed-out by age limits; therefore, term or tenure limits might be more appropriate. If that is your company’s ultimate direction, the length of the term must be clearly defined. A fundamental responsibility for board directors is succession planning. Clearly, the need for a succession plan for the CEO and a few additional key executives is essential. As the number of executives in the C-suite expands, we, as directors, must determine if our succession plan recommendations should include additional key members of our management teams. This is also the time to ensure that the institution has adequate career mobility plans and mentoring programs to provide opportunities for tomorrow’s management.
So, how do we keep pace with the evolving roles and responsibilities of directors? I suggest continued and expanded participation in educational events, seminars, web seminars and other resources, focusing on the responsibilities of directors. At the recent NJBankers Annual Conference, the officers expressed a commitment to provide more programs for directors. Your participation is encouraged. The aforementioned PWCampbell survey asked, “What is so great about being on a board?” The majority response was “intellectual stimulation.” I have no doubt there will be an abundance of stimulation as we discuss, debate and find the right answers to position our companies to grow and prosper. Enjoy the summer! *“Boards Confront an Evolving Landscape,” PWCampbell annual corporate directors survey. ■ Mary Ann Deacon is chairman of the board of Lakeland Bank, headquartered in Oak Ridge. She is also secretary/treasurer of Deacon Homes, Inc. She can be contacted at maryann@deaconhomes.com.
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Summer 2014
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More than 490 members attended the Annual Conference.
A ROUSING SUCCESS IN
Sunny Florida CONGRATULATIONS TO THE 2014-2015 NEW JERSEY BANKERS ASSOCIATION OFFICERS, WHOSE TERMS BEGAN ON MAY 3, 2014 Chairman Gerald L. Reeves President/CEO Sturdy Savings Bank
First Vice Chairman Angela Synder CEO/Vice Chairman Fulton Bank of New Jersey
Nearly 500 members, associate members and guests attended the NJBankers’ 110th Annual Conference at the Marco Island Marriott in Marco Island, Florida. By all accounts it was another successful event, with an overwhelming attendance and a lineup of dynamic speakers. Many thanks to Stewart E. McClure, Jr., regional president, Lakeland Bank, for his service as NJBankers 2013-2014 chairman.
THE NEWLY ELECTED AND RE-ELECTED NJBANKERS DIRECTORS AND OFFICERS NJBankers welcomes the following individuals who will serve on the board of directors: DISTRICT 1: Thomas Kemly, president and CEO, Columbia Bank, and Robert Rey, president and CEO, NVE Bank, were reelected to serve 2-year terms. DISTRICT 2: John Alexander, chairman and CEO, Northfield Bank, was reelected to serve a two-year term; John Fitzgerald, president and CEO, Magyar Bank, was elected to serve a two-year term. DISTRICT 3: James Genoy, Jr. president, treasurer and CEO, Monroe Savings Bank, was reelected to serve a two-year term. CLASS A: Craig Montanaro, president and CEO, Kearny Federal Savings Bank, was reelected to serve a two-year term. CLASS C: Paul Fitzgerald, vice chairman, First Bank, was reelected to serve a two-year term.
16 New Jersey Banker
Second Vice Chairman James S. Vaccaro President/CEO Manasquan Savings Bank
CLASS D: Henry Ingrassia, president and CEO, Glen Rock Savings Bank, was reelected to serve a two-year term. CLASS E: Thomas Holt, senior vice president, Bank of America; Nicholas Miceli, market president, TD Bank; and Michael Nardo, EVP/NE U.S. Market Executive – Corporate Banking, PNC Bank, were reelected to serve two-year terms. James Hughes, president and CEO, Unity Bank, was appointed as an at-large member of the board of directors to a two-year term. NJBankers extends its sincere appreciation to Peter Kenny, district president, executive vice president and director, First Bank, and Frank Kissel, chairman, Peapack-Gladstone Bank, for their service on the NJBankers board of directors; and to Gerald L. Reeves, president and CEO, Sturdy Savings Bank, for his service on the BCG board of directors this past year.
NJBANKERS COMMUNITY SERVICE AWARDS Participation in the Community Service Award program highlights the significant role that banks play in the social and economic well-being of our great Garden State. NJBankers members are a vital part of the communities they serve. The Community Service Awards afford members an opportunity to highlight their institution’s community service initiatives. Forty-seven NJBankers members participated in the 2013
Summer 2014
Congratulations to the following members, by asset size, who received special recognition at the Annual Conference: Less than $300 million Between $300 million and $500 million Between $500 million and $999 million Between $1 billion and $2 billion Between $2 billion and $5 billion Deposits over $5 billion National banks
City National Bank Roselle Savings Bank NVE Bank Peapack-Gladstone Bank Columbia Bank Valley National Bank JPMorgan Chase Bank
The judges were also asked to choose “silver” participants, since it was difficult to choose just one entry per category. Those receiving silver recognition include: Less than $300 million Between $300 million and $500 million Between $500 million and $999 million Between $1 billion and $2 billion Between $2 billion and $5 billion Deposits over $5 billion National banks
Jeff L. Plagge, chairman, American Bankers Association, and president and CEO, Northwest Financial Corp., presents “A View From Washington.”
Millington Savings Bank Century Savings Bank BCB Community Bank Spencer Savings Bank Lakeland Bank Investors Bank Wells Fargo
Community Service Award program. A panel of independent judges who are members of the Public Relations Society of America, New Jersey Chapter, reviewed the entries and six banks received special recognition at the NJbankers 110th Annual Conference. Community participation includes a wide range of activities such as volunteering for, hosting and sponsoring: • Financial literacy programs • Builds for Habitat for Humanity • Local boys and girls clubs, Scouts, Little League, the “Y’s,” and so many more • Scholarships and grants for local students • Prevention of identity theft programs and shred days • Food Banks and food kitchens • Donations to countless community groups for their fundraising efforts • Programs for veterans and their dependents • Fundraising for local police, fire and EMS squads • Walks supporting the March of Dimes, American Heart Association; finding a cure for breast cancer, MS, leukemia, diabetes and so many more • Food drives, toy drives, coat drives, drives for school supplies • Programs for senior citizens • And countless other activities to benefit community-based organizations NJBankers compiles submissions into a book that is distributed to key federal and state legislators as well as New Jersey media outlets. NJBankers encourages members to participate in the program and make your service to your communities known. Calls for entries begin in October and will be announced in the NJBankers Bulletin. continued on next page
Service Awards were presented to Robert J. Mulligan of Valley National Bank and Stephen Miller of Fulton Bank of New Jersey for their years of service to the banking industry.
Incoming Chairman Gerald L. Reeves, president and CEO, Sturdy Savings Bank, addresses conference attendees with his vision for the coming year.
Stewart E. McClure, Jr. installs the new 2014-2015 officers. From left: Stewart E. McClure, Jr., regional president, Lakeland Bank; James S. Vaccaro, president and CEO, Manasquan Savings Bank; and Gerald L. Reeves, president and CEO, Sturdy Savings Bank. Not pictured: Angela Snyder, CEO and vice chairman, Fulton Bank of New Jersey, who was unable to attend the conference.
Summer 2014 New Jersey Banker
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William E. Fredericks, Roselle Savings Bank; Alexandra J. Bauer and Robert J. Tartaglia, JPMorgan Chase Bank, N.A.; Robert Rey, NVE Bank; Gerald H. Lipkin, Valley National Bank; Thomas J. Kemly, Columbia Bank; and Finn M. W. Caspersen, Jr., Peapack-Gladstone Bank, accepted awards on behalf of their banks from NJBankers President John E. McWeeney, Jr., acknowledging their outstanding community service during 2013.
Attendees of the conference visited with service providers in the bustling Exhibit Hall to learn about products and services which benefit member banks.
John E. McWeeney, Jr., president and CEO of NJBankers (right), presents the Forrey-Gallman Award to John R. Garbarino, chairman and CEO, OceanFirst Bank, at the 110th Annual Conference.
Keynote speaker Brad Meltzer, best-selling author and host of the History Channel’s “History Decoded,” at the book-signing.
Alfred A. Dellibovi, pictured here with wife Liz, received special recognition from NJBankers President and CEO John McWeeney, Jr., for Years of Service upon his retirement from the Federal Home Loan Bank of New York.
NJBankers has developed a slide presentation from the many contributions banks made throughout the year and that were submitted as a part of the program. The presentation preceded the Second General Session and provided a taste of the many community-spirited activities in which members participate. The slide presentation will also be shown before the start of NJBankers seminars and conferences.
FORREY-GALLMAN AWARD On behalf of the NJBankers Board of Directors and membership, President and CEO John E. McWeeney, Jr., presented the 2014 Forrey-Gallman Award to John R. Garbarino, chairman and CEO of OceanFirst Bank, at the First General Session. The award is bestowed upon members who have demonstrated long-term outstanding service to the New Jersey banking industry. The award is named for Robert C. For-
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rey and Emil A. Gallman, long-time chief executive officers of the New Jersey Bankers Association and the New Jersey Savings League, respectively, who inspired association members with their leadership in assuring that members were well represented in the areas of government relations, public relations and educational opportunities. Garbarino is chairman and CEO of both OceanFirst Bank and its parent company, OceanFirst Financial Corp. He had previously served as president of both companies from 1985 and 1995 respectively, relinquishing those positions in July 2010 in accordance with the company’s succession planning. He is also chairman of OceanFirst Foundation since its inception in 1996, the first private foundation established in connection with the demutualization of a thrift institution, which has become the model for many subsequent public offerings.
Garbarino’s service to the industry includes three elected terms on the board of the Federal Home Loan Bank of New York (1995-2003). He also has a distinguished history of involvement with a predecessor trade association to the New Jersey Bankers Association (New Jersey Savings League) serving on numerous committees and subsidiary boards from the 1970s through the 1990s. He was elected chairman of the board of the New Jersey Savings League for 1991-1992. He is also a past director of America’s Community Bankers, predecessor to the American Bankers Association. Garbarino is currently completing his 10th year as a trustee of New Jersey-based Monmouth University and also has been a director of Meridian Health since its formation in 1997. He has been active in numerous other community and business organizations throughout his 42-year career as a community banker. ■
Summer 2014
Feature
Social Media – A Growth Channel Banks Can No Longer Ignore By John Siracusa
W
hether a bank should invest in social media has been a question troubling the banking industry for years. Whether a bank should increase John Siracusa its investment as well as engagement level in the online “social world” is a challenge. Three years ago, it was fine for banks to say they didn’t see any growth opportunities in social media. Today, that kind of thinking may no longer be a valid statement. In fact, it is just plain denial.
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The “Diffusion of Innovations” graph by Everett Rogers, communication scholar and sociologist, shows the percentage of a sample that applies to each stage of the adoption of innovation (see page 22). Applying this bell curve to social media, you will find that banks are at about a 50 percent adoption rate of social media (i.e., Innovators, Early Adopters, Early Majority) based on simple math (banks currently invested in social media compared to banks that are not). There are approximately 2,300 banks on social media. Thus, the years 2014 into 2015 are predicted to be the transitional years that banks will move from the Early Majority stage to Late Majority; and sometime during 2017-2018, the Laggards stage will happen.
The innovators and early adopters have already implemented their social media strategies. They’ve moved on to improving their strategies based on experience and empirical data, while everyone else will likely face challenges playing catch-up. The question that banks will have to answer now is not whether they should have a Facebook page, but determining the right strategy to implement and execute before the end of the year. Even though the importance of social media and banking is crystal clear, many banks will not act on the challenge. Why do I take such a strong stance on this subject? For years, many banks questioned and struggled with anything related to social media, whether that struggle was over doing nothing or having a small online presence with a very limited un-engaged audience base. Comparatively speaking, a bank could get away with poor social media performances because other banks were not doing so well in that area either. Thus, in many cases, industry-wide adoption of a powerful brand on social media was not seemingly needed; there were no exceptions, no outliers with a strong online presence. However, consumers’ purchasing behavior has changed. It is really no mystery that most consumers now find, interact, and make purchases through the Internet. By 2015, every human is expected to consume about 15 hours of content a day. With that, there is certainly enough content on the Internet alone to keep consumers busy for more hours than they have available. This is a major cause of change in the relationship between banks and their customers and vice-versa. The landscape is changing, and banks would do well to change with it. Some banks are doing just that. One example is Boiling Springs Savings Bank in New Jersey. Before I go into a detailed case study, I want to point out the four major differentiating traits between banks that utilize social media for business interests and do it well compared to other banks.
Summer 2014
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BANKERS ARE BELIEVERS The banks that do very well do so because they believe in what they are doing and that social media will make a difference. “As bankers, I am sure you can agree that we are intrigued by the potential that social media could have on managing reputation, improving marketing effectiveness, and increasing sales. Social media provides a costeffective method for ‘spreading the word.’ For seasoned bankers such as ourselves, the challenge with social media is not ‘does it work.’ It is accepting the fact that it does,” said Debra Cannariato, vice president of marketing and sales manager at Boiling Springs Savings Bank. First and foremost, if management does not believe that investing in social media will garner any real results, they will not achieve any real results. If management believes it will provide results, then it will. Imagine your 12 year-old kid trying out for baseball and he hates it – and you saying, “Come on Jimmy, hit it out of the park.” If he says “I can’t, Mom, I just can’t,” what are his chances of making it onto the varsity team? Bankers that believe in investing in social media have achieved and garnered terrific results. The ability to build an effective social media presence and strategy lies in two very important and distinct facts: you must have a powerful strategy and the logistics to execute that strategy. If building a social media presence is not part of the strategic plan, or even on the strategic radar of a bank’s senior management, then no marketing department in the world will be able to gather the resources to build a social media presence that could make any difference at all. Often, members of senior management are not believers in social media. This thought is 90 percent of the issue that banks face in social media today. However, they cannot be blamed because no one else has proved them wrong – yet.
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BANKING IS BORING; BANKS ARE NOT I am going out on a limb here to state a fact: banking products might not be the most exciting products in the world, but that doesn’t mean that your bank’s social media needs to mirror your products. The good news is that
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Summer 2014 New Jersey Banker
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Feature DIFFUSION OF INNOVATIONS 34% EARLY MAJORITY
34% LATE MAJORITY
13.5% EARLY ADOPTERS
16% LAGGARDS
2.5% INNOVATORS
customers, but 1,000 blog posts will. Thus, try to get to 1,000 blog posts as soon as possible, and you will start to see new customers. If you do not follow points one and two, you will have a hard time even reaching 20 blog posts. I once spoke at a banking event where an executive in the audience said, “None of my customers use social media,” and I replied, “You’re probably right, the customers that do use social media are banking somewhere else.”
‘LET’S JUST DO IT’ SOURCE: EVERETT ROGERS DIFFUSION OF INNOVATIONS MODEL.
you do not have to talk about products on social media in order to market them. In fact, the more you talk about products, the less you will sell. Although social media has changed the way businesses interact with their customers, one thing stays constant – the relationship. Building relationships in social media is a little different than face to face, but the
principles remain the same. Consumers have to like you before they do business with you. Being “OK” with becoming likeable in social media is one of the biggest challenges that banks need to overcome in order to really build something great in social media.
ROI IS ALL IN THE BRANDING A single blog post will not get you any new
There are 1,000 excuses not to put serious effort into social media marketing, and really only one that shows that you should, one that is more powerful than the 1,000 excuses combined. It is called growth and building a powerful brand for years to come. It was much easier, in the short run, for a bank’s brand to ignore social media because building and maintaining an effective social media presence is hard to do. However, it is no longer a bonus; it is a necessity. With a little practice and confidence, you will eventually figure it
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22 New Jersey Banker
Summer 2014
out and make it happen. I hope this case study will help to serve as inspiration of what’s possible.
BOILING SPRINGS SAVINGS BANK Boiling Springs Savings Bank began seriously building a social media presence a little over two years ago. Like every brand, the question of “what content is interesting to share” was top of mind. Fortunately, the bank’s marketing team, as well as its senior vice president of retail, were ready and willing to figure it out. Social media, to a consumer of the content shared, is an emotional journey that ranges from “LOL” to tears of sadness, to empathy and everything in between. Social media documents our emotional rollercoaster – internally we all feel, but hold back and learn to diminish over our years of experience in the corporate world. A lot of times, it’s very hard to see the emotional connection with the intended market and do something meaningful and effective with that connection. But financial marketers have to realize that it’s the emotional connection that builds the brands of the future. With that in mind, BSSB began to dedicate time focusing on creating valuable content centered on the bank’s Community Alliance Program – a partnership program offered to community based non-profit organizations. Things really took off once the bank’s BeGreat Blog (bssbank.com/begreat) was established. Boiling Springs developed a social arena for the over 325 nonprofits enrolled in the program to showcase their mission, highlight an event and gain more supporters. Some data about their social media presence to date: • BSSB has had on average 2,594 unique visitors to its blog every month. • It has had a post that exceeded 2,000 unique visitors and multiple others that exceeded 500 unique visitors. • On average, it has 657 people engaged weekly on Facebook. • Most importantly, a large percentage of employees of Boiling Springs Savings Bank contribute content to the social media channels of the bank and are engaged with the bank’s social media pages.
Today, well-written blog posts are submitted by members of the nonprofit organizations, BSSB employees, and others who may have been touched by an article they read. The senior vice president of retail wrote a post on “Making a House Feel Like a Home with a Homeless Pet” for the Humane Society of Bergen County. Countless other employees and executives write posts and participated in the “take pictures with Boiling Buck” campaign. You can view the BSSB social pages at: • www.fb.com/bssbanknj • www.fb.com/boilingbuck • www.twitter.com/bssbanknj • www.twitter.com/boilingbuck • www.bssbank.com/begreat To conclude, I am genuinely asking you – how can you expect a community to believe that you care about them if you do not invest in the single most important path to communicating with them? Social media is a powerful way for community banks to show their markets that they are much more than just
a percentage point, or the place where their money is, or as Brett King, international best selling author and the co-founder and CEO of Moven, states in his book, “Bank 3.0,” “Banking is no longer somewhere you go, but something you do.” Will your community define your brand based on your digital products? Or will they love your brand because of your digital presence? ■ John Siracusa is president and CEO at NJBankers Endorsed Service Provider mOSa. mOSa helps retail financial institutions grow within their markets through building powerful social media brands with highly compelling social media pages that attract and engage their communities and their markets. Siracusa may be reached by email at js@mosaone.com or (201) 941-1458 ext. 708. He can also be reached through Linkedin at www.linkedin. com/in/siracusa; Facebook at www.fb.com/ mosamarketing; Twitter at @johnsiracusa. For more information, visit www.mosaone.com.
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Summer 2014 New Jersey Banker
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Feature
Banks Must Comply with New Affirmative Action Rules FOR VETERANS AND INDIVIDUALS WITH DISABILITIES By Patrick W. McGovern and Allison B. Gotfried
E
ffective March 24, 2014, federal contractors that are already covered by Section 503 of the Rehabilitation Act of 1973 or the Vietnam Era Veterans’ Readjustment Assistance Act of 1974 (VEVRAA) must meet more rigorous affirmative action requirements for protected veterans and individuals with disabilities (IWDs). In the first part of this article we address in detail the new requirements imposed by the OFCCP on federal contractors, including financial institutions that Patrick W. McGovern purchase federal share or deposit insurance, relating to their recruitment and hiring of special disabled veterans, veterans of the Vietnam era, disabled veterans, recently separated veterans, Allison B. Gotfried active duty war-
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time or campaign badge veterans and armed forces service medal veterans. Veterans have relied for years on the protections of VEVRAA. The OFCCP’s new rule mandates, for the first time, development of affirmative action plans (AAPs) for veterans, the collection of veteran hiring and applicant tracking data, and measuring hiring data against a national benchmark percentage. The second part of this article explains the OFCCP’s new rule requiring tracking of applicants with disabilities, affirmative action plans, outreach and recordkeeping requirements, which go far beyond the existing requirements of the Rehabilitation Act and the Americans with Disabilities Act.
NEW RULE REGARDING RECRUITMENT AND HIRING OF VETERANS Financial institutions purchasing federal share or deposit insurance have long been required to comply with Executive Order 11246’s affirmative action requirements. Banks that entered into or modified a federal contract with a threshold value of at least $100,000 on or after Dec. 1, 2003, must conform their AAPs to the final rule for protected veterans by no later than March 24, 2014. The key new requirements of the final veterans rule include setting a hiring benchmark (based on OFCCP or Bureau of Labor Statistics databases), collecting and preserving hiring data, performing quantitative comparisons on the number of veteran applicants versus veteran hires, inviting applicants to self-identify as veterans (both preand post-employment offer), using specific language when incorporating the EEO clause into a commercial contract and granting OFCCP access to review the hiring documents the employer collects (including providing the records).
The rule’s introduction of a veteran benchmark is controversial. OFCCP maintains that the hiring benchmark must be established annually regardless of the contractor’s utilization of women and minorities, and the current benchmark is 8 percent. Also new with this rule is the requirement to educate contractor employees about the duty to make affirmative action efforts for veterans. The rule outlines eight steps the contractor must take to disseminate its policy in the workplace, and requires training of all employees responsible for recruiting, screening and selection, to ensure that affirmative action requirements are implemented. Finally, the OFCCP articulated its position regarding accommodation, indicating that a contractor that identifies a disabled veteran who is having significant difficulty performing a job must confidentially inquire whether the veteran’s problem is disabilityrelated and whether a reasonable accommodation is needed.
NEW RULE REGARDING RECRUITMENT AND HIRING OF IWDS The threshold for coverage by the rule relating to IWDs is lower – any contract in excess of $10,000 triggers coverage, except that the rule’s AAP requirements apply only to a contract of $50,000 or more. The most controversial requirement introduced by the new rule is the 7 percent utilization goal for IWDs against which a contractor must evaluate itself annually in each job group, or in its entire workforce. A contractor that fails to meet the 7 percent goal must assess its personnel, recruitment, affirmative action and other processes that may explain falling short of the 7 percent goal. Once the failure analysis is complete, the contractor must take action to correct problem areas. The rule states that failure
Summer 2014
to meet the goal does not constitute a finding or admission of discrimination, and the 7 percent goal is “not a quota or a ceiling, but is a management tool that informs decisionmaking and provides real accountability.” It remains to be seen whether this language and the OFCCP’s commitment to periodically update the 7 percent goal will be observed during audit. Other key requirements of the rule for IWDs include development of AAPs, collection of hiring data to allow quantitative comparisons of IWD job applicants and hires, inviting applicants to self-identify as IWDs at the pre- and post-offer stages, using the approved EEO language in contracts and policy statements, and providing job listings to job services.
RECORDKEEPING REQUIREMENTS Both rules require retention of many personnel records for two years, but for only one year in the case of a small busi-
ness. The retention period is three years for documents evidencing compliance efforts, policy dissemination, outreach efforts and benchmark hiring and comparative hiring data. The OFCCP’s self-identification form is available at www.dol.gov/ofccp.
WHAT THIS MEANS FOR YOUR BANK The rules took effect on March 24, 2014, but if by then the contractor’s AAP period had begun, the new affirmative action obligations take effect on the first day of the next AAP period. Covered banks should review and revise their AAPs, data collection and document retention policies now to ensure they comply with the new requirements. Data tracking software and recordkeeping practices must be updated now to ensure that they collect and preserve applicant and hiring data. Now is the time to review job listings, solicitations and advertisements with legal counsel and include the correct equal opportunity employer language.
To comply with the new veterans rule, contractors must establish a hiring benchmark to measure progress. For IWDs, contractors must make sure their recruiting materials and job postings promote job accessibility to IWDs, because hiring data will be measured against the new 7 percent utilization goal. It is imperative that human resources, managers, and supervisors who are involved in the hiring process are familiar with the rules’ requirements. All networking, recruiting and hiring plans must be reviewed now to ensure that covered veterans and IWDs have equal hiring opportunities in the contractor’s workplace. ■ Patrick W. McGovern is a partner at Genova Burns Giantomasi Webster in the labor law practice group, and can be reached at (973) 535-7129 or pmcgovern@genovaburns.com. Allison B. Gotfried is an associate in the labor law practice group. She can be reached at (973) 646-3297 or agotfried@genovaburns.com.
Summer 2014 New Jersey Banker
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Bank Notes
Anthony J. Altadonna
Joseph F. Rehm
Brian Timberman
Tricia Hrotko
Anthony J. DeSalle
José R. González
Kelly Siegfried
Theresa M. Trainum
Steven M. Fusco
Harvey R. Hirschfeld
CAPITAL BANK OF NEW JERSEY Anthony J. Altadonna, chief lending officer, will be retiring effective June 13, 2014. Altadonna’s banking career spanned 40 years, including the first 10 as a bank examiner for the FDIC. Joseph F. Rehm was promoted to executive vice president and chief lending officer effective June 13. Rehm has been employed in commercial lending for over 15 years. He graduated from the Stonier Graduate School of Banking and Wharton Leadership Program in 2013. Rehm actively serves on the boards of several local organizations. Brian Timberman has been hired as vice president and Gloucester and Salem County Market Manager. Timberman has been a South Jersey banker for nearly 30 years. He currently serves as chairman of the Salem County Vo-Tech School Educational Foundation and as vice chairman of Memorial Hospital of Salem County.
CLIFTON SAVINGS BANK Tricia Cademartori Hrotko has been appointed to executive vice president and chief revenue officer. Hrotko is responsible for the integration of all revenue-related functions, including strategic planning, marketing and sales, product development and pricing, and client service and support, with the ultimate goal of driving profitable growth. She is a graduate of Bryant University, Rhode Island.
CREST SAVINGS BANK Anthony J. DeSalle has been named senior vice president and chief financial officer. He will be responsible for financial control, plan-
26 New Jersey Banker
ning and performance of the bank. DeSalle joined Crest Savings Bank with over 10 years of banking experience. He is a CPA and holds a bachelor’s degree in economics, with a concentration in finance, from the Wharton School, University of Pennsylvania, and an M.B.A. from the College of Commerce and Finance of Villanova University.
FEDERAL HOME LOAN BANK OF NEW YORK José R. González has been named president and CEO of the Federal Home Loan Bank of New York following Alfred A. DelliBovi’s retirement. González served as vice chairman of the board of directors of the FHLBNY from 2008 through 2013, as the chair of the Compensation and Human Resources Committee in 2008, and has served as an elected industry director since 2004. Prior to joining the FHLBNY, he served as senior executive vice president of banking and corporate development for OFG Bancorp. González is a former member of the board of directors of Santander BanCorp, a bank holding company, since 2000. From 2002 to 2008, he was vice chairman of the board, president and CEO of Santander. He is a past president of both the Puerto Rico Bankers Association and the Securities Industry Association of Puerto Rico. González has a bachelor’s degree in economics from Yale University and an M.B.A. and J.D. from Harvard University.
TWO RIVER COMMUNITY BANK Kelly Siegfried has been appointed vice president and commercial loan officer. Sieg-
fried brings over 26 years of experience in the financial services industry with a background in commercial lending, wealth management, private banking and credit analysis. She received her bachelor’s degree in business administration in finance and economics from Western New England College and obtained a certificate in financial planning from Fairleigh Dickinson University.
CENTURY SAVINGS BANK Timothy McGill has been promoted to vice president and director of information technology. McGill has been a vital member of the Century Savings Bank management team for seven years. As the former assistant vice president of information and technology, McGill has been responsible for the development and management of several key components of bank security, IT platform and infrastructure. In his new capacity, McGill will be responsible for continued development, administration, and management of information security controls that will strengthen the bank’s security and IT platforms.
PEAPACK-GLADSTONE BANK Glenn R. Straffi has been appointed to senior vice president and head of residential mortgage lending. Straffi brings to the bank 27 years of financial industry experience, concentrated in the lending arena. He will pursue a relationship-based approach to deliver a superior client experience and competitive relationshipbased pricing. David Nunez has been named vice president, head of community banking
Summer 2014
and senior credit underwriter. Nunez will oversee the bank’s new community banking underwriting and portfolio management group. He brings with him over 25 years of experience in the financial services industry. Nunez holds a bachelor’s degree in economics from Montclair State University. Alex Battey has been named managing director and relationship banker. Battey is responsible for strategically growing the bank’s deposit account business. With over 25 years of sales and operational experience, he is now part of the team responsible for strategically growing the Bank’s deposit account business. Battey holds a bachelor’s degree in human biology from Stanford University and an M.B.A. from Harvard University.
SUN NATIONAL BANK Theresa M. Trainum has been named senior vice president and chief operations officer. Trainum will oversee daily operations and team management at Sun Home Loans, leading initiatives across key areas including strategic
planning, compliance, finance, customer service, business development and marketing.
SUSSEX BANK Kathryn Tiedemann has been appointed vice president and manager of the loan operations department. Tiedemann has over 20 years of experience in loan operations and loan administration. She is a graduate of the ABA Stonier National School of Banking and has received certificates from the ABA National Commercial Lending School and Omega Commercial Lending. Martin Whalen has been appointed as vice president of the commercial lending department. Whalen has over 20 years of commercial lending experience in the tristate market. Whalen earned his MAI designation and is a certified commercial appraiser in the states of New Jersey, New York and Connecticut. Steven M. Fusco has been promoted to senior executive vice president of the company and of the bank. He will also continue to serve as the chief financial officer of both the
company and the bank. Fusco is a career banker with over 27 years of financial experience. He holds both a bachelor’s degree in finance from Seton Hall University and an M.B.A. in management information systems from Saint Peter’s University. He is also a Certified Management Accountant and Certified Financial Manager. Neill Schreyer has been promoted to executive vice president. Schreyer has over 30 years of banking experience. He holds both a bachelor’s degree from Rutgers University and an M.B.A. from Fairleigh Dickinson University.
ORITANI BANK Harvey R. Hirschfeld has been appointed to Oritani Bank’s board of directors. Hirschfeld is president and director of Brooklyn, NY-based Plaintiff Funding Holding Inc. He is a graduate of Fairleigh Dickinson University and has more than 35 years experience in consumer and commercial lending as well as financial administration. Hirschfeld serves as chairman of the American Legal Finance Association. ■
NJBA members receive an additional 5% discount on car insurance through Plymouth Rock Assurance. Call 888-391-4910 or visit NJBAQuote.com today for your free quote and special 5% discount.
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Plymouth Rock Assurance is a marketing name used by a group of separate companies that write and manage property and casualty insurance in multiple states. Insurance in New Jersey is offered by Plymouth Rock Management Company of New Jersey on behalf of High Point Property and Casualty Insurance Company and its affiliates. Each company is financially responsible only for its own insurance products. Certain restrictions and limitations apply. For a full description of the programs, features, and coverages, please visit PlymouthRockNJ.com. Group discounts apply to policies written in High Point Property and Casualty Insurance Company. May not be combined with any other group discounts. ©2014 Plymouth Rock Management Company of New Jersey. All rights reserved. 7353/022014
Summer 2014 New Jersey Banker
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Bank Shots
Atlantic Stewardship Bank hosted a children’s pajama and book drive to support the “1 Million Good Nights Pajama Program.” Bank customers and associates were asked to donate new, unused pajamas and books to help the Pajama Program reach its goal of providing 1 million good nights to children in need.
Columbia Bank, through the Columbia Bank Foundation, presented an $11,000 grant to Paterson Habitat for Humanity. The grant helped fund the construction of new Habitat homes in the greater Paterson area. Dave Juliana, Paterson Habitat’s chief financial and operating officer, Thomas Kemly, Columbia Bank’s president and CEO, and James Quinlan, president of Paterson Habitat’s board of directors, participated in a special check presentation.
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28 New Jersey Banker
Summer 2014
Customers and social media fans helped Susquehanna Bank far exceed its goal of donating a million meals to area food banks during the bank’s fourth annual “virtual food drive.” The campaign helped raise funds for more than 361,000 meals. Pictured from left to right: Chris Warren, central NJ commercial executive, Susquehanna Bank; Joe Njoroge, COO/ CFO, Food Bank of South Jersey; Kathie Stone, central NJ regional president, Susquehanna Bank; Jeremy Shackleford, central NJ retail executive, Susquehanna Bank; Tom Sims, chief development officer, Food Bank of South Jersey; and Don McCarty, formerly of Susquehanna Bank.
Roselle Savings Bank was presented with an official borough proclamation recognizing its 125th anniversary during an Employee Appreciation Reception. Roselle Mayor Jamel C. Holley proudly presented the document to bank officials. Pictured, left to right: William Fredericks, director; and Jill Schafhauser, president and CEO, Roselle Savings Bank; and Holley.
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Summer 2014 New Jersey Banker
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Bank Shots
Peapack-Gladstone Bank’s Next Step Shoe Drive to benefit Mane Stream was successful with the help of the bank’s employees.
The Provident Bank and its wealth management subsidiary Beacon Trust Company participated in the “National Go Red for Women Day.” Employees wore jeans and something red for the day and donated $5 to support the cause. Registered nurses were on site to provide blood pressure screenings, demonstrate hands-only CPR and distribute heart healthy information. The Provident Bank Foundation also donated $2,200 to the program, resulting in a combined total donation of more than $5,000. Pictured are employees of Beacon Trust Company. From left, Wells Fargo Northeast New Jersey Area President Carlos Arroyo, Community Development Officer Tomas Porturas, District Manager Chafic Rouhana, and Store Manager Kathleen Zambrano present Robert Halsch, executive director of Greater Bergen Community Action Inc. in Hackensack, with a $10,000 grant to support its anti-poverty programs.
Magyar Bank employees participated in Read Across America Day, a nationwide reading celebration that takes place annually in conjunction with Dr. Seuss’s birthday. Magyar employees visited the Conerly Road School in Somerset and read to first- and second-grade classes. Ken Bland, community relations specialist, Pam Jasones, Bridgewater branch manager, and Jo Anne Fabiano, Branchburg branch manager, participated.
The OritaniBank Charitable Foundation awarded two $10,000 grants to Washington Township first responders. A $10,000 grant was awarded to the volunteer fire department and another $10,000 grant was awarded to the volunteer ambulance corps. The grants were awarded as part of the foundation’s annual “thank you” to volunteer emergency service providers. OritaniBank Chairman, President and CEO Kevin Lynch presents a ceremonial check to first responders.
30 New Jersey Banker
NVE Bank awarded a $2,500 scholarship to a first-year Bergen Community College student for producing a winning financial literacy Public Service Announcement. The scholarship was awarded as part of the Englewood-based mutual bank’s annual scholarship contributions to the Bergen Community College Foundation. NVE Bank President and CEO Robert Rey (left) presented the scholarship.
Summer 2014
THE POWER OF AN ADVANCE
Photo courtesy of DBOX.
One advance can help fund hundreds of neighborhood needs. FHLBNY advances are a reliable liquidity source for our member lenders to finance home mortgage, small business, and economic development activities. Sun National Bank, an FHLBNY member, used an advance to help renovate Congress Hall, a historic hotel and conference facility in Cape May, New Jersey. The project not only created more than 160 permanent local jobs and up to 350 jobs during peak season, but it preserved a registered National Historic Landmark building, maintaining the community’s vibrancy. Contact us to see how the power of an advance can improve your community.
101 Park Avenue, New York, NY 10178 | (212) 441- 6700 | www.fhlbny.com Note: The Federal Home Loan Bank of New York uses the word “advances” to refer to the loans it provides to our member lenders.
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