Tasmanian group MyState has hired a seasoned banker with experience in broker distribution to take the reins from retired chief executive John Gilbert. Melos Sulicich takes over as managing director and chief executive today.His priority will be to stop the erosion of the group's mortgage portfolio. Sulicich was previously chief executive of Rams Financial Group, which is part of the Westpac Group. He was general manager of mortgage broker distribution at Westpac from 2008 to 2013.MyState expanded in 2009, when it acquired Tasmanian Perpetual Trustees Ltd, and again in 2011, when it acquired the Rock Building Society.Earlier this year, MyState reported that the value of its loan portfolio fell by 1.3 per cent to A$2.9 billion in the six months to December. The drop was the result of weak demand for credit and an increase in the rate of loan repayments.The group said it was aiming to stop the decline by putting more resources into broker distribution. It said it was upgrading its application processing technology, making its pricing more competitive and appointing more relationship managers to work with brokers.The group implemented a new core banking system in November. It said the new system would underpin growth in the banking business, with improvements in productivity and enhanced products and services.