Growth Factors

Tulsa area banks that have made the largest advances in local deposit market share in the past year attribute their gains to quality staff, services and an emphasis on growth.
According to FDIC reports, local deposits at banks in the Tulsa Metropolitan Statistical Area grew by 11.05 percent, a $1.47 billion jump from $13.28 billion to $14.74 billion in the June 30, 2005, to June 30, 2006, period. There are 67 banks with branches reporting deposits in the metropolitan area, which includes Creek, Okmulgee, Osage, Pawnee, Rogers, Tulsa and Wagoner counties.
Twenty-seven banks showed deposit growth that exceeded the average for the area. Figures cited are for deposits in branches in the metropolitan area and do not include deposits outside the market area.
First Community Bank, 3101 W. Kenosha St., in Broken Arrow, showed the greatest percentage growth in deposits with a 1,093 percent jump from $2.36 million to $28.14 million. The branch of the Jonesboro-based parent opened in April 2005.
Dwayne Powell, president of First Community, acknowledged that the high rate of growth was due to the timing of the opening of the branch in relation to the reporting period covered. “It was just getting off the ground,” he said.
He said the bank opened the branch because of the opportunity to take advantage of the contacts it had developed over the past five years as owner of Southern Mortgage, 1515 E. 71st St.
In addition, “We just love the demographics of the Broken Arrow area.”
The Tulsa branch of Union Bank of Chandler, 5623 S. Lewis Ave., showed the second largest percentage increase in deposits, with a 328 percent gain from $6.45 million to $27.61 million.

Moving Up the Ranks
Grand Bank, based at 4200 E. Skelly Dr., reported the greatest percentage gain in deposits in the top half of the list, moving the bank from a ranking of 28 to 18. Deposits grew from $90.85 million to $155.59 million, a 71 percent increase.
Sean Kouplen, president and COO, said the greatest factor contributing to the bank’s growth is quality staff.
“We have had the good fortune of recruiting some really top notch bankers over the last couple of years, and you’re seeing those results over the last year,” he said. “We have been able to leverage their relationships and grow our customer base significantly.”
He said the bank has added 15 bankers in the last two years –seven in Bixby, two in Claremore and six in its 12,000 SF Tulsa home office.
Kouplen also pointed to the growth of the Bixby office, which opened in May 2005. “That location has brought in almost $36 million in deposits,” he said. “That has been a tremendous success story for us.”
A third factor would be the Certificate of Deposit Account Registry Service (CDARS) that allows the bank to FDIC insure customers up to $30 million, he said. “We are now one of the fastest growing CDARS banks in the entire country. We actively market that program to high net worth people, schools, trusts, municipalities, anyone that we think could really benefit from that.”

Focus on a Niche
Summit Bank, which operates from a 10,000 SF office at 5134 S. Yale Ave., climbed from a ranking of 29 in 2005 to 22 this year with a nearly 56 percent growth in deposits, a jump from $88.6 million to $138.13 million.
Wade Edmundson, chairman and CEO, said the single-location bank targets the business and professional market.
“I think our focus on a niche helps with that growth,” he said.
“The fact that we have 70 shareholders who have an interest in us and are out there pulling for us and referring business to us has also been a good strategy for us,” he said.
But he also stressed that a quality staff has been a primary source for business growth.
“We have really good folks,” he said. “Right now we have 25 employees, which isn’t that many for a bank our size, but they are top quality people that our clients really enjoy dealing with.”
He said the bank hired a team of bankers, including Mark Poole, who is now president and chief lending officer, in early 2005.
“That team of people supplemented our existing quality staff and brought some new business opportunities to us,” he said.
Edmundson said the bank’s adoption of a remote electronic deposit capture system and the CDARS program has also boosted deposit growth.

Bankwide Campaign
SpiritBank’s increase of $165.76 million in deposits, a jump of nearly 43 percent from $386.17 million to $551.93 million, represented the largest actual jump in deposits. That growth moved the bank, which has 17 branches in Oklahoma, into 6th position from 7th in 2005.
Albert C. “Kell” Kelly, Jr., CEO of the Bristow-based bank, attributed the bulk growth to both a bank-wide effort to grow deposits and the opening of its Business Resource Center at 18th Street and S. Baltimore Ave.
“If you add those two things together – the thrust of our Business Resource Center and our intentional deposit gathering campaigns – I think those things have been really important,” he said.
He also cited the importance of participating the in the CDARS program and adding a merchant remote deposit capture system.
“We probably have $50 million in the CDARS program right now,” he said. “That is a lot.” ?

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