EAU CLAIRE, Wis., Oct. 5, 2009 (GLOBE NEWSWIRE) -- Citizens Community Bancorp, Inc. (Nasdaq:CZWI) and its wholly owned subsidiary, Citizens Community Federal, today announced the removal of James G. Cooley, effective September 30, 2009, from his positions as President and CEO, and member of the Citizens Community Federal Board of Directors. Mr. Cooley will retain his position on Citizens Community Bancorp Board of Directors.
As we transition to new leadership, Bank management will undertake several pressing issues, including a possible charter change, capital limitations, substantially increased costs for FDIC insurance, and regulatory mandated write-downs of our mortgage-backed securities portfolio. For the past five months the board has worked with management in identifying substantial annual expense reductions in anticipation of addressing these issues, and the process is just beginning. In addition, bank management has identified and put in place several income enhancement initiatives that are intended to increase profits.
Timothy J. Cruciani, our Executive Vice President, has assumed the role of President. Cruciani began his career with the Bank more than twenty years ago. He has been Executive Vice President for the past five years. Tim has been the executive behind the recent successful addition of 17 in-store Bank branches over the past two years. His mandate is to continue the initiatives set by the Board to reduce expenses and enhance income, including addressing the major issues facing the Bank that were noted above, while establishing a corporate culture built on a commitment to sustainable profitability, effective communications, transparency and accountability.
Edward H. Schaefer, of Eau Claire, Wis., has been appointed to finish Cooley's term on the Citizens Community Federal Board of Directors. Schaefer, a seasoned executive with many years in senior management positions, including ten years as President and/or CEO in the banking industry, has distinguished himself by successfully turning around banks facing challenges similar to those now faced by the Bank. Ed has also been retained by the Bank as a full-time consultant for the next eighteen to thirty-six months to provide strategic leadership and expertise to management and the Board in accomplishing the mandate specified above, with specific emphasis on quickly returning the Bank to sustainable profitability.
About Citizens Community Bancorp, Inc.
Citizens Community Bancorp, Inc., based in Eau Claire, Wis., is the holding company for Citizens Community Federal, a federal savings association operating 26 full-service banking offices in Wisconsin, Minnesota and Michigan. Please visit us online at www.citizenscommunityfederal.net.
Certain statements contained in this press release contain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These statements may be identified by the use of forward-looking words or phrases such as "anticipate," "believe," "could," "expect," "intend," "may," "planned," "potential," "should," "will," and "would." Such forward-looking statements in this release are inherently subject to many uncertainties in the Company's operations and business environment. These uncertainties include general economic conditions, in particular, relating to consumer demand for the Company's products and services; the Company's ability to maintain current deposit and loan levels at current interest rates; competitive and technological developments; deteriorating credit quality, including changes in the interest rate environment reducing interest margins; prepayment speeds, loan origination and sale volumes, charge-offs and loan loss provisions; the Company's ability to maintain required capital levels and adequate sources of funding and liquidity; maintaining capital requirements may limit the Company's operations and potential growth; changes and trends in capital markets; competitive pressures among depository institutions; effects of critical accounting policies and judgments; changes in accounting policies or procedures as may be required by the Financial Accounting Standards Board (FASB) or other regulatory agencies; further write-downs in the Company's mortgage-backed securities portfolio; the Company's ability to implement its cost-savings and revenue enhancement initiatives; legislative or regulatory changes or actions, or significant litigation, adversely affecting the Company; fluctuation of the Company's stock price; ability to attract and retain key personnel; ability to secure confidential information through the use of computer systems and telecommunications networks; and the impact of reputational risk created by these developments on such matters as business generation and retention, funding and liquidity. Shareholders, potential investors and other readers are urged to consider these factors carefully in evaluating the forward-looking statements and are cautioned not to place undue reliance on such forward-looking statements. The forward-looking statements made herein are only made as of the date of this press release and the Company undertakes no obligation to publicly update such forward-looking statements to reflect subsequent events or circumstances occurring after the date of this release. In addition, such uncertainties and other operational matters are discussed further in the Company's quarterly and annual filings with the Securities and Exchange Commission.