In the spring of 1987, five families who were deeply rooted in Southern Iowa with a variety of business interests came together with a common vision. Their vision was to ensure that families and businesses in their community would have choices in where to do their banking with an option of a locally owned bank. Amid the farm crisis, the new American State Bank opened its doors on April 24, 1987, at 1000 Jeffreys Drive in Osceola, Iowa, and is now celebrating 35 years of business. Since that time, the bank has grown from an original $8 million in assets to current footings of $275 million.

Kevin Klemesrud, President and CEO, has been employed with the bank for 32 years and states, “Our growth and success has been driven by a solid commitment to our communities, an engaged and loyal staff, and consistent responsiveness to our customers’ needs.  We have been blessed by the communities and customers we serve, and we continue to be eager to meet their needs.”  

Klemesrud explained that the current remodeling project is set to begin the week of April 11th at the Jeffreys Drive location.  “Due to growth, we need increased office and storage space. Our plans are to convert our current board room and employee break room into office space and move our board room and employee break room to what is currently the bank’s community room. We will add storage in our bookkeeping and loan areas as well. The footprint of the bank will not be disturbed as it is a reutilization of space, and the bank will remain open through all phases of the remodel.”  Randy Short Construction is the local general contractor that will be completing the work for the bank with several local subcontractors being utilized.

Remodeling plans include relocation of the ATM at the 1000 Jeffreys Drive location. Klemesrud states, “Increased traffic flow to the drive-up window during the pandemic has created a greater need to improve access to our ATM and drive-up lanes. Moving the ATM off the building to a free-standing ATM directly west of the current ATM will provide improved access for our customers. Again, there will be no disruption to customers in use of our drive-up or ATM services.”  Further plans include adding truck and trailer parking to the grassy lot south of current employee parking.

“We are excited about our plans, and we appreciate patience of everyone as we go through this exciting anniversary remodeling,” says Klemesrud.  

American State Bank is a state of Iowa charted bank of $275 million in assets with 43 employees and locations in Osceola, Lamoni and Winterset, headquartered at 1000 Jeffreys Drive, Osceola, Iowa.