By Timothy J. Thompson
President & Chief Executive Officer
(From the 2017 Annual Report)
2018 marks Franklin Savings Bank’s 150th anniversary. As we consider the history of the Bank, we would be remiss if we did not recognize the contributions of two recent retirees, whose leadership has been instrumental to the success of the Bank.
Board Chairman, Bill Bernard, retired in December 2017 after having served the Bank for 31 years as a director, the last fourteen of those as chairman. As a director, Bill was a believer that community banking done right, would lead to success for our customers, our communities, and our Bank. We thank Bill for his dedication and wish him a happy and healthy retirement. Richard Walker, a Board member since 1991, was unanimously elected to serve as Chairman of the Board.
Peter Judkins, President and CEO since 2006, also retired in December of 2017. Peter joined the Bank in 1999 and from the start he was committed to the objective of ensuring that Franklin Savings Bank would continue to serve our communities for many years to come. . Peter couldn’t have anticipated that this objective would be challenged by the Great Recession, the Mortgage Crisis, record declines in interest rates and a technological revolution. Despite these challenges, under Peter’s leadership, the Bank has maintained the ranking of Strongest Bank in Maine by Weiss Ratings, Inc. and has grown from $292 to $393 million in assets.
Peter felt one of his most meaningful responsibilities was serving as President of the Franklin Savings Bank Community Development Foundation. Through 2017, the Foundation has contributed more than $2.3 million in support of charitable, economic, and educational needs throughout the Bank’s service area.
Peter’s enthusiasm and dedication to supporting the community while managing the Bank to guarantee the long-term financial success has been, and continues to be, the right strategy. Speaking for all employees of the Bank, our customers and our communities, I offer a heartfelt thank you to Peter for his commitment to the longevity of the Bank and the Bank’s service to our communities. We are all pleased that Peter will continue to offer his insights and leadership to the Bank by remaining on the Board of Directors.
The bank completed 2017 with total assets of $393.6 million and net income of $3.5 million. We closed 356 consumer mortgages and home equity loans for a total of $41.7 million. We also closed 568 commercial loans, totaling $65.8 million and 743 non-mortgage consumer loans totaling $7.4 million. Our lending efforts resulted in an increase in loan balances over 2016 levels of $26.9 million. Deposits totaled $259.1 million at year end, representing a 3.37% increase for the year.
Western Mountain Financial Services also had a very productive year while serving the investment needs of its many clients, with assets under management increasing 17.15% over 2016 year-end numbers.
Our employees continue to show deep dedication to the communities we serve in their volunteering. Last year, employees volunteered for more than 3,500 hours and raised tens of thousands of dollars for local charities.
It is a pleasure to be able to present a very favorable report on the Bank’s performance. Thanks to our employees, our Corporators, and our Directors for their tremendous support and to our many customers who have chosen Franklin Savings Bank and Western Mountain Financial Services as their financial partners.
As I look forward to 2018 and beyond, there will continue to be opportunities for growth and challenges to work through. As President, my responsibility is to be a steward of the core tenets of community banking that Franklin Savings Bank was founded on 150 years ago; relationship banking and local reinvestment into our communities.
150 years of success through superior service to our customers and communities is a great achievement. There is a significant responsibility to upholding this legacy. Through continued dedication to the bank’s mission, the employees of Franklin Savings Bank look forward to upholding this legacy for many years to come.