Landmark Bancorp, Inc. is a bank holding company which was incorporated under
the laws of the State of Delaware in 2001. Currently, the Company’s business
consists solely of the ownership of Landmark National Bank (the “Bank”),
which is a wholly-owned subsidiary of the Company.
The Company is headquartered in Manhattan, Kansas and has expanded its geographic
presence through past acquisitions. Effective November 1, 2013, the Company
completed the acquisition of Citizens Bank, National Association (“Citizens
Bank”). Effective April 1, 2012, the Company completed the acquisition
of The Wellsville Bank. In May 2009, the Company acquired an additional branch
in Lawrence, Kansas. The Company completed several other mergers and acquisitions
prior to 2009.
The Bank has continued to focus on increasing its originations of commercial,
commercial real estate and agricultural loans, which management believes will
be more profitable and provide more growth for the Bank than traditional one-to-four
family residential real estate lending. While the Bank has grown these portfolios,
generally weak loan demand over the past few years as the economy has recovered
has made it difficult to have meaningful growth while maintaining high credit
standards. Additionally, greater emphasis has been placed on diversification
of the deposit mix through expansion of core deposit accounts such as checking,
savings, and money market accounts. The Bank has also diversified its geographical
markets as a result of its acquisitions. The Company’s main office is
in Manhattan, Kansas. The Company has 29 branch offices in 23 communities across
the state of Kansas. The Company continues to explore opportunities to expand
its banking markets through mergers and acquisitions, as well as branching opportunities.
The results of operations of the Bank and the Company are dependent primarily
upon net interest income and, to a lesser extent, upon other income derived
from sales of one-to-four family residential mortgage loans, loan servicing
fees and customer deposit services. Additional expenses of the Bank include
general and administrative expenses such as salaries, employee benefits, federal
deposit insurance premiums, data processing, occupancy and related expenses.
Deposits of the Bank are insured by the Deposit Insurance Fund (the “DIF”)
of the Federal Deposit Insurance Corporation (the “FDIC”) up to
the maximum amount allowable under applicable federal law and regulation. The
Bank is regulated by the Office of the Comptroller of the Currency (the “OCC”),
as the chartering authority for national banks, and the FDIC, as the administrator
of the DIF. The Bank is also subject to regulation by the Board of Governors
of the Federal Reserve System (the “Federal Reserve”) with respect
to reserves required to be maintained against deposits and certain other matters.
The Bank is a member of the Federal Reserve Bank of Kansas City and the Federal
Home Loan Bank (the “FHLB”) of Topeka.
The Company’s executive office and the Bank’s main office are located
at 701 Poyntz Avenue, Manhattan, Kansas 66502. The telephone number is (785)
565-2000.
The Bank strives to provide a full range of financial products and services
to small- and medium-sized businesses and to consumers in each market area it
serves. The Bank targets owner-operated businesses and utilizes Small Business
Administration lending as a part of its product mix. The Bank has a loan committee
for each of its markets, which has authority to approve credits within established
guidelines. Concentrations in excess of those guidelines must be approved by
either a corporate loan committee comprised of the Bank’s Chief Executive
Officer, the Credit Risk Manager, and other senior commercial lenders or the
Bank’s board of directors. When lending to an entity, the Bank generally
obtains a guaranty from the principals of the entity. The loan mix is subject
to the discretion of the Bank’s board of directors and the demands of
the local marketplace.
Loan originations are derived from a number of sources. Residential loan originations
result from real estate broker referrals, direct solicitation by the Bank’s
loan officers, present depositors and borrowers, referrals from builders and
attorneys, walk-in customers and, in some instances, other lenders. Consumer
and commercial real estate loan originations generally emanate from many of
the same sources.
Residential loan applications are underwritten and closed based upon standards
which generally meet secondary market guidelines. The loan underwriting procedures
followed by the Bank conform to regulatory specifications and are designed to
assess both the borrower’s ability to make principal and interest payments
and the value of any assets or property serving as collateral for the loan.
Generally, as part of the process, a loan officer meets with each applicant
to obtain the appropriate employment and financial information as well as any
other required loan information. The Bank then obtains reports with respect
to the borrower’s credit record, and orders, on real estate loans, and
reviews an appraisal of any collateral for the loan (prepared for the Bank by
an independent appraiser).
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