Cornerstone Announces Termination Of Consent Order

Wednesday, September 5, 2012

Cornerstone Bancshares, Inc. (Over-the-Counter Bulletin Board: CSBQ; CSBQP), the holding company of Cornerstone Community Bank (Bank), on Wednesday announced the termination of the Consent Order, dated April 2, 2010, between the bank and the Federal Deposit Insurance Corporation (FDIC).  The Consent Order, related to strengthening the bank’s capital position and improving asset quality, was lifted after regulators determined the bank had met all regulatory requirements and successfully raised in excess of $12 million in capital through a Preferred Stock Offering (Offering).

 

 

“This is a significant event for Cornerstone and testament to the hard work of our entire team, at all levels,” said Cornerstone’s President and CEO Frank Hughes. “While we’re pleased that the regulators have recognized and acknowledged the progress made, we will continue to work diligently to improve our asset quality, clean up the balance sheet and continue on this path to greater profitability.”

 

Cornerstone recently reported its sixth consecutive quarter of positive earnings and has paid the quarterly dividend on its Preferred Stock, based on those six quarters.  Launched in the third quarter of 2010, the Offering features a Series A Convertible Preferred Stock with a 10 percent annual, cumulative dividend.   

 

“We are fortunate to be located in such a thriving, progressive market as Chattanooga, where there is great opportunity for a strong community bank,” said Cornerstone’s Chairman Miller Welborn.  “Our goal is to continue serving our customers and building on Cornerstone’s solid foundation for the future.”

 

Founded in 1996, Cornerstone is a single-bank holding company, with $421 million in assets, serving the Chattanooga, Tn. MSA, with five full-service branch locations throughout Chattanooga and one loan production office in Dalton, Ga. Locally owned and locally operated, Cornerstone specializes in providing a comprehensive range of customized financial solutions for businesses and individuals.

 


The Women’s Fund Of Greater Chattanooga Appoints Two Executives To Its Board Of Directors

The Women’s Fund of Greater Chattanooga appointed Autumn Graves and Cynthia Nesson to its board of directors to support the organization’s ongoing effort of creating greater opportunities in health, education, and safety for the women and girls in the Chattanooga community, officials said.   Dr. Graves, a leader in the education sector, is currently the head of school ... (click for more)

TNECD Awards ThreeStar Competitive Enhancement Grants To Marion, McMinn And 9 Other Tennessee Counties

The Tennessee Department of Economic and Community Development announced Friday the 11 counties that will receive ThreeStar Competitive Enhancement Grants.  The grants will be used for a variety of local programs addressing public safety, health, education and workforce development.  The eleven communities receiving ThreeStar Competitive Enhancement Grants include ... (click for more)

Signal Mountain Man Charged In Traffic Death Of Tunnel Hill Woman, 28

Authorities said a Signal Mountain man was driving when his vehicle struck and killed a woman walking along a road at Ringgold, Ga., on Thursday night. Tyler Alexander Lemley, 20, was charged with DUI. Other charges are pending. Kimberly Diane Dotson, 28, of Tunnel Hill, Ga., was walking southbound on the west edge of Sam Lewis Road when she was hit. Lemley was driving ... (click for more)

Chattanooga Woman Sues Over Treatment Of Disabled Daughter At Memphis Airport Security Checkpoint

A Chattanooga woman has filed suit, alleging that her disabled daughter was roughed up by airport police and Transportation Security Administration personnel at the Memphis Airport. Shirley Cohen said she was returning to Chattanooga after taking her 19-year-old daughter to St. Jude Children's Research Hospital for treatment. The lawsuit filed in Memphis says the daughter ... (click for more)

A Disturbing Trend At Exit 11 - And Response (6)

So, am I the first to notice a trend?   How many wrecks does exit 11 need before anyone asks "whats up with that?"  I have lost count of the wrecks that continue to happen, even after last year's awful loss of life (which I believe 51 percent of the blame should fall on the THP officer on duty).  The problem with this section of interstate are sight lines ... (click for more)

Roy Exum: My Garden This July

I can never remember a day in July when my garden, my lawn, my dogwood tree, and my ferns are all wilting for lack of rain. Right now we are more than eight inches under our average rainfall for the first six months and, on this wonderful weekend, those who love firecrackers are urged to keep a pail of water in case a spark could cause a fire. On the other hand, every July 4 th ... (click for more)