Daniel G. Byrne, longtime former chief financial officer here for Sterling Financial Corp., is expected to be named CEO at RiverBank, a seven-year-old boutique institution here, as soon as state and federal regulators approve the appointment.

Byrne, a Spokane native and graduate of Gonzaga Prep and Gonzaga University, confirms that he's moved into the executive offices at RiverBank, but said his business cards don't yet list a title for him. He says RiverBank has submitted paperwork to the regulatory agencies seeking approval of his appointment and hopes to receive a response shortly.

Byrne would take over the position formerly occupied by Clyde B. "Chuck" Brooks Jr., who died in late April after a brief battle with cancer. Brooks, who was experienced in leading troubled institutions working to regain regulatory compliance, joined RiverBank in May 2011, succeeding Duane Brandenburg, one of the bank's founders, who retired.

In August of that year, RiverBank entered into a consent order with the Federal Deposit Insurance Corp. and the Washington state Department of Financial Institutions that placed it under tighter regulatory scrutiny.

The order required RiverBank to hire and retain qualified managers, notify regulators when it planned to add or replace board members or senior executive officers, and increase the board's participation in the affairs of the bank. It also required the bank to increase its capital, keep a fully funded allowance for loan and lease losses, reduce troubled assets, and develop a financial plan that set specific goals in a number of areas.

RiverBank reported a net loss of $3.9 million for 2012, compared with a loss of $686,000 for 2011 and a $2.8 million loss the year before, but Byrne says the bank has been profitable now for two consecutive quarters, and its financial condition is improving.

The bank ended last year with total loans of $98.4 million, down from $111.2 million a year earlier, and total deposits of $118.1 million, down from $123.9 million, according to documents it filed with federal regulators. It ended last year with total assets of $129.2 million, down from $139.1 million at the end of 2011.

RiverBank is a single-location niche bank that offers personalized services, mostly to small-business and commercial clients in the Spokane area. It occupies part of a five-story building at 203 E. Spokane Falls Boulevard.

Byrne served as CFO of Sterling Financial Corp. from 1983 to 2011. He was succeeded in that position by Patrick Rusnak, and worked as corporate development executive for Sterling until leaving the company in April 2012. Most recently, he has been doing consulting work through a company he formed, Byrne Financial Services LLC, helping clients raise capital and develop business plans. Before joining Sterling, he was employed for six years with Coopers & Lybrand LLP, doing public accounting work.