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Sunwest Bank Acquires Assets and Deposits From
First State Bank in Flagstaff
FLAGSTAFF, Ariz., (September 4, 2009) – Sunwest Bank has acquired First State Bank of Flagstaff, Ariz. The FDIC accepted receivership of First State Bank from the Arizona Department of Financial Institutions, which closed First State Bank on Friday, September 4th. The FDIC subsequently entered into an agreement with Sunwest Bank, under which Sunwest assumed all of First State’s non-brokered deposits and loans. The deposits total approximately $88 million.
Due to the Labor Day Holiday, the former First State will reopen Tuesday, September 8th as part of Sunwest Bank. Existing First State customers will be able to conduct business as usual, as their money will be available through checks, ATM and debit cards. Loan customers should continue to make their payments to First State Bank as usual.
Sunwest Bank representatives will be available at the former First State branch to answer questions from current and prospective customers. Sunwest Bank is one of the strongest and healthiest banks in the Western Region of the United States, with substantial capital and liquidity.
“We are pleased with the opportunity to partner with the businesses and residents of Northern Arizona and for Sunwest Bank to become part of the community,” notes Glenn Gray, President and Chief Executive Officer of Sunwest Bank. “Sunwest Bank is a strong, well-capitalized and highly liquid community bank. Our new customers can be confident their deposits are safe in a stable bank with more than 40 years of experience and we look forward to serving all their banking needs going forward.”
At the close of Sunwest Bank’s most recent quarter, its net income grew 20 percent year-over-year for the first half of 2009, and its assets grew by 29 percent during the same period. Sunwest is well capitalized and actively lending, originating $56 million in new loan production in the first half of the year.
“We have continuously grown our net income without the need for TARP funds due to a strong capital base,” adds Gray. “With realistic lending parameters throughout a time when some banks were making irrational loans, our stability gives us the opportunity to help the local businesses and entrepreneurs to grow and expand their businesses. We have protected our depositors’ money, made smart loans, and are now reaping the benefits of that more savvy business conduct.”
Sunwest Bank anticipates announcing its new total assets, including those acquired in this transaction, shortly after the closing of the third quarter.
“With a great number of larger banks in Northern Arizona, residents will be comforted by the fact that Sunwest is a true community bank, providing personal service and experienced loan officers that listen and understand businesses, complimented by a practical approach to lending,” he said. “We look forward to partnering with local businesses and our newest customers in Arizona to show them how community banking will help them achieve their goals.”
With nearly 40 years in business, Sunwest Bank is one of the strongest community banks in the Western Region. The bank specializes in meeting the needs of small and mid-size businesses, is an industry-recognized leader in homeowner association management banking, and has specialties in healthcare and security and defense-related businesses.
Additional information can be found at http://www.sunwestbank.com/.