2014 Rising Stars in Banking: Dusten Johnson

Since 2000, Dusten Johnson has become a cornerstone of the future for Northeast Bank, Minneapolis, according to Tom Beck, president and CEO of the $350 million bank. Johnson has shown himself a self-starter. As a commercial lending officer at the bank's branch in northeast Minneapolis, he has been resourceful in finding win-win solutions for the bank and its customers, Beck said..NorthWestern Financial Review is honoring Johnson as a Rising Star in Banking for 2014, along with five other bankers.."We believe Dusten Johnson is a rising star as he has displayed an exceptional level of professionalism, loyalty and skill, all with a positive attitude and a strategic approach," wrote Colleen Corona, Northeast Bank's marketing manager who submitted Johnson's nomination. "He has been described as an incredible self-starter, and a person who has the unique ability of bringing people together while energizing them at the same time. Dusten continues to build upon his relationship with support staff, putting himself in a position to lead with the full support of his peers and co-workers.".An example of Johnson's self-starter mentality and skill is his work with Discount Steel, Inc., a long-time customer of the bank. Company founder John Dormanen remembers when Northeast Bank lender Bob Jensen first visited Discount Steel in 1993. "We got our first line of credit with Northeast Bank from Jensen that year," he said..Since then, Jensen has retired and now Johnson handles the relationship. "Bob Jensen taught me a lot," Johnson said. "He was the credit guru. He was always willing to sit down to show me how to run cash flow better or how to improve the structure of a loan.".Over the years, as its sales grew, Discount Steel's line of credit increased. The company uses the line to buy inventory and to finance real estate expansions. When Discount Steel opened for business it operated out of a 5,000-square-foot warehouse. Today, it has a 100,000-square-foot warehouse. It also has expanded to Fort Worth, Texas, where it now has a 10,000-square-foot store..In 2010, Johnson pitched a new strategy to Discount Steel to decrease its risk to fluctuations in interest rates. The rate on the company's line of credit fluctuates. The cost of buying inventory also fluctuates with the price of steel and other metals. With the balance of its real estate investment still on the line, if commodity prices rose at the same time as rates increased, Discount Steel would have to pay more for its real estate at the same time as it paid more for its inventory. "I saw an opportunity to help them remove some of that interest rate risk by moving the real estate investments they've made onto a fixed-rate loan," Johnson said..Dormanen said that he was skeptical of Johnson's solution at first. "Then the more I thought about it the better it sounded," he said. "Dusten and his team helped us move our considerable real estate investment into a loan that has a fixed rate for 10 to 15 years. Not only has it added more certainty to future earnings, it also has given us more cushion on our line for future expansion.".Now, the Dormanen team is investigating a new location in St. Cloud, Minn. If they decide to pursue the venture, the room they now have on their line of credit will come in handy, they said..As Johnson has found win-win scenarios for customers like Discount Steel, Northeast Bank has steadily promoted him. He joined the bank as a credit analyst in 2000 and became a commercial lender in 2002. He was promoted to assistant vice president in 2005. Now, in 2014, Johnson has been promoted into a sales management role. He reports directly to the bank's COO and will oversee a team of two lenders. In 2015, he will join the bank's funds management, strategic planning and loan discount committees..Johnson has taken up the bank's trait of community involvement. He serves on the board of the Northeast Exchange Club, a service organization which works to make the area a better place to live. He also is involved in Meals on Wheels, the Salvation Army, the Minnesota Business Finance Corporation and coaching youth baseball.."I hold Dusten in very high regard," Beck said. "He has been a tremendous ambassador for us. Now we want to integrate him more into the management of the bank."Other 2014 Rising Stars in Banking honorees include:Katy Wolf Bode, Platte Valley Bank, North Bend, Neb.Daron Van Beek, The First National Bank, Sioux Falls, S.D.Laura Pomerene, First National Bank and Trust Co., Beloit, Wis.Brian L. Johnson, Choice Financial, Grand Forks, N.D.John Welle, Minnwest Bank Metro, Eagan, Minn.