Palmetto Banker Summer 2015

PALMETTO BANKER SUMMER ISSUE 2015-3

SOUTH CAROLINA BANKERS ASSOCIATION

A LOOK BACK AT THE 2015 ANNUAL CONVENTION A PROFILE OF S.C.’S FIRST BANK WOMEN IN BANKING: PAST & PRESENT

SCBA GIVES $42,000 IN SCHOLARSHIPS

DAVID LOMINACK TAKES REINS AS SCBA CHAIRMAN

Contents 2009 Park Street, Post Office Box 1483 Columbia, S.C., 29202-1483 Phone: 803.779.0850; Fax: 803.779.0890 Web: www.scbankers.org Chairman David M. Lominack TD Bank, N.A., Greenville Chairman-Elect Robert R. Hill, Jr. South State Bank, Columbia First Vice Chairman Cur s A. Tyner, Sr. Heritage Community Bank, Hartsville Treasurer David L. Morrow CresCom Bank, Charleston Immediate Past Chairman H. Blake Gibbons, Jr. The Ci zens Bank, Olanta SCBA Staff President and CEO Fred L. Green, III

David Lominack Takes Over as Chairman of the SCBA, Page 5

Manly Eubank has a New Role with Carolina Financial Corp., Page 15

Chairman’s Message A Look Back at the 2015 Annual Conven on

2 6-11

Half-Century, 35-Year Club Honorees

8

In Memorium

9

Execu ve Vice President, CFO/BankPAC Treasurer Donna S. Taylor

Laffi e Feted as Outstanding Young Banker

11

Execu ve Vice President, Employee Benefit Trust/ South Carolina Bankers School Teresa D. Taylor

SCBA Sees Busy 2015 Legisla ve Session

12

Execu ve News

15

Bank News

17

Personal Transac ons

18

Profiling South Carolina’s Very First Bank

20

Banks Give in Wake of Charleston Shoo ng

24

SCBA Awards $42,000 in Scholarships

25

New Associate Members

28

.bank Domain: What Does It Mean to You?

30

Good Samaritans

32

Senior Vice President, Conven ons/Conferences E. Anne Gillespie Senior Vice President, Legisla ve & Regulatory A. O’Neil “Neil” Rashley, Jr. Vice President, SCBA Services, Inc. Carolyn E. Laffi e Director, Adver sing & IT M. Caroline Sheorn Administra ve Assistant Bonnie E. Nelson Director, Marke ng and Communica ons; Editor, Palme o Banker R. Kevin Dietrich The Palme o Banker is a publica on of the South Carolina Bankers Associa on. The magazine exists to serve its members by communica ng news of interest, educa on and SCBA ac vi es.

Items from members are welcome, however the editor reserves the right to refuse copy. With the excep on of official announcements, the SCBA disclaims responsibility for opinions expressed and statements made in ar cles published in the Palme o Banker.

Cover: New SCBA Chairman David Lominack with wife Courtney, and

children Henry, 12, James, 10, and Lynne, 6, at the SCBA Annual ConvenƟon at Belmond Charleston Place in Charleston.

Chairman’s Message

Gibbons: Looking Back at a Year of Accomplishments

O

ver the many years I’ve been involved in banking I’ve had the opportunity to serve in many posi ons with the South Carolina Bankers Associa on. I was fortunate to serve as chairman of the South Carolina Bankers School, the South Carolina Bankers Employees Benefit Trust and be ac ve with the Community Bankers Council.

During my me in those posi ons I was able to watch and learn from the great bankers that led this organizaon, individuals who would ul mately serve as my examples during my term as chairman of the South Carolina Bankers Associa on.

There is a saying that we stand on the shoulders of those who came before us. In my case, I had the privilege of Gibbons having had many sets of shoulders to stand on, including my immediate predecessor Art Seaver, his predecessor Rick Redden and, before them, Sharon Bryant.

I was also blessed to be able to work with a great staff at the SCBA and to have received their full backing.

When I sat down and looked back over the past year, I realized that we, working together, were able to accomplish a great deal.

I’d like to share a few highlights with you: • We started the year with an offsite board mee ng at Brosnan Forest, where we reviewed the progress of our strategic plan; • Our next big event was in January at the SCBA’s Legisla ve Recep on, and, as I said at the Annual Conven on, I shook so many hands that I started to feel like a poli cian myself; • Throughout the year we added five new bank members. Although the overall number of banks is down

2

in South Carolina from its peak, the market share of our member banks is at an all- me high – 99.5 percent; • Associate members, important to our banks and our Associa on, grew to an all- me high this past year; • We’ve been busy with educa onal seminars, conferences and workshops. We had 26 events throughout the year and the 2,000-plus individuals in a endance speaks to the quality of the speakers and the relevance of the topics; • In March we had 30-plus bankers go to Washington to meet with our congressional delega on. In addion to very produc ve mee ngs, we had dinner with two congressmen as a group, lunch with another and Rep. Tom Rice gave us a private tour of the Capitol Building a er hours; • We had many legisla ve successes in-state. As President and CEO Fred Green has stated, most of what we do is defensive in that we keep bad things from happening. During the past legisla ve session the perfect example of this was a piece of legisla on that sought to make the banking industry responsible for fixing South Carolina’s roads. A bill was introduced that would have required all overdra fees collected by all banks doing business in South Carolina to be turned over to the Treasurer for the purpose of fixing our state’s roads. It was, of course, killed off.

• Finally, I’m able to step aside knowing that I’m leaving the SCBA in good hands with a board that is very energe c and engaged, and a new chairman in David Lominack who is enthusias c and capable.

I’ve been fortunate to have had the encouragement of my board throughout not just my term as chairman of the SCBA, but all through the years I’ve served the Associa on in different

capaci es.

I’ve also had the love and support of my beau ful wife Sherrilyn for more than 40 years, and for that I am eternally grateful.

In closing, I’d like to highlight why I believe our associa on is the best state banking associa on in the country.

Ul mately, it comes down to the people who make up the SCBA. As bankers, we play a key role in the economic wellbeing of South Carolina. We are cri cal

‘There is a special kinship among the members of the South Carolina Bankers Associa on ... our underlying goal is to improve the well-being of our state, both now and for future genera ons.’ to the support of every community in the state, and that’s a privilege and responsibility all of us take seriously each and every day.

We may compete against each as separate banks, but we serve the state collec vely as bankers.

There is a special kinship among the members of the South Carolina Bankers Associa on, and I believe all of us understand that no ma er how hard we work for our individual banks, our underlying goal is to improve the wellbeing of our state, both now and for future genera ons.

Finally, allow me to say it has been an honor to work with all of you. I thank you for giving me the privilege of serving as chairman of our esteemed organiza on.

(H. Blake Gibbons Jr. is the immediate past-chairman of the South Carolina Bankers Associa on.)

Your building, your vault, your money and your people: Protect them all.

At the heart of every community is its bank. And at the heart of every bank are its people. That’s where our coverage starts, but it extends so much further. In one comprehensive package, we provide community banks with everything from traditional property and casualty to management liability insurance. The right policy is still only one part of your insurance carrier’s value. Travelers partners with you to help educate your bank on emerging and potential risks, and provides tools and solutions to better prepare your bank for the future. Contact your independent agent today.

travelers.com Š 2015 The Travelers Indemnity Company. All rights reserved. Travelers and the Travelers Umbrella logo are registered trademarks of The Travelers Indemnity Company in the U.S. and other countries. The Travelers Indemnity Company and its property casualty affiliates. One Tower Square, Hartford, CT 06183

&ŝŶĂŶĐŝĂů ƐŽůƵƟŽŶƐ͘ Focused on you.

More than 100 banks in the Southeast, large ĂŶĚ ƐŵĂůů͕ ĚĞƉĞŶĚ ŽŶ ůůŝŽƩ ĂǀŝƐ ĞĐŽƐŝŵŽ ĨŽƌ ƉĞƌƐŽŶĂů ĂƩĞŶƟŽŶ͕ ŝŶĚƵƐƚƌLJ ĞdžƉĞƌŝĞŶĐĞ ĂŶĚ ƐĞƌǀŝĐĞƐ͕ ŝŶĐůƵĚŝŶŐ ĞdžƚĞƌŶĂů ĂŶĚ ŝŶƚĞƌŶĂů ĂƵĚŝƚ͕ ^ ƌĞƉŽƌƟŶŐ͕ ƚĂdžĂƟŽŶ ĂŶĚ ĐŽŵƉůŝĂŶĐĞ͘ KƵƌ ĮŶĂŶĐŝĂů ƐĞƌǀŝĐĞƐ ƉƌĂĐƟĐĞ ŝƐ ϵϬ ƉƌŽĨĞƐƐŝŽŶĂůƐ ƐƚƌŽŶŐ͕ ǁŝƚŚ Ă ϲϬͲLJĞĂƌ ƌĞƉƵƚĂƟŽŶ ĨŽƌ ŚĞůƉŝŶŐ ďĂŶŬƐ ŽƉĞƌĂƚĞ ƐƚƌŽŶŐĞƌ͕ ǁŝƐĞƌ͕ ďĞƩĞƌ͘

Discover how our 360° service can be an asset to your business.

Jason Caskey, CPA &ŝŶĂŶĐŝĂů ^ĞƌǀŝĐĞƐ WƌĂĐƟĐĞ >ĞĂĚĞƌ

Alabama

|

Georgia

|

North Carolina

|

Ohio

|

South Carolina

|

Te n n e s s e e

|

Virginia

|

elliottdavis.com

Cover Story

TD’s Lominack Takes Reins as New SCBA Chairman Kevin Dietrich Palme o Banker Editor

and CEO Fred Green said.

“David’s been involved with the South Carolina Bankers Associa on since he ew South Carolina Bankers got into banking, beginning with the Associa on Chairman David Young Bankers Division,” Green said.

Lominack represents the chang- “He worked his way onto the board and ing face of the Palme o State’s banking we’re delighted that he’s now chairindustry. man.”

On one hand, Lominack is a homeLominack began his banking career grown banker. The South Carolina marwhile s ll a student at Presbyterian ket president for TD Bank, Lominack’s College, taking a posi on as a summer office in Greenville’s Poinse Plaza is teller at Greenville-based Carolina First approximately 1.5 miles from the house Bank. he was reared in.

“I had been doing construc on and Conversely, TD Bank is a subsidiary wai ng tables during summers but before my senior year in college I decided I should probably try to get a summer job in a more professional setng to get the experience.

I don’t remember exactly how I decided on banking but I ended up a summer teller at Carolina First.”

Lominack said that it was while he was serving as a teller during the summer of 1996 that Carolina First’s management training program caught his eye.

“It was a year-long program and I liked the department rota on aspect of the program” he said. “I was drawn to the broad perspecve you would gain from spending me in so many different areas of the bank and having the opportunity to meet and interact with so many different people.

David Lominack, South Carolina market president for Lominack was hired by TD Bank, N.A., at the 2015 Annual Conven on, shortly Carolina First a er finisha er being elected incoming chairman for the South ing at Presbyterian in 1997, Carolina Bankers Associa on. went through the training of Canadian-based Toronto-Dominion program and was soon put in charge Bank, marking the first me an SCBA of a branch. He considers his role as chairman has been associated with a branch manager pivotal to his career. non-domes c headquartered opera on.

“I always tell young bankers who have As the SCBA’s 115th chairman, Lomiaspira ons to run a city, a region or a nack has taken an interest in the assobank that they should start with running cia on for many years, SCBA President a branch,” he said. “It’s such good man-

N

agement, sales, and people experience.

There are so many things you have to handle when you run a branch that translate to running larger opera ons later on.”

Change Lominack came to be with TD in 2010, when it acquired Carolina First and parent company The South Financial Group. The la er had been hard hit by the recession that began in 2007, shortly a er Lominack had taken over as Midlands market president.

The acquisi on wasn’t a surprise, given the tough mes South Financial had been going through, but Lominack said he considers it fortuitous that it was TD that ended up being the acquirer at the end of the day.

David Lominack Title: South Carolina Market President, TD Bank, N.A. Hometown: Greenville Age: 40 Educa on: Bachelor’s Degree, Presbyterian College; Graduate, Stonier Naonal Graduate School of Banking Family: Wife, Courtney; children, Henry, 12, James, 10, Lynne, 6.

Community Involvement: Includes serving on several boards. Currently vice chairman of the United Way of Greenville County’s annual campaign and vice chairman of the Greenville Chamber of Commerce.

“We were very fortunate in that TD had no opera ons here in South Carolina, so there was no duplica on in branches or employees that you o en see when there’s a merger,” he said.

As with most mergers, there was some unease at first a er the deal was announced in May 2010, Lominack said.

“With Carolina First we’d always been on the other side of the acquisi on table so I obviously went in with some fear of the unknown,” he said. “We were just unsure what the deal would See Lominack, Page 29 5

SCBA Annual Conven on

2015 Annual Convention Attracts 425+ to Charleston More than 425 bankers, associate members, family and friends a ended the 2015 SCBA Annual Conven on, held June 7-10 in Charleston.

The 115th annual conven on, held at the Belmond Charleston Place, featured great weather, an outstanding array of speakers and excellent accommodaons.

“The annual conven on con nues to get be er and be er, year a er year,” said Bankers Associa on President and CEO Fred Green.

Speakers at this year’s event included James Ballen ne, execu ve vice president of congressional rela ons and poli cal affairs for the ABA; Joe Kea ng, chief investment officer for CenterState Bank; Ray Tanner, USC athle c director; and former New York Yankee and USC baseball coach Bobby Richardson.

There were 30 exhibitors at the conference, a sharp increase from last year.

“All the bankers enjoyed visi ng with the exhibitors and we were fortunate to have such a strong turnout among the

From top le , clockwise: USC Athle c Director and former Gamecocks baseball coach Ray Tanner; 2014-15 SCBA Chairman Blake Gibbons and wife Sherrilyn; Tino Swanson, Dick Burch and Wayne Wicker take a break between business sessions; Barry and Arlene Ham with Will and Caroline Buyck at the Chairman’s Recep on; Marquee at Riviera Theater welcoming Blake Gibbons and SCBA Annual Conven on to downtown Charleston; Jan Malinowski and Henry Laffi e at Graduate Schools of Banking Reunion/Recep on. Bo om right: Russ and Josie Williams, Tom and Sandy Brown, Gwen Thompson and Dwight Neese at Exhibitors’ Hall.

6

vendors,” SCBA Senior Vice President Anne Gillespie said.

The grand prize, a two-day, two-night return stay at the Belmond Charleston Place, was won by Bill and Lore a West.

The annual golf tournament, held at Yeamans Hall Club, was won by Rich DeVita, The Todd Organiza on; Robert Hill, South State Bank; Ed Juskowski, Van v; and Chris Wright, CenterState Bank.

The 2016 Annual Conven on will be June 12-15 at The Sanctuary on Kiawah Island.

SCBA Annual Conven on

From top le , clockwise: Neal and Joyce Anderson, Fred Antley and Tom Felder in the Exhbitors’ Hall; 35-Year Club presenta on, with presenter Sara Fisher and inductees Donna Taylor, Thornwell Dunlap, Tino Swanson, Mike Crapps and Fred Green; Prayer Breakfast speaker and former N.Y. Yankee and USC baseball coach Bobby Richardson; Jim Brant and Alex Shufford during a break between business sessons; Rick Redden and family on the Charleston Harbor picnic cruise; Gwen Bunton, Philip and Linda Edwards, Neal Beard and Steven Collison at the Chairman’s Recep on; Robert Hill introducing James Ballen ne of the ABA; Mike Crapps, Jus n Strickland and Rick Redden talk between business sessions; In the middle, incoming SCBA officers, Treasurer David Morrow, First Vice-Chairman Cur s Tyner, Chairman-Elect Robert Hill and 2015-16 Chairman David Lominack.

7

SCBA Annual Conven on

SCBA Recognizes Half-Century, 35-Year Club Honorees The South Carolina Bankers Associa on paid tribute during the 2015 Annual Conven on to those individuals who have served the banking industry for 35 and 50 years.

Sixty individuals were honored for 35 years in banking, while two individuals were recognized for a half century of service to our industry. They are:

The Half Century Club Frances Dengate, Teller, Tidelands Bank, Mount Pleasant; Carolyn Stacey, Customer Service Representa ve, First Community Bank, Newberry

The 35-Year Club

William “Barry” Adams, Area Execu ve/EVP, Security Federal Bank, Aiken Joan Billheimer, Community Development Officer, First Reliance Bank, Florence Jean Binnicker, Commercial Closing Manager/Assistant VP, South State Bank, Columbia Jill Brasington, Group Opera ons Manager, Bank of America, Columbia Frances G. Brown, Retail Sales Manager, First Ci zens Bank, Marion Suzanne Burns, Banking Officer, Cornerstone Na onal Bank, Easley Be y D. Byrd, VP-Opera ons, Anderson Brothers Bank, Mullins Barbara S. Cantu, Personal Banker, NBSC, Summerville Lynn O. Chambers, Teller, First Ci zens Bank, Spartanburg Michael C. Crapps, President/CEO, First Community Bank, Lexington Rhonda Doster, Teller, Anderson Brothers Bank, Hemingway R. Thornwell Dunlap, III, President and CEO, Countybank, Greenwood Libby R. Durrenberger, Execu ve Assistant to the Chairman/ Corporate Secretary, Bank of Clarendon, Manning Rhonda Ellio , Reconstruc on Specialist, First Ci zens Bank, Columbia Tom Ewart, Chief Banking Officer, First Reliance Bank, Sumter Jackie Frye, Community Banking Branch Banker, BB&T, Lexington Kevin C. Fernald, Retail Sales Manager, First Ci zens Bank, Columbia Theresa Fortner, Loss Preven on Specialist, First Ci zens Bank, Columbia Denise Gilmour, Credit Support Associate, Bank of America, Summerville Danny M. Graham, VP, Anderson Brothers Bank, Aynor Fred L. Green, III, President and CEO, SCBA, Columbia Patricia Hill, Teller, First Ci zens Bank, Carnesville, Ga. Patricia Huff, Sr. Personal Banker, Bank of America, Orangeburg Harry L. Huggins, VP, Anderson Brothers Bank, Hemingway Frank James, Business Development, First Reliance Bank, Florence Kim M. Johnson, Teller, NBSC, Charleston Lora S. Johnson, Teller/FSR, South State Bank, Loris Sharon G. Johnson, Personal Banker, First Ci zens Bank, Pageland Denice O. Jones, IRA Manager, South State Bank, Charleston 8

Joanne Joyner, VP, Anderson Brothers Bank, Mullins Jodie Keener, VP, Pinnacle Bank of S.C., Greenville Ma lda “Tillie” Kuhn, Assistant Branch Manager, NBSC, Sumter Rumell Ladson, Administra ve Assistant, Regions Bank, Beaufort Kim Love, VP, BB&T, Surfside Beach Marie Maslich, Assistant VP/Branch Opera ons Manager, Horry County State Bank, Conway Deborah Masolwa, CSR, First Community Bank, Columbia Nancy C. Meyer, Premier Banker, South State Bank, Charleston Theresa S. Miller, Sr. Teller, Bank of America, Anderson Cynthia H. Moody, Help Desk Representa ve, First Ci zens Bank, Columbia Sandra Morrow, Sr. Teller, BB&T, Greer Jess Nance, Chief Credit Officer, First Reliance Bank, Florence Denese Parro , Opera ons Specialist, First Ci zens Bank, Columbia Rory G. Parsley, Consumer Lender, South State Bank, Charleston Dale Porter, VP/Sr. Loan Administrator, First Reliance Bank, Florence Donna Rankin, Assistant VP/Retail Banker, First Community Bank, Newberry Bruce Rheney, Commercial Lender/SVP, South State Bank, Orangeburg Robert F. “Bobby” Richardson, Sr. Corporate Accoun ng Specialist, First Reliance Bank, Florence Sherry G. Schoolfield, SVP/Compliance Manager/BSA Officer, CresCom Bank, Myrtle Beach Barry L. Slider, CEO/Vice Chair., First South Bank, Spartanburg Arthur P. “Tino” Swanson, EVP/Sr. Commercial Execu ve, South State Bank, Charleston Donna S. Taylor, EVP/Chief Financial Officer, SCBA, Columbia Jimmy Taylor, Rela onship Manager, Regions Bank, Beaufort Francis M. “Frank” Thomas, Jr., President, Security Federal Bank, Aiken Joey Thomas, VP, First Reliance Bank, Mt. Pleasant Lynne I. Tolleson, Accoun ng Team Leader, First Ci zens Bank, Columbia Thomas Webster, Sr. Financial Advisor, Bank of America, Hilton Head Island Kimberlee A. Wilkerson, SC President, Bank of America, Columbia Mary Williams, Banking Officer, BB&T, Greenville John F. Windley, President/Chief Banking Officer, South State Bank, Columbia Pamela Wise, Teller, First Community Bank, Newberry

SCBA Annual Conven on

Taking Time to Remember Those Who have Passed On This year the a endees at the SCBA Annual Conven on took me to remember those members of the banking community who had passed away recently. One of the ways we do this is with the Silver Loving Cup, which is displayed during the conven on. Each year the Cup filled with a bouquet of white

roses is placed on the Speaker’s table in memory of those who have passed on. In addi on, a short presenta on takes place during the conven on iden fying recently departed bankers. Below is a list of those who were remembered at the 2015 Annual Conven on:

In Memoriam March 2013 James W. Welch, Director, Kingstree Federal Savings & Loan, Kingstree October 2013 Thomas Blakely, Jr., Chairman, Kingstree Federal Savings & Loan, Kingstree December 2013 Arthur M. Swanson, President, CEO and Chairman, Bank of Charleston, N.A., Charleston January 2014 William Boyte, III, SVP, Security Federal Bank, Lexington Richard H. “Dick” Kellahan, Sr., former Director/President/Chairman, Williamsburg First Na onal Bank, Kingstree May 2014 John H. Allen, Jr., Loan Officer, NBSC, North Myrtle Beach June 2014 Phyllis B. Ainsworth, Re red, First Fed-

eral, Charleston Carolyn McKay Sweeten, Re red, First Federal, Charleston August 2014 Barbara (Mims) Bryant, Re red, First Federal, Charleston William “Roe” Gabriel, Credit Manager, NBSC, Charleston Donna J. Ne les, Market Execu ve, First Ci zens Bank, Lake City Phyllis S. Swanson, Execu ve Assistant, South State Bank, Charleston September 2014 Charles Richard “Dick” Burrell, Sr., Director, Clover Community Bank, Clover Penny E. McDonald, Applica on Specialist, South State Bank, Charleston November 2014 John Brown, Assistant Vice President, Anderson Brothers Bank, Mullins Charles Freeman, Director, Horry County

State Bank, Loris Rosa W. Ha ield, Returns Clerk, NBSC, Sumter Alvin Sprouse, Re red Director, Abbeville First Bank, Abbeville December 2014 Amy Cannon, Vice President, Anderson Brothers Bank, Longs Jacqueline Hodgson, Loan Maintenance Clerk, Bank of Walterboro, Walterboro January 2015 John Thomas Parker, Jr., Director, Tidelands Bank, Mt. Pleasant February 2015 Sterling J.U. Laffi e, President, Palme o State Bank, Es ll Patricia Oliver, Customer Care Specialist, First Reliance Bank, Florence April 2015 William Richard Fulmer, Investor Services Principal, First Ci zens Bank, Columbia

Seven SC Banks Recognized for Excellent Participation with BDC and CDC Seven South Carolina banks were recognized during the 2015 annual meetings of BDC and CDC for their excellent participation in 2014.

BDC Awards » First Citizens Bank – Greatest # of Loans Approved in 2014 » Congaree State Bank – Participating Member Award » Palmetto State Bank – Participating Member Award CDC Awards » First Community Bank – Greatest # of Loans Approved in 2014 » First Citizens Bank – Participating Lender Award » First Palmetto Bank – Participating Lender Award

SC CAP Award » The Palmetto Bank – Top Participating Lender Award SC SSBCI CAP Award » The Palmetto Bank – Top Participating Lender Award SC SSBCI Loan Participation Award » South State Bank – Top Participating Lender Award

BDC partners with banks in South Carolina to bring small businesses the most innovative lending solutions.

To learn more about how your bank can partner with BDC, give us a call today at 803.798.4064 or visit us online at BDCofSC.org.

4FSWJT'JSTU $PSSFTQPOEFOU #BOLJOH 0VS OBNF JT PVS NJTTJPO TUBUFNFOU

063 /".& *4 063 .*44*0/

3PEOFZ & 3VTIJOH &YFDVUJWF 7JDF 1SFTJEFOU

SSVTIJOH!TFSWJTGJSTUCBOL DPN

)FOSZ "CCPUU $PSSFTQPOEFOU $IJFG $SFEJU 0GGJDFS

IBCCPUU!TFSWJTGJSTUCBOL DPN

#JMM %BDLP 4FOJPS 7JDF 1SFTJEFOU ' CEBDLP!TFSWJTGJSTUCBOL DPN

,BSFO (SBIO $SFEJU $BSE %JWJTJPO .BOBHFS

LHSBIO!TFSWJTGJSTUCBOL DPN

3JL -BOF 4FOJPS 7JDF 1SFTJEFOU (" 4$

SMBOF!TFSWJTGJSTUCBOL DPN

+ %BWJE +PSEBO $IJFG $PSSFTQPOEFOU 0QFSBUJPOT 0GGJDFS

EKPSEBO!TFSWJTGJSTUCBOL DPN

4UFWF 4IFMUPO 4FOJPS 7JDF 1SFTJEFOU 5/ "3

TTIFMUPO!TFSWJTGJSTUCBOL DPN

#JMM 4USFFU 4FOJPS 7JDF 1SFTJEFOU "- .4 -"

XTUSFFU!TFSWJTGJSTUCBOL DPN www.servisfirstbank.com | Member FDIC | Equal Housing Lender

SCBA Annual Conven on

Laffitte Honored as 2015 Outstanding Young Banker R. Montague LafSterling, who I greatly fi e III, central South admired. In addi on Carolina region presito being a great friend dent for South State and supporter, he o en Bank, was named the provided me insight South Carolina Bankers and guidance to the Associa on’s Outstandbanking industry. He ing Young Banker for was a great family man 2015 at the organizaand a wonderful role on’s Annual Convenmodel for me. So for on, held June 7-10 in me to share the same Charleston. award as Sterling did 20 Laffi e, a 2000 graduyears ago was incredate of Wofford College ibly touching.” and 2002 graduate Sterling Laffi e, who of the Moore School served as SCBA chairof Business, joined man in 2009-10, died Columbia-based South earlier this year at age State Bank in 2002.

59.

Montague Laffi e of South State Bank, right, the SCBA Outstanding Young “It is an incredible In his current posiBanker for 2015, with Kevin Lindler of First Ci zens Bank, last year’s SCBA honor and humbling exon with South State, Outstanding Young Banker. perience for me to win Montague Laffi e is the Outstanding Young Banker Award,” responsible for the commercial, private “Montague is very deserving of this said Laffi e, 37. “I have been very forhonor and I could not be more proud of bank and retail opera ons across the tunate to work at a great company for him. His leadership has had a significant company’s Lexington, Columbia and nearly 13 years. During that me, I have impact at South State. He is an excellent Florence markets. had the pleasure of working for and He is the former chairman of the Young banker and an even finer person,” said with some really great people, many Bankers Division of the South Carolina Robert R. Hill, Jr., chief execu ve officer of whom have really helped my profesBankers Associa on. He currently serves of South State Bank. “We are fortunate sional development along the way.” on the Ray Tanner Founda on Board, to have Montague on the South State The Outstanding Young Banker Award the Providence Hospital Development team.” is the highest honor presented in South Laffi e said he was proud to be among Founda on Board and is chairman of Carolina’s banking industry. It is chosen Shandon United Methodist Church such select company as an Outstanding

by SCBA Past Chairmen and has been Council.

Young Banker. given to one deserving banker each year Laffi e and his wife Lauren have three “If you go through the list of former children: sons Monty and McNeill; and since 1970.

Young Banker winners, it is full of not daughter Bell.

Laffi e follows on the heels of last only well-accomplished bankers but year’s honoree, Kevin W. Lindler, senior really great people,” he said. “One - Kevin Dietrich vice president for First Ci zens Bank. of those award winners is my uncle

Kiawah to be Site of Upcoming SCBA Annual Convention The South Carolina Bankers Associa on 2016 Annual Conven on will take place June 12-15, 2016, at The Sanctuary on Kiawah Island.

The Sanctuary, a unique oceanfront hotel, is located just 21 miles from downtown Charleston, and captures the spirit, history and charm of the beau ful South.

Kiawah features several golf course, including the Ocean Course, which has hosted several major tournaments, including the Ryder Cup in 1991 and the PGA Championship in 2012.

The property also offers tennis, a spa, walking tours and access to some of the most beau ful beaches on the East Coast.

11

News

SCBA Involved in Several Key Legislative Issues in ‘15 Neil Rashley SCBA General Counsel

T

he South Carolina General Assembly adjourned on June 4, signaling the halfway point of the 2015-16 session. The legislature did return briefly in June and July to handle limited issues such as the state budget; however, any unresolved issues were con nued un l January 2016 when the legislature will reconvene.

Nonetheless in 2015, the SCBA was significantly involved in a number of issues that affected banking in South Carolina.

The following is a synopsis of those bills; links to the bills can be found at www. scstatehouse.gov.

Public Deposits One of the SCBA’s legisla ve priori es in 2015 was to amend the public deposit statutes to enable local governments in South Carolina to take advantage of a deposit placement service known as Insured Cash Sweep (ICS).

Previously, South Carolina’s public deposit statutes did not allow local governments to use demand deposit or money market deposit accounts for excess surplus funds over FDIC limits without collateraliza on; however, the enactment of S375 corrects that.

ICS allows a local government depositor’s funds to be redeposited from a transac on account at a bank into money market deposit accounts and demand deposit accounts at mul ple banks throughout the country in amounts that are less than the standard FDIC insurance maximum.

Depositors placing funds through the savings op on may withdraw their funds up to six mes a month, and funds placed through the demand op on will be subject to no limits on withdrawals.

ICS can improve a S.C. bank’s profitability, not only by helping to a ract largedollar rela onships but also by reducing collateraliza on requirements. By replacing exis ng collateralized deposits

12

with ICS deposits, banks can: generate addi onal revenue by repurposing collateral into higher-earning assets; increase asset liquidity; reduce collateral tracking burdens and associated costs; and, lower the risk of shor all due to collateral-value deteriora on.

ICS also provides an alterna ve to banks that are faced with the new Basel III Liquidity Coverage Ra o requirements. The new law is now in effect.

ICS is offered by SCBA preferred vendor, Promontory.

Patent Trolls In 2014 SCBA supported passage of a bill to rein in the abusive ac ons of patent trolls. Trolls use patents they’ve purchased to target common business devices such as ATMs, office copiers/ scanners and hotel and restaurant WiFi, claiming that the use of these “offthe-shelf” products violates a patent – a patent that the troll simply bought from another and will not use to further the technology.

Banks and other business targets are then le to choose between paying exorbitant license fees in order to con nue to use these normal everyday items or to pay more than $500,000 in legal fees defending their ac vity. Despite significant support throughout the General Assembly, last year’s bill was stopped the final week in the session by one senator.

This year the SCBA, along with Rep. Kirkman Finlay, brought an iden cal bill back, H3682. Like last year’s bill, H3682 addresses the aggressive li ga on and threats patent trolls use by crea ng a state law cause of ac on – Bad Faith Asser on of Patent Infringement – within the Unfair Trade Prac ces Act. This allows a targeted business to bring an ac on in state court alleging that the troll has knowingly asserted the patent in bad faith. Injunc ons, treble damages and a orney fees can be awarded as damages for this abusive behavior.

H3682 was overwhelmingly approved by the House and then a Senate Judici-

ary subcommi ee also favorably passed out the bill; however, the legisla ve session ended before the full Senate Judiciary commi ee could consider the bill.

The commi ee will take up the bill in January 2016. Na onally, 25 states have now acted to protect their states’ banks by enac ng bills like H3682. These states include our neighboring states Alabama, Florida, Georgia, Mississippi, North Carolina and Tennessee.

Transporta on Network Companies Transporta on network companies (TNCs) such as Uber and Ly have become increasingly popular by offering a technologically convenient way to connect independent, private drivers with passengers that normally would use a taxi.

However, this business model le states such as South Carolina deba ng how to properly regulate these en es to ensure driver safety and sufficient insurance coverage. For banks, the issue was whether the TNC driver had comprehensive and collision insurance if there was a lien on the driver’s vehicle.

If the driver had a wreck while driving for the TNC there was a possibility that the insurance company would deny coverage as the car was being driven to transport passengers for a fee. Because of this and other issues, H3525 was enacted.

To be sure that the bank was aware of that its borrower was driving for a TNC, H3525 requires that: (1) the TNC must disclose to the driver all insurance coverage it offers as well as disclose that TNC ac vity could violate the borrower’s contract with the bank; (2) before driving, the TNC driver must give the bank no ce of TNC ac vity and any insurance coverage informa on provided by the TNC; and (3) the TNC driver must maintain evidence that no ce was sent to lender.

The bill also requires that any payout on damage to the car must list the bank as a co-payee and there is also language suppor ng the bank’s right to enforce

all contractual and common law remedies to protect its collateral. Governor Haley signed H3525 on June 29 and it is now in effect.

Other Bills Enacted or S ll Pending There were numerous other banking issues and bills during 2015. The following is a quick synopsis: • South Carolina Business Development Corpora on (S389) – Enacted.

The bill allows the SCBDC to facilitate business loans throughout the Richmond Fed 5th District footprint instead of just South Carolina; allows SCBDC to engage in direct lending without reference from a member bank; and allows SCBDC to apply for a bank charter if necessary; • Guaranteed Asset Protec on Waiv-

•

•

ers (S441) – Enacted. The bill establishes a statutory framework and regulatory restric ons for the offer of GAP insurance and waiver. Statechartered banks are exempt from this law as they may follow the OCC regula ons for na onal banks; ABLE Accounts (H3768) – Passed by the House and sent to the Senate; s ll pending. This bill allows individuals to establish 529 accounts known as ABLE accounts to pay certain expenses for the disabled.

Even the bill has not passed yet, the General Assembly did adopt a temporary, one-year proviso in the 2015-16 budget that allows the State Treasurer to begin a 529 program for ABLE accounts; New Market Tax Credits (S337) – Passed by a Senate Finance sub-

•

•

commi ee; s ll pending. The bill would establish a state New Market Tax Credit program similar to the federal program; Savings Promo on Contests (S652) – Passed by the Senate; pending in the House. The bill allows banks and credit unions to conduct savings promo on contests to encourage increased saving; and Transporta on Infrastructure Funding (H3579) – Passed by the House and sent to the Senate. Although heavily debated, this bill is s ll in the Senate and will be pending in January.

(Neil Rashley is Senior Vice President, Legisla ve & Regulatory, and Counsel for the South Carolina Bankers Associaon.)

13

News

Young Bankers Division Highlighted in ABA Magazine The American Bankers Associa on recently asked SCBA President and CEO Fred Green to write an ar cle about the Young Bankers Division, held out as one of the best in the na on. The ar cle came out in the July/August issue of the ABA Banking Journal, which is available both online and in hard copy. The Palme o Banker is reprin ng the piece here with permission of the ABA. Fred L. Green III South Carolina Bankers Associa on Keen insight into the financial services industry is just one of the many benefits that thousands of emerging leaders have gained during the past 60 years through involvement in the South Carolina Bankers Associa on’s Young Bankers Division.

The division enables members to work with current and future financial services leaders, and provides opportunity to gain a be er understanding of banking and issues cri cal to the industry. It also offers occasion to cul vate contacts and rela onships with poli cal leaders on both state and federal levels.

If your state doesn’t have an emerging leaders program or no longer has an acve program, I urge you to make the investment in me to get one started or revived. The advantages, both for individuals and the industry as a whole, cannot be overemphasized.

Here in South Carolina, taking part our emerging leaders program has proven beneficial to bankers at ins tu ons both big and small.

Sam Erwin, president and chief execu ve officer of The Palme o Bank of Greenville, S.C., told me his involvement in the division allowed him to be plugged into banking on a statewide basis.

“My me with the Young Bankers Division helped me develop personal and professional rela onships that will be with me for the rest of my life,” he said.

“I have developed great friendships that started at Young Banker events, and have relied on contacts I made as part of my involvement to hire and work with 14

some great bankers.”

I’ve heard similar comments from many other South Carolina bankers over the years.

The SCBA’s Young Bankers Division has as its mission a focus on educa on and networking. This is fulfilled through several ini a ves, including: A financial literacy program which touched 58,000 individuals during the past fiscal year. Hundreds of bankers visit South Carolina classrooms and civic groups across the state each year to promote financial educa on; A scholarship program highlighted by the Young Bankers Division Golf Tournament which this year awarded $42,000 to the children of employees of SCBAmember banks; Banking Careers 101, an annual event designed to bolster the state’s banking industry by recrui ng bright, young talent interested in a financial services career; The Young Bankers Conference, held annually each spring. Some 200 emerging leaders celebrated the division’s 60th anniversary this past spring at the 2015 conference; and Networking through events such as Young Bankers-Young Lawyers gatherings, where professionals can share leads and develop rela onships.

Not only do South Carolina bankers who get involved with the emerging leaders program recognize its benefits, but the advantages are apparent to those above them, as well.

Nowhere is the value of our Young Bankers Division more evident than in succession planning. Each year at our annual mee ng the past chairmen of

our associa on choose an Outstanding Young Banker. Although honorees are not required to have been involved in our Young Bankers Division, most if not all have been.

A glance back at the list of recipients since the award was ins tuted in 1970 demonstrates the importance of the emerging leaders program, as fully 44 of the 46 honorees have progressed to “C Suite” leadership roles in banking ins tu ons.

Indeed, the emerging leaders program offers an ideal stepping stone for talent-

ed young bankers interested in learning more about financial services and commi ed to be ering the banking industry.

I would encourage all my counterparts in state associa on who are contemplating resurrec ng or star ng emerging leader programs to make it their mission to do so as soon as possible.

(Fred L. Green III is president and chief execu ve officer of the South Carolina Bankers Associa on.)

Execu ve News

Eubank Named Chairman at CARO Small Appointed Charleston.

Carolina Financial Corp. recently apPresident at The dealership, Palme o Ford, has pointed G. Manly Eubank as chairman thrived since Eubank took over in July of its board of directors.

First Palmetto 1969.

Eubank replaced outgoing Chairman Lt. Gen. Claudius E. Wa s, III, who re red from the board in late April.

Eubank has Eubank served on the board of Charleston-based Carolina Financial Corp. since 1996.

Eubank has served as president of the Charleston Metro Chamber of Commerce and the S.C. Automobile Dealers Associa on.

Eubank was a partner with former North Carolina Gov. Terry Sanford in an insurance firm in the late 1960s when he opted to change careers, purchasing a new-car dealership in

Today, Eubank’s son and daughter handle much of the day-to-day operaons, but Eubank remains ac ve, serving as chairman of Palme o Ford.

Eubank earned a bachelor’s degree from Wofford College.

“We’re pleased to welcome Manly to the posi on of chairman for our board of directors,” said Carolina Financial Corp. CEO Jerry Rexroad. “His knowledge of the organiza on and nearly 20 years of experience on our board, make him a natural choice.”

Carolina Financial Corp. is the holding company of CresCom Bank, which has 26 branches throughout North Carolina and South Carolina.

Carolina Financial, a publicly traded company, has about $1.3 billion in assets as of March 31, 2015.

The South's Premier Financial Printer…

Experience the 2engage Difference for 2015!

SEC EDGAR and XBRL filings are a vital communication link to your shareholders and the market. Your company should never have to sacrifice customer service quality, or consistently overspend to achieve your important filing goals every year.

2engage Financial Media offers a new service paradigm that empowers you, the customer.

We offer a customized fixed-price, 24/7 full service, financial reporting and printing resource that gives you maximum service flexibility without squeezing you for premium

charges. We offer full weekend availability as if it were a regular day. This gives you and your reporting team the chance to work at your own pace without negatively impacting the cost and annual budget.

Let 2engage empower you and your reporting team when you need to file your 10-Q, 8-K, 10-K, or Section 16 filings, plus all "S" transactional filings.

Experience substantial cost savings and world-class service.

Experience the 2engage Difference!

Customized Fixed Pricing 24/7/365 service (never rush, weekend, or premium turnaround charges) Services Provided

EDGAR Filings | XBRL Tagging & Filing | Proxy Statements | Annual Reports Registration Statements | Corporate Design, Branding & Printing

2engage Financial Media, LLC | production@2engagefm.com Customer Service: 516.457.7502 or 770-804-6406 | 400 Perimeter Center Terrace N · Suite 900 · Atlanta, GA 30346

Samuel R. Small Jr. has been named president of First Palme o Bank.

Small, who had been serving as general counsel and chief opera ng officer of the Camden-based bank, will retain those du es while taking on the new posi on, it was announced.

Small has worked with First Palme o Bank for the past nine years, most recently as execu ve vice president.

He is a graduate of University of SouthCarolina, where he studied accoun ng, and also obtained a Juris Doctor and Interna onal Master of Business Administra on.

Small’s father, Sammy Small Sr., had been serving as chairman, chief execuve officer and president. He will retain his chairman and CEO roles with the ins tu on.

Call us to see what we can do for your organization: Anthony Justice Managing Director Sales and Business Development T 770.804.6406 C 404.822.3103 ajustice@2engagefm.com Dwayne Hampton Managing Director Customer Service and Operations T 770.804.6406 C 678.772.6986 dhampton@2engagefm.com Parth Munshi Managing Director and General Counsel T 770.804.6406 C 404.218.3600 pmunshi@2engagefm.com

It’s Not Just a Building...

It’s Home.

Community Investment Corporation of the Carolinas is a lending consortium of more than 100 southeastern financial institutions, working together to provide permanent financing that supports the development of high-quality affordable multifamily housing in the Carolinas, Georgia, Tennessee, Virginia and West Virginia.

Since 1990, CICCAR members have funded more than $275 million in loans, creating 17,000 units in over 300 properties. In return, they receive the benefits of loan growth, CRA credit and the satisfaction of creating “home” for nearly 50,000 people.

Call today to learn more about the ways that membership in CICCAR can benefit your bank and the communities you serve.

Community Investment Corporation of the Carolinas P.O. Box 19999, Raleigh, NC 27619 Toll free: (800) 662-7044 Local: (919) 781-7979 www.ncbankers.org/CICCAR

@CICCarolinas

Bank News

The Palmetto Bank to be Bought by Georgia Company One of South Carolina’s best-known and oldest bank companies is being acquired.

United Community Banks Inc. announced plans in April to purchase Greenvillebased Palme o Bancshares Inc., parent of The Palme o Bank, a 109-year-old ins tu on, for $237.6 million.

United CommuErwin nity is based in Blairsville, Ga., and includes among its leadership President and Chief Operating Officer Lynn Harton, former chief execu ve officer at The South Financial Group, which was acquired by TD Bank in 2010.

United Community, the holding company for United Community Bank, has shown interest in growing through acquisi ons, par cularly in the Greenville market.

The Palme o Bank will operate under the United Community Bank moniker.

Both companies have significant Upstate opera ons.

“We did this to invest and grow, not to cut and shrink,” Harton told the Greenville News.

The transac on fits well with United’s

expansion strategy of focusing on major Southeastern metro markets by enhancing its posi on in Greenville and the Upstate, United officials said.

“We are growing our presence in Southeastern metro markets, including and par cularly Greenville and the Upstate South Carolina area,” said Jimmy Tallent, United’s chairman and chief execu ve officer.

“Joining forces with Palme o will greatly enhance our presence in these markets, crea ng value for shareholders and customers of both organiza ons,” he added.

In an interview with the Laurens County Adver ser, Palme o Bancshares CEO and Chairman Sam Erwin said his company made the decision to merge because of changes in the industry.

“The way that I look at it, we live in a changing world, whether that be the tex le business or the automo ve business … we see changes all around us, and the banking business is no different,” he said. “There are market forces at work that we have to deal with, primarily interest rates and regulatory costs, that are making it more and more difficult for community banks to provide a return to their shareholders over a long term. When you consider those factors and you look at the future, bigger is be er.”

The acquisi on of $1.2 billion Palme o Bancshares will increase United Community to nearly $9 billion in assets.

United has established a growing regional headquarters in Greenville, with several leadership and key office posi ons here.

“For Greenville, for Laurens, for Greenwood, for Spartanburg, for all the markets Harton that Palme o touches, our focus is really on those customers and the Palme o employees and bringing them into our family,” Harton told the Greenville News. “We think it’s just a tremendously exci ng combina on.”

Palme o’s headquarters building in downtown Greenville will provide United with needed office space for growth, he added.

United Community Bank is already one of the Southeast’s largest banks, operating more than 100 branches in four states: Georgia, North Carolina, South Carolina and Tennessee.

Palme o, begun in Laurens in 1906, is the third-largest banking ins tu on headquartered in South Carolina with total assets of $1.2 billion.

CertusBank Selling Off Branches in S.C., Across Southeast CertusBank, N.A., is shedding branches. The Greenville-based ins tu on announced last month that it would be selling deposits, certain loans and branches in South Carolina, Georgia and Florida through four transac ons.

Under the deals, High Point, N.C.-based Bank of North Carolina will be acquiring seven Certus branches in South Carolina. Three of the branches are in Greenville, and one each are in Easley, Greer, Mauldin and Spartanburg. The Bank of North Carolina will purchase about $284 million in customer deposits and roughly $210 million in loans.

Atlanta-based Community & Southern

For More Bank News See Page 21 Bank will acquire 15 CertusBank locaons throughout Georgia as well as in Florida.

Louisville, Ga.-based Queensborough Na onal Bank & Trust Co. will acquire CertusBank’s branches in the Savannah and Rincon, Ga., area.

Also, Dublin, Ga.-based Morris Bank will acquire CertusBank’s Warner Robins, Ga., loca on.

The transac ons are set to close during the third and fourth quarters of 2015

and are subject to regulatory and shareholder approval. Most of the employees from the affected branches will also be offered jobs by the respec ve acquiring banks, according to Certus.

Also, CertusBank will close its Columbia, Charleston and downtown Greenville branches in South Carolina, and its Ponte Vedra, Fla., branch.

In other news related to Certus, John Poelker resigned as chairman and CEO in mid-May. Poelker was con nuing to recuperate from heart surgery when he stepped down. Leonard Davenport was reported to have taken on the role of interim CEO at Certus.

17

Personal Transac ons

Goodman

Todd

Atlan c Community Bank Ansley Goodman has been promoted to vice president by Atlan c Community Bank.

Blue Ridge Bank Sammy W. Dickson of Westminster has been elected to the Board of Blue Ridge Bank headquartered in Walhalla, South Carolina. Dickson is the manager of Community and Government Rela ons for Blue Ridge Electric Co-Op, a Touchstone Energy Coopera ve. Blue Ridge serves more than 63,000 individuals.

Donna Martuccio has been promoted to branch manager of Blue Ridge Bank’s branch office in Walhalla.

Kay Moore of Blue Ridge Bank has been promoted to branch manager of the Bountyland office in Seneca.

Blue Ridge Bank has promoted Chase Todd to branch manager of the main office in Walhalla.

Coastal Carolina Na onal Bank Laurence S. Bolchoz Jr., president and chief execu ve officer of Coastal Carolina Na onal Bank, has joined the board of Community Investment Corpora on of the Carolinas (CICCAR). Community Investment Corpora on of the Carolinas is a Raleigh, N.C.-based affordable housing loan consor um with more than 100 bank members.

CoastalStates Bank Laura Clark was recently promoted as vice president, main street team leader for CoastalStates Bank.

18

Bolchoz

John Sulka recently joined CoastalStates Bank as vice president, commercial loan officer.

CresCom Bank Lyla Fields is now serving in CresCom Bank’s electronic banking department at the ins tu on’s opera ons center at the West Ashley branch.

Kathy Lambert has been promoted to banking officer at CresCom Bank’s 16th Avenue branch in Conway.

CresCom Bank recently announced that Be y Wright will be serving in the accounts payable area of the finance department at the ins tu on’s operaons center at its West Ashley branch.

First Ci zens Bank Raleigh, N.C.-based First Ci zens Bank recently appointed Julie Sizer as chief bank opera ons officer. Sizer most recently served as opera ons and support services director. She joined Columbiabased First Ci zens Bank and Trust Co. Inc. 15 years ago.

Sulka

Sizer

Heritage Community Bank Heritage Community Bank has added Robert Brown to its board of directors.

Brown is the CEO and president of Integrated Systems Inc. Independence Bancshares, Inc. Independence Bancshares, Inc., the parent of Independence Na onal Bank, has added two new members to its board with the appointment Adam G. Hurwich and Russell Echlov. Hurwich currently serves as a member of the Financial Accoun ng Standards Advisory Council, an advisory commi ee to the Financial Accoun ng Standards Board and is a por olio manager at Ulysses Management LLC. Echlov has extensive banking and financial services experience with specific exper se in payment processing, technology, and financial markets.

Janice B. Zellner recently joined Independence Na onal Bank as a mortgage loan officer based in the ins tu on’s Simpsonville Office.

First South Bank Kimberly A. Fly and David W. Ward have joined First South Bank in Spartanburg. Fly is area execu ve, senior vice president and Ward is vice president, commercial lending officer for the Spartanbrg-based financial services company.

Kingstree Federal Savings & Loan Allan Carter, president and CEO of Kingstree Federal Savings & Loan, will finish out the remainder of former Kingstree CEO’s Rudy Ma hews’ unexpired term on the board Community Investment Corpora on of the Carolinas. CICCAR is a Raleigh, N.C.-based affordable housing loan consor um with more than 100 bank members.

Greer State Bank Brad Franseen recently joined Greer State Bank Mortgage as assistant vice president, mortgage loan officer.

NBSC Jennifer C. Cash has joined NBSC’s Private Wealth Management Group as a private wealth advisor.

Personal Transac ons

Cash

Salter

R. Mark Chapman has been named senior vice president and community banker by NBSC. William R. “Bill” Gaskins has been named to the Bishopville Advisory Board by NBSC. Gaskins is the Sumter district manager and co-owner of American Forest Management. He is a Clemson graduate and a registered forester in South Carolina and Georgia.

Lauren D. Greene has joined NBSC’s

Kulcsar

Private Wealth Management Group as a private wealth advisor.

Sara Beth Heady has been promoted to branch manager of NBSC’s Taylors office at 2800 Wade Hampton Boulevard.

Mechelle Denise Queen has been named branch manager of NBSC’s Spartanburg office on East Henry Street.

Oconee Federal Financial Corp.

C. Todd La ff has been promoted by

Babb

Burwell

Seneca-based Oconee Federal Financial Corp. to the posts of execu ve vice president and chief banking officer of both the company and its subsidiary, Oconee Federal Savings and Loan.

Oconee Federal Financial Corp. Chief Financial Officer H. Allen Salter was recently promoted to execu ve vice president. Salter also takes on the role of treasurer of both the company and the bank See Transac ons, Page 23

Feature

Looking Back more than 200 Years at S.C.’s First Bank Kevin Dietrich Palme o Banker Editor

for any period not exceeding 60 days, with three days of grace allowed; and he original Bank of South Caro• All payments and receipts at the bank were considered as correct lina traced its roots back to the unless the error was discovered and 18th century, beginning operaons less than half a decade a er the made known before the par es had le the office.

U.S. Cons tu on was ra fied. It was, The bank was open from 9 a.m. to 2 in fact, the first financial ins tu on to p.m. every day except Sundays, public operate in the Palme o State, beginning fasts, thanksgiving days, Christmas day, as early as 1792. and on the fourth of July.

It would go on to become perhaps By 1798, the Bank of South Carolina the most pres gious antebellum bank was opera ng at 50 Broad St. in Charlesin South Carolina, surviving two preton in a structure that s ll stands today.

Civil War economic depressions before It is considered the second-oldest buildfinally succumbing to the financial ruin ing constructed as a bank in the United brought on by the War Between the States, a er The First Bank of the United States.

States in Philadelphia, built in 1797.

That the first financial ins tu on in the The two-story, red brick building at the Palme o State was called the Bank of corner of Broad and Church streets has South Carolina didn’t factor into Lane’s limestone trim over windows and doors, decision when it came me to choose a a hipped roof and a T-shaped floor plan. name for his new bank.

The iron grillwork fence that surrounds “We just thought it was a very importhe structure is a copy of the origitant name, and it’s served us extremely nal, which was destroyed in the 1886 well,” said Hugh Lane Jr., the former Charleston earthquake. It was replicated president and chief execu ve officer of from photographs taken of the structhe Bank of South Carolina who now ture taken during serves as its chairReconstruc on, man. according to the The ini al Bank S.C. Department of South Carolina of Archives and wasn’t the first History. a empt to begin Both the Bank a bank in the state. of South Carolina According to and the State Bank Ramsey’s History of South Carolina of South Carolina, received charters published in 1858, from the S.C. “ … an effort to General Assembly establish (a bank) on Dec. 19, 1801, in Charleston with which was also the small capital the same day that of $100,000 was body approprimade in 1783, but ated $50,000 for failed from the Eli Whitney and want of subscribPhineas Miller to ers. Men willpay for the right ing and able to of South Carolina advance that small planters to use The old Bank of South Carolina building, 50 Broad St., Charleston.

The second-oldest bank sum could not be their co on gin to building in the United States, it housed the Bank of South Carolina from 1798 un l 1835. found.”

T

20

Within a decade, though, the First Bank of the United States, a de facto na onal bank pushed by Alexander Hamilton to stabilize and improve the na on’s credit, and to improve handling of the government’s financial business, had opened a branch in Charleston.

Around the same me, the Bank of South Carolina began opera on as a private corpora on, with Thomas Jones serving as president and Thomas W. Bacot as cashier.

Regula ons included: • The bank received deposits in specie (gold and silver), and the paper medium of the state, and paid the same on demand, free of expense.

It took charge of gold and silver bullion, wrought plate and other valuable ar cles of small bulk, and delivered them to the order of the depositor; • Bills, notes or acceptances, dated or accepted a er April 30, 1792, payable in dollars and cents; or accepted a er January 1, 1793, in other paper medium, were discounted at the rate of six percent per annum,

Feature

1, 1838, and clean the “staagain between ple of co on Oct. 14, 1839, from the seed.” un l July 21, The impact of 1840. the financial The move, ins tu ons while it made quickly made sense given themselves felt what was going on the Charleson elsewhere ton area, in the country, according to was not well Ramsey’s Hisreceived by the tory of South General AsCarolina: Note issued by the Bank of South Carolina in April 1861. sembly. In 1840, As a result President Andrew Jackson created a the Legislature of the success specie shortage. passed a law that penalized banks which of the banks, “landed property rose “Run a er run was made upon the suspended specie payments by, among in value – agriculture was promoted banks, beginning in New England and other things, requiring a payment of 5 – commerce extended – embarrassed men assisted, and the people in general the great ci es of the North, and in me percent annually to the state on “any it pervaded the en re country from and all outstanding notes whenever a accommodated. The country rose from New England to the Gulf and as far west bank should suspend specie payment.” a state of depression and embarrassas banks were concerned,” according to In addi on, banks which failed to accept ment to a high pitch of prosperity.”

Such prosperity, in the case in the Bank W.A. Clark’s 1922 work, Banking Ins tu- the terms of the act would have ac ons ons in South Carolina Prior to 1860. ins tuted against them to “vacate their of South Carolina, caught the eye of at The 1837 downturn was a na onwide charters.” least a couple of rouges. In 1802 the The following year, the state a orney bank was the target of an inven ve rob- phenomenon and it disturbed business aff airs to the point that banks around general filed suit against the Bank of bery a empt. Called the “Ground Mole South Carolina in a test case related Plot,” it was orchestrated by an individu- the country experienced runs and ins to the legisla on, likely choosing the al named “Withers” who entered a drain tu ons began to fail.

Depositors began flooding banks, seek- Charleston bank because it was the oldnear the bank and began tunneling ing to redeem their bank notes for gold est and most prominent in the state. toward the bank’s vault. He remained or silver.

The case was argued by A orney Genunderground for three months, conIn South Carolina, banks had always eral Henry Bailey; Christopher G. Memnuing to dig toward his goal, supplied been conserva vely managed. Because minger, future Secretary of the Treasury with food and water by an accomplice. there had never been an overissue of for the Confederacy; and Armistead However, the accomplice’s carelessness Burt, who would later serve five terms eventually led to the scheme’s discovery bank notes and the industrial condion of the state was solid, confidence in the U.S. House of Representa ves. and the vault was never breached. in banks remained high, according to The Bank of South Carolina was repIn 1835, the Bank of South Carolina resented by, among others, Hugh S. Lerelocated to a new site on Broad Street, Clark.

Despite the strength of Palme o State garé, future U.S. Congressman and U.S. a move which presaged a period of turons, South Carolina banks were ins tu A orney General under President John moil and ul mately the bank’s demise. forced to suspend specie payments as a Tyler; and James L. Pe gru, a former preventa ve measure on behalf of both state a orney general who would later Depressions, Lawsuits and War stockholders and depositors in an cipa- play a major role in the recodifica on of Shortly a er moving to its new locaon of banks outside the state coming the state’s law code. on, the Bank of South Carolina became across the state’s borders in a bid to get In the end, the judge found in favor engulfed in one of the na on’s first ahold of needed gold and silver. of the Bank of South Carolina, being great economic downturns – the Panic As a result, specie payments were unable to find any case in which a bank of 1837. suspended by nearly every bank in the had forfeited its charter for suspension Through poli cal machina ons, instate, including the Bank of South Caroof specie payments. cluding an unwillingness to renew the See Bank of South Carolina, Page 26 charter of the Bank of the United States, lina, from May 18, 1837, through Sept.

21

Data and tools for banking success.

Since 1987, SNL has been recognized as the gold standard for banking industry data and insight. Always the leading provider of business intelligence for money centers and regional banks, we have become an indispensable source for community banks and credit unions as well.

SNLBANKER: 360ยบ INTERNAL REPORTING

COVERAGE: BREADTH & DEPTH

20,000+ 15,000+ bank-related data fields Depositories All publicly-traded banks & thrifts Private institutions Credit unions

SNLBanker integrates internal and external data for a

360ยบview Insights for every department to impact profitability proactively.

CLIENTS

49

CORE DATA GENERAL LEDGER PROFITABILITY DATA OTHER SYSTEMS SNL UNLIMITED

100% 400+ 2,000+

largest commercial banks

of investment banks

credit unions

depositories

TOOLS: BENCHMARKAND ANDOPTIMIZE OPTIMIZE TOOLS: BENCHMARK

BRANCH ANALYTICS

ROAE PERFORMANCE ANALYTICS

PEER BENCHMARKING

VALUATION

THE SNL DIFFERENCE

MARKET DEMOGRAPHICS

Real-time news linked to data

Data

News

Analytics

INSTANT REGULATORY REPORTS & INSIGHTS Pre-built Excel spreadsheets that update automatically

s Uniform Bank Performance Report s Net Interest Margin s Depository Rates Ranking Report s Regulation F s Basel III s Deposit Mix Stress Test

100% Accuracy Guaranteed $50 Error Rewards

Free & unlimited

KNOW COMPETITOR INTEREST RATES

training

Interest rate database: more than 100,000 branch locations

MORTGAGES

CONSUMER LOANS

DEPOSITS

CREDIT CARDS

SPECIALS

24/7 Support

Bank News/Calendar Carolina Alliance Bank Carolina Alliance Bank and PBSC Financial Corp., the parent of Pinnacle Bank of S.C, have received approval from shareholders for the merger agreement announced in March. Special mee ngs of Spartanburg-based Carolina Alliance shareholders and Greenville-based PBSC shareholders were held June 29 and June 25, respec vely. The merger, subject to receipt of regulatory approvals, is expected to close in October, according to a June 30 news release.

CertusHoldings Inc. BankUnited Inc. has completed its acquisi on of CertusHoldings Inc.’s small business finance unit. The Miami Lakes, Fla.-based acquirer has purchased the unit’s loan por olio – totaling approximately $245 million at closing – and substan ally all of its opera ng assets.

It has also assumed some opera ng liabili es. CertusHoldings is the parent of Greenville-based CertusBank, N.A. CresCom Bank CresCom Bank has announced plans to open its first branch in the Greenville market. The full-service branch will be located at 3695 E. North St. and is expected to open in the fall of 2015.

Last summer, CresCom added Upstate banker Sco Frierson to its team to help lead efforts for its newly created loan produc on office in Greenville.

Greer State Bank J. Richard Medlock Jr. has been named interim president and chief execu ve officer of Greer Bancshares Inc. and subsidiary Greer State Bank. He replaces George Burde e Jr., according to informa on filed with the SEC by Greer State Bank.

Independence Bancshares Inc. Greenville-based Independence Bancshares Inc. in May raised approximately $8.4 million in Tier I capital through the sale of more than 8,400 shares of

its conver ble series A preferred stock, according to informa on filed with the Securi es and Exchange Commission.

The company, which is the parent of Independence Na onal Bank and does business as nD bancgroup, will use net proceeds of the offering to expand its payments, technology and digital banking business.

That could include expanding operaons in Greenville, according to a May 27 news release. The company also expects to expand opera ons, technology and personnel in New York City and upgrade its data center infrastructures.

South State Corp.

South State Corp. entered into an agreement in April to purchase a dozen South Carolina branch loca ons and one Georgia branch loca on from Bank of America. The deal will give South State entry into six new markets along with bolstering its presence in three exis ng markets that the company already serves. The acquired branches are located in Florence, Greenwood, Orangeburg, Sumter, Newberry, Batesburg-Leesville, Abbeville and Hartsville, as well as Hartwell, Ga. South State an cipates assuming approximately $580 million in deposits and purchasing approximately $3 million in loans as a result of the acquisi on. Pending regulatory approval, the closing is scheduled to occur in the third quarter. South State said it planned to hire all current employees at each of the acquired branches.

South State Bank announced plans to relocate its Rock Hill office at 1274 East Main St. to a new loca on at 222 East Main St. In an agreement signed on June 12, South State outlined plans to make improvements to the property and relocate some me in the fourth quarter of 2015 once renova ons are completed. The new office will allow for the addi on of a full- me consumer lender as well as a commercial lender.

Transac ons Pinnacle Bank Craig Williams has joined Pinnacle Bank as branch manager of the ins tu on’s Powdersville office.

South Atlan c Bank South Atlan c Bank’s Shirley Kulcsar is now a member of the Pawleys Island branch staff, serving as an assistant vice president and loan assistant.

South State Bank Bethany Honeycu has joined South State Bank’s North Myrtle Beach office as assistant vice president and mortgage loan officer The Ci zens Bank Ronnie Coker has joined The Ci zens Bank as an assistant vice president.

Ellio Koonce recently joined The Ci zens Bank as vice president and mortgage banker.

Joel Odom was recently named senior vice president and Coastal Region execuve by The Ci zens Bank.

The Palme o Bank Ma Babb was recently promoted by The Palme o Bank to vice president, commercial rela onship manager serving Greenwood and Abbeville coun es.

Wells Fargo Elizabeth Wooten Burwell has been named Business Banking Manager covering the Charleston metro market. She will operate from Charleston. (Photo) Liza Hall was recently named the Community Banking Area President of the Midlands market by Wells Fargo. She is based in Columbia.

Tradd Rodenberg has been named Business Banking Manager covering the Lowcountry market. He is based in Charleston.

23

News

Banks Give Generously Following Charleston Shooting South Carolina banks were among several corporate en es that pitched in to help following the June 17 shoo ngs at the Mother Emanuel AME Church in Charleston.

Banks based in or with significant opera ons in the Palme o State donated more than $500,000 toward efforts suppor ng the Mother Emanuel AME Church vic ms’ families, the Charleston community and programma c ministries of the late Rev. Clementa Pinckney.

Pinckney, who was also a state senator, was one of nine individuals shot inside the church by a lone gunman following a bible study.

A sizeable por on of the funds will go support the immediate needs of vic ms’ families through the Mother Emanuel Hope along with the newly created Lowcountry Unity Fund.

The Lowcountry Unity Fund has been established by the Coastal Community Founda on to promote long-term soluons addressing systemic issues contribu ng to racism and economic inequality in African-American communi es.

“We con nue to be in awe of the resilience and strength of the Charleston community, many of whom are our customers and employees,” South State Bank Chief Execu ve Officer Robert Hill said. “It is our hope that this financial contribu on can provide some immediate support to the vic ms’ families, and the work that many of our employees are doing in the community can have a las ng impact on moving the Charleston community forward.”

A considerable sum is also targeted toward support-counseling services for families, survivors and church members, along with local ini a ves serving 24

Emanuel AME Church in Charleston. vulnerable popula ons, youth projects, and diversity and inclusion training, with a focus on bringing ending racism.

“Wells Fargo is commi ed to honoring the vic ms, suppor ng their families and recognizing the efforts of the Rev. Pinckney,” said Rick Redden, Wells Fargo Lead Regional President for the Carolinas. “We want to join the City of Charleston in promo ng unity and community support during this challenging me. Our team members, customers and local communi es around the Carolinas have all been impacted by this tragedy. We hope our contribu on will play an important role in the healing process.”

‘We hope our contribu on will play an important role in the healing process.’

–Rick Redden Wells Fargo

Individuals interested in dona ng to the Mother Emanuel Hope Fund, which has been established by the City of Charleston to raise funds to aid the vic ms’ families.

To date, more than $1 million has been raised to help the families of the vic ms or for a fund in the name of Rev. Clementa Pinckney that will help with maintenance of the church, according to the city of Charleston.

Benefi ocus, a Charleston-based human resources tech company, said it will contribute money to the Mother Emanuel Hope fund a er star ng a fundraising campaign that matched $2 for every $1 its associates donated.

Boeing and SCANA also announced they are dona ng to the Mother Emanuel Hope Fund to help provide for the needs of the families of vic ms.

Starbucks announced its founda on will donate to two funds in the Charleston community – the Mother Emanuel Hope Fund; and Lowcountry Ministries – Reverend Pinckney Fund. The la er will be used to support vulnerable popula ons and youth projects.

SCBA Scholarships

Thirty of the 42 South Carolina college students awarded SCBA scholarships a ended a recep on in Columbia in late May.

SCBA Awards $42,000 in Scholarships to SC Students The South Carolina Bankers Associa on awarded scholarships totaling $42,000 to Palme o State college students, the SCBA announced in late May. Forty-two students from 10 South Carolina ins tu ons of higher educa on were awarded Palme o Scholarships during a recep on in Columbia.

To reinforce its commitment to educaon and assist students with the everincreasing cost of higher educa on, the SCBA bolstered its scholarship giving with the introduc on of the Palme o Scholarship in 2013. A key aspect of the revamped program is its emphasis on offering scholarships to the children of employees of SCBA-member banks.

“The Bankers Associa on believes offering scholarships to deserving children of bank employees helps demonstrate both its apprecia on to member banks and their employees,” SCBA CEO Fred Green said. “This program not only lays the founda on for the next generaon of our state’s leaders, it serves as a means for building a path to a be er, more prosperous South Carolina.”

Scholarship money is raised by the Young Bankers Division Scholarship Golf Tournament and through fundraising efforts of S.C. Bankers School students.

This year’s recipients are: Carter A. Allen, University of South Carolina; Victoria A. Anderson, University of South Carolina; Sloan G. Bankson, Clemson University; Alicia Broughton, Clemson University; Jordan L. Burde e, University of South Carolina; Karthik K. Chandrasekar, University of South Carolina; Caroline A. Clark, University of South Carolina; Sarah B. Cockcro , University of South Carolina; Cory D. Comunal, Clemson University; J. Ellio Cooper, University of South Carolina; Lindsey E. Crumlin III, South Carolina State University; Anna L. Cunningham, College of Charleston; Sarah Derrick, University of South Carolina; Kelly F. Ellio , University of South Carolina; Carman W. Fowler, University of South Carolina; McCauley T. Frierson, Clemson University; Allison C. Gillespie, University of South Carolina-Upstate; Miranda C. Houser, University of South Carolina-

Upstate; Brandye A. Huggins, University of South Carolina; Maggie E. Hughes, College of Charleston; Tressa E. Hu o, University of South Carolina; Catelin A. Johnson, University of South Carolina; Ashley M. Keller, University of South Carolina; Marian J. Matney, Clemson University; Alicia L. McAlhaney, Clemson University; Paul McTaggart, College of Charleston; Louis L. Mercado, University of South Carolina; Megan D. Middleton, Anderson University; T. Keanau Ormson, Clemson University; Tyler Pennypacker, Winthrop University; Elizabeth L. Price, Clemson University; Julianna A. Robinson, Wofford College; Anne-Elizabeth P. Rush, Wofford College; Ashley N. Silvey, North Greenville University; K. Henry Sprow III, Clemson University; Alex Kingsley Suggs, University of South Carolina; Benjamin M. Summers, University of South Carolina; Sco M. Trembly, Clemson University; Madelyn B. Wasden, University of South Carolina-Aiken; Simone G. Wilson, Clemson University; Hannah E. Wood, Anderson University; Haley B. Zuehlke, Winthrop University.

25

Feature Bank of South Carolina However, the decision was overturned in 1843 by the South Carolina Court for the Correc on of Errors, which heard appeals of a cons tu onal nature.

The Bank of South Carolina had its charter renewed in late 1843, when the legislature, recognizing that banks were back to opera ng as they had been before the Panic of 1837, including resump on of specie payments, proclaimed a “general amnesty,” staying all legal proceeding against the bank for the purpose of suspending its charter.

The Bank of South Carolina proceeded to cruise along un l 1857, when it fell vic m to another economic downturn.

The Panic of 1857 was a financial crisis felt across the U.S., caused by the declining interna onal economy and overexpansion of the domes c economy.

Between Oct. 10, 1857, and Oct. 15, 1857, six of Charleston’s nine banks, including the Bank of South Carolina, had suspended specie payments.

The Charleston Courier lauded the sus-

pension as a means by which to restore the city’s financial sector.

“Bank suspensions, when honest, and especially when forced by foreign pressure, or by commercial revulsion or panic, are neither crime nor fault, but a duty and a blessing,” the publica on stated in an Oct. 14, 1857 editorial. “ … honest suspension, by sound banks, in mes of mercan le or financial disaster are measures of relief and safety; and ought to be encouraged and applauded.”

By early 1858, condi ons had returned to such that banks in Charleston, including the Bank of South Carolina, had resumed specie payments.

War Brings Ruin The Civil War would prove the downfall of the Bank of South Carolina, as it did for nearly all Palme o State banks.

With the forma on of the Confederacy in 1861, there came a need for funds to meet the needs of the Southern

government, which was s ll without an organized treasury.

Difficul es in procuring Confederate bank notes early in the war forced Confederate Treasury Secretary Memminger to accept a temporary loan of more than $9.8 million from banks in South Carolina and Georgia. The money was to be repaid in Confederate bills when the la er had been printed.

Addi onally, in February 1863, the General Assembly passed a bill authorizing South Carolina banks to purchase Confederate and state securi es. The results were disastrous, according to Clark in Banking Ins tu ons in South Carolina Prior to 1860.

“With the privilege thus allowed, the banks of this state were most liberal in inves ng their funds in Confederate securi es, so that at the close of the war, in April, 1865, when wreck and ruin were brought to the South, the banks were found drained of their specie reserve, which had been largely loaned

Trust in Accurate Property Reports Meet FDIC regulations without breaking the bank. CRS Data Banker Suite helps lenders comply with Interagency Appraisal and Evaluation Guidelines—and save money doing it.

The Banker Suite can help you be

helps you stay fully compliant with all 8

more efficient, more compliant and more profitable. This comprehensive, customizable, easy-to-use database

points of Interagency Guidance while saving time and money. Learn more online at crsdata.com/banking

Schedule a Demo Today.

Jason Pruitt | jpruitt@crsdata.com | 770.883.6609 ©2014. CRS, Courthouse Retrieval Systems.

Plaque afffixed to 50 Broad St. building, iden fying structure, home to the Bank of South Carolina from 1798-1835.

Hugh Lane Sr., bought the building and restored it, inside and out.

“It was when the building was being renovated by the bank that they discov-

ered the vault in the basement and did some research and came to the realizaon that this had been the original Bank of South Carolina building,” Lane said.

Hugh Lane Sr., as big a proponent of Charleston history and culture as his son, allowed a Confederate Naval Museum to be operated in the basement of the structure for several years. Included among the displays was a full-size replica of the H.S. Hunley submarine, which today rests outside the Charleston Museum on Mee ng Street.

The Broad Street loca on remained a bank office for some me a er C&S was acquired by Bank of America in the mid1980s, but the la er eventually closed the loca on. The city of Charleston bought the site in 2006 to use as offices.

Today, the original Bank of South Carolina exists mostly as a memory, although numisma sts prize the ins tu on’s bank notes, and the structure at 50 Broad St. remains a key part of downtown Charleston.

MOBILE APP

eNewsleƩer

magazine

ADVERTISE

to the Confederate government, and with assets of all kinds and descrip on, which when taken, were regarded good, dollar for dollar, but which were now found to be of uncertain and ques onable value,” Clark wrote. “Many of these securi es … were so seriously affected by ravages of the war that in many instances they lost their value.”

It’s unclear exactly when the Bank of South Carolina closed its doors, but it appears to have operated no later than 1865, done in by inves ng in the Confederacy, the collapse of South Carolina’s economy and the war itself.

The building at 50 Broad St. was purchased by the Charleston Library Society in 1835, and the collec on of the South Carolina Historical Society was housed at the site for many decades.

The structure was bought in 1916 by the Charleston Chamber of Commerce, which remained at the locale un l 1966.

That year, Ci zens and Southern Na onal Bank, led by Lane’s father,

Contact Caroline Sheorn to advertise with the South Carolina Bankers Association. csheorn@scbankers.org | (803) 779-0850

Welcome New Associate Members Ardmore Banking Advisors, Inc. 108 Fazio Ct. Simpsonville, SC 29681 Contact: Sco Chaffee Phone: 610.649.4643 Phone: 864.423.6385 Website: ardmoreadvisors.com Email: schaffee@ardmoreadvisors.com Ardmore Banking Advisors is a financial ins tu ons market leader in risk management consul ng, recognized for its exper se in loan review, risk consul ng, and credit technology that delivers value-added results to our community bank clients. Since its incepon in 1991, Ardmore has provided risk management consul ng services to hundreds of banks na onwide, and built an unparalleled reputa on for integrity and exper se with both clients and regulators. Our team of successful former senior banking officers and regulators ensure that our clients receive the highest quality consul ng from professionals who have been in their shoes and shared their experiences. e2Value, Inc. P.O. Box 3518 1881 Summer Street, 2nd Floor Stamford, CT 06905 Contact: Gannon Reilly Phone: 1.888.371.2788 Website: www.e2value.com Email: greilly@e2value.com e2Value, Inc. is a full-service applicaon development and technology provider that offers products to assist with asset valua on. Our Pronto tools allow banks to instantly receive complete replacement cost valua on reports for both residen al and commercial proper es. The reports, which include a structure valua on, images and data scoring, help banks ensure that proper es in flood zones have proper flood insurance coverage.

28

Within 30 seconds, banks can receive easy-to-use, accurate and cost-effec ve valua ons that help meet compliance requirements. Founded in 2000 and based in Stamford, Conn., e2Value is the leading SaaS provider of valua ons for residen al, commercial, and farm and ranch proper es in the United States and Canada.

Na onal Guardian Life Insurance 2 East Gilman Street Madison, WI 53703 Contact: Tom Zupko Phone: 313.348.1581 Website: www.nglic.com Email: tezupko@nglic.com Na onal Guardian Life Insurance Company (NGL) understands the financial services business and the demands of your clients. We are setng new standards for the market by developing innova ve products to fit the needs of your customers. We can help you grow and make financial services more a rac ve by offering a new level of simplicity and protec on. NGL specializes in providing unique soluons for funeral pre-funding and senior life products as well as dental, vision

and other group insurance products.

NGL has been one of America’s most successful and highly rated independent mutual life insurance companies for over 100 years, supported by an A- (Excellent) ra ng from A.M. Best and assets exceeding $3 billion.

PwC-Pricewaterhouse Coopers LLP 1333 Main Street Columbia, SC 29201 Contact: Norman Brower Website: pwc.com/us Email: norman.brower@us.pwc.com Imagine the power of 180,000 people with a common purpose – building rela onships that create value for you and your business. This is Pricewaterhouse Coopers. Every day, our people with you to build the value you are looking for. PwC focuses on audit and assurance, tax and consulting services. Addi onally, in the U.S., PwC concentrates on 16 key industries and provides targeted services that include – but are not limited to – human resources, deals, forensics, and consulting services. We help resolve issues and iden fy opportuni es. Our reputa on lies in building las ng rela onships with

Notification of Non-Renewing S.C. Bankers Association Members As the 2015-16 fiscal year begins, the South Carolina Bankers Associa on reports that the following companies are no longer SCBA Associate Members.

Please update your lis ngs to reflect these changes.

We thank these companies for their past support.

The SCBA would welcome each of them to rejoin the Associa on as Associate Members.

The non-renewing companies are: • Cape Point Advisory Partners, LLC; • Loomis; • North American Merchant Services,

Inc.; and • Pelme a Performance.

SCBA Services Inc. is dedicated to reducing the costs of products and services for South Carolina banks.

To find out more about SCBA Associate Membership or to become a Preferred Vendor, please contact SCBA Vice President Carolyn Laffi e at 803.779.0850 or through email at carolynlaffi e@ scbankers.org.

Welcome New Associate Members our clients and a focus on delivering value in all we do. Let apply our worldclass capabili es to your business goals SnapCap 205 King Street, Suite 301 Charleston, SC 29401 Contact: Sean Clifford Phone: 800.843.0130 Website: www.snapcap.com Email: sclifford@snapcap.com SnapCap is a web-based alterna ve financing company that has revolu onized how small business owners borrow money. Our proven model evaluates key performance indicators to include: cash flow, customer base, and near-term outlook to help small businesses acquire the financing they need to fund short tern incremental profit opportuni es. Personal service combined with real- me evalua on technology makes it easier to provide financing solu ons with greater speed and accuracy. A single-source lender, SnapCap processes and funds unsecured loans in the range $5k-$600k over 3-24 months in less than 48 hours.

SnapCap seeks to partner with banks for referral of small business borrow-

ers who need access to quick capital or to act as an intermediary lender un l the client fits within a specific banking product.

SouthEastern Evalua on P.O. Box 1971 Greenville, SC 29602 Phone: 864.467.9511 Contact: Mark Chapman Website: www.see-amc.com Email: mchapman@see-amc.com SouthEastern Evalua on is one of the best appraisal management companies providing high quality valua on and consul ng services for residen al and commercial lenders and investors. Our services are broad in scope, from a rou ne single-family residence to a mul -million dollar manufacturing facility. SouthEastern Evalua on provides a unique approach to customer service through customiza on. We customize our workflow to meet your needs. SouthEastern Evalua on directs decades of experience to every client request. Real estate appraisal reports are consistent, credible and reliable.

Our solu ons are simple, dependable and reasonable.

The Brandon Agency 3023 Church Street Myrtle Beach, SC 29577 Contact: Sco Brandon Phone: 843.816.2000 Website: www.thebrandonagency.com Email: sbrandon@thebrandonagency. com Founded in 1959, The Brandon Agency is an integrated marke ng communica ons firm with offices in Breckenridge, Colo.; Charleston; Charlo e, N.C.; Cleveland, Ohio; Myrtle Beach; and Sofia, Bulgaria.

Being the most crea vely awarded agency in North Carolina, South Carolina and Virginia during the past 12 years, The Brandon Agency’s exper se in diverse marke ng disciplines includes tradi onal, as well as digital, social and Internet disciplines.

The agency, which employs more than 100 people worldwide and had total billings of more than $50 million dollars in 2014, has produced successful programs and campaigns for hundreds of na onal brands in a variety of industries, including: banking and finance; ecommerce; food service; healthcare; real estate; technology; and tourism.

Lominack mean for our employees, our customers or our community, but looking back it’s hard for me to imagine that it could have turned out any be er.”

While the period leading up to the merger was difficult, it was also a learning experience, he added.

“There’s no way you go through what we did and have it not be an incredible learning experience,” Lominack said. “And I will say that I am s ll amazed by our teams ability to retain both customers and employees during that me.”

Lominack spent four years in Columbia as Midlands market president before returning home to Greenville in 2010 to serve as Upstate market president. A er the TD-South Financial deal, he was promoted to market president of the newly formed Upstate-Midlands region.

Just this past May Lominack was promoted to South Carolina market president for TD. Today, TD has $3.7 billion in state deposits, up from $3.3

billion in June 2011, shortly a er the absorp on of Carolina First.

Lominack succeeds Blake Gibbons, president of The Ci zens Bank in Olanta, as SCBA chairman.

Lominack has been ac ve in the South Carolina Bankers Associaion for several years, and has been a member of the board of directors for half a decade, so he’s worked closely with several recent chairmen.

“David will be a great chairman for the SCBA,” said Art Seaver, chief execu ve officer of Greenville-based Southern First Bank and a former SCBA chairman. “I have enjoyed the privilege of watching David’s leadership in both his professional life and many community endeavors.

“His fingerprints are clearly visible throughout Greenville and he con nues to make our community a be er place,” Seaver added. “David’s talents, leadership, and experience make him a perfect choice to lead our associa on.”

29

Feature

Just What Does ‘.bank’ Domains Mean for Institutions?

C

ommunity banks can now register for the generic top-level Internet domains “.BANK”, a domain that will include enhanced security requirements to protect ins tu ons and their customers.

According to the American Bankers Associa on, the .BANK web domain will be the recognized global pla orm for growth and innova on in the financial services industry. Directed by banking and security experts, this loca on will build a solid founda on on which banks can securely and effec vely communicate with customers and regulators.

Establishing a .BANK web address is a means by which an ins tu on can provide a more secure loca on for a bank’s online banking services. All .BANK websites will meet advanced security requirements, and only verified members of the banking industry can have a .BANK domain.

The new domain will have a higher level of security than non-financial domains and adhere to enhanced security requirements developed by ABA and its partners in fTLD Registry Services. In addi on to strict registra on requirements, the new domain will help prevent users from being redirected to fake bank websites, make it more difficult for criminals to create spoofed emails from a .BANK website and provide a higher level of encryp on. These features will enhance customer trust in an era of increasing cybersecurity threats, according to the ABA. The following is from a Ques on-andAnswer segment that appeared on the ABA’s website: Q: Why .BANK? A: .BANK is a trusted, verified, more secure and easily iden fiable loca on on the Internet for the banking community and the customers it serves. The .BANK domain has enhanced security requirements that exceed that of most exis ng and new generic top-level domains. In addi on, it opens up much needed real estate on the Internet, providing new marke ng and branding opportuni es.

30

Q: Who is eligible for a .BANK domain?

A: Only verified members of the global banking community are eligible to register domains. For banks it includes charter verifica on with the registrant’s regulator. Please see the .BANK Registrant Eligibility Policy for complete eligibility requirements.

Q: Are banks with “Trust” or “Thri ” or “Coopera ve” in their name eligible for a .BANK domain?

A: Having the word “Trust” or “Thri ” or “Coopera ve” in the registrant organiza on name of a financial ins tuon is not the deciding factor in determining eligibility. It is determined by whether the organiza on is a bank or savings associa on that is chartered and supervised by a government regulatory authority.

Q: Is there any limit on the number of domains I can register?

A: No, you many register as many domains as you like.

Q: Where can I register my .BANK domain?

A: Domains must be registered with an fTLD Approved Registrar.

Q: What does a .BANK domain cost to register?

A: .BANK registrars are responsible for se ng their domain registra on fee. Domain registra on fees vary by registrar based on a number of factors including addi onal services registrants may purchase from them. fTLD is responsible only for se ng the fee it charges to registrars and it is the same fee for all.

Q: Since we already have a .COM address, are we automa cally en tled to register the same name in .BANK? A: No, domain names are currently awarded on a first-come, first-served basis. Given .BANK is available to eligible members of the global banking community, there could be an organizaon with a name similar to yours that currently uses another TLD, such as .CO, .UK, .FR, or .JP and this is why there is no preference for a domain registered in an exis ng TLD.

Q: How do I check on the availability of a domain name?

A: First, check to see if the domain name is reserved from registra on by fTLD or per ICANN requirements (see these lists at Resources). Second, if the domain is not reserved from registraon, use the WHOIS search func on to lookup the domain. If the response is “No Match” for the searched name then it is available for registra on.

Q: Once I register our .BANK domain, do I immediately need to stop using my current domain name?

A: No, you can con nue using your current domain.

If you plan to ac vate your .BANK domain, you can use “A Guide to Leveraging .BANK” to help you plan the use of your .BANK domain. You may also want to consider ini a ng a plan for your implementa on of your .BANK domain as soon as you know what new .BANK domain you will be using. The Guide is currently under development and is expected to be available on www. ld.com and www.register.bank in June. Once the Guide is available, you should have the informa on you need to plan the details for using your .BANK domain.

Q: Can I redirect my current domain to my .BANK domain?

A: Yes and the .BANK domain must be compliant with fTLD’s opera onal and security requirements.

Q: Can I redirect my .BANK domain to my current domain?

A: Yes, you may wish to ini ally redirect web visitors and traffic from your .BANK domain to a domain outside .BANK, but providing content on your .BANK domain maximizes the value of the security requirements and the trust in your domain. Organiza ons that redirect visitors from .BANK to non-.

BANK domains are strongly encouraged to inform them of this ac on to avoid confusion and the mispercep on by visitors that they are accessing informa on on a .BANK domain.

Q: How does my organiza on implement .BANK for our website and other

services?

A: Although there are addi onal steps to using your .BANK domain for your website, email and other services, there are specific steps that need to be taken to complete the process for each service. fTLD is developing “A Guide to Leveraging .BANK” that will provide informa on about these steps that are needed to take advantage of a trusted, verified, more secure and easily idenfiable environment provided with a .BANK domain.

Q: What are the enhanced Security Requirements in .BANK? A: fTLD requires compliance with a set of requirements that are not currently

mandated by the operators of other commercially available gTLDs, including: • Mandatory Verifica on and ReVerifica on of Charter/Licensure for Regulated En es to ensure that only legi mate members of the global banking community are awarded domain names.

• Domain Name System Security Extensions (DNSSEC) to ensure that Internet users are landing on par cipants’ actual websites and not being misdirected to malicious ones.

• Email Authen ca on to mi gate spoofing, phishing and other malicious ac vi es propagated through

•

•

•

•

emails to unsuspec ng users.

Mul -Factor Authen ca on to ensure that any change to registra on data is made only by authorized users of the registered en ty.

Strong Encryp on to ensure security of communica on over the Internet.

Prohibi on of Proxy/Privacy Registra on Services to ensure full disclosure of domain registra on informa on so bad actors cannot hide.

Domains must be hosted on .BANK Nameservers to ensure compliance with all technical security requirements.

SCBA Extends Thanks to New, Current, Past Board Members The South Carolina Bankers Associa on would like to recognize its 2015-16 Board of Directors. New members were approved at the 2015 SCBA Annual Conven on, held June 7-10.

Chairman: Chairman-Elect: First Vice Chairman: Treasurer: Immediate Past Chairman: 2nd Immediate Past Chairman: Group I Director: Group II Director: Group III Director: Group IV Director: Group V Director: Group VI Director: Members-at-Large:

Division Representa ves: Community Bankers Council: South Carolina Bankers School: Young Bankers Division:

David M. Lominack Robert R. Hill, Jr. Cur s R. Tyner, Jr. David L. Morrow H. Blake Gibbons, Jr. Art Seaver, Jr. Randy K. Dolyniuk H. Richard Sturm Paul R. Dusenbury John S. Poole Rick L. Beasley K. Wayne Wicker Samuel L. “Sam” Erwin S. Mark Munn Thomas E. Felder Gwen M. Thompson Chris Verenes Sara B. Fisher

TD Bank, N.A. South State Bank Heritage Community Bank CresCom Bank The Ci zens Bank Southern First Bank CoastalStates Bank Ameris Bank Vista Bank Carolina Alliance Bank Carolina Bank and Trust South Atlan c Bank The Palme o Bank Bank of America South Carolina Community Bank Clover Community Bank Security Federal Bank NBSC, a division of Synovus

Greenville Columbia Hartsville Charleston Olanta Greenville Hilton Head Isl. Columbia Aiken Spartanburg Darlington Myrtle Beach Greenville Charleston Columbia Clover Aiken Columbia

Grier Sandifer John C. Griggs, III Glenn D. Buddin, Jr.

Bank of York NBSC, a division of Synovus Blue Ridge Bank

York Columbia Walhalla

The South Carolina Bankers Associa on would also like to thank those board members whose terms ended on June 30, 2015: R. Richard “Rick” Redden, III Wells Fargo Charlo e R. Thornwell Dunlap, III Countybank Greenwood J. Frank Bullard, III BB&T Florence James B. “Jim” Smith Sandhills Bank North Myrtle Beach W. David Keller Southern First Bank Cayce Chad F. Westendorf Palme o State Bank Hampton 31

Good Samaritans Anderson Brothers Bank Anderson Brothers Bank donated $2,000 to the Nichols Police Department for the purchase of new equipment to be er serve town residents.

ful building will help us to project an image of growth and con nued improvement. On behalf of the people of Norway, we thank you.”

Also on hand for the ceremony were long me South State Bank employees Susan Anderson Brothers Watson, who served Bank donated $2,500 to as branch manager at Marion Fox Trot Fes val the loca on, and Gayle in Marion.

Elkins, who served as a The fes val, named in teller. Both were honpart for South Carolina From le , Anderson Brothers Bank officials Johnny Floyd, Byron Beck, ored with commemoRevolu onary War hero Marion Gordon McLellan, Susan Grant and Kathy Cribbs make the presentara ve bricks from the General Francis Marion, on to Regina Stanley, president of the Marion Fox Trot Commi ee.

Norway office, where who was nicknamed they worked for many years. Elkins sor for the annual Walk for Au sm“The Swamp Fox,” was held May 14-16, currently works at the bank’s Denmark Charleston fundraiser. The event was 2015. office and Watson is at the Bamberg held at Hampton Park in Charleston on office.

April 18.

Anderson Brothers Bank donated Gene McConnell, Orangeburg regional Walk for Au sm-Charleston is a not$1,000 to the American Cancer Society’s execu ve for South State Bank, and for-profi t organiza on which raises Marion County Relay for Life to assist in Dane Murray, Lowcountry and Orfunds to help special children struggling the fight against cancer. angeburg area execu ve for the bank, with au sm. unveiled the new Norway Town Hall The organiza on’s primary goal is to Anderson Brothers Bank launched its and Police Sta on sign. The bank also fund scholarships for families to help Le Tour de Finance, a financial educadonated the new sign and the office pay for the treatment and intervenon and literacy program through furnishings. on of au sm through behavioral and EverFi, at Hemmingway Middle School “We are glad to be able to donate this rela onal development programs.

The in Williamsburg County. building to the Town of Norway,” McCoWalk is held during April, in recogni on nnell said. “The building will be a great of Au sm Awareness Month.

Anderson Brothers Bank employees place to house the town hall and police Rosie Minton of the Myrtle Beach office, sta on.”

Paula Lee, branch manager at the Longs South State Bank Since the building will now be a public South State Bank donated its office at Office and Kraig Thornton Mortgage facility, the codes require that the 8403 Old Savannah Highway in Norway Originator located at our Longs Branch, restrooms be upfi ed to be ADA accesto the town of Norway on June 12. along with an Anderson Brother Bank sible, and Execu ve Plumbing of The “We are excited to be able to make customer, Al Cosgrove, volunteered with this dona on today,” said John Windley, Midlands LLC has agreed to donate the the Special Olympics at Socastee High necessary improvements. “The added president of South State Bank. “This School. More than 100 special needs security of the facility is essen al to 2,726-square-foot building will make a students from surrounding Horry Counmaintaining evidence, informa on and nice impression as the entry point for ty schools par cipated in the event. weapons for the police department,” the Town of Norway.”

Ward said.

In prepared remarks, Norway Mayor Anderson Brothers Bank donated Ann Johnson stated that the building $1,000 to the S.C. Special Olympics will be used as the new town hall and as The Bank of South Carolina Troopers Tournament.

The Bank of South Carolina has police sta on. Both Johnson and Norpartnered with EverFi, Inc. to bring way Police Chief Sco Ward have been Anderson Brothers Bank presented a this interac ve financial management 2011 Ford Crown Victoria to the Mullins working closely with bank officials to program to Charleston County’s Zucker work out the details of the dona on.

Police Department recently.

“As mayor of Norway I would like to say Middle School. More than 60 students at Zucker Middle School have complethow excited we are over this generous CresCom Bank ed the program. dona on,” Johnson said. “This beau CresCom Bank again served as a spon32

South Carolina Bankers Association Education Calendar For more information, contact Anne Gillespie by phone at 803.779.0850, or by email at agillespie@scbankers.org.

September 2015

January 2016

Security Risk Management Conference Date: Sept. 2, 2015 Loca on: Inn @ USC Wyndham Garden Columbia, S.C.

Bank Secrecy Act Conference Date: Jan. 14, 2016 Loca on: Columbia, S.C.

Call Report Seminar Date: Sept. 15, 2015 Loca on: Courtyard by Marrio Columbia Downtown @ USC Columbia, S.C. Enterprise Risk Management Conference Date: Sept. 17, 2015 Loca on: Inn @ USC Wyndham Garden Columbia, S.C. Young Bankers Division Scholarship Golf Tournament Date: Sept. 22, 2015 Loca on: The Members Club at Woodcreek Elgin, S.C.

October 2015 Fall Compliance Conference Date: TBD Loca on: Columbia, S.C. Consumer Lending School Date: Oct. 20-21, 2015 Loca on: Courtyard by Marrio Columbia Downtown @ USC Columbia, S.C. Community Bankers Forum Date: Oct. 28 Loca on: Columbia, S.C.

November 2015 Credit Conference Date: TBD Loca on: Columbia, S.C. Economic Developers Forum Date: Nov. 18-19, 2015 Loca on: TBD

December 2015 Human Resources Conference Date: Dec. 3, 2015 Loca on: Columbia, S.C.

February 2016 Banking Careers 101 Date: Feb. 10, 2016 Loca on: Columbia, S.C. Safety and Soundness Workshop Date: Feb. 11, 2016 Loca on: Courtyard by Marrio Columbia Downtown @ USC Columbia, S.C. Commercial Lending School Date: Feb. 23-25, 2016 Loca on: Courtyard by Marrio Columbia Downtown @ USC Columbia, S.C.

March 2016 SCBA Washington Trip Date: March 14-16, 2016 Loca on: Washington, D.C. Young Bankers Conference Date: March 18-20, 2016 Loca on: The Omni Grove Park Inn Asheville, N.C. Spring Compliance Conference Date: March 24, 2016 Loca on: Columbia, S.C.

April 2016 Trust Conference Date: April 27, 2016 Loca on: Columbia, S.C.

May 2016 Asset Liability Conference Date: May 5, 2016 Loca on: Columbia, SC

June 2016 Annual Conven on & Trade Show Date: June 12-15, 2016 Loca on: The Sanctuary Kiawah Island, S.C.

South Carolina Bankers Associa on (2009 Park Street) Post OďŹƒce Box 1483 Columbia, South Carolina, 29202-1483