Business & Finance
Business and Finance
Business and Finance
Mon, January 26, 2009
Sat, January 24, 2009
Fri, January 23, 2009 FNB United Shareholders Approve Charter Amendment
ASHEBORO, N.C.--([ BUSINESS WIRE ])--The shareholders of FNB United Corp. (Nasdaq:FNBN), the parent company of CommunityONE Bank, N.A., voted today to adopt an amendment to the Company's charter to permit the issuance of preferred shares of stock without voting rights restrictions.
The change allows the Company to participate in the U.S. Treasury Department's Capital Purchase Program (CPP). The CPP is a voluntary program that encourages healthy U.S. financial institutions to build capital to increase the flow of financing to businesses and consumers and to support the economy.
The Company already has received preliminary approval to participate in CPP and, as a participant, may issue up to $54.3 million in senior preferred stock to the U.S. Treasury. It is anticipated that the sale of the preferred stock is expected to close in approximately 30 days and is contingent upon the completion of standard closing documents.
In other business at the shareholder meeting, the Company announced the adoption of a proposal from its Nominating and Governance Committee which recommended separation of the office of Chairman and the office of President and Chief Executive Officer and the election of an independent Chairman. Effective February 1, 2009, James M. Campbell, Jr, will serve as Chairman of the Board of FNB United Corp and CommunityONE Bank. Mr. Campbell, 70, has served on the Company's board since 1984. He retired as President and Treasurer of Sew Special, Inc., Asheboro, NC (a manufacturer of private label apparel) in 2005, and currently serves as Chairman of the Board of Trustees for Randolph Community College and as a member of the Board of Directors for Randolph Hospital, Inc. Michael C. Miller will continue in his role as President and Chief Executive Officer of the holding company and bank.
FNB United Corp. is the central North Carolina-based bank holding company for CommunityONE Bank, N.A., and the bank's subsidiary, Dover Mortgage Company. Opened in 1907, CommunityONE (MyYesBank.com) operates offices in communities throughout central, southern and western North Carolina. Dover (dovermortgage.com), based in Charlotte, NC, has a retail origination network in key growth markets across the state in addition to wholesale operations.
This news release may contain forward-looking statements regarding future events. Forward-looking statements often address our expected future business and financial performance, and often contain words such as "expect," "anticipate," "intend," "plan," "believe," "seek" or "will."These statements are only predictions and are subject to risks and uncertainties that could cause the actual events or results to differ materially.These risks and uncertainties include risks of managing our growth, changes in financial markets, changes in real estate markets, regulatory changes, changes in interest rates, changes in economic conditions being less favorable than anticipated, and loss of deposits and loan demand to other financial institutions.Additional information concerning factors that could cause actual results to be materially different from those in the forward-looking statements is contained in FNB United's filings with the Securities and Exchange Commission.FNB United does not assume any obligation to update these forward-looking statements or to update the reasons why actual results could differ from those projected in the forward-looking statements.
