First Phase Involves Workforce Reduction
WILMINGTON, Del.--(BUSINESS WIRE)--
The Bancorp, Inc. (NASDAQ: TBBK) today began the implementation of a
board-approved cost reduction plan designed to streamline its businesses
and corporate functions and better position the organization for the
future. The first phase of the plan entailed a company-wide workforce
reduction. The second phase will entail a close examination and
identification of potential cost saving opportunities within the
company’s supply chain network.
“As part of a larger Strategic Plan, this necessary and difficult effort
will create a financial services and technology company that is
stronger, nimbler, and better equipped within the marketplace,” said
Damian Kozlowski, President and Chief Executive Officer. “We believe we
can substantially lower our operating run rate by 20% to 25% without
significantly affecting revenue and, ultimately, have a healthy
operating leverage with double-digit business revenue and single-digit
expense growth. We also believe we can take these actions without
negatively impacting our remediation efforts or operating model
controls. We express our sincere gratitude for the contributions of the
employees affected by job eliminations and are committed to supporting
them with important transitional information and resources.”
About The Bancorp
With operations in the US and Europe, The Bancorp, Inc. (NASDAQ: TBBK)
is dedicated to serving the unique needs of non-bank financial service
companies, ranging from entrepreneurial start-ups to those on the
Fortune 500. The company’s primary subsidiary, The Bancorp Bank (Member
FDIC, Equal Housing Lender), has been repeatedly recognized in the
payments industry as the Top Issuer of Prepaid Cards (U.S.), a top
merchant sponsor bank, and a top ACH originator. Specialized lending
distinctions include National Preferred SBA Lender, a leading provider
of securities-backed lines of credit, and one of the few bank-owned
commercial leasing groups in the nation. For more information, please
visit www.thebancorp.com.
Forward-Looking Statements
Statements in this release regarding The Bancorp's business are
“forward-looking statements” that involve risks and uncertainties. These
statements may be identified by the use of forward-looking terminology,
including but not limited to the words “may,” “believe,” “will,”
“expect,” “look,” “anticipate,” “estimate,” “continue,” or similar
words. For further discussion of the risks and uncertainties to which
these forward-looking statements may be subject, see The Bancorp's
filings with the SEC, including the “Risk Factors” and “Management's
Discussion and Analysis of Financial Condition and Results of
Operations” sections of those filings. These risks and uncertainties
could cause actual results to differ materially from those projected in
the forward-looking statements. The forward-looking statements speak
only as of the date of this press release. The Bancorp does not
undertake to publicly revise or update forward-looking statements in
this press release to reflect events or circumstances that arise after
the date of this presentation, except as may be required under
applicable law.
View source version on businesswire.com: http://www.businesswire.com/news/home/20160915006523/en/
The Bancorp Media Relations
Rob Tacey, Director, Public
Relations
302-385-1418
rtacey@thebancorp.com
or
The
Bancorp, Inc. Investor Relations
Andres Viroslav, Director,
Investor Relations
215-861-7990
aviroslav@thebancorp.com
Source: The Bancorp, Inc.