Silver State Bank - Wholesale - Commercial, Construction
This is a back-add (today's date is 2008-07-29). Business Wire reported the resignation of Andrew K. McCain, son of presidential candidate John McCain, on 2008-07-26, "citing personal reasons." An article on Global Economic Trend Analysis asks, "Silver State Safe & Sound? In a word, No."
In a 2008-07-10 newsletter to Premium members, we reported on the shutdown of their wholesale operations. Silver State Bank, a wholly owned subsidiary of Silver State Bancorp, had announced their addition to the Russell Microcap index (Nasdaq: SSBX) on 2008-07-07.
On 2008-07-01, we received a tip that Silver State Bank had ceased its wholesale lending operations. A copy of an AE's email sent to us said simply "Silver State Bank has made the difficult decision to terminate all wholesale lending activities. The termination is effective immediately. Silver State Bank will continue to process any loans currently in the pipeline." An official notice to brokers can be viewed here (pdf).
Our attempts to reach the AE were unsuccessful. Asking the broker who had sent the tip for more info, we were told, "...they have 13 branches in Arizona and Nevada on the banking side, so it can't be very big." Volume numbers on Allmortgagedetail.com seem to support this, reflecting a total of 5 originations for all of 2006. However, that site only collects residential origination volume.
In a 2008-06-19 press release on their web site, Henderson, NV based Silver State Bank reported $5.1 million in SBA (commercial small-cap) loans had been originated in the first half of June 2008. A presentation attached to their 2008-06-13 8K filing illustrates that more than 81% of their current loan portfolio is comprised of CRE (Commercial Real Estate) and Construction/Land Development loans.
From Silver State Bancorp's 2008-05-13 10Q filing:
"In addition to our core branch banking operations, we operate twelve loan production offices located in Nevada, Utah, Colorado, Washington, Oregon, California and Florida, which are established and staffed around personnel who are experienced SBA loan producers in their geographic market. According to recent lending statistics, Silver State Bank is the leading SBA lender in the state of Nevada as ranked by dollar volume. During 2007, Silver State Bank originated and closed $167.6 million in SBA loans, compared to $127.0 million in SBA loans in 2006."
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Important: This company is on our list of lending operations that have "imploded". However, please note that "imploded" is a somewhat subjective and does not necessarily mean operations are ceased permanently: it can mean bankruptcy filing, temporary but open-ended halting of major operations, or "firesale" acquisition. All information here is provisional, and may contain inaccuracies (especially newer information). If you are planning on doing business with this company or any other one listed on this site, you should inquire with them directly on whether they can still meet your needs. Many are still operating in some capacity.