Cornerstone Raises $10 Million In New Capital

Monday, February 6, 2012
Cornerstone Chairman Miller Welborn
Cornerstone Chairman Miller Welborn
Cornerstone Bancshares, Inc., parent company of Chattanooga-based Cornerstone Community Bank (the “Bank”), announced that it reached a new benchmark in its capital campaign, by raising in excess of $10 million by yearend 2011. 

 In an effort to further strengthen its capital position, Cornerstone issued a Preferred Stock Offering with a Series A Convertible Preferred Stock, featuring a 10 percent annual, cumulative dividend. As of December 31, 2011, the company had sold $10,052,000 of the new security. 

“We are thrilled with the success of this campaign, especially given the current economic environment and financial sector climate as a whole,” said Cornerstone Chairman Miller Welborn.  “Our customers, employees and the Chattanooga community at large really rallied to support this offering. This achievement of not raising more than $10 million is a true testament to our local market’s faith in Cornerstone, and the Bank’s strength and ability to serve the Chattanooga community.” 

Based on the success of the campaign, the Offering has been extended through June 30, 2012.  Initial shares will be offered on a “first come, first served” basis to the Chattanooga market and the general market thereafter.  The shares are DTC eligible on DRS and will be traded on the Over-The-Counter Bulletin Board upon completion of the offering, under the following ticker symbol:  CSBQP. Dividends on the Preferred Stock are payable in cash quarterly, if, as and when declared, and will accumulate at an annual rate of 10 percent. Cornerstone has made dividend payments on the Preferred Stock the last three consecutive quarters, based on positive earnings in the preceding quarters. 

“We’ve made this a very attractive security and are more than pleased to reward our investors for their generous support of Cornerstone,” said Mr. Welborn. “Our goal is to continue strengthening and improving Cornerstone, in order to provide the highest return on investment to our shareholders and the best possible products, service and value to our customers.” 

Cornerstone is a single-bank holding company with $426 million in assets, serving the Chattanooga, Tennessee MSA.  Locally owned and locally operated, Cornerstone Community Bank was founded in 1996, and is one of Chattanooga’s oldest and largest community banks. With five branches serving the Hamilton County area and one loan production office in Dalton, Georgia, Cornerstone Community Bank specializes in providing a comprehensive range of customized financial solutions for businesses and individuals.


Transportation Coalition Releases Interactive Map Of Tennessee's Road/Highway Needs

The Transportation Coalition of Tennessee has posted a new, interactive Web page showing nearly 400 unfunded state road/highway projects. The Web page is part of the coalition's ongoing education initiative to highlight transportation infrastructure funding problems. "The unfunded projects come to nearly $8 billion," said Susie Alcorn, executive director of the Tennessee Infrastructure ... (click for more)

GDOL To Help Lake Winnepesaukah Hire Workers Next Week In Rossville

The Georgia Department of Labor  will help Lake Winnepesaukah recruit more than 25 part-time employees to fill weekend jobs at the amusement park in Rossville. After Aug. 7, the park will be open only on weekends until Oct. 31, when it will close for the season. The recruitment will be held Wednesday, Aug. 12, from 2-7 p.m. in the amusement park located at 1730 Lakeview ... (click for more)

Sheriff Watson Offers To Send Team To Colorado To Help With Search For Cleveland's Joe Keller; Active Search Suspended

Bradley County Sheriff Eric Watson has offered to send a Special Response Team, as well as other resources, to help Colorado authorities, who have suspended their search for 19-year-old Joseph Keller. He noted, "Joe Keller is a well-known young man who has lived in the Bradley County area, and disappeared while on a run in Conejos County, Colorado recently. " Sheriff ... (click for more)

Major AT&T Outage Strikes Chattanooga, Surrounding Areas; Verizon, T-Mobile Also Experience Outages In Tennessee, Kentucky, Alabama

When AT&T subscribers tried to use their cell phones in North Georgia this afternoon, they got a message saying “Emergency Calls Only.”  On Signal Mountain, a terse “Network Busy” message popped up when they tried to use their phones.  They are not alone.  According to news reports in The Tennessean in Nashville and numerous other news sources, AT&T ... (click for more)

In Agreement With Rep. Womick's Bill

I agree wholeheartedly with the bill by Rep. Womick that county clerks only marry couples of the opposite sex, but I doubt that the present Supreme Stupids would change the position of the court and fear that the time, energy and money spent to defend a legal action brought by the liberal supporters of the present state of the law would be for nothing.  There is a higher ... (click for more)

Roy Exum: A Very Silly Apology

It didn’t get a lot of attention, as well it should not have, but when I heard Japanese giant Mitsubishi was offered an apology for heinous war crimes that took place during World War II, I thought it was an ill-conceived publicity stunt. But, no, in a solemn ceremony last month hosted by the Museum of Tolerance at the Simon Wiesenthal Center in Los Angeles, that is exactly what ... (click for more)