Amcore Financial Inc. of Rockford, Ill., has entered into a written agreement with the office of the Comptroller of the Currency to develop a consumer compliance program.
The $5 billion-asset company revealed in a Securities and Exchange Commission filing on Wednesday that the OCC had asked its Amcore Bank to adopt such a program "to ensure that the bank is operating in compliance with all applicable consumer protection laws, rules and regulations."
The agreement, dated May 31, resulted from the OCC's September 2004 examination of the bank. It did not detail any infractions.
Among other things, Amcore must appoint a compliance officer and draft a written description of all the duties of the position; put in place internal controls to make sure the company complies with all laws and regulations; update its consumer policies once a year; and conduct regular audits to ensure its compliance program is working. It also has to appoint an officer to monitor its compliance with the Community Re-investment Act.
Kevin K. Reevey, an analyst with Ryan Beck & Co. Inc. in Florham Park, N.J., said in a report that the order probably will not interfere with Amcore's operating strategy and that he expected the company to meet his earnings target of $2.05 a share for 2005.
The stock was trading at $28.40 Thursday afternoon, up about 0.50% from its closing price Wednesday.
