PASO ROBLES, Calif.–(GLOBE NEWSWIRE)–Heritage Oaks Bancorp (“Heritage Oaks” or the “Company”) (Nasdaq:HEOP), a bank holding company and parent of Heritage Oaks Bank (the “Bank”), announced that the Federal Reserve Bank of San Francisco (“FRB”) has terminated its Memorandum of Understanding (“MOU”) with the Bank. The Company has previously announced the termination of an MOU with the Federal Deposit Insurance Corporation and the California Department of Financial Institutions, and the repurchase of all preferred stock and common stock warrants issued to the United States Department of Treasury as part of the Troubled Asset Relief Program—Capital Purchase Program (“TARP—CPP”).
“We are pleased that the FRB has recognized the significant improvements in the Company’s operations and financial condition, and as a result has determined that the MOU was no longer warranted. The termination of the MOU by the FRB concludes the increased regulatory oversight placed on the Company by several regulatory bodies,” said President and Chief Executive Officer Simone Lagomarsino. “We are very proud of the hard work by the entire Bank team to resolve these regulatory issues and we appreciate the efforts and commitment of our employees and Board of Directors to achieve resolution.”