By Boris Ladwig, The Republic
bladwig@therepublic.com
Greensburg-based MainSource Bank plans to open three full-service bank branches in Columbus within the next two years.
The bank's Columbus market will be led by Rob Olds, who until last week served as market executive for the south-central Indiana region for Irwin Union Bank.
IUB failed last week, and its assets were seized by Federal Deposit Insurance Corp. and bought by Hamilton, Ohio-based First Financial Bancorp.
Irwin Union's demise also presented an opportunity for MainSource Bank, said Archie M. Brown Jr., president and chief executive officer of Main-Source Financial Group, the bank's parent company.
MainSource previously considered entering the Columbus area, but Irwin Union had such a stronghold on the market that it would have been difficult to make inroads, Brown said.
With IUB's demise, MainSource secured a strong team of at least eight former Irwin Union employees, including Olds, who know the area and customers well, Brown said.
MainSource will open a loan and deposit office in Columbus in October and two other branches within 24 months, including one on the West side and one in northern Columbus, company officials said. The bank already has a branch in Taylorsville.
The Columbus branches are expected to employ about 40, including management, within two years, Brown said.
Beyond traditional deposit and consumer/commercial loan services, the bank also will offer wealth management, insurance and investment services.
MSFG has assets of about $2.9 billion and operates 85 banking centers in the Midwest, primarily in Indiana.
The recession has caused many challenges, Brown said, but it also has created opportunities that would not have existed without the struggles.
"This is a unique time," he said.
He also said the corporation will be involved in the community, relying on Olds to provide guidance.
Daryl R. Tressler, Main-Source Bank chairman, president and chief executive officer, said the corporation expects its executives - and other employees - to also serve as leaders in the community.
MSFG, traded on NASDAQ, reported for the first six months of the year a loss of nearly $37 million. Executives said the loss was the result primarily of a second-quarter goodwill impairment charge of $45 million.
The corporation and the bank are well-capitalized, according to the second-quarter earnings statement.