WARREN Performance of First Place pleases investors

The bank holding company has doubled its earnings in the past three years.
THE VINDICATOR
By DON SHILLING
VINDICATOR BUSINESS EDITOR
HOWLAND -- Vince Cibella is so happy with the stock price of First Place Financial Corp. that he called for a standing ovation for its executives.
Most of those who attended the company's annual meeting Thursday at the Avalon Inn gladly joined in.
"Now this is my kind of annual meeting," said a smiling Steven Lewis, company president and chief executive.
Cibella said after the meeting that he came just to congratulate executives of the company, which is the parent of Warren-based First Place Bank.
He bought stock in 1998 when the company first offered shares to the public at $10 a share.
"Now, it's almost up to $20. How can you beat that when everyone else is losing money?" said Cibella, a 65-year-old retired Delphi Packard Electric Systems worker from Leavittsburg.
The stock briefly reached near $20 a share last year but began trading at about $17 a share this year. It has risen more than $1 a share so far this year.
Rapid earnings growth
First Place earnings have grown rapidly the past few years after it merged with FFY Financial Corp., the parent company of FFY Bank in Boardman.
Not considering charges related to merger expenses, company earnings have increased from $8.3 million in fiscal 2000 to $16.7 million for fiscal 2003, which ended June 30.
Lewis said he is proud that the 700-employee company is based locally because having corporate headquarters here means more jobs and a higher level of commitment to the community.
First Place, however, has been growing by expanding to other areas.
It has 24 branches in the Mahoning Valley but also has opened 12 loan production offices throughout Ohio. A Columbus office will open soon, giving it 13 loan production offices.
Lewis said these offices have been successful. They are responsible for about 40 percent of the company's new mortgages in the last fiscal year, he said.
With interest rates being low, First Place handled $1 billion in new mortgages during that 12-month period, which was up from $600 million in the previous year.
Financial center to open
Lewis said the next step is creating First Place Financial Centers, the first of which will open next month in Solon.
While a loan production office has about a dozen employees, the centers will have twice that many workers, who will handle additional services, such as commercial loans and personal banking for wealthy clients.
The center will not have tellers because it isn't designed for walk-up business for regular bank customers, Lewis said. The center will have a comfortable office environment, but employees will be expected to be out in the community working with clients, he said.
First Place will look at creating centers elsewhere in Ohio, and also could begin adding traditional bank branches in high-growth areas, he said.
Besides the bank, First Place in recent years has acquired real estate, insurance and title companies.
Another recent acquisition, APB Financial Group of Warrendale, Pa., is important because it allows First Place to offer investment products with its own employees, Lewis said. It now has five investment professionals who can work with bank customers.
shilling@vindy.com