March 13, 2023
To our Maine Community Bank customers:
With the recent collapse of a select few publicly traded specialty banks, customers have asked if there is reason to be concerned about their deposits and the stability of the financial sector.
First and most importantly, your deposits with Maine Community Bank are safe and secure. Maine Community Bank bears no resemblance to the troubled banks you are hearing about in the news. We are very well capitalized, have an extremely strong liquidity position and excellent credit quality. As a mutual savings bank, we are not publicly traded, and therefore not subject to the unpredictable valuation declines driven by a spooked market. Specifically, Maine Community Bank strengths are:
- Our Tier 1 capital is almost three times the minimum regulatory requirement
- Over 80% of our assets are in loans to Maine families and Maine businesses, not low yielding investments which are driving the declines in other bank tangible equity
- We have a strong balance sheet and liquidity position with a diversified deposit base and access to multiple funding sources
- In summary, Maine Community Bank is profitable, stable and secure.
As reported by the latest FDIC Quarterly Banking Profile data, America’s banks are strong and resilient. The events of the last several days do not change that. Regulators have a broad range of tools available since 2010 to deal with stresses inherent to banking.
Banking local means knowing firsthand how your money is being managed and who is making decisions. At Maine Community Bank we only do business in Maine, we know our communities well, and we are prudent in delivering on our mission is to ensure our prosperity and the ability to enrich our customers, communities and employees.
For over 150 years your trust in us has been our priority, and we will continue to do so every day.
Please let us know if you have questions.
Thank you and Best regards,
Jeanne A. Hulit
President & CEO