Issue link: http://www.insightdigital.biz/i/533571
w w w . i n s i g h t o n b u s i n e s s . c o m J u l y 2 0 15 • I NSIGH T | 27 I N S I G H T O N B U S I N E S S L E N D I N G B y M a r y B e t h M a t z e k I t's been a long road back for business lenders. Six years removed from the financial meltdown that triggered the Great Recession, sparking bailouts and increased scrutiny from regulators, area banks have found more solid footing for their lending practices and growing loan portfolios. During the first quarter of 2015, Wisconsin banks posted a 14.6 percent increase in profit compared with the same period in 2014, according to the Federal Deposit Insurance Corp. Banks reported earnings of $259 million, up from $226 million during the same period in 2014. Seventy-two percent of the 247 banks based in Wisconsin posted profits while only 11 lost money. e number of loans and leases made by Wisconsin banks rose 5.6 percent during the first quarter to nearly $71.6 Bouncing back Banks grow their loan portfolios: 72 percent post profits in Q1 2015 billion, up from $67.8 billion during the same period a year ago. Simply put, banks are doing better. As for why, the improving economy is a major factor as are the decisions by banks in how they do business. Christopher Del Moral-Niles, chief financial officer for Associated Bank, says the financial crisis made the Green Bay-based bank focus more on select lending areas and on certain geographical markets. In Associated's case, that's Wisconsin, Minnesota and Illinois. "We are much more Wisconsin- centric now than what we were before," he says. "We learned you shouldn't go to places where you don't have a lot of knowledge. And if you do enter a new market, hire local people who know that market — don't just parachute people into new markets, thinking that they're all the same." at's a rule Nicolet [continued ] » "We learned you shouldn't go to places where you don't have a lot of knowledge. And if you do enter a new market, hire local people who know that market – don't just parachute people into new markets, thinking that they're all the same." – C h r i s to p h e r D e l M o r a l - N i l e s, c h i e f f i n a n c i a l o f f i ce r f o r A s s o c i ate d B a n k