BMO Harris Bank’s expansion to a national brand will not affect its commitment to Milwaukee, according to the financial institution’s outgoing CEO.
Dave Casper is retiring this year as U.S. CEO of the bank’s parent company, BMO Financial Group. He has been with BMO (NYSE: BMO) since its 1984 purchase of Harris Bank. Casper has been the lender’s U.S. CEO since 2018.
BMO Wealth Management U.S. president Darrel Hackett was named his successor. Hackett starts his new role June 1.
Casper’s announcement of his plans to retire came after BMO in February closed on its purchase of Bank of the West, a deal that greatly expanded its reach. The bank revealed its acquisition plans in 2021.
Locally, BMO holds the second-largest share of deposits in southeast Wisconsin, and it has a visible presence in the region. BMO is a sponsor of Fiserv Forum and Summerfest, for instance. In 2020, the bank opened a new downtown Milwaukee office tower.
Casper spoke to the Milwaukee Business Journal about his upcoming retirement and how the bank’s growth will affect its involvement in Milwaukee. Responses were edited for length and clarity.
What made now the right time to retire?
“There's never a perfect time, but I've been at the bank almost 45 years. … I grew up in Milwaukee, came to Chicago after college, and we've had a really good run. You can do the math. If I started right out of college, and I've been here for 45 years, it's time. We just completed a big acquisition on the West Coast, the Bank of the West, which after we made the first big acquisition in the United States, which was M&I after Bank of Montreal bought Harris Bank.
“So the M&I Bank, which obviously was Milwaukee-based, that was a big one for us. That really kind of cemented our footprint in the Midwest, and I really did want to be involved and around for our acquisition of Bank of the West, which is now complete.
“It's a perfect time to go and to leave with great people. Darrel Hackett, who's my replacement, who has run our wealth business, will take over as the U.S. CEO. In Milwaukee, particularly, we have a fantastic team: Dave Anderson, who runs our commercial business, Jud Snyder, who runs our wealth business, and Jon Biorkman, who runs our equipment finance business, which is headquartered in Milwaukee. Those three leaders are outstanding.
“I've always had a special place in my heart for the M&I Bank and Milwaukee, and when we became BMO Harris, because as I said, I grew up there. It's a great city, and we have a fantastic market share there - the biggest commercial market share of any bank in Wisconsin. Milwaukee is the heart of it.”
Scott Paulus
How will the expansion with Bank of the West affect BMO’s involvement or investment in Milwaukee?
“Not at all. What we do and I think, really, the M&I acquisition was our first opportunity to prove this: When we made the acquisition, that was in 2011, there were a lot of people that said, ‘Well, they'll come in and they'll rip out everything and we won't even know the remnants.’
“I'm so proud of the fact that we've kept so many of our people. We've made a statement in Milwaukee with our building right next to our old building, which is nice. … Big commitment to Summerfest, big commitment to the Bucks.
“Our acquisition of Bank of the West, we'll do the same there, but not at the exclusion of anything we do in Milwaukee. You know, we’re a big bank; 45% of the net income of the bank will be in the United States, and a big, big chunk of that is right in the state of Wisconsin.
“It's a very important market for us, and it always will be.”
What are the most pressing issues facing your industry today?
“Ensuring that the trust in the banking system remains and that we never … do anything that would cause any of our clients to lose trust in us. Our reputation’s the most important thing, and I think that goes for the banking industry, as well.
“After 2008 and 2009, the banking industry took a long time to recover, and they were part of the problem. We weren't, but a lot of banks were a problem back in 2008. We benefited. Frankly, that's why we bought M&I, because we had done well.
“I think that's the biggest issue, and then the second is that we have an obligation to support our communities. We have an obligation to support the businesses and the consumers within our communities. We take that really seriously.
“I think that's always the challenge, that we do the right things, that we make sure that there's always capital available for good ideas, for entrepreneurs and individuals, for home mortgages, for home equity loans, for big businesses. That's just important that we always do that.
“Staying safe and staying sound allows you to have enough capital to take care of clients, whether it's good times or bad. I think those are the real challenges.”
Kenny Yoo
