The former chief executive of Vineyard National Bancorp, who is trying to win control of its board, has added another banker to his alternative slate of directors.
Norman Morales, who resigned from the $2.5 billion-asset Corona, Calif., company Jan. 23, said in a press release Tuesday that Douglas Kratz has replaced David Hardin on the six-nominee slate, which will be proposed at its annual shareholder meeting Aug. 5.
Mr. Kratz is the chairman and CEO of Opportunity Bancshares Inc. in Bettendorf, Iowa, which owns Opportunity Bank, a $42.8 million-asset start-up in Richardson, Tex. He is also the chairman of the $1 billion-asset National Bancshares Inc. in Bettendorf.
Mr. Morales said that Mr. Kratz has extensive experience dealing with the capital markets.
If the alternative slate were elected, Mr. Hardin, the CEO of Mortgage Inc., the parent of Covenant Mortgage in Stafford, Va., would be proposed as a candidate for Vineyard Bank's board.
Vineyard National's current board opposes Mr. Morales' efforts and has blamed him publicly for the company's mounting credit problems, particularly in residential construction lending. For the first quarter, it recorded a $26.9 million loan-loss provision, leading to a $16.6 million loss, versus a $5.5 million profit a year earlier.
By late Tuesday, Vineyard's shares had dropped 3% from Monday's close, to $4.81.
