A key part of Northwest Bank in Columbus, Ohio's transformation strategy over the past three years has been bringing in a C-suite executive team from larger banks.

CEO Louis Torchio, who has led the bank since 2022, said that over the past three years, he has replaced all 13 of his direct reports, and these new executives have all previously worked at "larger, more complex financial institutions."

"Our goal was to clearly articulate the transformation vision and then recruit people who had 'been there, done that,'" Torchio said in a recent interview.

Chief Financial Officer Doug Schosser came from KeyBank; Chief Risk Officer Gregory Betchkal previously worked at Citigroup and KeyBank; Chief Marketing and Communications Officer Devin Teles-Cygnar has experience at PNC, as does Northwest Bank's Chief Consumer Banking and Strategy Officer Urich Bowers.

Torchio noted that the "final piece of the puzzle" washiring Chad Ballard in Mayas Chief Information Officer; Ballard previously worked at Wells Fargo. Torchio said Ballard's task is to evaluate the bank's technology choices and related spending with an eye toward further growth.

These C-suite appointments are part of a broader overhaul. Torchio said the bank is transforming a 130-year-old savings institution into a $17 billion regional bank, including reshaping its balance sheet, boosting fee income, and revamping the lender's go-to-market strategy.

"To execute such a transformation, you must build a team with both acumen, execution capability, and relevant experience, otherwise it could be costly," Torchio said.

Torchio said these executives were attracted because they can have a greater impact at such a bank.

At large banks and super-regional banks, "truly talented people can be confined to specific roles," he said. "They believe they can contribute more and have a broader vision, which may be suppressed at other institutions."

Operations at large banks can be "bureaucratic," whereas at Northwest Bank, "the 10 people you need to collaborate with to get something done are on the same floor, and you can move quickly," Schosser said.

For Schosser and other newly hired executives, this is an attractive opportunity—they can apply what they learned at big banks, he said.

As more new C-suite executives join, "we interact more and more, sparking each other: 'Hey, let's try this, think about that,'" Schosser said.

At the core of Northwest Bank's overhaul is moving away from a business focused primarily on consumer mortgage lending and toward a commercial banking image.

Torchio said that relying solely on organic growth within its geographic markets would take the bank a decade to complete this shift, "because those areas are overbanked and highly competitive." Therefore, in 2023, the bank chose to build national specialty verticals, including Small Business Administration (SBA) lending and equipment, sports, sponsor, and franchise finance.

These new national specialty verticals account for about one-fifth of the bank's commercial lending business. According toan investor presentation, as of the end of 2025, Northwest Bank's commercial loans in these verticals were approximately $1.3 billion.

Schosser said Northwest Bank is highly focused on driving growth in these business lines, while also pushing into geographic markets with more expansion opportunities, such as Columbus and Indianapolis.

In the second quarter, the bank's commercial and industrial loans grew 32% year over year to $2.8 billion. Northwest Bankreported on July 27that average loans increased $10 million from the prior quarter to $13.1 billion, partly driven by C&I loan growth. As of the second quarter, the bank had approximately $14.1 billion in deposits.

Schosser said Northwest Bank also believes its commercial real estate business still has room to grow within its physical footprint. As of the second quarter, the bank's commercial real estate loans were approximately $3.1 billion.

Torchio said the bank remains open to another acquisition. Last year, Northwest Bank, in a $270.4 million deal,acquired Penns Woods Bancorp of Williamsport, Pennsylvania,adding $2.3 billion in assets.

Schosser said the acquisition "significantly changed" Northwest Bank's financial performance. Northwest Bank reported second-quarter profit of $54 million, a tangible common equity return of 14.9%, and an efficiency ratio of 57.6%.

Schosser said Penns Woods was the first deal completed by the current leadership team, and Northwest Bank achieved tangible book value growth in a shorter time than originally planned, indicating the bank "can use M&A as a transformative lever in its growth strategy."

Ideally, the bank would like to make acquisitions in Ohio and Indiana, "but there aren't many targets there," Torchio said, adding that the executive team makes proactive outreach every quarter.

"We have to be patient," he said. "You never know when an opportunity will arise, so we keep working at it and keep our options open."