Riverview Financial in Harrisburg, Pa., has promoted its president to chief executive after its previous CEO retired, and delayed its planned acquisition of a western Pennsylvania community bank.
Robert Garst retired this week as CEO of the $444 million-asset Riverview, after serving in the position since 2008. Riverview promoted Kirk Fox to CEO, and said Garst will become a director emeritus. Fox is a co-founder of Riverview and had been its president since 2008. The chief operating officer, Brett Fulk, was promoted to president.
Separately, Riverview will withdraw its planned acquisition of the $72 million-asset Citizens National Bank of Meyersdale, after incurring some unrelated business expenses. Riverview had obtained state regulatory approval for the deal in February, but will resubmit the application to state and federal regulators in the third quarter. It now expects the deal to close in the fourth quarter.
Riverview blamed the withdrawal on two previously unexpected transactions. One, it repaid $5 million in Federal Home Loan bank debt, incurring a prepayment expense of about $239,000. Second, Riverview will close its Good Hope, Pa., branch in August, at a cost of $410,000. The two transactions are expected to result in annual savings of about $870,000.