County Bancorp, Inc. Observes Improvements in Status of Loan Payment Deferrals

Rhea-AI Summary

County Bancorp, Inc. (NASDAQ: ICBK) reported a significant decrease in customers under payment deferrals due to COVID-19, improving from 181 clients with $200 million in balances as of June 30, 2020, to 105 clients totaling $100 million currently. CEO Tim Schneider noted that while agriculture dairy producers faced fluctuating milk prices, they have rebounded to profitable levels. The bank remains committed to supporting its customers as they navigate the ongoing crisis and does not foresee the need for further deferrals for most agricultural producers.

Positive

• Decrease in customers under payment deferrals from 181 to 105 clients, indicating recovery.
• Total balances under payment deferrals reduced from $200 million to $100 million.

Negative

• Initial increase in payment deferrals indicates significant impact from COVID-19.
• Agricultural dairy producers faced dramatic milk price fluctuations.

MANITOWOC, Wis., Sept. 14, 2020 (GLOBE NEWSWIRE) -- County Bancorp, Inc. (NASDAQ: ICBK), the parent company for Investors Community Bank (collectively “the Company”), today announced an improvement in customers under payment deferrals related to COVID-19.  

		September 11, 2020												June 30, 2020
		Customers in payment deferral				Customers on interest only				Principal Balance				Customers in payment deferral				Customers on interest only				Principal Balance
										(dollars in millions)												(dollars in millions)
Agriculture			10				81			$	77.6				9				83			$	84.9
Commercial			5				9			$	23.1				35				54			$	115.5
Total			15				90			$	100.7				44				137			$	200.4

“In March, we evaluated the potential impact of COVID-19 on the communities we serve, and our team quickly mobilized to help our customers through this crisis,” said Tim Schneider, CEO of Investors Community Bank. “While we have a variety of capabilities to create flexible terms for our customers, one of the most effective tools was to grant payment deferrals as allowed by the regulatory agencies. Thus, to be a strong partner to our commercial customers, we offered 90-day deferrals, due to the uncertainty of the crisis at the time.  Our Agricultural dairy producers were seeing solid milk prices, then in April, milk prices fell dramatically.  The lower prices only lasted two months, however, with prices rebounding to near record levels in June.  Prices have been sustained at profitable levels for nearly all of our producers since then, and we do not expect extensions on deferrals for the majority of ag producers after the initial six months.”

Schneider concluded, “As of June 30, 2020, we had 181 clients totaling $200 million in balances under payment deferrals. Currently, we have 105 clients totaling $100 million.  We are pleased to see this improvement, which we believe shows the overall resilience of Wisconsin’s economy and the strength of our borrowers. Further, we’ve been proud to be able to be a strong partner to all of our customers through this crisis and look forward to seeing their businesses thrive as we move forward.” 

About County Bancorp, Inc.

County Bancorp, Inc., a Wisconsin corporation and registered bank holding company founded in May 1996, and our wholly-owned subsidiary Investors Community Bank, a Wisconsin-chartered bank, are headquartered in Manitowoc, Wisconsin.  The state of Wisconsin is often referred to as “America’s Dairyland,” and one of the niches we have developed is providing financial services to agricultural businesses statewide, with a primary focus on dairy-related lending.  We also serve business and retail customers throughout Wisconsin, with a focus on northeastern and central Wisconsin.  Our customers are served from our full-service locations in Manitowoc, Appleton, Green Bay, and Stevens Point and our loan production offices in Darlington, Eau Claire, Fond du Lac and Sheboygan. Visit our Investor Relations site for details: Investors.ICBK.com.

Investor Relations Contact
Glen L. Stiteley
EVP - CFO, Investors Community Bank
Phone: (920) 686-5658
Email: gstiteley@icbk.com

FAQ

What recent announcement did County Bancorp (ICBK) make regarding payment deferrals?

County Bancorp announced a decrease in payment deferrals from 181 clients totaling $200 million to 105 clients with $100 million.

What impact did COVID-19 have on County Bancorp's clients?

COVID-19 initially led to a significant number of clients entering payment deferrals, though this has improved over time.

What is the current status of agricultural producers supported by ICBK?

Most agricultural producers are expected to no longer need payment deferrals as milk prices have rebounded to profitable levels.

How many clients remain on payment deferral with County Bancorp as of September 2020?

As of September 2020, County Bancorp has 105 clients on payment deferral, down from 181.