Citizens State Bank of Loyal began its history ninety nine years ago when, on October 14, 1909, a group of Loyal area residents met to discuss organizing a bank to serve the community. Within two months, on December 9, 1909 the bank was chartered and had opened for business. Robert Connor, M.F. Doyle, Dr. H.H. Christofferson, Albert Davel, W.J. Rush, William Lenling, B.W. Colby, C.H. Brown and Clem B. Esselman comprised the first board of directors. M.F. Doyle was the bank’s first president and Harry Haslett the cashier.

Assets rose slowly to about $500,000 by the end of the first decade of business. C.H. Brown served as president from 1912-1928. James R. Colby succeeded Harry Haslett as cashier in 1929 when the difficult depression years had begun. Economic conditions continued to spiral downward, leaving their toll in lowered deposits and assets. By 1932 the bank’s assets had dropped to about $214,000.

To illustrate just how difficult the Depression years were in the banking industry, here is a look at some of the news items from that era:

• 1/02/30 Clark County bankers organize community guards to suppress
  bank robberies
• 1/11/30 Loyal State Bank stockholders turn down merger with Citizens
  State Bank of Loyal
• 1/17/30 Loyal State Bank closed by State Banking Department
• 4/03/30 Fairchild City Bank robbed of $2000.00
• 10/24/32 Chili State Bank closed
• 10/25/32 The State Bank of Abbotsford closed
• 1/12/33 Annual dividend omitted by Citizens State Bank of Loyal
• 3/06/33 All banks in Clark County closed by President Roosevelt for 4
  days
• 3/16/33 Citizens of county asked to turn in gold and gold certificates
• 3/05/34 First payment was made on liquidation of the Clark County
  Bank
• 1/14/35 Sale of assets of First State Bank at Humbird
• 11/21/35 Installation of Bandit-barrier system at Citizens State Bank of
  Loyal is completed
• 7/15/37 Granton Station of Citizens State Bank of Loyal held up and
  $1,095.75 is taken by 2 robbers.

Fortunately, under the capable leadership of Mr. Colby and bank president, J.M. Philpott, Citizens State Bank of Loyal came through the difficult decade of the 1930’s. By 1940, assets were again climbing and stood at approximately $625,000.

After the death of J.M. Philpott in 1941, Dr. H.H. Christofferson succeeded him as president for 13 years. His interest in finance was evidenced by the establishment of an excellent bond portfolio during his term. The bank’s fifth president, Orin W. Trindal, led the bank to all time highs in every respect. His chief contribution was to establish an aggressive loan policy.

J.R. Colby served as president from 1961-1968. Joseph C. Esselman served from 1969-1972. Assets in 1961 were close to $4,500,000. In 1971 total assets rose to just over $11,000,000. Paul A. Davel was appointed president of the bank in 1972 and served in that capacity until his untimely death in 1978. Mr. Davel pointed out that the biggest share of loans were agricultural, an indication of the expanding farming operations of Loyal area farmers. During his tenure he saw a wealth of industry erupt within the area and watched the community prosper. The bank grew with the community and under Mr. Davel’s able direction, continued to provide the service its customers had learned to expect.

George F. Zuehlke, Jr. was appointed president in 1978. Inflation was in full swing by then and continued to push interest rates upward. New regulations were continually being spewn out and paperwork increased for the banking industry. In order to provide the funds for loans needed by the growing community, the bank continued to offer the depositors the highest rates allowed by law. The bank went on the accrual method of accounting in 1978 which provided a much more realistic picture of its financial structure and facilitated budget management. Assets stood at $21,000,000.

Gary R. Weirauch was elected president of Citizens State Bank of Loyal at its annual meeting in January 1991. By the time Gary F. Sipiorski was named president in January 2002, assets had risen to $86,000,000 from $41,000,000 in 1991. By the end of 2002, assets were $96,000,000. The impetus for this growth was a concerted effort to serve the dairy industry not just on a county level but on a statewide basis. There was and continues to be a pent up demand for capital investment to modernize and keep competitive Wisconsin’s dairy industry. Lacking modernization of facilities and increasing scale, Wisconsin has seen its rank in the dairy industry fall consistently when compared to the western United States. Opportunities to finance expanding farms and agribusiness continue to be a focus of the bank and will fuel its growth in the first decade of the new century.

Many milestones mark the progress of Citizens State Bank of Loyal. In 1934, the Board of Directors voted to purchase the former Farmers State Bank building in Granton, which folded during the Depression. The original intention was to use the new facility as a paying and receiving station. In 1977 the building which today houses the Granton branch was constructed, complete with drive-up facilities. It expanded 1985 and today counts approximately 20% of the bank’s total deposits.

Citizens State Bank of Loyal in Loyal ‘moved’ 3 times in its history. Its first 13 years were spent in the old Wepfer building that later became a pharmacy. In 1922 a new building was constructed. That building was extensively remodeled in 1961 and 1962 ‘to keep the image of the building in accord with the bank’s modern policies and general progress.’ The bank began offering drive-up service in 1968. Citizens State Bank of Loyal operated out of that location until 1974 when a new building was constructed at the present location, the site where Northside Elevator burned to the ground on November 20, 1970. In 2003, this building was remodeled and expanded to accommodate the ever-growing needs of customers as growth continues.

In 1995, the Neillsville branch of Citizens State Bank of Loyal opened in a small office in downtown Neillsville. In 2000, a new building was constructed and today that building houses both the Neillsville branch of Citizens State Bank of Loyal and Citizens Accounting.

Citizens State Bank of Loyal purchased Citizens Accounting in January 1993. Citizens Accounting provides electronic record keeping and tax preparation services for farmers, small businesses, and individuals.

Since 1941, the bank has declared two stock dividends and two stock splits prior to forming a Holding Company, Citizens Bancshares of Loyal, in 1985. Citizens Bancshares owns the stock of Citizens State Bank of Loyal plus is a one-third owner of Heartland Financial, an agricultural credit company. Citizens Bancshares has 160 stockholders, most of who reside in Wisconsin. However, as more children and grandchildren inherit stock, we are becoming more national in ownership. A large stockholder base, many of who’s only tie to Loyal is their inherited bank stock, helps to insure the bank’s independence. The bank’s stock return has been steady and included a 10 for 1 split in 1997. Although an adequate return has been generated for its stockholders, Citizens State Bank of Loyal continues an equal focus on providing adequate yields to its depositors; fair and competitive rates for its borrowers and equitable employee pay and benefit packages.

Citizens State Bank of Loyal continues today to be a customer focused, customer driven, community owned, community minded business. We welcome the opportunity to serve customers throughout the state of Wisconsin.