During the past three weeks, Macon-based Atlantic Southern Financial Group Inc. lost two directors and its chief credit officer.
Atlantic Southern Financial is the holding company for Atlantic Southern Bank.
The resignations were not due to any issues with the bank, said bank CEO and president Ed Loomis.
Directors Russell Lipford Jr. and Rob Ballard resigned as of April 14, and the bank reported Tuesday that Gary Hall resigned as of April 30 as executive vice president and chief credit officer of the holding company and the bank.
The 8-K filings to the Securities and Exchange Commission state the resignations were “not due to any disagreement with the company.” An 8-K is used “to report any material event,” which includes the resignation of directors, according to the SEC.
Loomis said Hall, who is in his mid-60s, retired from his full-time position after being in the banking industry about 40 years. Hall made the decision to retire more than a year ago, Loomis said.
“This is a tough time to be in banking,” Loomis said. “But (Hall) still works here on a part-time basis ... as a consultant. It was all very positive circumstances that he left.”
In September, the Federal Deposit Insurance Corp. issued a Cease and Desist Order for the bank, which put the bank under tough regulations. Not only were directors required to attend more meetings, but the meetings are longer, Loomis said.
“It’s stressful on directors, and the time commitment during a tough time is greater,” he said. “So if you are in a situation where it’s very difficult to make meetings that plays a part.”
In another matter, Atlantic Southern has scheduled its annual meeting June 8, and one of the issues to be voted on by shareholders is a plan to increase the number of authorized shares of common stock from 10 million to 110 million.
“If the bank is in a position that it needs to raise more equity, then we may need to issue more shares and we only had a limited number available right now,” Loomis said.
The bank doesn’t have to sell them the shares, but the increase will give it the ability to do so, he said.
“At different times, we’ve considered having either a rights offering or a stock offering of some type,” he said. “The number of shares you have available can affect what type offering you may have ... so we thought we should have that addressed.”
To contact writer Linda S. Morris, call 744-4223.