| Cardinal Financial Corporation | |
| Type: | Public |
| Traded As: | NASDAQ: |
| Industry: | Financial services |
| Fate: | Acquired by United Bank |
| Location: | McLean, Virginia, U.S. |
| Products: | Banking |
| Revenue: | $153.478 million (2016) |
| Net Income: | $50.491 million (2016) |
| Assets: | $4.210 billion (2016) |
| Equity: | $452.177 million (2016) |
| Num Employees: | 839 (2016) |
| Footnotes: | [1] |
Cardinal Bank was a bank headquartered in McLean, Virginia, that operated in Northern Virginia. It was a subsidiary of Cardinal Financial Corporation. It operated three business segments: commercial banking, mortgages, and wealth management services.[1] In 2017, Cardinal was acquired by United Bank.
Cardinal Financial Services was founded in November 1997 as a bank holding company, with Fairfax attorney and politician John H. "Jack" Rust, Jr. as Chairman.[2] [1]
In June 1998, the bank's first branch in McLean opened.
In July 1998, Cardinal Financial sold 2.6 million shares of stock at an initial price of $10/share.[3]
In 1999, Cardinal Financial Services began operating Cardinal Wealth Services as its investment advisory subsidiary.[4]
In July 2000, Cardinal Financial purchased Heritage Bancorp of Fairfax for $13.8 million.[5]
Cardinal Financial struggled during its first five years of operations, losing a total of $24 million over that time.[2] The complicated administrative structure needed to support its community bank model severely affected the company's profitability.[2]
To remedy the company's ills, Rust recruited former George Mason Bank CEO Bernard H. Clineburg to run Cardinal Financial in the summer of 2001.[2] Clineburg took over as CEO in October 2001, following the resignation of founding CEO L. Burwell Gunn.[2]
Clineburg immediately collapsed the company's four banking units into one and laid off 33 of the bank's 135 employees.[2] Cardinal also took a $8.3 million write-off on the 2000 purchase of Heritage Bancorp and a $1.7 million loss on a corporate bond from Worldcom.[2]
In May 2002, Cardinal raised another $18.5 million with a stock sale priced at $3.50 per share.[2]
In July 2004, Cardinal Financial Services bought George Mason Mortgage, LLC from the United Bank-Virginia unit of United Bankshares for $17 million.[6]
In May 2009, Cardinal Financial raised $31 million with the sale of 4 million shares of stock at $7.75 each.[7]
In April 2010, the company launched a middle school bank in Fairfax County, Virginia.[8]
In May 2012, the United States Department of Justice concluded an investigation of lending discrimination and said that it did not intend to file a lawsuit against the bank.[9]
In October 2012, the company revised an advertisement in the Washington Metro after locals confused the company logo with that of the St. Louis Cardinals.[10]
In January 2014, Cardinal Financial acquired Vienna, Virginia-based United Financial Banking Companies, Inc., the holding company of The Business Bank, for $51.7 million.[11] [12]
In April 2017, United Bank acquired Cardinal Financial for $912 million.[13] [14]