The Bancorp will stop small-business loan originations and cut 64 jobs
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The Bancorp Bank intends to stop originating retail and wholesale small-business loans by year-end and eliminate 64 filled positions, about 9 percent of its workforce, according to a Form 8-K filed Friday.
Existing borrowers stay on the books.
The bank estimates the restructuring will cost about $5.6m, including $4.5m in the third quarter. A separate 16 positions have been or are expected to be vacated and left unfilled. The company expects the 80 positions together to produce about $14m in annual savings.
Head of Commercial Lending Jeff Nager is expected to depart October 1. The filing says his severance terms were not final.
