Stearns Bank National Association Announces Acquisition of Covenant Bank & Trust

ST. CLOUD, Minn., March 23, 2012 /PRNewswire/ -- Stearns Bank National Association, based in St. Cloud, Minnesota, announced today, that effective immediately, it has acquired all of the deposits and substantially all of the assets of Covenant Bank & Trust from the Federal Deposit Insurance Corporation (FDIC), as Receiver of Covenant Bank & Trust. Covenant Bank & Trust is based in Rock Spring, GA, with one branch office located in Dalton, GA.

The two locations of Covenant Bank & Trust will open as branches of Stearns Bank on Monday, March 26th for business as usual. The customers of Covenant Bank & Trust may continue to conduct normal banking business and have access to all of their accounts. In addition, all outstanding Covenant Bank & Trust checks will be processed and customers may continue to write Covenant Bank & Trust checks and use their ATM and debit cards.

Covenant Bank & Trust loan customers should continue to make their regular loan payments in the same manner as in the past. New and existing customers will receive additional information from Stearns Bank in the near future.

"We are pleased to welcome the Covenant Bank & Trust customers to the Stearns Bank family," said Norman Skalicky, CEO of Stearns Bank. "In addition, Covenant Bank & Trust customers will continue to be served by the same friendly professionals and their deposits continue to be insured by the FDIC up to the legal limit and backed by the considerable capital strength of Stearns Bank." 

About Stearns Bank:

With this acquisition, Stearns Bank now has 10 offices in four states - Minnesota, Georgia, Arizona, and Florida. Stearns Bank has approximately $1.3 billion in total assets and $234 million of Tier One Capital. With a Tier One Leverage Capital ratio of over 19%, Stearns is among the highest capitalized banks in the Nation. Stearns Bank is a high-performing bank with specialty lending niches in Small Business Administration loans, affordable housing loans, and construction lending. In addition, we have a leasing department that serves leasing clients across the United States.

For more information, please visit our website at http://www.stearnsbank.com. 

Contact:

Norm Skalicky, CEO
4191 2nd Street South
St. Cloud, MN 56301
1-800-320-7262

Member FDIC. Equal Housing Lender. 

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SOURCE Stearns Bank National Association