In the wake of its recent buyouts of the Norwest and Arizona Bank chains, Compass Bank has made yet another local purchase: Founders Bank of Arizona.
"Founders Bank has been growing so well and so rapidly that it has become one of the top 10 banks in the country for its size," explained Pat Willis, president of Founders Bank of Payson.
"With that kind of growth, you have to be able to keep pace with the capital needs as required by FDIC. That's why it was necessary to bring another partner to the table."
As far as Founders Bank customers are concerned, Willis said, nothing will change -- except the location where they do their banking business.
"What we'll do is consolidate to the Compass office where Norwest used to be, because that's a better facility than what we have here," Willis said. "In fact, we were already planning on building a new bank in 2001 because we needed more space, so this comes along at an opportune time."
Willis said that the changeover timeline will go something like this:
State and federal approval is expected by mid-May, the purchase transaction will probably be completed by the first part of June, the conversion will start soon thereafter, and the target date for the complete merger of the two banks is expected during the month of August.
"Unlike some bank mergers where you have to get stockholder approval and go through that whole voting process," Willis said. "Founders Bank is a privately-held corporation, so it was a fast process for approval."