8-K: Midland States Bank Appoints Jeremy Jameson as Chief Credit Officer

Midland States Bank has appointed Jeremy Jameson as its new Chief Credit Officer, bringing over 20 years of experience in credit risk management.

Summary

• Midland States Bank has announced the appointment of Jeremy Jameson as Chief Credit Officer.
• Jameson has over 20 years of experience in credit risk management and driving growth at community banks.
• He will be responsible for managing all aspects of the bank's credit operations, including developing and implementing credit policies and strategies.
• The current Chief Credit Officer, Jeff Brunoehler, will retire next year, allowing for a smooth transition period with Jameson.
• Midland States Bancorp, Inc. had total assets of approximately $7.76 billion as of June 30, 2024.
• The company's Wealth Management Group had assets under administration of approximately $4.00 billion as of June 30, 2024.

Sentiment

Score: 7

Explanation: The announcement is positive due to the appointment of an experienced executive and a smooth transition plan, but it is not a major event that would significantly impact the company's outlook.

Positives

• The appointment of Jeremy Jameson brings significant experience in credit risk management to Midland States Bank.
• The transition plan with the current Chief Credit Officer, Jeff Brunoehler, ensures a smooth handover.
• Jameson's experience aligns with the bank's focus on driving organic growth.
• The bank has a substantial asset base with $7.76 billion in total assets.
• The Wealth Management Group manages a significant $4.00 billion in assets.

Risks

• The transition of leadership in a key role like Chief Credit Officer could pose a short-term risk if not managed effectively.
• The bank's growth objectives may be impacted if the new credit policies are not implemented successfully.

Future Outlook

The bank is focused on driving organic growth over the next few years, which aligns with Jeremy Jameson's experience in running credit operations at community banks.

Management Comments

• Jeffrey Ludwig, CEO of Midland States Bank, stated that Jeremy's experience shows a strong background in enhancing credit policies, driving portfolio growth, and ensuring robust risk management practices.
• Mr. Ludwig also noted that the timing of Jeremy's appointment is perfect as Jeff Brunoehler will retire next year, allowing for a smooth transition.

Industry Context

The appointment of a new Chief Credit Officer is a common occurrence in the banking industry, especially when a long-term executive is retiring. This move is consistent with the need for banks to maintain strong credit risk management practices.

Comparison to Industry Standards

• The appointment of a Chief Credit Officer with 20 years of experience is in line with industry standards for community banks.
• Midland States Bank's asset size of $7.76 billion places it in the mid-tier range of community banks, comparable to institutions like First Midwest Bancorp or Old National Bancorp.
• The $4.00 billion in assets under administration is a significant figure, indicating a strong wealth management business, similar to other regional banks with established wealth management divisions.

Management Changes

Stakeholder Impact

• Shareholders may view the appointment positively due to the experience of the new Chief Credit Officer.
• Employees may experience a change in leadership within the credit department.
• Customers may not be directly impacted by this change.

Next Steps

• Jeremy Jameson will begin his role as Chief Credit Officer.
• Jeff Brunoehler and Jeremy Jameson will work together to ensure a smooth transition until Jeff's retirement next year.

Key Dates

Keywords

Chief Credit Officer, credit risk management, Midland States Bank, banking, financial services, community bank, leadership change, organic growth