Pinnacle Bank of Rogers, Central Bank to merge

Arkansas Business, May 11, 2009 by George Waldon

Two banks with some common shareholders intend to consolidate their ownership in a proposed stock merger through Pinnacle Bancshares Inc.

Central Bank in Little Rock will hold a 52 percent stake in Pinnacle Bancshares with the balance representing the existing stockholders in the holding company of Pinnacle Bank of Rogers.

The combined operations will have more than $200 million in total assets with more than $30 million in capital.

First State Bank of Lonoke, Fidelity National Bank of West Memphis and Cross County Bank of Wynne are shareholders in Pinnacle and Central as well as Batesville's First Southern Bank.

Formed in February 2007, Central Bank recorded a 2008 profit of $434,000 on total assets of $81 million. The bank employs nine at its one Little Rock location.

Pinnacle Bank, formed in August 2004, reported net income of $339,000 and total assets of $121 million last year. Fifteen staffers work at its lone office in Rogers.

The chief executive officer of the merged operations will be Wade Ruckle, chief financial officer of Lonoke Bancshares Inc., which owns shares in both banks.

John Foley, president of Central Bank, will become president of central Arkansas operations, while Scott Franklin, president of Pinnacle Bank, becomes president of northwest Arkansas operations.

The merger should be completed during the third quarter.