Associated Bank Announces Community Commitment of $2 Billion

Rhea-AI Summary

Associated Bank (NYSE: ASB) announced a $2 billion Community Commitment Plan (CCP) for 2024-2026. This plan focuses on empowering communities in Wisconsin, Minnesota, and Illinois through various financial services and resources. Key highlights include $1.006 billion in residential mortgages and $9 million in down payment assistance for low-to-moderate-income (LMI) and minority borrowers, $377 million in small business loans, $600 million in community development loans and investments, and $8 million in CRA-qualified grants and in-kind donations. The initiative aims to enhance affordable housing, small business growth, workforce development, sustainability, and racial/social equity, reflecting the bank's ongoing dedication to community support.

Positive

• Commitment of $2 billion, enhancing community support.
• Allocation of $1.006 billion in residential mortgages for LMI and minority borrowers.
• Provision of $9 million in down payment assistance.
• Funding of $377 million in small business loans.
• Investment of $600 million in community development loans.
• Allocation of $8 million in CRA-qualified grants and in-kind donations.
• Focus on affordable housing, small business development, and workforce development.

Negative

• No specific details on the financial impact of the CCP on Associated Bank's balance sheet.
• Potential risks associated with high commitment to LMI and minority borrowers if economic conditions worsen.
• The plan's success is heavily dependent on the effective implementation of community projects.

The three-year community commitment will help uplift and enable customers to succeed across the bank's footprint

GREEN BAY, Wis., May 15, 2024 /PRNewswire/ -- Associated Banc-Corp (NYSE: ASB) ("Associated") today announced its $2 billion Community Commitment Plan ("CCP") that will uphold its dedication to the communities it supports and empowers. The 2024-2026 CCP marks Associated's fourth three-year commitment since 2016, which has resulted in $9 billion contributed to communities across Wisconsin, Minnesota and Illinois.

Highlights of the 2024-2026 CCP include:

• $1.006 billion in residential mortgages and $9 million in down payment assistance for low-to-moderate-income (LMI) and minority borrowers and/or majority-minority geographies.
• $377 million in loans to support small businesses with revenues of $5 million or less, loans less than $5 million in LMI communities and communities of color, and all Small Business Administration (SBA) loans.
• $600 million in community development loans and investments to support affordable housing development, small business growth and lending to nonprofits that support LMI communities.
• $8 million in Community Reinvestment Act (CRA)-qualified grants and/or in-kind donations.

"Our renewed community commitment of $2 billion demonstrates how we help all of our communities grow and thrive," said Andy Harmening, President and CEO, Associated Bank. "We are proud to help create more vibrant, equitable and thriving communities across our footprint."

"At Associated, we work to uplift our colleagues, customers and communities by providing sound financial services and resources, and the giving of our time through colleague volunteerism," said LaDonna Reed, Director of Community Accountability, Associated Bank. "By extending our commitment, we continue to ensure that our LMI communities and communities of color have access to financial resources that will help them grow and prosper."

Each year, through the CCP, Associated Bank and the Associated Bank Foundation donate millions of dollars in charitable grants to local nonprofit organizations with the majority of that total supporting community development programs. Areas of focus for funding include:

• Affordable housing
• Small business development
• Workforce development
• Sustainability
• Racial/social equity

A copy of the 2024-2026 CCP can be found at https://www.associatedbank.com/pdf/CommunityCommitmentPlan.pdf  

ABOUT ASSOCIATED BANC-CORP

Associated Banc-Corp (NYSE: ASB) has total assets of $41 billion and is the largest bank holding company based in Wisconsin. Headquartered in Green Bay, Wisconsin, Associated is a leading Midwest banking franchise, offering a full range of financial products and services from nearly 200 banking locations serving more than 100 communities throughout Wisconsin, Illinois and Minnesota. The company also operates loan production offices in Indiana, Michigan, Missouri, New York, Ohio and Texas. Associated Bank, N.A. is an Equal Housing Lender, Equal Opportunity Lender and Member FDIC. More information about Associated Banc-Corp is available at www.associatedbank.com.

Associated Bank Contact: Marilka Velez
Senior Director of Marketing
920-491-7518
marilka.velez@associatedbank.com

View original content to download multimedia:https://www.prnewswire.com/news-releases/associated-bank-announces-community-commitment-of-2-billion-302145503.html

SOURCE Associated Banc-Corp

FAQ

What is the total value of Associated Bank's Community Commitment Plan for 2024-2026?

The total value of Associated Bank's Community Commitment Plan for 2024-2026 is $2 billion.

How much is allocated for residential mortgages and down payment assistance?

Associated Bank has allocated $1.006 billion for residential mortgages and $9 million for down payment assistance.

What is the focus of the 2024-2026 Community Commitment Plan by Associated Bank?

The focus is on affordable housing, small business development, workforce development, sustainability, and racial/social equity.

How much funding is provided for small business loans in the CCP?

The CCP provides $377 million in funding for small business loans.

What amount is dedicated to community development loans and investments?

A total of $600 million is dedicated to community development loans and investments.

How much is allocated for Community Reinvestment Act-qualified grants and in-kind donations?

Associated Bank has allocated $8 million for CRA-qualified grants and in-kind donations.