Business Description
The Company is a Maryland corporation organized in 2004. The Company is a bank
holding company and was subject to regulation by the Office of Thrift Supervision
(OTS) through July 21, 2011 and has been subject to regulation by the Office
of the Comptroller of the Currency (“OCC”) and by the Federal Reserve
Bank thereafter. Our primary activities consist of holding the stock of our
wholly-owned subsidiary bank, Citizens Community Federal N.A., and providing
consumer and small commercial and agricultural banking activities through the
Bank.
The Bank is a federally chartered National Bank with 18 full-service offices;
seven stand-alone locations and 11 in-store branches. In October 2014, we announced
the closing of three in-store branches, effective January 2015; and the relocation
of the Mankato, Minnesota branch to a new full-service traditional branch in
Mankato, MN in October 2015. In October 2015, we entered into a purchase agreement
with Central Bank of Golden Valley, Minnesota, to purchase certain assets from,
and assume all deposit liabilities of Central Bank’s Rice Lake and Barron
branch banking operations in Wisconsin pending regulatory approval. The transaction
is expected to be finalized in our second fiscal quarter of 2016.
In November 2015, we announced the closing of three in-store branches, to
be effective in December 2015 and January 2016. We intend to continue to review
our branch network to deploy assets and capital to growth markets and exit markets
where we have limited growth opportunities. Through all of our branch locations,
in Wisconsin, Minnesota and Michigan, we provide a variety of commercial and
consumer banking products and services to customers, including online and mobile
banking options.
We maintain a portfolio of investments, consisting primarily of U.S. Government
sponsored agency securities, bonds and other obligations issued by states and
their political subdivisions and mortgage-backed securities. We attempt to balance
our portfolio to manage interest rate risk, regulatory requirements, and liquidity
needs while providing an appropriate rate of return commensurate with the risk
of the investment.
The rates of interest we earn on assets and pay on liabilities generally are
established contractually for a period of time. Market interest rates change
over time due to many factors that are beyond our control, including but not
limited to: general economic conditions and government policy decisions, especially
policies of the Federal Reserve Bank. Accordingly, our results of operations,
like those of other financial institutions, are impacted by changes in interest
rates and the interest rate sensitivity of our assets and liabilities. The risk
associated with changes in interest rates and our ability to adapt to these
changes is known as interest rate risk.
0.94% 
160.26 %