Security Financial Services Corporation and Bloomer Bancshares, Inc. Announce Merger
Durand, Wisconsin, February 17, 2014 – Security Financial Services Corporation, the parent company of Security Financial Bank, Durand, Wisconsin and Bloomer Bancshares, Inc., the parent company of Peoples State Bank of Bloomer, Bloomer, Wisconsin, jointly announced the merger of the two banks. The joint announcement was issued by Jim Mayo, President and Chief Executive Officer of Security Financial Services Corporation and Security Financial Bank (SFB), and Mike Welsh, President and Chief Executive Officer of Bloomer Bancshares and Peoples State Bank of Bloomer.
Mr. Mayo and Mr. Welsh said "our respective Boards and executive management teams share a common vision of this opportunity. We believe the transaction will create a stronger community bank with enhanced capabilities that could not be achieved individually in our respective communities. This will combine two community banks in a manner that is in the best long-term interests of the customers, communities and employees of both banks. Customers of each bank should enjoy expanded and enhanced services and products, and the benefits of a larger branch network." As a result of the merger Peoples State Bank of Bloomer will operate as Security Financial Bank.
Based on the December 31, 2013, data, after the merger, Security Financial Bank will have approximately $410 million of assets, $300 million of total deposits, and $220 million of loans. SFB's home office is located in Durand, Wisconsin and after the merger in addition to Durand will have offices located in Bloomer, Eau Claire, and River Falls with a Wealth Management Office, Security Financial Solutions in Eau Claire.
The merger agreement has been unanimously approved by the Boards of Directors of each company and each bank. The transaction is subject to the customary closing conditions, including approval by the shareholders of Bloomer Bancshares and the required regulatory approvals. It is anticipated that the transaction will close late in the second quarter of 2014.
The combined bank's leadership team will be comprised of Mr. Mayo as President and Chief Executive Officer, George Hauser as Chief Operating Officer, and Paul Solyntjes as Chief Financial Officer. Mr. Welsh will continue to serve as an executive officer of the combined bank for a period of time following the closing. It is anticipated that many of the existing Peoples State Bank employees will continue with Security Financial Bank.
According to Mr. Mayo, "Peoples State Bank of Bloomer is a bank with a very rich 100-plus year history in the Bloomer area. Peoples State Bank of Bloomer has an operating philosophy and a culture that will be a great fit with our Bank and we expect their team to be an integral component of Security Financial Bank's ability to continue to grow and serve its customers and our communities. This merger represents an important step in the growth of SFB. Our objective is to build a community bank of sufficient size to flourish in all economic environments for many years to come."