Gold Banc reports lifting of regulatory order

Northwestern Financial Review, May 15-May 31, 2005

The Federal Reserve Bank of Kansas City and the Kansas State Bank Commissioner lifted their regulatory order against Gold Banc Corp., of Leawood, Kan., on April 19. The order had been in place against the bank holding company, and its affiliate Gold Bank, since August 26, 2003. The favorable action came after a recent examination revealed improvements in the bank's risk management practices.

"We are obviously pleased the Federal Reserve Bank and the Kansas Bank Commissioner have agreed to terminate their regulatory order against our company," said Mick Aslin, CEO of the holding company and Gold Bank. "Our associates have worked diligently to improve and maintain our risk management practices. This result reflects the tremendous success of their efforts."

Gold Bane reported first-quarter 2005 earnings of $8.1 million, or 21 cents per share, compared with $13.3 million, or 34 cents per share, a year earlier. Earnings in the first quarter of 2004 included a $17 million gain on the sale of branches, partly offset by costs to refinance debt and to provide restricted stock grants. Net interest income increased to $29 million from $25.7 million a year earlier, largely because of loan growth.

The $4.4 billion-asset, 38-branch company has $2.9 billion in deposits.