Business Lexington: Town & Country Bank emerges from consent order

STAFF REPORT

Thursday, Dec. 12, 2013, 9 p.m. — A Lexington business publication reported Thursday that Bardstown’s Town & Country Bank and Trust Co. has emerged from a consent order from the Federal Deposit Insurance Corp. and the Kentucky Department of Financial Institutions.

During the term of the consent order, the bank’s board of directors changed the bank’s operations and risk management practices, Business Lexington reported Thursday. The bank revised its lending practices, enhanced its credit monitoring and put new processes in place as it worked to resolve its once large portfolio of problem loans.

Town and Country has posted earnings every quarter in 2013 and maintained a loss reserve of 5 percent to address its troubled loans it still holds.

Town and Country hired Linda Rumpke, its current president and CEO, while under the consent order. Rumpke was formerly head of Chase Bank’s Lexington operations. She also served as finance commissioner for former Lexington Mayor Jim Newberry.

Bank chairman Thomas Wimsett said in a press release he was pleased the consent order was terminated. “We were able to raise the necessary capital, attract the appropriate management, and dramatically improve our credit and underwriting skills,” he said. “We are very fortunate to have such a dedicated group of employees, customers and shareholders.”

According to the article, the bank has emerged as a stronger, healthier organization.

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