A group of investors hopes to shake up the management at Cherry Hill-based ISN Bank, a $237 million commercial bank that has lost $771,000 in shareholder value over six years.
The ISN Turn-Around Group, which represents an undisclosed number of shareholders, will present a new plan for the state-chartered bank during an April 26 shareholder meeting at ISN headquarters in Cherry Hill.
Changes proposed by the group include new senior management and a whole new slate of directors. The group wants to install veteran banker Wil Roat, a resident of Kennett Square, Pa., as chief economic officer.
Roat, 59, who spoke on behalf of the shareholders, said he was enlisted by the investor group last fall because of his experience working with distressed banks. He would not name the individual spearheading the turn-around campaign.
"It's fair to say that a number of shareholders have stated to us that they are not satisfied, and a change in the direction of the bank is necessary," according to Roat.
"The original investors in this company really have not had the return on investment that they bargained for," he added. "What we need is a change in management from the top down."
Most recently, Roat was president and chief executive of Belmont Bancorp in Bridgeport, Ohio, the parent company for a $300 million national bank he says he helped to turn around in 2000. Prior to that, Roat helped First Lehigh Bank of Allentown, Pa.
Founded in May of 2001, ISN Bank was formerly known as interSTATE Net Bank. At the end of 2006, its total assets were $237.4 million, according to the Federal Deposit Insurance Corporation statistics.
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