Marine Bankís parent denied 
transfer request
Company had hoped to use $25M of subsidiariesí funds

By GM Today Staff 

July 11, 2008

CITY OF PEWAUKEE - The parent company of Marine Bank has been denied its request to transfer funds from a subsidiary to the holding company in order to pay interest on trust preferred securities it issued from 2000 to 2002, an official said Thursday.



CIB Marine Bancshares Inc. in City of Pewaukee had asked the Wisconsin Department of Financial Institutions, as well as Illinois regulators, if the holding company could transfer about $25 million in excess capital from subsidiaries Marine Bank and Central Illinois Bank to the parent company. Many U.S. banks are in the same spot, as a lagging housing market has produced bad loans.

"I think in the current economic and banking environment, itís a request that is often made, and at this point is not often granted," said John Hickey, CEO of CIB Marine.

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This story appeared in The Freeman on July 11, 2008.