The Coastal Bank announced this week that the FDIC and the Georgia Department of Banking and Finance have removed the consent order, which was entered into in May 2011.
The Coastal Bank is the first bank in the Savannah area to emerge from a formal order with the regulatory authorities.
“Long before the formal order was issued, we committed the necessary resources to improve the bank’s condition as quickly as possible,” The Coastal Bank President and CEO Jim A. LaHaise said. “Throughout the two-year tenure of the order, we maintained capital levels, which were well in excess of the agreed-upon minimums. This capital position allows us to continue to lend money to support customer needs in the communities we serve. We appreciate the support of our board of directors, management team and staff in reaching this significant accomplishment.”
Improvement of The Coastal Bank’s financial condition during the past two years primarily has been driven by the reduction of problem loans. The bank returned to profitability in 2012. This trend continued into 2013 with the bank reporting net income of $1.09 million through the six months that ended June 30, compared to $922,000 for the year that ended Dec. 31, 2012.