AMCORE Financial announced Monday morning that Ken Edge is immediately retiring as chief executive officer.
AMCORE Financial announced this morning that Ken Edge is immediately retiring as chief executive officer.
Edge, 62, will remain chairman of AMCORE’s board of directors, but William R. McManaman, who has been on AMCORE’s board since 1997, will take over as CEO.
McManaman, 60, has held a number of senior executive roles for companies such as Brunswick Corp., Dean Foods and Ubiquity Brands in Chicago, Aurora Foods of St. Louis, and First Health of Downers Grove.
“I have had a long and memorable career here at AMCORE. I had originally contemplated working longer, but felt that I have now accomplished the things I had hoped to achieve,” Edge said in a news release.
Edge has worked at AMCORE for 38 years.
“I will cherish the friends and colleagues with whom I have worked. I am proud of the strong management team we have assembled and am confident, that with the board’s strong support, AMCORE will be able to demonstrate great success. I look forward to spending more time with my family, especially my six grandchildren.”
Edge’s major push as CEO was to expand AMCORE’s “footprint” by aggressively building AMCORE branches in the Madison, Wis., Chicago and Milwaukee markets.
Over the past seven years, AMCORE has increased its Madison branches from 10 to 12, opened in Milwaukee for the first time and built its Chicago base from six branches to 28.
In Chicago, AMCORE was the 47th-largest bank in terms of deposits in 2007 compared with 91st in 2001.
AMCORE has 81 offices in Wisconsin and Illinois with more than $5.2 billion in assets, according to the Federal Deposit Insurance Corp.
But all the building added expenses, and AMCORE’s earnings have declined in the past year because of the extra cost associated with the expansion plan and the rapid slowdown in growth in the financial sector as a whole because of the record number of foreclosures coming out of the residential housing market.
The company’s most recent earnings report, the fourth quarter of 2007, showed net income was down more than 40 percent from the year before and earnings per share was down nearly 25 percent.
The company’s stock has suffered as well. Traded on the NASDAQ under the symbol AMFI, AMCORE has declined from the $35 range in the spring of 2006 to opening today’s trading at $20.21 per share.
Over Edge’s final couple of years, he began changing the focus from branch expansion to profitability and brought in a number of new people to the senior management, including Don Wilson, the company’s president and chief operating officer, and Judy Carre-Sutfin, the bank’s chief financial officer, who joined AMCORE in December after more than 20 years at LaSalle Bank in Chicago.
Alex Gary can be reached at firstname.lastname@example.org or at 815-987-1339.